Security Deposit Credit Card


Security deposit credit card – In exchange the issuer offers a credit card for the person to use. A security deposit is a refundable deposit that serves as collateral for the secured credit card.

Secured cards require a refundable deposit which usually will be equal to your credit limit.

Security deposit credit card – After you provide the deposit a secured card works just like any other credit card you have a set spending limit that replenishes as you make payments. It s important to understand that you can t use your security deposit to pay your monthly credit card bill. A secured credit card is a type of credit card for people with limited or damaged credit that requires the user to place a refundable security deposit which the card s issuer holds as collateral until the account is closed. Security deposit credit card

Secured accounts usually have annual fees and higher than average interest rates as does this card. This particular card s minimum security deposit is 300 and the charging limit is determined by income current debt load and the amount of the deposit. The deposit for a secured card reduces the issuer s risk and leads to higher approval odds for applicants. Security deposit credit card

The credit card issuer holds the deposit and only uses it if you default on your credit card balance. Security deposit credit card

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