Best Secured Credit Cards 2025
$0 annual fees. No predatory gotchas. Cards that actually help you build credit.
Here's what the predatory credit card industry doesn't want you to know: the best secured cards charge $0 in annual fees.
Meanwhile, First Premier charges a $95 "processing fee" + $75 annual fee before you even spend a dollar. Credit One charges 26%+ APR with confusing terms. These companies make money by exploiting people who don't know better options exist.
This guide covers only cards we'd actually recommend to a friend — $0 annual fees, clear paths to graduation, and reporting to all three bureaus.
⚠️ Cards to Avoid
These "secured" cards charge outrageous fees:
- First Premier — $95 processing + $75 annual = $170 before you spend $1
- Credit One — High APR, no grace period, hard to cancel
- Indigo Mastercard — Up to $99 annual fee
- Fortiva — High fees, terrible reviews
Our Top Picks for 2025
Discover it® Secured
$200 minimum (becomes your limit)
Hard pull required
2% at gas/dining, 1% everything else (doubled first year)
Automatic review at 7 months
Why We Love It
- ✓ Only secured card with real cash back rewards
- ✓ Discover doubles all cash back at end of first year
- ✓ Clear graduation path — deposit returned when upgraded
- ✓ Free FICO score access
- ✓ U.S.-based customer service
Best for: Anyone who can get approved. The rewards make this the clear winner if you qualify.
Chime Credit Builder
None — move money from Chime checking
No credit check
Chime checking with $200 direct deposit
Not reported (can't hurt you)
Why We Love It
- ✓ Truly $0 — no fees, no deposit, no credit check
- ✓ Reports to all 3 bureaus
- ✓ Can't overspend — only spend what you've moved in
- ✓ Doesn't report utilization, so can't hurt your score
- ✓ Auto-pays balance so you never miss a payment
Real results: Chime members see an average +30 point increase after 8 months of use.
Best for: Anyone who's been denied elsewhere, bad credit, no credit, or just wants the safest "set it and forget it" option.
Capital One Platinum Secured
As low as $49 (some qualify for $200 limit)
Hard pull required
None
Review at 6 months
Why We Love It
- ✓ Deposit as low as $49 based on creditworthiness
- ✓ Fast graduation — some upgrade in 6 months
- ✓ Access to Capital One's credit tracking tools
- ✓ No foreign transaction fees
Best for: Anyone who can't afford a $200 deposit. The flexible deposit requirement makes this accessible.
OpenSky® Secured Visa®
$200-$3,000 (becomes your limit)
No credit check
Not required (can pay deposit via debit)
No automatic path — must apply for new card
Why It's Here
- ✓ No credit check at all
- ✓ No bank account required
- ✓ Reports to all 3 bureaus
- ✓ Good for active bankruptcies or very damaged credit
Trade-off: The $35 annual fee makes this less ideal than Discover or Chime. Only choose this if you can't get approved elsewhere.
Best for: People with active bankruptcy, no bank account, or who've been denied by everyone else.
Quick Comparison Table
| Card | Annual Fee | Deposit | Credit Check | Best For |
|---|---|---|---|---|
| Discover it Secured | $0 | $200+ | Hard pull | Best overall |
| Chime Credit Builder | $0 | None | None | No credit check |
| Capital One Secured | $0 | $49-200 | Hard pull | Low deposit |
| OpenSky Secured | $35 | $200+ | None | No bank acct needed |
How Secured Cards Work
A secured credit card requires a refundable security deposit that typically becomes your credit limit. Put down $200, get a $200 limit. Use it like a regular credit card, and your payment history gets reported to the credit bureaus.
When you "graduate" to an unsecured card (or close the account in good standing), you get your deposit back.
Key points:
- Deposit is refundable — it's not a fee
- Works just like a regular credit card
- Reports to credit bureaus (building your score)
- Most cards review for graduation in 6-12 months
How to Use a Secured Card Properly
- Use it for small purchases only — a subscription or tank of gas per month is enough
- Pay in full before the statement date — not just by the due date
- Keep utilization under 10% — on a $200 limit, keep balance under $20
- Set up autopay — never risk a missed payment
- Don't close it after graduation — keep it open for account age
💡 The Utilization Trap
Low credit limits make high utilization easy. A $50 charge on a $200 limit = 25% utilization. Solution: Pay down before statement date, or request limit increases after 6 months of good behavior.
Graduation: Getting Your Deposit Back
Most secured cards review your account for "graduation" to an unsecured card after 6-12 months of on-time payments.
What happens when you graduate:
- Your deposit is returned (check or statement credit)
- Your credit limit may increase
- The account stays open (same account age)
- Nothing negative appears on your credit report
Discover reviews at 7 months. Capital One reviews at 6 months. Chime doesn't "graduate" because it's already structured differently.
The Bottom Line
Don't pay predatory fees to build credit. The cards above charge $0 annual fees (or minimal fees with good reason) and actually help you build a credit history.
Our recommendation:
- If you can get approved → Discover it Secured (best rewards)
- If you want no credit check → Chime Credit Builder (truly $0)
- If you need low deposit → Capital One Secured ($49 minimum)
- If you've been denied everywhere → OpenSky (last resort)
After 6-12 months of good behavior, you'll have the credit history to qualify for better cards — rewards cards, cash back cards, travel cards. The secured card is just the starting point.
Affiliate Disclosure
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