Secured Credit Card: Part 1
What is a secured credit card and how much do I have to deposit?
A secured credit card is a card that requires a cash deposit. The cash deposit is the amount of credit you have on the card. For example, if you deposit $200 that becomes the balance available to you. As you use your credit card and pay off the balance promptly every month, you can begin to add more to your available credit.
Where can I get a secured credit card?
You can call various banks to find out if they are secured credit card issuers. If you make several calls, you will be able to find the best option for you. Expect various responses regarding cash deposits, application fees, annual fees and whether or not a bank will reward you with an increased balance for paying off your card on time every month
How soon after filing for bankruptcy or consumer proposal can I re-establish my credit with a secured credit card?
Start researching right away to find out what card is best for you. Find the card with the lowest application and annual fees. You will most likely be asked to deposit a minimum of $300 so give yourself six months before you apply-if you want to apply sooner, you will be able to. It is ultimately up to you but it will be in your best interest to do your research first.
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