 TITLE: Credit-Builder Loans vs. Secured Credit Cards: Which Is Best? CONTENT: What Is a Secured Credit Card?\n------------------------------\nA secured credit card is another option that can help you build or rebuild your credit. These cards are designed for risky consumers who may have trouble qualifying for traditional credit cards because they have minimal or no credit history or bad credit.\nSecured cards differ from traditional unsecured cards because you'll be required to put down a refundable security deposit when opening the account. This deposit is usually equivalent to the credit limit you'll have on the card, but some credit card issuers will grant a credit limit that's higher than your initial deposit or raise your limit later on without an additional deposit. If you default on your payments, you'll face credit consequences and lose your deposit.\nYou are free to use the card as you see fit up to the credit limit. The security deposit will remain on file unless you close the card or the creditor decides to upgrade you to an unsecured account. Either way, the deposit will be refunded to you if the account is closed in good standing.\nSecured credit cards are offered by traditional banks, online banks, credit unions and other financial institutions. You can get a card by applying on the card issuer's website or visiting a brick-and-mortar branch (if applicable). In most instances, you will receive a credit decision in minutes. If you're having trouble finding a secured credit card, Experian CreditMatch™ can help you explore your options. END