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The 7 best secured and credit-building cards

A secured card is the most reliable way to build a credit file from nothing, or rebuild one after a rough patch. You put down a refundable deposit, the issuer reports your payments, and your history starts over on solid ground.

Last reviewed: · Reviewed by the TheSavvyAmericans editorial team

Important: Secured cards are a credit-building tool, not a source of cheap borrowing. Deposits, fees, credit limits and graduation policies are set by the issuer and change, so verify current terms before applying. Avoid any card that charges large upfront processing or program fees against your credit line, and never pay a third party to "guarantee" approval. If a card does not report to all three bureaus, it will not build your credit file.

Key takeaways

  • 1A secured card works like any other credit card, except you fund a refundable security deposit that usually sets your credit limit. The deposit is not a fee, and you get it back when you close the account in good standing or graduate to an unsecured card.
  • 2Our top pick is the Discover it Secured, because it earns cash back, charges no annual fee, and reviews accounts for graduation to an unsecured card. Most secured cards do none of those three things.
  • 3The only feature that truly matters is that the issuer reports to all three credit bureaus. A card that does not report builds nothing, no matter how good it looks otherwise.
  • 4Use it small and pay it in full. Charging a little each month and clearing the statement builds history without interest, and keeping your reported balance low against the limit protects your utilization ratio.
Advertising disclosure: TheSavvyAmericans may receive compensation when you apply for or open a product through links on this page. This does not influence our editorial evaluations. Products are reviewed using a documented methodology. Learn how we make money.

The 7 best secured and credit-building cards

We compared secured and credit-building cards on the deposit required, the fees charged, whether the issuer reports to all three national bureaus, whether there is a real path to an unsecured card, and whether the card earns anything while you build. We do not print deposit minimums, APRs or fee amounts because issuers revise them; verify current terms on the issuer's page.

Secured and credit-building cards compared at a glance
#ServiceBest forRatingDeposit requiredAnnual feeGraduation path
1Discover it Secured Credit CardBest overall secured card4.8 / 5Yes, refundableNone (verify current)Yes, automatic reviews
2Capital One Platinum Secured Credit CardBest for a small deposit4.5 / 5Yes, refundableNone (verify current)Yes, line reviews
3Capital One Quicksilver Secured Cash RewardsBest secured card with flat cash back4.4 / 5Yes, refundableNone (verify current)Yes, line reviews
4Bank of America Customized Cash Rewards SecuredBest for choosing your bonus category4.2 / 5Yes, refundableNone (verify current)Yes, periodic reviews
5Chime Credit Builder Secured VisaBest without a credit check4.1 / 5Yes, you set the amountNone (verify current)Not applicable
6Citi Secured MastercardBest straightforward secured card4.0 / 5Yes, refundableNone (verify current)Case by case
7OpenSky Secured Visa Credit CardBest for difficult credit histories3.8 / 5Yes, refundableYes (verify current)Limited
#1Rank
Editor's ChoiceBest overall secured card

Discover it Secured Credit Card

4.8 / 5

The Discover it Secured is unusual because it behaves like a normal rewards card while it does the credit-building work. It earns cash back on gas stations and restaurants up to a quarterly cap plus a base rate on everything else, matches your first-year cash back, charges no annual fee, and Discover reviews accounts for a return of the deposit.

Pros

  • Earns cash back, rare for a secured card
  • First-year cash-back match
  • No annual fee
  • Automatic account reviews for graduation

Cons

  • Requires a refundable security deposit up front
  • Discover acceptance abroad is narrower than Visa or Mastercard
  • Bonus earning is capped quarterly
Deposit required
Yes, refundable
Annual fee
None (verify current)
Graduation path
Yes, automatic reviews
Bureau reporting
All three
Visit Discover

Official site opens in a new tab

#2Rank
Best low depositBest for a small deposit

Capital One Platinum Secured Credit Card

4.5 / 5

Capital One is one of the few issuers that may approve a credit line larger than the deposit you put down, which makes this the most accessible card here for someone who cannot tie up much cash. There is no annual fee, and the account is reviewed for a credit-line increase.

