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Credit score guides to obtain the best secured credit cards? You upgrade. As your credit moves from bad to average to good, you’ll be in a position to qualify for better cards: Some issuers automatically review your account for potential upgrade to an unsecured card. For example, Discover does this with the Discover it® Secured after eight months. Navy Federal Credit Union starts automatic reviews after six months when you have the Navy Federal Credit Union® nRewards® Secured Credit Card. When your issuer moves you to an unsecured card, you get your deposit back. With other issuers, you may have to specifically request an upgrade. That might mean converting your secured account to unsecured or closing your secured card and opening a new unsecured account. Either way, you get your deposit back.

Who should get this card? If you don’t have a bank account and/or your credit check would make a traditional credit card issuer avoid your calls, an OpenSky secured credit card may be just what you’re looking for. But there’s no reason for most people to pay the $35 annual fee. We caution most consumers to avoid paying such fees on secured cards, as there are plenty of annual-fee-free options for consumers with limited credit.

Like other secured credit cards for people building or rebuilding credit, the Discover it® Secured requires a cash security deposit. Unlike most others, it offers rewards. But what really makes it stand out from the competition is its upgrade possibilities. The issuer has a process in place for automatically reviewing accounts for possible transition to an unsecured card. The Capital One® Secured Mastercard® requires a security deposit, as do all secured credit cards. But while most cards require you to put down a deposit equal to your credit line, this one allows some qualifying applicants to get a $200 credit line with a deposit of $49 or $99. Further, if you make your first five payments on time, you might get access to a higher credit line with no additional deposit.

The ideal recipient of a secured credit card is someone who has never owned a credit card or any other type of credit account, such as a loan. Such prospective customers have what’s known as a “thin file”, with minimal data at credit bureaus about their payment activity, and so will especially benefit from the credit history a secured credit card will help to build. Those with poor or bad credit, because of irresponsible credit behavior in the past, can potentially gain the same advantage from a secured card. More even than credit newcomers, these customers’ actions—such as habitual late payments, credit defaults, and bankruptcy declarations—can make lenders apprehensive. And that can leave those consumers with few if any options to rebuild their credit other than a secured card.

No. The OpenSky card is one of the easiest secured credit cards to obtain, so you don’t need to worry about passing a credit check. If you’re looking for a good way to build your credit, then this card is ideal. Not only is there no credit check to obtain the card, but you also don’t have to have a credit score search recorded on your credit file. As searches alone can impact your credit score, this is of huge benefit. The minimum deposit is $200. The more you deposit, the higher your credit limit will be. Are There Any Additional Benefits? OpenSky report their accounts to all three major credit bureaus, so you can improve your credit score by using this card sensibly. OpenSky also provide credit and financial management tips to their customers. Discover extra details on found here.