You can get a secured credit card from traditional banks, online banks, credit unions, and some fintech lenders

A secured credit card is available from hundreds of institutions, but the ones that work best for you depend on whether you want a physical branch, low fees, or specific rewards. The major card networks — Visa and Mastercard — don't issue cards themselves; they set the rules. The actual card comes from a bank or credit union that has partnered with Visa or Mastercard to offer secured products.

The process is straightforward: you open an account with the issuer, deposit cash as collateral (usually $200 to $2,500), and receive a credit line equal to that deposit. You then use the card like any other credit card, and the issuer reports your payment history to the three credit bureaus — Equifax, Experian, and TransUnion. After 6 to 18 months of on-time payments, many issuers will convert your account to an unsecured card and return your deposit.

Key Takeaways

  • Major banks like Capital One, Discover, and U.S. Bank all offer secured cards with different fee structures and deposit requirements.
  • Online banks and fintech lenders often have lower annual fees and faster approval than traditional brick-and-mortar banks.
  • Credit unions sometimes offer secured cards to members at lower costs, but you must join the union first.
  • The issuer you choose matters because annual fees, deposit minimums, and reporting practices vary widely and affect how quickly you rebuild credit.
  • You can compare offers by checking the issuer's website directly — there is no single marketplace where all secured cards are listed side by side.

Major banks with secured card programs

Capital One, Discover, U.S. Bank, and Wells Fargo all offer secured cards and have physical branches in most states. Capital One's Secured Mastercard requires a minimum deposit of $200 and charges an annual fee (the amount varies by state and credit profile). Discover's Secured Card also has a $200 minimum deposit and an annual fee. Both report to all three credit bureaus and typically convert to unsecured cards after six months of on-time payments.

U.S. Bank's Secured Visa Card requires a $500 minimum deposit and charges an annual fee. Wells Fargo's Secured Card requires a $500 deposit. These banks have the advantage of physical locations where you can deposit cash in person, though you can also open accounts online. The trade-off is that annual fees at major banks tend to be higher than at online-only lenders.

To check current offers, visit each bank's website directly and search for "secured credit card." The terms — deposit minimum, annual fee, interest rate, and conversion timeline — are listed on the product page. You can also call the bank's customer service line to ask whether you meet their approval requirements before you formally apply.

Online banks and fintech lenders

Online-only banks like Chime, LendingClub, and Self offer secured cards without the overhead of physical branches, which often means lower annual fees. Chime's Secured Visa Card has no annual fee and a $200 minimum deposit. LendingClub's Secured Credit Card charges an annual fee and requires a $500 deposit. Self's Secured Visa Card charges an annual fee and allows deposits from $250 to $2,500.

The main advantage of online lenders is speed and lower costs. You can open an account and fund your deposit entirely through a mobile app or website, often within hours. Many online issuers also offer tools within their apps to track your credit score as it changes. The downside is that if you have questions or run into problems, you are communicating by phone, email, or chat rather than visiting a branch in person.

To find online options, search "secured credit card no annual fee" or "secured credit card online." Read the terms carefully on each lender's website, particularly the annual percentage rate (APR) and whether the issuer reports to all three credit bureaus. Some smaller fintech lenders report only to one or two bureaus, which slows your credit-building progress.

Credit unions

Credit unions often offer secured cards to members at lower costs than banks. Many credit unions charge no annual fee or a fee of $25 or less, and some have deposit minimums as low as $300. The catch is that you must be a member of the credit union first, which usually requires living or working in a specific geographic area or belonging to a particular employer or organization.

To find a credit union near you, use the CO-OP Network locator or the Shared Branch locator on the Credit Union National Association website. Search for "credit union near me" or check whether your employer or professional association has a credit union partnership. Once you join, ask whether the union offers a secured card and what the terms are. Some credit unions have waiting periods before you can open a credit card account after joining.

Credit unions also tend to have more flexible underwriting than banks, meaning you may be approved even if your credit score is very low or you have recent negative marks on your report. Call the credit union directly to ask about their secured card program before you join.

What to compare when choosing an issuer

Annual fee is the most visible difference between issuers. A $35 annual fee costs you money every year until you convert to an unsecured card, so a card with no annual fee saves you $35 to $70 over the typical 18-month rebuilding period. However, a card with a higher annual fee might have a lower APR or faster conversion timeline, so compare the full picture rather than the fee alone.

