HomeBlogUncategorizedAccept Secured Credit Card Offers And Your Score Might Soar!

Should you look for secured credit card offers?

Accept Secured Credit Card Offers And Your Score Might Soar!

by / 0 Comments / Apr 10, 2015

When you accept secured credit card offers you can watch Your Credit Score Rise.

Don’t hide from credit cards. Many people think that if they have a poor credit history they should abandon credit cards entirely; however, that is not what will turn a credit score around. To show potential lenders that you can handle credit responsibly you must actually use credit responsibly. The problem is that if your credit is low, you may have a hard time getting approved for a traditional credit card that does not have high fees or interest. Also, obtaining unsecured debt while your credit is already low does not necessarily reflect well on your credit report. Secured credit card offers may be the answer.

Starting Fresh

A great solution to this credit problem is to apply for a secured card which can help you build your credit and payment history to boost your credit score. What are secured credit card offers? Secure credit cards are guaranteed by money that you give the bank to hold; essentially you are borrowing against your own money that the bank is holding. After an allotted period of dependable usage, the bank can return your money and turn your secured card into a traditional or unsecured credit card. Some cards allow you to slowly add unsecured credit on top of the amount that is covered by your deposit. This means they may increase your credit limit as you show yourself to be dependable.

Picking the Right Secured Credit Card Offers

Before applying for a secured card, look at the pros and cons of different options that are available. If improving your credit is important, find a secured credit card application for a card that reports to all three credit bureaus. One interesting thing about secured cards is that many cards put the deposit in a savings account or CD so that it earns interest; some cards even offer rewards programs. Different cards have different fees, so be sure to ask a representative and read all of the fine print; there can be application fees, monthly fees, and annual fees, as well as the interest.

Building (or Rebuilding) Your Credit

Remember the following guidelines as you work to build, or rebuild, your credit:

  • Keep the balance low on all your cards and avoid the temptation for a spending spree. Use the card for purchases you would make anyways, purchases that are within your budget.
  • Pay your card off every month if possible; if not, at least pay more than the monthly minimum.
  • Always pay on time. One of the main benefit of a secured credit card is to establish and show a reliable payment history.
  • If you have the opportunity to increase your credit line, do so, but make sure not let the limit exceed what is realistic for your income.

Leave a Reply

Your email address will not be published. Required fields are marked *

Copyright © 2014 Credit Cards . All rights reserved.

Advertiser Disclosure: The credit card offers that appear on CreditCardIdeas.com are from credit card companies from which this site receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). This site does not include all credit card companies or all available credit card offers.

Editorial Disclosure: The editorial content on CreditCardIdeas.com is not provided by any bank, credit card issuer, airlines or hotel chain, and has not been reviewed, approved or otherwise endorsed by any of these entities. Opinions expressed here are author's alone, not those of the bank, credit card issuer, airlines or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities.