Financial News

Best Secured Credit Cards of February 2025

10 February 2025

Rewards cards with cash-back bonuses and flashy perks are great — if you have good credit. But if you have a less-than-stellar credit score (or even no credit history), a secured credit card can still help with your cash flow while putting you on the path to a higher credit score.

To help you find the right secured credit card, we analyzed the benefits and requirements of these cards designed for anyone with low credit. (See our methodology for more information on how we choose the best cards.)

Best secured credit cards

Best for welcome bonus

On Discover’s secure site

Spotlight

The Discover it® Secured Credit Card requires a low minimum deposit starting at $200.

Discover will match all the cash back you’ve earned

Who’s this for: The Discover it® Secured Credit Card is a well-rounded secured card that offers many benefits typically found with unsecured cards, including a generous welcome bonus, cash-back rewards and no foreign transaction fees.

Standout benefits: You’ll earn 2% cash back at gas stations and restaurants on up to $1,000 in combined purchases each quarter, then 1%. Plus, you can earn unlimited 1% cash back on all other purchases.

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Best low deposit

Best for high credit limit

Platinum Secured Mastercard®

Information about the Platinum Secured Mastercard® has been collected independently by CNBC Select and has not been reviewed or provided by the issuer of the cards prior to publication.

Rewards

1 point per $1 spent on all purchases
Welcome bonus
Annual fee
Intro APR
Regular APR
Balance transfer fee
Foreign transaction fee
Credit needed

Pros

No annual fee
Low APR
Available if you have poor or limited credit

Cons

No rewards
No welcome bonus

Best for low interest

DCU Visa® Platinum Secured Credit Card

Information about the DCU Visa® Platinum Secured Credit Card has been collected independently by CNBC Select and has not been reviewed or provided by the issuer of the cards prior to publication.

Rewards
Welcome bonus
Annual fee
Intro APR
Regular APR

As low as 15.75% variable
Balance transfer fee
Foreign transaction fee
Credit needed

Pros

No annual fee
No foreign transaction fee

Cons

$500 minimum security deposit, which is higher than average
Credit union membership required, which may cost a minimum of $10 if you don’t qualify
No rewards program
No clear timeline to upgrade to an unsecured card

Who’s this for? The DCU Visa® Platinum Secured Credit Card offers one of the lowest interest rates for a no-annual-fee secured card, so it’s a great fit if you’re tired of paying a high APR.

Standout benefits: We don’t recommend carrying a balance month-to-month (especially when you’re trying to build or rebuild credit). However, this card has a $0 balance transfer fee, so you may be able to reduce what you pay in interest by transferring existing credit card debt.

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Best for cash back

U.S. Bank Cash+® Visa® Secured Card

Information about the U.S. Bank Cash+® Visa® Secured Card has been collected independently by Select and has not been reviewed or provided by the issuer of the card prior to publication.

Rewards

5% cash back on your first $2,000 in combined eligible purchases each quarter in two categories you choose, 5% cash back On prepaid air, hotel and car reservations booked directly in the Rewards Travel Center, 2% cash back on eligible purchases in your choice of one everyday category (like gas stations, grocery stores and restaurants) and 1% cash back on all other eligible purchases
Welcome bonus
Annual fee
Intro APR
Regular APR
Balance transfer fee

Either 3% of the amount of each transfer or $5 minimum, whichever is greater.
Foreign transaction fees
Credit needed

Pros

Incredibily high rewards rates for a secured credit card
No annual fee

Cons

Quarterly bonus spending categories are capped

Who’s this for? If you want to build credit while earning cash back, consider the U.S. Bank Cash+® Visa® Secured Card, which has flexible bonus spending categories.

Standout benefits: You can choose where you earn the most cash back, including categories such as TV, internet and streaming, home utilities, cell phone providers, fast food restaurants movie theaters and everyday spending like gas stations, grocery stores and restaurants.

