Secured credit card is obtained against a deposit of certain amount in the saving account, money market account or certificate of deposit. The minimum amount limit varies from company to company. The security deposits in some cases attract earning of interest- a secured credit card’s security is the deposit.
Secured credit card greatly enhances rebuilding credit score, and improving financial habits. This is an ideal for those who move into a new country, new city, and fresh school graduates, secured credit cards are ideal. Secured credit cards are usually available at banks. These cards attract exorbitant interest rates; hence it is not wise to settle for these cards just because one has no credit history, or bad credit report. Look around for options and shop for lowest rates before you apply for one. Check out the fees structure prior to applying as well, for you may realize that after you have opened an account it could prove to be more than you can afford.
The new entrants in the credit card market must practice caution as credit card companies tempt you with offers only to extract more from your pocket. The inexperienced and uninformed are easy prey, so do your homework well and consider all possibilities before you commit. When using a secured credit card after all one is spending one’s own money, but one lands up paying fancy fees and rate of interest, so you need not pay a hefty price for a “quick credit”.
*See the online application for details about terms and conditions Every reasonable effort has been made to maintain accurate information. However all credit card information is presented without warranty. When you click on the offer you desire you will have an opportunity to review the credit card terms and conditions on the credit card issuer's web site.