Every once in a while I like to provide a helpful frequently asked question guide for those that aren’t that familiar with secured credit cards.  I’ll show you a few questions that I come across that you may wonder about too.  I’ll do my best to answer them for you.  If you have any questions for a future segment, feel free to leave a comment or contact me via the contact form.

Will getting a secured credit card help me rebuild my credit?

Absolutely!  This is the main reason that most people get a credit card like this.  In order to know that your card will build your credit, you’ll have to make sure that they report to the three major bureaus.  If they don’t do any credit reporting, none of your progress is going to show on your credit report.

How do I know if a secured card is a rip off?

When people ask me what kind of secured credit card they should look for, I recommend they find one from an accredited bank and I always tell them to make sure they look for the major logos from Visa and MasterCard.  If it’s some bank and brand name you’ve never heard of, I’d just play it safe and steer clear from it.

Should I get more than 1 card to rebuild my credit?

No, this isn’t necessary.  You have to remember that you need to add a deposit to each card.  So, I don’t think you want $1,000 tied up with two cards.  Instead, use your only card responsibly and you’ll see great results over the past 1-2 years.  Remember, credit is built slowly!

How long does it take to see credit improvement?

It’s all going to depend on how you use your card.  If you’re still careless with your expenses and you don’t pay your bills off in time, your score won’t improve.  If you’re good on the other hand and you make payments in full and pay your bill off each time on time, you’ll see an increase within a year or so.

Are secured cards worth it?

This is a question you want to answer.  Have you learned from your past mistakes and you never want to ge into debt again?  Do you want that nice home and car and you need a loan?  (remember, having a great score can save you thousands yearly).  They are only worth it if you’re serious about rebuilding your score.  If not, you may want to live a cash life.

Does my bank offer secured credit cards?

I’ve provided the top secured credit cards on the main website.  If you don’t see your bank on there, they most likely don’t have a card but if you want to double check.  Simply Google “your bank name + secured credit card application” to see what pops up.  They may have one or not.  If you’re not having luck with a search engine, check with your local branch.

I hope these answers may help you with the questions you may have.  Remember, if you have a question, feel free to contact me or ask it in the comments!