Best Secured Credit Cards of January 2022

Many secured cards lack rewards, but the Discover it® Secured Credit Card offers a cashback program: 2% cash back at gas stations and restaurants on up to $1,000 in combined purchases each quarter, 1% unlimited cash back on all other purchases - automatically.

There’s also a sign-up bonus for new cardmembers: Unlimited Cashback Match – only from Discover. Discover will automatically match all the cash back you’ve earned at the end of your first year! There’s no minimum spending or maximum rewards. Just a dollar-for-dollar match.

Finally, Discover starts monthly reviews after seven months to see if you qualify to graduate to an unsecured card and have your security deposit refunded. Note that Discover considers your behavior across all your credit accounts in these reviews, not just accounts with Discover.

The annual fee is $0 and the deposit can range from $200 to $2,500.

The Discover it® Secured Credit Card is designed for people with limited/bad/poor credit who want a card that earns rewards and offers a set time frame for when the issuer considers upgrading you to an unsecured card, allowing you to get your deposit refunded.

This is an all-around great card to build credit. Its only drawback is a high 22.99% Variable APR. However, that’s in line with other cards for applicants with limited/bad/poor credit. By paying off your card in full each month, you can generally avoid interest charges.

• Free FICO Score access.
• Free monitoring of the dark web for your Social Security number (once you opt in).
• Foreign transaction fee of none.
• The ability to freeze and unfreeze your card online.

Most secured cards require a security deposit in the amount of your credit limit – in other words, for a $200 credit limit, submit a $200 deposit. The Capital One Platinum Secured Credit Card is unique in that when you apply, Capital One will set your minimum deposit at either $49, $99 or $200. In any case, you’ll get a starting credit limit of $200. This feature could help if you don’t have $200 easily available.

Be aware the lower deposit amounts of $49 and $99 aren’t guaranteed. Also, the Capital One Platinum Secured Credit Card comes with a high 26.99% (variable) APR.

The card’s annual fee is $0 and the maximum deposit is $1,000. A nice feature is that you may be considered for a higher credit limit in as little as six months.

The Capital One Platinum Secured Credit Card  is best for consumers looking for an opportunity to rebuild their credit with a secured card, but who want to see if they can qualify for a security deposit lower than the standard $200. While there is no guarantee you’ll be approved for a lower deposit, if you do qualify, you’ll still be granted a $200 credit limit.

Capital One also allows your deposit to be paid over time, as long as you pay the full amount within 35 days of being approved (each payment must be at least $20 and must be in whole dollar increments).

Finally, the issuer may also review your account for on-time payments and decide you’re eligible to upgrade to an unsecured card and have your deposit refunded. However, there’s no set time frame for that review.

• Foreign transaction fee of none.
• Access your credit score with CreditWise®.
• Lock and unlock your card in the Capital One mobile app.

It’s not unusual for secured cards to have interest rates above 20%. However, the DCU Visa® Platinum Secured Credit Card has a reasonable 11.50% variable* APR. We recommend paying your card off in full each month to avoid incurring interest charges, but if you must carry a balance, a card with a lower APR can help you save money. Plus, the card charges a $0 annual fee.

Note that the DCU Visa® Platinum Secured Credit Card‘s minimum security deposit is a bit high at $500 compared to other secured cards that require a $200 minimum deposits.

The DCU Visa® Platinum Secured Credit Card is best for people who might need to carry a balance sometimes and who are willing to join a credit union to get a card with a low interest rate.

You’ll need to join Digital Federal Credit Union to get this card. There are numerous ways to qualify for membership, including being a relative of a member, being employed by or retired from a participating employer, being a member of a partner organization or based on where you live, work, worship or go to school. You’ll also need to have a savings account with DCU, which requires at least $5 to open.

• Foreign transaction fee of $0.
• Works with Apple Pay®, Google Pay™ and Samsung® Pay.

Many of the cards on this list offers rewards for specific spending categories. The Capital One Quicksilver Secured Cash Rewards Credit Card, by contrast, earns 1.5% cash back on every purchase, every day.

There is a $0 annual fee to carry the card, and a foreign exchange fee of none. The minimum deposit is $200, and the maximum deposit will range from $1,000 to $3,000 based on your creditworthiness.

However, be aware of the high 26.99% (variable) APR. You won’t want to carry a balance on this card.