Deposit minimum matters if you have limited cash on hand. Some issuers require $500 or more; others accept $200. The deposit sits in a savings account earning little or no interest, so a lower minimum means less of your money is tied up. However, a higher deposit gives you a higher credit line, which can help your credit score by lowering your credit utilization ratio (the percentage of your available credit that you are using).

Conversion timeline affects how long you carry the card. Some issuers convert after six months of on-time payments; others wait 18 months or longer. Faster conversion means your deposit is returned sooner and you can move to an unsecured card with better rewards or lower fees. Check the issuer's website or call customer service to ask their typical conversion timeline — it is not always may provide.

Reporting to credit bureaus is critical. Confirm that the issuer reports to Equifax, Experian, and TransUnion. If they report to only one or two bureaus, your credit-building progress will be slower because lenders check all three bureaus when they make decisions about you. This information is usually in the fine print of the product disclosure or terms and conditions.

How to compare offers side by side

There is no single website that lists all secured cards with their terms in one place. Instead, you will need to visit each issuer's website individually. Start with the major banks you already know — Capital One, Discover, U.S. Bank, Wells Fargo — then search for online options like Chime, LendingClub, and Self. Create a simple spreadsheet with columns for issuer name, annual fee, deposit minimum, APR, and conversion timeline. Fill in the numbers from each issuer's website, then compare.

Pay attention to the fine print. Some issuers charge a fee if you close the account before conversion. Others charge a fee if you miss a payment or go over your credit limit. These hidden fees can add up, so read the full terms and conditions before you decide. You can usually find this document as a PDF on the issuer's website under "disclosures" or "terms."

Once you have narrowed your choices to two or three, call the issuer's customer service line and ask whether you are likely to be approved. Mention your credit situation honestly — very low score, recent late payments, no credit history, or whatever applies to you. The representative cannot may provide approval, but they can tell you whether your situation fits the issuer's typical customer profile.

What happens after you open the account

After you are approved, you will fund your deposit, usually by transferring money from a bank account or mailing a check. The issuer will then issue your card, which arrives by mail within 7 to 10 business days. You can begin using it immediately once it arrives. Make small purchases — a tank of gas, a grocery trip — and pay the full balance by the due date every month.

The issuer reports your payment history to the credit bureaus monthly. On-time payments build your credit score over time. After 6 to 18 months, the issuer will review your account and may convert it to an unsecured card automatically. When this happens, your deposit is returned to you, usually within 5 to 10 business days. You keep the card and continue using it, but now your credit line is based on your creditworthiness rather than your deposit.

If the issuer does not convert automatically, you can call and ask. Some issuers require you to request conversion; others do it on their own schedule. Either way, conversion is not may provide — if you have missed payments or carried a high balance, the issuer may decline to convert and close the account instead.

Frequently Asked Questions

Can I get a secured card if I have no credit history?

Yes. Secured cards are designed for people with no credit history, low scores, or recent negative marks. You do not need an existing credit score to open one. The deposit replaces the credit history the issuer would normally check. However, you will still need a Social Security number, a valid ID, and a bank account to fund your deposit.

What if I cannot afford the deposit minimum?

Some issuers have minimums as low as $200, while others require $500 or more. If you cannot meet any issuer's minimum, you may need to wait until you have saved enough, or explore whether a credit union in your area has a lower minimum. A few issuers allow you to make your deposit in installments, though this is rare — call and ask.

Do I have to use the same bank where I have my checking account?

No. You can open a secured card with any issuer, regardless of where you bank. However, if you already have a relationship with a bank — you have a checking account there, for example — that bank may approve you more easily because they already know your account history.

Can I have more than one secured card at the same time?

Yes, but it is usually not necessary. One secured card used responsibly will rebuild your credit. Multiple cards can help if you need a higher total credit line, but each new account temporarily lowers your credit score because the issuer makes a hard inquiry. Start with one card, use it for 6 to 12 months, then open a second only if you have a specific reason.

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

A secured card is a credit card backed by a deposit. You borrow money, make payments, and build credit history. A prepaid card is not a credit card — you load money onto it and spend only what you loaded. Prepaid cards do not build credit because they are not reported to credit bureaus. If your goal is to rebuild credit, you need a secured credit card, not a prepaid card.