Pros

  • Deposit can be smaller than the credit line for some applicants
  • No annual fee
  • Automatic credit-line reviews
  • Reports to all three bureaus

Cons

  • Earns no rewards
  • Ongoing APR is high if you carry a balance
  • Deposit terms depend on your credit profile
Deposit required
Yes, refundable
Annual fee
None (verify current)
Graduation path
Yes, line reviews
Bureau reporting
All three
Visit Capital One

Official site opens in a new tab

#3Rank
Best flat rewardsBest secured card with flat cash back

Capital One Quicksilver Secured Cash Rewards

4.4 / 5

Quicksilver Secured pays a flat cash-back rate on every purchase with no annual fee, which means you are not choosing between building credit and earning rewards. It is a good fit if you want the simplest possible card while your file matures.

Pros

  • Flat cash back on all purchases
  • No annual fee
  • No foreign transaction fee
  • Automatic account reviews

Cons

  • Requires a refundable deposit
  • Rewards rate trails unsecured flat-rate cards
  • High ongoing APR
Deposit required
Yes, refundable
Annual fee
None (verify current)
Graduation path
Yes, line reviews
Bureau reporting
All three
Visit Capital One

Official site opens in a new tab

#4Rank
Best category rewardsBest for choosing your bonus category

Bank of America Customized Cash Rewards Secured

4.2 / 5

The secured version of Bank of America's Customized Cash Rewards card lets you pick a bonus category and adds an automatic bonus at grocery stores and wholesale clubs, with no annual fee and periodic reviews for returning the deposit.

Pros

  • Choose your own bonus category
  • Extra earning at grocery stores and wholesale clubs
  • No annual fee
  • Periodic reviews to return the deposit

Cons

  • Bonus earning is capped per quarter
  • Deposit required up front
  • Charges a foreign transaction fee
Deposit required
Yes, refundable
Annual fee
None (verify current)
Graduation path
Yes, periodic reviews
Bureau reporting
All three
Visit Bank of America

Official site opens in a new tab

#5Rank
No credit checkBest without a credit check

Chime Credit Builder Secured Visa

4.1 / 5

Chime's Credit Builder is structured differently from a traditional secured card: you move money into a secured account and spend from it, so there is no interest and no minimum security deposit. It suits someone who wants to build history without any risk of running up a balance.

Pros

  • No credit check to apply
  • No annual fee and no interest
  • No minimum security deposit
  • Reports to all three bureaus

Cons

  • Requires a Chime checking account and qualifying direct deposit
  • Your limit is whatever you move into the account
  • No rewards program on the core card
Deposit required
Yes, you set the amount
Annual fee
None (verify current)
Graduation path
Not applicable
Bureau reporting
All three
Visit Chime

Official site opens in a new tab

#6Rank
Best plain optionBest straightforward secured card

Citi Secured Mastercard

4.0 / 5

A plain secured card from a major issuer: a refundable deposit, no annual fee, no rewards and reporting to all three bureaus. It does the one job a secured card exists to do, without extras or complications.

Pros

  • No annual fee
  • Reports to all three bureaus
  • Backed by a major national issuer
  • Free FICO score access

Cons

  • No rewards at all
  • No formal automatic graduation program
  • Deposit is held for the life of the secured account
Deposit required
Yes, refundable
Annual fee
None (verify current)
Graduation path
Case by case
Bureau reporting
All three
Visit Citi

Official site opens in a new tab

#7Rank
Widest approvalBest for difficult credit histories

OpenSky Secured Visa Credit Card

3.8 / 5

OpenSky requires no credit check and no bank account to apply, which makes it a genuine last-resort option when other issuers decline. The trade-off is an annual fee and no rewards, so treat it as a stepping stone rather than a keeper.

