Do credit cards require a deposit?

There are two main types of credit cards — secured and unsecured — but only secured credit cards require a deposit. A secured credit card is a financial product designed to help consumers build or rebuild their credit score. The refundable security deposit typically matches the card’s credit limit.

How do I start building credit?

Building credit is a long journey taken in small steps. If you start off with a credit card issuer that does not have a large portfolio of cards, you may have to cancel your current card and apply for a new one when your credit score improves. Take a long-view approach when deciding which starter credit card is best for you.

Do I need a credit card if I have bad credit?

Even if you accomplish this, holding a credit card may still be necessary. Most credit cards available for those with bad credit are secured, meaning they require a security deposit. Not everyone has the cash to make a security deposit, so we’ve identified the best second chance credit cards that are unsecured and do not require cash upfront.