Compare it to the Secured Mastercard® from Capital One
If you’re looking to rebuild from bad credit, a good card for the job is the Secured Mastercard® from Capital One. As one might guess from the card’s name, the Secured Mastercard® from Capital One is a secured credit card. This means cardholders are required to put down a security deposit before getting the card. However, there is a $0 annual fee.
With most secured cards, the amount of the deposit becomes your credit limit — for example, a $200 deposit would equal a $200 credit limit. Where the Secured Mastercard® from Capital One stands out is that when you apply, Capital One will review your application and decide if your minimum deposit is $49, $99, or $200. You’ll get a credit limit of $200 in any case, no matter which deposit you’re qualified for.
If you don’t want to pay a deposit, the Indigo® Platinum Mastercard® might be a better choice. However, if you end up having to pay an annual fee for the Indigo® Platinum Mastercard®, it could end up being more expensive in the long run than making a one-time deposit on the Secured Mastercard® from Capital One. And if you don’t have enough for your deposit up front, the Secured Mastercard® from Capital One allows you to pay it over time, as long as you pay the full amount within 35 days of being approved. Note that all deposits must be at least $20 and in whole dollar increments.
For those who do have $200 available to deposit right away, another excellent secured card to look at is the Discover it® Secured Credit Card. It charges a $0 annual fee and earns 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.