The content on this page is accurate as of the posting date; however, some of the offers mentioned may have expired.

When you get a secured credit card, you must deposit a specific amount of money with the card issuer to open the credit account. This amount is called a security deposit and is used as collateral if you default on your credit card balance. The deposit typically determines the card's credit limit, though this can vary.

Minimum amounts of security deposits on a credit card typically start at around $200. Though, there are secured cards that require lower deposits. In addition to the minimum amount, secured credit cards can also indicate the maximum amount of security deposits. Some maximum deposit limits can be as high as $5,000.

The minimum deposit amount is required to open your credit account. If you want to increase your credit limit, you can increase the amount of the security deposit, up to the designated maximum deposit amount.

Some secured credit cards will allow you to choose the deposit amount within a specific range during the application process. Plus, many secured cards allow you to increase the security deposit later on, up to the maximum limit.

Be sure to thoroughly read the terms and conditions of the offer you apply for and contact the issuing bank with specific questions. Whatever the amount of your initial deposit, you should get it all back when you close your account (provided the deposit hasn't been used). You should make sure the deposit you make on your secured credit card is fully refundable.

tags : Secured Cards Security Deposit

Disclaimer: This editorial content is not provided or commissioned by the banks or credit card issuer(s). Opinions expressed here are the author's alone, not those of the banks or credit card issuer(s), and have not been reviewed, approved or otherwise endorsed by the banks or credit card issuer(s). Reasonable efforts are made to present accurate info, however all info is presented without warranty. Consult with the issuing bank of the card or account for terms & conditions.
All rates and fees, and other terms and conditions of the products mentioned in this article/post are accurate as of the last update date but are subject to change. See the current products' Terms & Conditions on the issuing banks' websites.