Yes, Wells Fargo offers a secured credit card called the Wells Fargo Secured Credit Card

Wells Fargo's secured card is designed for people building or rebuilding credit. You put down a cash deposit, which becomes your credit limit, and then use the card like any other credit card. The bank reports your payments to the three major credit bureaus — Equifax, Experian, and TransUnion — so responsible use shows up on your credit report.

The card itself is a Visa, so it works anywhere Visa is accepted. There is no annual fee, which matters because you are already putting money down as collateral. The interest rate (called the APR, or annual percentage rate) varies based on your creditworthiness at the time you open the account, but Wells Fargo typically offers rates in the range of 18% to 24% for secured cards. Your actual rate depends on what Wells Fargo sees in your credit report and financial history.

Key Takeaways

  • Wells Fargo's secured card requires a cash deposit between $500 and $25,000, which becomes your spending limit.
  • There is no annual fee, and the card reports to all three credit bureaus each month, building your credit history as you pay on time.
  • After 18 months of on-time payments, you may be considered for conversion to an unsecured card, at which point Wells Fargo returns your deposit.
  • The interest rate you receive depends on your credit profile at the time you open the account and can range significantly.
  • You can increase your credit limit by adding more money to your deposit, but this is optional and not required.

How the deposit works and what it protects

Your deposit is held in a separate savings account at Wells Fargo. It is not used to pay your bill — you still make monthly payments from your checking account or through automatic payments, just like with a regular credit card. The deposit sits there as collateral, which is why Wells Fargo can offer this card to people with limited or damaged credit history.

If you stop paying your bill, Wells Fargo can apply your deposit to cover what you owe. However, the deposit is not automatically used. You have to actually miss payments before that happens. The point of the deposit is to reduce Wells Fargo's risk, not to replace your responsibility to pay the bill each month.

You can increase your deposit at any time. If you started with $500 and want a $1,000 limit instead, you can add $500 more. Wells Fargo will increase your credit limit to match the new total deposit amount. This is useful if you need more spending room as your financial situation improves.

Building credit and moving to an unsecured card

The reason to use this card is to build a positive credit history. Every month, Wells Fargo reports your payment status to Equifax, Experian, and TransUnion. If you pay on time and keep your balance low, those bureaus record responsible behavior. Over time, this record helps your credit score rise.

After 18 months of on-time payments, Wells Fargo may offer to convert your secured card to a regular unsecured card. This means you no longer need the deposit — Wells Fargo returns it to you, usually within 5 to 7 business days. You keep the card and the account history, which continues to help your credit score. Not everyone is converted after exactly 18 months; Wells Fargo looks at your full payment history and current credit profile to decide.

Conversion is not automatic. You do not have to do anything to be considered, but Wells Fargo reviews your account periodically. If you have missed payments or carried very high balances, conversion may take longer or may not happen at all. The best way to improve your chances is to pay your full statement balance on time every month.

Fees, interest, and what it costs to use

Wells Fargo charges no annual fee for this card. That is a real advantage over some competitors' secured cards, which charge $25 to $95 per year.

You will pay interest if you carry a balance from month to month. The APR varies, but expect somewhere between 18% and 24%. If your credit score is very low, you may land on the higher end. As your credit improves, you can sometimes request a rate reduction, though Wells Fargo does not may provide this.

There are no other regular fees built into the card. You will not be charged for late payments unless you actually make a late payment, in which case Wells Fargo charges a late fee (typically $25 to $35 for the first offense). Foreign transaction fees apply if you use the card outside the United States — currently 3% of the transaction amount.

How to open the account and what you need

You can open a Wells Fargo secured card online, by phone, or in person at a Wells Fargo branch. Online is usually fastest. You will need a Social Security number, a government-issued ID, your date of birth, and proof of income or employment. Wells Fargo will also check your credit report, which is called a hard inquiry and may lower your credit score slightly (usually by a few points).

You must be at least 18 years old and a U.S. citizen or permanent resident. If you already have a Wells Fargo checking or savings account, the process is faster because the bank already has some of your information on file.

Once approved, you choose your deposit amount ($500 to $25,000) and fund it. Wells Fargo typically issues your card within 7 to 10 business days. You can use it as soon as it arrives.

When a secured card makes sense versus other options

A secured card is useful if your credit score is very low (below 580) or if you have no credit history at all. It is also a good choice if you were denied for regular credit cards and need a way to start rebuilding. The fact that there is no annual fee and Wells Fargo is a large, stable bank makes this a reasonable option in that situation.

However, a secured card is not the only path. If you have a small amount of credit history or a score above 600, you might be approved for a regular unsecured card with a lower interest rate. Some people also use a credit-builder loan from a credit union, which works differently but serves the same purpose. A credit-builder loan lets you borrow money that sits in a savings account while you make payments; it costs less in interest but requires a monthly payment commitment.

If you already have Wells Fargo accounts and a relationship with the bank, applying for their secured card is straightforward. If you do not bank with Wells Fargo, you might compare their terms to secured cards from other banks or credit unions before deciding.

Common mistakes to avoid with a secured card

The biggest mistake is not paying on time. The whole point of a secured card is to show lenders you can handle credit responsibly. One late payment can set back your progress by months. Set up automatic payments if you struggle to remember due dates.

Another mistake is carrying a high balance relative to your limit. Even though your limit is small (because your deposit is small), try to keep your balance below 30% of your limit. If your limit is $500, aim to use no more than $150 per month. This shows you are not desperate for credit and can manage money carefully. Credit bureaus track this ratio, called your utilization rate, and it affects your score.

A third mistake is closing the card too soon after conversion. Once Wells Fargo converts your account to unsecured and returns your deposit, you might feel like closing it. Do not. Keep the account open and use it occasionally. The longer the account stays open with a good payment history, the more it helps your credit score.

Frequently Asked Questions

Can I get my deposit back before 18 months?

Not through conversion. Your deposit is returned only when Wells Fargo converts your account to unsecured, which typically happens after 18 months of on-time payments. You can close the account and withdraw your deposit anytime, but closing the account will hurt your credit score and end the credit-building benefit.

What happens if I miss a payment?

Wells Fargo reports the missed payment to the credit bureaus, which damages your credit score. If you miss payments repeatedly, Wells Fargo may apply your deposit to cover what you owe. You can still be sued for any remaining balance. Contact Wells Fargo immediately if you cannot make a payment — they may work with you on a payment plan.

Does Wells Fargo offer a secured card with a lower interest rate?

No. The Wells Fargo Secured Card is their only secured product, and the APR is set based on your credit profile at the time you open the account. You cannot choose a lower rate upfront, though you can request a reduction after several months of on-time payments.

Can I use this card if I have bad credit or no credit history?

Yes. This card is designed for people with limited or poor credit history. Wells Fargo will review your application, but the deposit reduces their risk, so approval is more likely than with an unsecured card. Even if you have been denied elsewhere, you have a reasonable chance with a secured card.

What is the difference between this card and a prepaid card?

A prepaid card is not a credit card — it does not report to credit bureaus and does not build your credit score. A secured credit card is a real credit card that reports your payments, so it actually helps you build credit. That is the key reason to choose a secured card over a prepaid option.