Does getting a secured credit card improve your credit score?

Public Comments

1. getting one alone won't really improve your score. however, using it and establishing a good payment history on it will. after a while, the bank will release the "security deposit" and change the status from secured to non-secured.
2. It will not, they are used as a stepping stone to build trust with the company to get a unsecured card
3. A secured credit card requires that you deposit money with the issuing bank, and the bank will issue a credit card in the same amount for your use. Secured cards are guaranteed to be approved, because the bank has your deposit money in case you do not pay your balance. A secured credit card for bad credit operates much like a regular credit card. You receive a monthly statement, and you pay your minimum monthly payment or the balance in full each month. You are charged an interest rate, annual fee and possibly other fees for a secured credit card account. Be aware that with a secured credit card for bad credit, your charges are not deducted from the deposit you have with the issuing bank. The bank is simply holding your deposit in the case that you default on your credit card balance. You must pay your monthly payments, and owe the bank the balance that you have charged on the credit card. You cannot refuse to pay simply because the bank is holding a deposit without further damaging your credit. Read more about secured credit card at: http://www.squidoo.com/secured-credit-card
4. yes, make sure u pay your bills on time