Pros

  • No credit check to apply
  • No checking account required
  • Reports to all three bureaus
  • Deposit sets your credit line

Cons

  • Charges an annual fee
  • No rewards
  • No automatic graduation to an unsecured card
Deposit required
Yes, refundable
Annual fee
Yes (verify current)
Graduation path
Limited
Bureau reporting
All three
Visit OpenSky

Official site opens in a new tab

Ratings are TheSavvyAmericans editorial scores based on the criteria in the methodology section below, not user reviews or paid placements. Features and pricing change often, so confirm the current details on each provider’s official site before you sign up.

How we picked and scored these cards

We rank independently, and compensation does not set the order. Credit-building cards are where the worst products in the industry hide, so our scoring leans heavily on cost and on whether the card actually builds anything.

  • Bureau reporting: we only include cards that report to all three national bureaus, because a card that does not report builds no history.
  • Cost to hold: annual fees, monthly fees and any processing charges taken out of the credit line.
  • Deposit terms: how much you must tie up, and whether the issuer offers flexibility.
  • Graduation path: whether there is a documented route to an unsecured card and a returned deposit.
  • Rewards and extras: whether the card earns anything or provides free score access while you build.

Good to know: Ratings are our editorial assessments, not user reviews. Deposit minimums, fees and APRs change and vary by applicant, so verify the current terms on the issuer's application page.

How a secured card builds your credit

A secured card is a normal credit card with training wheels bolted on. You send the issuer a refundable security deposit, which usually becomes your credit limit, and that deposit lowers the issuer's risk enough that they will approve you without an established history. From there it behaves like any other card: you spend, you get a statement, you pay it, and the issuer reports the account to the credit bureaus every month.

That monthly report is the entire point. Payment history is the heaviest factor in a FICO score, and you cannot build a payment history without an account that reports one. Six to twelve months of on-time payments on a small secured line is usually enough to produce a usable score, and it is the fastest legitimate route from no credit file to one that lenders will price.

Good to know: Your deposit is not a payment toward your balance. It sits with the issuer as collateral, and you still owe your statement balance every month. The deposit comes back when you close the account in good standing or the issuer graduates you to an unsecured card.

How to use a secured card well

  1. 1Put one small recurring charge on the card, such as a streaming subscription, and leave everything else off it.
  2. 2Set up autopay for the full statement balance, so you never carry interest and never miss a due date.
  3. 3Keep your reported balance low relative to your limit. On a small limit, even modest spending can look like heavy utilization.
  4. 4Do not apply for other credit for the first six to twelve months. Let the account age quietly.
  5. 5After about a year of clean payments, ask about graduating to an unsecured card or getting your deposit returned.

What you should not do is close the account the moment you graduate. Age of credit history is a scoring factor, and your first card is usually your oldest account, which makes it worth keeping open with a small recurring charge long after you have better cards.

Good to know: Warning signs of a predatory credit-building product: large upfront program or processing fees deducted from your credit line, monthly maintenance fees on top of an annual fee, a promise of "guaranteed approval" for a fee, or any product that will not tell you plainly which bureaus it reports to. Walk away from all of these.

Frequently asked questions

How long does it take to build credit with a secured card?
Most people see a usable score within about six months of on-time payments, since scoring models generally need a few months of reported activity before they can generate a FICO score at all. Meaningful improvement in that score usually takes twelve months or more of consistent, low-utilization use.
Do I get my security deposit back?
Yes, assuming the account is in good standing. The deposit is refundable and comes back when you close the account with a zero balance, or when the issuer graduates you to an unsecured card. It is collateral held by the issuer, not a fee and not a payment toward your balance.
Is a secured card better than a credit-builder loan?
They build credit differently and work well together. A secured card creates revolving-account history and teaches the habit of paying a statement; a credit-builder loan adds installment history and forces saving. If you can only do one, a secured card is usually the more practical choice, because you can use it for everyday spending.
Will a secured card show up as "secured" on my credit report?
Generally no. Most issuers report secured cards the same way they report any other revolving credit account, so future lenders see a card with a limit and a payment history rather than a label. That is exactly why the strategy works.

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