The Capital One Quicksilver Secured Cash Rewards Credit Card is ideal for consumers with limited/bad credit who want an opportunity to improve their credit while also earning a flat-rate cash back on every purchase. This card offers flexible redemption options, and cash back can be used for statement credits, checks, to cover a recent purchase or to get gift cards for a variety of retailers.

Plus, Capital One allows the chance for cardholders to earn their deposit back by demonstrating responsible behavior (though there’s no timeline specified). If you earn your deposit back, you’ll graduate to an unsecured card — the other features and terms of your account will remain unchanged.

• Access your credit score with CreditWise®.
• Lock and unlock your card in the Capital One mobile app.
• Virtual card numbers for safer online shopping.

With the U.S. Bank Cash+ Visa Secured Card, you’ll earn 5% cash back on up to $2,000 in purchases per quarter in the two categories of your choosing, 2% cash back on purchases in one everyday category of your choice, 1% back on other purchases. If you max out the cap, that’s $100 cash back at the 5% rate.

After hitting the spending cap, your earning rate will drop to 1% for purchases in the 5% categories until the next quarter. Your 2% category does not have such a cap, however.

You must enroll in your cashback categories quarterly, and cash back does expire at the end of the calendar month 36 months after the billing cycle in which the rewards were earned.

The minimum security deposit is $300 (with a maximum deposit amount of $5,000).

There is a $0 annual fee to carry the card, but take note that there is a 3% foreign transaction fee.

Not too long ago, earning 5% cash back with a secured credit card would have been unheard of. Now, with the U.S. Bank Cash+ Visa Secured Card, cardholders have the opportunity to build credit and earn rewards at a generous rate typically reserved for unsecured cards. Options for the 5% category include:

• TV, internet and streaming services
• Fast food
• Cellphone providers
• Department stores
• Home utilities
• Select clothing stores
• Electronics stores
• Sporting goods stores
• Movie theaters
• Gyms/fitness centers
• Furniture stores
• Ground transportation

• Pay with a tap wherever contactless payments are accepted.
• Choose your payment due date.

Cardholders with the U.S. Bank Altitude Go Visa Secured Card earn a stellar rate of 4X points on dining and takeout, 2X at grocery stores, gas stations and on streaming services, 1X on all other purchases.

Points are valued at 1 cent each with this card, meaning you’re effectively earning 4% back on dining.

The security deposit can range from $300 to $5,000, and the card’s annual fee is $0.

And with a $0 foreign transaction fee, this is a fine card to take if traveling abroad.

Beware the APR is a high 25.99% variable, so you’ll want to avoid carrying a balance month to month.

If you want to build credit and indulge your inner foodie at the same time, it’s hard to find a better card than the U.S. Bank Altitude Go Visa Secured Card. Plus, the card offers a $15 annual streaming credit. After making 11 consecutive calendar months of eligible streaming purchases — such as Apple Music, Hulu and Netflix — a statement credit will automatically be applied to your account within two billing cycles.

• Pay with a tap wherever contactless payments are accepted.
• Choose your payment due date.

The Bank of America® Customized Cash Rewards Secured Credit Card offers unparalleled flexibility.

With this $0-annual-fee card, you’ll earn 3% cash back in the category of your choice, 2% cash back at grocery stores and wholesale clubs (for the first $2,500 in combined choice category/grocery store/wholesale club quarterly purchases), 1% cash back on all other purchases.

If you max out the $2,500 spending cap all on purchases eligible for 3%, that’s $75 in cash back per quarter.

The minimum security deposit is $300, while the maximum amount is $4,900.

Bank of America will periodically review your account to see whether you qualify to get your deposit refunded (based on your overall credit history, not just your usage of this card). However, there’s no set time frame for when this might happen, and not all customers will qualify.

Beware of the card’s 23.99% variable APR and 3% foreign transaction fee.

For consumers who want to build credit and take advantage of a flexible cashback program, the Bank of America® Customized Cash Rewards Secured Credit Card stands out. You can change your 3% category as frequently as every month, and can choose from the following options:

• Gas
• Online shopping
• Dining
• Travel
• Drugstores
• Home improvements and furnishings

• Free access to your FICO Score when you opt in.
• Use your card with Apple Pay®, Google Pay™ or Samsung Pay digital wallets.
• Pay with a tap wherever contactless payments are accepted.

