Find a bank near you to get a secured card
If you are just starting out and have no credit history, or if you had trouble with credit in the past and now have a poor credit history, it is likely that you can still get a type of credit card called a “secured card.”
How they work
- Deposit money into an account with a bank nearby. The amount you deposit determines how much you can spend on your secured card. Usually you can spend half or all of your deposit each month.
- The money stays in your account as “security.” You make monthly payments toward any balance that you charge on your card, and if you don’t pay in full each month, you’ll be charged interest as well.
- If you get too far behind on your payments, the bank may close the card account and keep the money you left on deposit
- After 12 months of using the card responsibly and building up a good credit history, you may be able to get a regular credit card, and get back the security money you put in your account.
Where to get one
Contact your bank or other banks or compare secured cards at this site
to find the type of card for you. To improve your credit, look for a card company that will report your payments to the major credit bureaus. Remember that the fees and service charges for secured cards are often higher that the fees for regular, non-secured credit cards. But using a secured card is a great choice to build a credit history or get your credit history back on track!