Secured credit cards can be a helpful tool for building credit, and there are many to choose from — both to help you build personal credit and to help you build business credit. Below are some of the most acclaimed choices of the moment, with all the details described being current as of February 2019.
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BankAmericard Secured Credit Card
- Annual Fee: None
- Deposit: $300-$4,900
- Credit Limit: Varies, based in part on the amount you deposit
- Late Payment Fee: Up to $38
- Other Features: Access to one of your FICO® credit scores (updated monthly), account alerts, free access to ShopSafe®, which generates a temporary credit card number for safer online shopping
- Purchase APR: 22.49%
- Rewards: None
- Upgrade Options: Bank of America will periodically review your account to see if you can qualify to have your security deposit returned.
Image Credit: DepositPhotos.com.
Academy Bank Credit Builder Secured Visa Credit Card
- Annual Fee: $25
- Deposit: $300-$3,000
- Credit Limit: You set your own limit, which is based on the amount of money you deposit into a Credit Builder Savings account. You can increase your credit limit by depositing more into the account, in increments of $50.
- Late Payment Fee: Up to $15
- Purchase APR: 23.24%
- Rewards: None
- Upgrade Options: Academy Bank, the issuer of this card, says you can “upgrade to an unsecured card with good performance.”
Image Credit: Academy Bank.
Discover it Secured
- Annual Fee: None
- Deposit: Minimum of $200
- Credit Limit: Maximum of $2,500
- Late Payment Fee: No fee for the first late payment, but up to $37 for late payments after that
- Other Features: One of your FICO® credit scores included on your monthly statements for free, free monitoring and alerts of your social security number.
- Purchase APR: 25.24%
- Rewards: You can earn 2% cash back for purchases made at gas stations and restaurants (up to $1,000 in purchases per quarter). You can also earn unlimited 1% cash back on the rest of your purchases, and they’ll match your earned cash back at the end of your first year with the card.
- Upgrade Options: After eight months with the card, Discover will start reviewing your card activity every month to see if you can be eligible to have your security deposit returned.
Image Credit: Discover.
Secured Mastercard from Capital One
- Annual Fee: None
- Deposit: $49, $99, $200
- Credit Limit: Starts at $200, but you can deposit additional money before opening your account to obtain a higher line of credit (with a maximum of $1,000). You can apply for a higher credit line after five months of on-time payments.
- Late Payment Fee: Up to $38
- Other Features: You can instantly lock your card via the Capital One Mobile app if you misplace your card — the app also enables you to have instant purchase notifications and account alerts. Access to Virtual Card Numbers from Eno so you can shop online without using the number on your card.
- Purchase APR: 26.99%
- Rewards: None
- Upgrade Options: None mentioned
Image Credit: Courtesy image.
Wells Fargo Secured Credit Card
- Annual Fee: $25 annual fee
- Deposit: Minimum of $300
- Credit Limit: Same as your deposit
- Late Payment Fee: Up to $37
- Other Features: Access to one of your FICO® credit scores, purchase and other account alerts, cell phone protection, travel and emergency assistance
- Purchase APR: 21.24%
- Rewards: None
- Upgrade Options: This card is eligible for upgrades to an unsecured credit card upon periodic review by Wells Fargo
This article originally appeared on UpturnCredit.com and was syndicated by MediaFeed.org.
Image Credit: Kristi Blokhin/shutterstock.
