A credit card which have a card holder and can place a deposit before opening an account can called a secure credit card. The amount of deposit will be vary on the card holder that how much money the card holder can allow to spend. Suppose a person keeps $700 in his/her account while open a new account, the credit limit should be anywhere from 90 to 150%of the deposit. If the person wants a higher credit limit then always welcome. At that time the person will be able to add an additional deposit and can increase the amount of money in the account. If a person make his/her credit card payments as daily basis and can use the card with great responsibility, then the person can be get a facility to enjoy a higher credit limit which offered by the person's issuing bank.

All of we know that due to bad credit score we are not eligible to obtain a new credit cards or any kind of loans. At that circumstances if any one want to take a credit card or loan generally he/she will suffer from high fees and high rate of interest and overall expensive credit. But on the other hand a secure credit card provide you a good credit score and can help to get extra cash in case of emergency.


The main advantage in that place where a person make a deposit on a secured credit card and there is not a high risk to the issuing bank. But here the person should maintain some responsibility like to pay a certain fees (including application and annual fees) and this will be procure a profit for the issuing financial institution. By this a consumer can get a secure credit card with bad credit without any high charge to provide for their bill.

A person can get advantages in different ways. A secured credit card and good credit score can help to resolve debt also. If you pay your credit card bill in each month and can show your financial responsibility, it will be help to improve your credit also. When some one keep very low balance but pay all bills on time then it will be consider as evaluating credit.

But you've to choose a credit card very carefully. Here are few cards available with very high rates or purchase expensive insurance which will make their financial situation worse, instead of better.