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Best for traveling abroad

Savings Secured Platinum Rewards Credit Card

Information about the Savings Secured Platinum Rewards Credit Card has been collected independently by CNBC Select and has not been reviewed or provided by the issuer of the cards prior to publication.

Rewards

1 Flexpoint per $1 spent on all purchases
Welcome bonus
Annual fee
Intro APR
Regular APR
Balance transfer fee
Foreign transaction fee
Credit needed

Pros

No annual fee
No fee charged on purchases made outside the U.S.
Low variable APR

Cons

Credit union membership required, though it comes at no added cost
No clear timeline to upgrade to an unsecured card

Best for flat-rate rewards

Terms apply. Information about the Capital One Quicksilver Secured Credit Card has been collected independently by Select and has not been reviewed or provided by the issuer of the card prior to publication.

Discover it® Secured Credit Card

Best for welcome bonus

Rewards

2% cash back at gas stations and restaurants on up to $1,000 in combined purchases each quarter
1% cash back on all other purchases

Welcome bonus

Discover will match all the cash back you’ve earned at the end of your first year.

Annual fee

Notable perks

Many secured cards don’t typically offer rewards or a welcome bonus. However, for new Discover it® Secured Credit Card members, Discover will automatically match all the cash back you’ve earned at the end of your first year. So, if you earn $50 cash back at the end of the first year, Discover will give you an additional $50.

The card also requires a minimum $200 security deposit, which is fairly standard for secured credit cards. It stands out from the crowd because it gives users a clear path to upgrading to an unsecured card (and getting their deposit back).

Seven months after opening your account, Discover will automatically review it to see if it can transition you to an unsecured line of credit and return your deposit. This takes the guesswork out of wondering when you’ll qualify for an unsecured credit card.

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Capital One Platinum Secured Credit Card

Best for low deposit

Rewards

None

Welcome bonus

None

Annual fee

Notable perks

The Capital One Platinum Secured Credit Card has no annual fee and the minimum security deposit starts as low as $49, $99 or $200, based on your creditworthiness. Unlike other cards that require a deposit equal to your credit limit, the Capital One Platinum Secured Credit Card provides flexibility in the deposit amount needed to qualify for a $200 credit limit. Regardless of which deposit you qualify for, your initial credit limit is $200.

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Platinum Secured Mastercard® from First Tech Federal Credit Union

Best for high credit limit

Rewards

1X points on all purchases

Welcome bonus

None

Annual fee

Notable perks

The Platinum Secured Mastercard® from First Tech Federal Credit Union has a minimum deposit requirement of $500, which is higher than what other secured cards require. However, it offers credit limits as high as $25,000, but you’ll need to make a deposit equivalent to the line of credit you want.

This card also comes with many added benefits, including travel assistance services, travel accident insurance, baggage delay insurance, trip cancellation coverage, ID theft protection, auto rental collision damage waiver and purchase protection.

Because First Tech is also a credit union, you need to be a member to open this card. Anyone can join through affiliation with select organizations or employers, a relationship with a current member, work for the state of Oregon, live or work in Lane County, Oregon, or join the Community History Museum (CHM) or Financial Fitness Association (FFA).

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DCU Visa® Platinum Secured Credit Card

Best for low interest

Rewards

None

Welcome bonus

None

Annual fee

Notable perks

The DCU Visa® Platinum Secured Credit Card has a higher-than-average $500 minimum security deposit to open the card. However, it has a low APR and no annual fee, meaning if you carry a balance, you’ll pay less interest compared to other secured cards. You can also use additional perks, including travel insurance, identity theft protection and extended warranty protection.

