Researching best secured credit card? Duane here with how to build credit TV
and in this video I'm going to be talking about 3 of what I believe to
be the best secured credit card available right now. But before we get
started I have a quick message!
Once again my name is Duane with how to build credit TV. This channel offers 100%
free information about how to build credit, how to get cash back actual cash
money from using credit cards, as well as credit card reviews so this sounds like
something in which you're interested. Be sure to subscribe and click the
notification bell so you don't miss a thing. Alright let's get started.
When it comes to secured credit cards there are a lot of options out there. But
not all secured credit cards are created equally. That is why I decided to do this
video but instead of doing a lot of secured credit cards. I've narrowed it
down to 3 of what I believe to be the best secured credit card available
right at this moment. In regards to these 3 credit cards we're gonna be
looking at three different categories number one's gonna be annual fee, number
two will be how long does it take to graduate to an unsecured card and number
three will be does this card offer any kind of reward program? Alright so for
this portion of the video I'm gonna go ahead and jump over to my laptop so we
can visit each website and see the information right in front of you give
me one sec. Alright so as you can see here I pulled up the Capital One website
and we're looking at the Capital One secured MasterCard. This card I actually
have this card, I had it because I actually transferred this card from the
Capital One platinum card to the Capital One Savor card. But this is a card that I
started out with about three and a half four years ago. This was the very first
credit card that I got when I was trying to rebuild my credit because it was easy
to get and there was a lot of marketing done where they kept mailing me stuff so
I said you know what let me check out this capital one card and see what it's
all about. So here we are at the website as you can see one of the main reasons
why I chose these 3 cards is that none of them have annual fees. So right
off the bat they don't have an annual fee in my mind that's a huge advantage.
So there's no annual fee of course the interest rate the purchase rate is
ridiculous I mean they're all high at this point so that for me that's not a
problem because I'm not going to have money sitting on my credit card anyway
so I won't be paying anybody's interest. So as you can see here the website is
pretty clean is pretty straightforward but what I like about cap
one is it does require deposit. But it's a little different than other secured
credit cards. As you can see here on the left for the mouse iss and says require
security deposit it can be anywhere from $49 to $99 or $200 and of course this is
refundable based on your creditworthiness. Of course that just
means you know you're handling your business you're paying your bills on
time. In other words you you're not gonna go in default on your credit card with
these with these guys so that's pretty straightforward moving on to the next
one. Another thing I really like about Capital One is the fact that you you get
your credit line which will be a minimum of two hundred dollars so with the
regular secured card you have to actually pay or deposit what you want
your credit line to be. So like for me personally I I have this Citibank card
which initially I opened with $200 and I have the Discover secured card which I
initially opened with $1,200. So this one here just says make the minimum required
security deposit and you'll get an initial and an initial credit line of
$200 plus deposit more money before your account opens to get a higher limit now
That part's pretty interesting I mean I'm not sure how you're gonna deposit
more money before the account opens but I guess you might have you know a week
or two so that's pretty straightforward. This is what really sold me the next
thing here on the website is what really sold me personally to get this card is
it says access a higher credit line so get access to a higher credit line after
making your first 5 monthly payments on time. So automatically that's a huge
bonus right off the bat because when you have your credit line increase that's to
your benefit in regards to your credit score that benefits your credit score. So
the more available credit you have that's always a good thing as a matter
of fact you're rewarded by having a high credit line across all your credit cards.
Like the more money you have for your credit line the higher your credit score
will be. More specifically there are different categories like I think it's
like $2,000 to to $15,000 considered like average and then I'm
sorry maybe not average maybe good and then like between $15,000 up to 50 is
another bump in that category and then $50,000 and above is considered
excellent. So that's actually important having a higher credit line is important
and you're rewarded in your credit score for having that so that's pretty
straightforward. This next section just talks about
personalized payments so that's pretty cool you can pick your own monthly due
date and payment method whether it be a check, online or at a local branch. So
that that's pretty straightforward, I've had a good experience with this card
because I had this card personally. I still have it but what happened was I
just transferred the card from this secured card to the savor card that
Capital One has and the reason why I did that is because that offers me some cash
back benefits. In other words it gives me some incentive to actually use the card
because it's just kind of sitting there and I use it you know every now and then.