The OpenSky® Secured Visa® Credit Card is aimed at applicants with limited/bad/poor credit, and unlike most credit cards, doesn’t require a credit check when you apply. If you worry that something in your credit history might prevent you from being approved, this could be the card for you.

Note that you’ll still have to submit financial information when you apply, such as your annual income and your monthly housing payment.

The card’s deposit can range from $200 to $3,000. The interest rate is a reasonable 17.39% (variable) APR.

There’s a $35 annual fee for the OpenSky® Secured Visa® Credit Card. Know that there are competing secured cards available with no annual fee.

Also, there’s a foreign transaction fee of 3% of each Transaction in U.S. dollars, and there’s no opportunity to graduate to an unsecured version of the card.

The OpenSky® Secured Visa® Credit Card is designed for those who want to build or rebuild their credit profile with a secured card, but don’t want to undergo a credit check. When you apply for any type of credit, the issuer typically conducts a hard pull of your credit report to determine your creditworthiness. Each hard pull can ding your score a few points and stays on your credit report for two years, although its negative impact only lasts a year. If you don’t have a credit history at all or if you want to avoid that hard pull, the OpenSky® Secured Visa® Credit Card can be a good option.

• Pay your deposit with a debit card, through Western Union, or by mailing in a check or money order.

When applying for a credit card, including secured cards, you will typically be ask for your Social Security number (SSN). That can make things difficult if you’re a recent immigrant to the United States and don’t yet have an SSN. But the Secured Sable ONE Credit Card allows non-U.S. citizens to apply with a passport and a U.S. Visa.

Plus, unlike most secured cards, the Secured Sable ONE Credit Card doesn’t have a minimum required deposit. Cardholders are allowed to set their own deposit, with the maximum being $10,000.

The annual fee is $0 and the foreign transaction fee is none. And the APR is reasonable at Prime + 6.99%.

Finally, you’ll earn rewards with this card too: 2% cash back on everyday purchases at Amazon, Uber, Uber Eats, Whole Foods, Netflix, Spotify, and more! Plus, earn 1% cash back on all other purchases.

Because this card makes it easy for non-U.S. citizens to apply, it’s a good choice if you’ve moved to the country for work or school. Plus, it’s also a good choice if your credit score isn’t great and you’re worried you might be declined for other cards — it requires no credit check to apply.

However, be aware that you must open a Sable bank account to make the security deposit for the Secured Sable ONE Credit Card. That might not be a bad thing if you like Sable’s emphasis on its mobile app and need a way to manage your money, but could be a drawback if you already have a bank account and were hoping to submit your security deposit from your existing bank.

• Cellphone insurance
• Car rental insurance
• New purchase insurance
• Price protection
• Extended warranty
• Satisfaction guarantee for most purchases
• Travel assistance

Most business credit cards require good or excellent credit, but the Wells Fargo Business Secured Credit Card is available to applicants with poor or fair credit. It also earns rewards: earn 1.5% cash back on every $1 spent or earn 1 point on every $1 spent and receive 1,000 bonus points when your company spend is $1,000 or more in any monthly billing period.

The card’s APR is prime + 11.90% on purchases. Your deposit (and your credit limit) can range from $500 to $25,000. There’s an annual fee of $0 (you can have up to 10 employee cards).

Wells Fargo will periodically review your account and recent credit history to see if you’re eligible to be upgraded to an unsecured business card and get your deposit back. However, note that upgrades are not guaranteed, and there’s no set time frame for when that transition might happen.

If you’re a small business owner, the right business credit card can help you earn rewards, track spending and build business credit. But if you’ve got a less-than-stellar credit history, it can be hard to find a business card you’ll get approved for.

That’s where the Wells Fargo Business Secured Credit Card can help. It’s a secured card, meaning you have to submit a deposit for the amount you want for your credit line. And the card offers the option to earn either cash back or rewards points.

Wells Fargo will report payment and usage behavior on this card to the Small Business Financial Exchange. However, be aware that this card won’t help you build personal credit history, as its usage is not reported to the three main consumer credit bureaus (Equifax, Experian and TransUnion).

• Foreign transaction fee of $0.
• Chance to upgrade to an unsecured business card.