How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.If you’re looking for a credit card to help you improve your credit or build a new credit profile, the Capital One Platinum Secured Credit Card could be a good option.
One of the main benefits of this card is that it offers a potentially lower initial security deposit ($49, $99 or $200) than most secured credit cards. That’s a great feature, since you could end up with a credit limit that’s higher than your required deposit. Plus, Capital One will review your eligibility for an increased credit limit after six months of responsibly using the card, which is helpful when trying to build credit.
The main downside to this card, however, is that it doesn’t offer cash back rewards. If you’d rather earn cash back than qualify for a potentially lower security deposit, the Discover it® Secured Credit Card or Capital One Quicksilver Secured Cash Rewards Credit Card may be a better fit.
| Credit Cards | Our Ratings | Annual Fee | Rewards Rate | Minimum security deposit | |
|---|---|---|---|---|---|
Capital One Platinum Secured Credit Card
|
$0 | N/A | $49-$200 | ||
Discover it® Secured Credit Card
 Apply Now
on Discover's secure site Rates & Fees |
$0 | 1% - 2% cash back
| $200 |
Apply Now
on Discover's secure site Rates & Fees |
|
Capital One Quicksilver Secured Cash Rewards Credit Card
|
$0 | 1.5% - 5% Cash Back
| $200 | ||
OpenSky® Plus Secured Visa® Credit Card
Apply Now
on Capital Bank, N.A.'s secure site |
$0 | 10% cash back
Up to 10% cash back rewards
| $300 |
Apply Now
on Capital Bank, N.A.'s secure site |
Potential to get a larger credit limit than your initial deposit
Most secured credit cards require you to submit a security deposit that’s equal to your desired credit limit. For example, you may be required to submit a minimum security deposit of $200 to get a $200 line of credit. But the Capital One Platinum Secured Credit Card offers the rare opportunity to qualify for an initial $200 line of credit for just a $49, $99 or $200 deposit.
Note that you have to apply and be approved before your minimum deposit is determined, and you’re not guaranteed to get one of the lower deposits. Still, this is a unique feature that gives you the chance to pay less than $200 to secure a credit line.
Opportunity for a credit line increase
Capital One will automatically review your account for a higher credit line in as little as six months. Since the minimum credit limit is only $200, a credit limit increase offers you more flexibility — and can help lower your credit utilization ratio, which can help increase your credit score over time.
Chance to upgrade to an unsecured card
If you use the Capital One Platinum Secured Credit Card responsibly, your card may be upgraded to the Capital One Platinum Credit Card. The terms and features will be the same as the secured version, except your credit limit will no longer be tied to a security deposit.
Deposit is refundable
Like most secured cards, you can get your security deposit back if your balance is paid in full and you close your account — as long as your account is in good standing. Plus, Capital One may also review your account for on-time payments and decide that you’re eligible to upgrade to an unsecured card and have your deposit refunded. However, be aware that there’s no set time frame for that review.
$0 annual fee
Another great reason to apply for the Capital One Platinum Secured Credit Card is that it charges a $0 annual fee (see rates & fees). Credit cards for people with bad credit can charge expensive fees, like maintenance and annual fees. These can add up to $100 or more — which is high, especially for cards that don’t earn attractive rewards and sign-up bonuses. Plus, these cards typically require you to close the card when you’re done with it, which hurts your credit score.
Lower deposit not guaranteed
If you’re approved for the Capital One Platinum Secured Credit Card, the issuer will set your minimum deposit at $49, $99 or $200. That means you may have to deposit the full $200 to get the card with an initial line of credit of $200.
Credit limit is low
With an initial $200 credit limit, you won’t be able to use this card for large purchases. You do have the option of depositing more money to boost your credit line — up to a maximum credit limit of $1,000. But since you should keep your balance low for maximum credit score improvement, we recommend only using this card for small recurring purchases that you pay off in full by the due date each month.
High interest rate
This card has a 29.74% (Variable) APR. While that’s in line with many secured cards, it’s still high. To avoid incurring interest charges — which can quickly add up — be sure to pay your balance off in full each month.
No rewards program
The Capital One Platinum Secured Credit Card doesn’t offer cash back rewards. And while many secured credit cards don’t, there are a few that do. For example, the Discover it® Secured Credit Card lets cardholders earn 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.
Another secured credit card that offers cash back is the Capital One Quicksilver Secured Cash Rewards Credit Card, which earns 1.5% Cash Back on every purchase, every day; 5% Cash Back on hotels and rental cars booked through Capital One Travel (terms apply).
The Discover it® Secured Credit Card also offers the opportunity to get a higher credit line than the Capital One Platinum Secured Credit Card, ranging from $200 to $2,500 based on the amount of your security deposit.
At seven months, Discover also conducts monthly reviews of your account to see if you’re eligible to transition to an unsecured card and get your security deposit refunded.
If you use the card responsibly, you can eventually graduate to the unsecured version of the card, the Capital One Quicksilver Cash Rewards Credit Card, which has a $0 annual fee and also earns cash back (see rates & fees).
Like the Capital One Platinum Secured Credit Card, it has a $0 annual fee (see rates & fees), and you can receive credit line reviews every six months. However, the minimum security deposit is $300 — and there’s also a minimum monthly payment of $25. So you may have to pay more upfront than you would with the Capital One Platinum Secured Credit Card.
Like the Capital One Platinum Secured Credit Card, the OpenSky® Plus Secured Visa® Credit Card lets you upgrade to an unsecured credit card. You can qualify for the OpenSky Visa® Gold Card after six months of responsible credit card usage — and it also doesn’t require a credit check.
The Capital One Platinum Secured Credit Card may be a great fit if you want to build your credit and are looking for a potentially lower security deposit than the typical $200. But if you don’t mind a $200 security deposit, the Discover it® Secured Credit Card might be a better card for you, since it lets you earn cash back.
And if you’re concerned that something in your credit history might prevent you from being qualified for either of these secured cards, you might want to look at the OpenSky® Plus Secured Visa® Credit Card. It’s also a secured card — but unlike the two previously mentioned cards, it doesn’t require a credit check when you apply (you will need to enter financial information, like your annual income and monthly housing payment). However, the downside is it has a higher minimum deposit requirement of $300.
We use calculations to estimate the value of each card for the average cardholder, based on LendingTree and U.S. Bureau of Labor Statistics data.
For Capital One products listed on this page, some of the benefits may be provided by Visa® or Mastercard® and may vary by product. See the respective Guide to Benefits for details, as terms and exclusions apply
The information related to the OpenSky Visa® Gold Card has been independently collected by LendingTree and has not been reviewed or provided by the issuer of this card prior to publication. Terms apply.
The content above is not provided by any issuer. Any opinions expressed are those of LendingTree alone and have not been reviewed, approved, or otherwise endorsed by any issuer. The offers and/or promotions mentioned above may have changed, expired, or are no longer available. Check the issuer's website for more details.