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U.S. Bank Cash+® Visa® Secured Card

Best for cash back

Rewards

5% cash back on your first $2,000 in combined eligible purchases each quarter in two categories you choose
5% cash back on prepaid air, hotel and car reservations booked directly in the Rewards Travel Center
2% cash back on eligible purchases in your choice of one everyday category (like gas stations, grocery stores and restaurants)
1% cash back on all other eligible purchases

Welcome bonus

None

Annual fee

Notable perks

If you’re big on cash back, the U.S. Bank Cash+® Visa® Secured Card offers a valuable cash-back program. You can easily redeem your cash back rewards for things like a statement credit, direct deposit to your U.S. Bank checking, savings or money market account or a U.S. Bank rewards card (similar to a Visa gift card).

The minimum opening deposit is $300 and $5,000 which acts as your credit line. If you spend within your credit limit and pay your bill when it’s due, U.S. Bank could eventually upgrade you to the U.S. Bank Cash+® Visa Signature® Card. But unlike some other cards on this list, there’s no clear timeline. Once you’re upgraded, your security deposit will be returned.

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SDFCU Savings Secured Visa Platinum Card

Best for traveling abroad

Rewards

1X Flexpoints on all purchases

Welcome bonus

None

Annual fee

Notable perks

You can use the (SDFCU) Savings Secured Visa Platinum Card for everyday expenses, or travel purchases. With your points, you can redeem rewards in various ways, including travel, event tickets, merchandise, gift cards and charity donations. It also comes with Visa card benefits like roadside dispatch.

A credit union membership is required. You can join through the Department of State, an affiliation with select organizations, a relationship with a current member or by joining the American Consumer Council (ACC). Unlike some other credit unions on this list, there’s no cost to join the ACC.

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Capital One Quicksilver Secured Credit Card

Best for flat-rate rewards

Rewards

1.5% cash back on all purchases

Welcome bonus

None

Annual fee

Notable perks

The Capital One Quicksilver Secured Credit Card requires a minimum security deposit of $200. You can increase your credit limit with a larger deposit up to a maximum you’ll be assigned when approved. Your maximum credit limit ranges from $1,000 to $3,000.

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What is a secured credit card?

A secured credit card is a type of credit card that you “secure” with a cash deposit. The amount of this deposit usually (but not always) determines your card’s credit limit. It’s typically easier to get approved for a secured card than a traditional credit card, and making regular, on-time payments helps to build your credit.

If you want to raise your credit score but can’t qualify for a traditional credit card, a secured card has a cash security deposit that acts as collateral and typically determines your credit limit. It is easier to get approved for than a standard unsecured credit card, making it ideal for those aiming to improve their credit. While unsecured cards generally have more perks and a higher credit limit, secured cards offer a pathway to building or rebuilding credit and eventually graduating into an unsecured card.

Pros and cons of a secured card

Pros

Helps build or rebuild credit: Secured cards offer a pathway for those with little to no credit to build their credit and eventually transition to an unsecured card.
The deposit is refundable: You can get your deposit refunded after paying off your balance and closing your account or upgrading to an unsecured card.
Little qualification requirements: Secured cards are typically easier to qualify for because they’re designed to help those with little to no credit history build their credit.

Cons

Requires upfront cash deposit: Secured cards require you to put down your own money as collateral to reduce the lender’s risk.
High APR: Secured cards may come with a higher APR and fees than unsecured cards.
Low credit limit: The credit limit on a secured card is linked to the size of the deposit, which usually starts at $200.

What to look at when choosing a secured card

When you’re choosing a secured card, there are several factors you should consider:

Fees: Look out for annual fees, processing fees and any other charges associated with the card.
Interest rates: Check the annual percentage rate to understand how much you’ll be charged for carrying a balance.
Credit reporting: Ensure the card reports to major credit bureaus, as this helps with building your credit history.
Deposit requirements: Determine the minimum and maximum deposit amounts required, and whether it’s refundable.
Upgrade policy: Find out if the card offers a pathway to upgrade to an unsecured card after a certain period of responsible use.

Secured card alternatives for building credit

If a secured card is not right for you, you can still establish your credit by paying installment loans on time. If you have student loans, an auto loan or a mortgage already in your name, making on-time payments in full each month will significantly boost your credit over time.

