Best Cards For Rebuilding Credit - Part 2
BankAmericard® SecuredRegular APR – 20.74%
Annual fee - $39
You can get a relatively high limit here ($300 - $4,900), and your security deposit might be returned to you after 12 months of timely payments if your score meets a required standard. You'll have free access to your FICO Score, updated monthly.
USAA Secured Card® Platinum Visa®Regular APR – 10.40%-20.40% (Variable)
Annual fee - $35
With the USAA Secured Card Platinum Visa, you can determine your limit – from $250 to $5,000. There are also no foreign transaction fees when you use it outside the United States. Your cash deposit also accrues interest. You can add to your deposit and request a limit increase, which will help your utilization ratio and build a better score faster. There's a range of special benefits for serving members of the armed forces.
Merrick Bank Secured Visa®Regular APR – 17.95%
Annual fee - $36 for the first year and then $3 a month after that Merrick Bank's Secured Visa has generous approval standards and lets you choose your limit, from $200 to $3,000. Your cash deposit is also FDIC insured but does not accrue interest.
OpenSky® Secured Visa®Regular APR – 17.89% (variable)
Annual fee - $35
You do not need to undergo a check to apply for this product, making it a great option for people with bad or absent histories. Your cash deposit can be anywhere from $200 to $3,000, and there's a chance you'll qualify for a limit increase of up to $5,000 at any time. The application process is quick and easy.
The Bottom LineA secured card is a great tool for getting your score back on track, but you'll have to use it wisely if you want to see results. You'll want to pay that monthly bill on time, every time, and keep your monthly bill under 30% of your credit limit. If you can keep that bill to less than 10% of your limit, your score will rise even faster. Putting down a larger deposit and getting a higher limit make that easier to do, so consider a larger deposit if you have access to a bit of cash.
Using your secured card wisely is not just a way to build a better score; it's also a way to build the good financial habits that will keep you out of trouble when you do get your hands on an unsecured card. Getting used to monitoring your use of your plastic, keeping your utilization ratio low, paying on time, and keeping track of your FICO Score is not just a way to get out of trouble, it's a start toward a lasting commitment to better money management!
Apply for the cards here:
Discover it® Secured
Wells Fargo Secured Visa®
Capital One® Secured MasterCard
primor® Secured Visa Gold
U.S. Bank Secured Visa®
USAA Secured Card® Platinum Visa®
OpenSky® Secured Visa®