Maybe get a meal or two on the card but but the Savor card makes a lot of sense
for me because I use that quite a bit. All right the next card we're gonna be
looking at is a Citibank card so I'll go ahead and go to their website. Alright so
Citibank secured credit card this one's pretty straightforward here once again
no annual fees the interest rates a little lower this one is 23.99
as opposed to 24 and this one requires a secured
secured security deposit and that is going to be anywhere from $200
up to $2,500. So this one is more traditional
as far as a secured card. Citibank is a good bank. What I like about having
Citibank as a secured card is the fact that after
I've reached I guess it's 18 months because they hold your deposit for 18
months which of course there's not going to be earning any interest but after
that time is up I actually have the option to transfer from this card to one
of their other credit cards. Like maybe the double cash
double cash back credit card where you get 1% when you charge something and you
get another percent when you pay your bill. So it's 2% basically on all
your purchases granted you pay your bill on time. So that's pretty sweet the fact
that I can kind of graduate to another card and a card that actually gives me
cash back. This particular card that Citibank has does not offer any kind of
cash back so it's just pretty much a regular credit card. Kind of like the
capital one card which you know is pretty straightforward I mean it's just
a regular secured card that you have and the purpose of having it is building
your credit okay, for me I personally would not close any of these accounts. If
you open a secured card with any of these banks that I'm talking about be
sure not to close your account keep it as long as you need to because there are
no annual fees and after a while like a year or two if you're you know you don't
like your the fact that you're not getting any kind of cash back or rewards.
Give them a call and ask hey can you be transferred to another card or upgraded
to another card. And in my experiences that's been the case Capital One has
allowed me to upgrade that card I'm not quite upgraded yet on the Citibank card
but I'm sure that will be no problem that's one of the main reasons why I got
the card because I actually really wanted the citI double cash back card as
well as this Citibank Platinum select card.
I'm sorry dividend card, but anyway so that's why I got a
secured card with Citibank because I wanted to start a relationship with them.
Alright, so the last card we're going to look at is going to be the Discover card,
the discover secured credit card. And this one, you know is my favorite I
mean I'm super biased to this one because I've just had such a super
experience with it in in my eyes this is hands down the best secured credit card
that you can get. There's no annual fee and it works just like the Citibank
card, actually whatever you deposit will be your credit limit so for me I
just deposited $1,200 to open it right from
the start because I knew that I wanted a higher credit limit and then after a
month or two I went ahead and maxed it out at $2,500 so that's what I did with
this discover secured credit card. Discover has a lot of good things going
on right here off the bat there's a bunch of stuff listed here. But one of
the things that caught my eye was earn cash back on every purchase and so it
says 2% cash back on restaurants or gas stations up to $1,000 in combined
purchases each quarter. So that's not too bad
that's a pretty good deal and then it says plus 1% cash back on all credit
card purchases. That alone makes Discover Card better than the citI bank and the
Capital One. In addition to that citibank actually citibank I'm sorry.
Discover card will actually match however amount of cash back that you've
earned your first year. So for me that's another incentive for me to get this
card because they're gonna match however much money I get back in regards to a
cash back. Once again there's no annual fee and their their interest is 24.24%
you get your FICO credit score for free. That's
pretty sweet, the Discover card also provides this nice comparison for you at
the bottom which i think is pretty cool. I do know that after 7 months or I
think it's 8 months that you are able to graduate to the unsecured credit
card with Discover card and that's pretty sweet and
that's actually really fast unlike the 18 months that you're gonna have
to have your citibank credit card. With Capital One it
doesn't really tell us about when you can graduate to another credit card but
or I'm sorry to the unsecured credit card. But Capital One is also very good
like I said hands-down my favorite is the Discover card and I think right now
I'm up to about $350 in cash back so if you want to
check out that video be sure to click on the link.
I'll put a link on the screen so you can check that video out. When it comes to
the best secured credit cards just like anything else take your time do your
research gather all the information you can before you get involved. Thank you
very much for watching this video. Please be sure to comment, like and subscribe
Until next time take care and be blessed. Peace!