If that’s not feasible, you can also improve your credit by using *Experian Boost® to earn credit for timely bill payments. This free feature lets you incorporate payments for phone, internet, cable, utility (gas, electricity, water) and streaming services like Netflix®, HBO™, Hulu™ and Disney+™ to your Experian credit report.

Experian Boost®

Cost
Average credit score increase

13 points, though results vary
Credit report affected
Credit scoring model used

Results will vary. See website for details.

FAQs

Does a secured credit card have an annual fee?

Some secured credit cards have an annual fee, but many do not. And none of the secured credit cards on CNBC Select’s best secured credit cards list have an annual fee. If a card you’re interested in charges an annual fee, you’ll want to be sure that the benefits outweigh the cost, which typically isn’t the case with secured cards. In general, as you’re working to rebuild your credit, you’ll probably be better off choosing a card with no annual fee.

What do I do with a secured credit card?

You can use a secured credit card for anything you would use a normal credit card for. Just make sure that you’re not spending more on the card than you can afford to pay off each month. The best thing you can do with a secured credit card is to use it as a tool to slowly rebuild your credit. Paying your balance in full and on time is one of the best ways to improve your credit score over the long haul.

What are the downsides to a secured credit card?

With a secured credit card, you’ll need to come up with a deposit and your credit limit usually matches your deposit amount. So what you can buy with a secured credit card is limited, but this can also be an advantage if you’re trying to reign in your spending. You also won’t have access to your deposit while the card is open.

If you need to carry a balance, a secured credit card isn’t the best option because the APRs are typically higher compared to traditional credit cards. But if you use a secured card to improve your credit score, you may eventually be able to qualify for more lucrative card offers or be able to take advantage of 0%-APR offers to save money.

What credit score is required for a secured credit card?

There is generally no credit score requirement to get a secured card.

How quickly will a secured card build credit?

A secured card can help you begin to build credit in as little as one month, though it generally takes at least six months to qualify for an unsecured card.

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Why trust CNBC Select?

At CNBC Select, our mission is to provide our readers with high-quality service journalism and comprehensive consumer advice so they can make informed decisions with their money. Every credit card story is based on rigorous reporting by our team of expert writers and editors with extensive knowledge of credit card products. While CNBC Select earns a commission from affiliate partners on many offers and links, we create all our content without input from our commercial team or any outside third parties, and we pride ourselves on our journalistic standards and ethics. See our methodology for more information on how we choose the best secured credit cards.

Our methodology

To determine which secured cards offer the best value for a range of consumers, CNBC Select analyzed the 22 most popular secured credit cards offered by the biggest banks, financial companies and credit unions that allow anyone to join.

We compared each card on a range of features, including annual fee, minimum security deposit, credit limit, rewards program, introductory and standard APR, welcome bonuses and foreign transaction fees, as well as factors such as required credit score and customer reviews when available. We also took into account how easy it is to upgrade the card from secured to unsecured and how quickly you can get your security deposit back.

Because it’s unusual for secured credit cards to have robust rewards programs, we did not analyze how many reward points you can earn in the first year. For cardholders who are looking to rebuild credit, it’s more important to practice good credit card habits — spending within your means and paying your balance on time and in full — than trying to optimize your points balance.

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For rates and fees of the Discover it® Secured Credit Card, click here.

*Results may vary. Some may not see improved scores or approval odds. Not all lenders use Experian credit files, and not all lenders use scores impacted by Experian Boost.

Information about the U.S. Bank Cash+® Visa Signature® Card has been collected independently by CNBC Select and has not been reviewed or provided by the issuer of the card prior to publication.

Editorial Note: Opinions, analyses, reviews or recommendations expressed in this article are those of the Select editorial staff’s alone, and have not been reviewed, approved or otherwise endorsed by any third party.