Best High Limit Secured Credit Cards

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A secured credit card — which uses a deposit as collateral to secure your line of credit — can help improve your credit score, whether you’re rebuilding your credit or starting your credit history from scratch. You should be aware that these credit cards are known to have lower credit limits, which means you will need to be careful to keep a balance on them.

However, there are upper limits secure credit cards maybe it’s better for you. Here are some secure card options to explore if you want a little more leeway when it comes to carry a balance on your card.

US Bank Secured Visa Card: Best for a High Credit Limit

  • Credit limit: Up to $5,000
  • APR: 26.99% variable
  • Annual subscription: None

We like the US Bank Secured* Visa Card because there’s no annual fee and you’ll have the flexibility to choose your credit limit and payment due date. Your credit limit, in particular, can be between $300 and $5,000 – a solid advantage for potential cardholders who have enough funds to secure a higher limit.

Your deposit is kept in a FDIC insured account and is fully refundable. After at least one year of responsible use, US Bank provides an easy path to upgrade to a not guaranteed version of the map.

All you have to do is call customer service and request an account review. If your application is approved, you will get a new account number and your deposit will be returned to you.

OpenSky Secure Visa Credit Card: Best for Low APR

  • Credit limit: $3,000
  • APR: 19.64% variable
  • Annual subscription: $35

The OpenSky® Secure Visa® Credit Card offers a comparatively lower regular APR of 19.64%, while the other cards on this list charge APRs between 25.49 and 26.99%. Additionally, the OpenSky Secured Visa offers a credit limit of up to $3,000, provided you are ready to walk away with a larger sum of money, and no credit check is required in the application process.

One drawback is that there is no upgrade path to an insecure version of the map. The only way to “switch” to a regular credit card is to apply for a new credit card from another issuer, which may dictate whether or not the OpenSky Secured Visa is worth it for you.

Find out Secure credit card: ideal for cashback

  • Credit limit: $2,500
  • APR: 25.99% variable
  • Annual subscription: None

In addition to offering cardholders the ability to build up credit with a secure card no annual fee, Discover it® Secure credit card also offers cashback. With this card, you’ll get 2% at gas stations and restaurants on up to $1,000 in combined purchases each quarter (then 1%) and 1% on all other purchases. To sweeten the deal, as a welcome bonus, Discover will match all the money you earn in the first year.

We also like this map because there is a path to upgrade to an insecure version, the Find out® Cash Back. After seven months there is an automatic account review to see if you qualify.

Citi Secured Mastercard: the best for simplicity

  • Credit limit: $2,500
  • APR: 25.49% variable
  • Annual subscription: None

The Citi® Secured Mastercard® doesn’t have a lot of bells and whistles, but it made the list due to the higher credit limit you can get with this account.

You can open your card with as little as $200 or up to $2,500. And after 18 months of on-time payments, you can switch to an unsecured Citi credit card and get your deposit back.

Should You Get a High Limit Secured Credit Card?

If your credit score isn’t good enough for a traditional credit card to improve your credit, these secured cards could put you on the right path to a better credit score. We advise against going this route if you cannot make your payments on time and as agreed, because payment delays or missed payments could further damage your credit.

Plus, if you carry a balance on a secured credit card, not only will you pay interest, but you can also increase your credit utilization rate. Credit usage is an important factor in maintaining a good credit score.

Finally, you should be comfortable with a larger deposit to get a higher credit limit. If you’re okay with depositing $1,000 or more for a secured card, it could be good for your credit journey. If you are unable to part with a large sum of money, you should consider waiting until your financial situation improves.

How to Choose a Secured High Limit Credit Card

Here are some useful features to look for when choosing a secured credit card.

Opportunities to increase your credit limit or upgrade your card

Some secured credit cards will automatically review your credit account and increase your credit limit. It’s not something you have to initiate, but rather built into the process of increasing your credit issuers’ credit limit.

Even if there is no automatic review, ask if there is an easy way to increase your credit limit. Some issuers may also offer an upgrade path to an unsecured version of the secured credit card you own.

Low fees

Some secured credit cards may come with a host of fees, including annual fees, foreign transaction fees, late fees or even higher interest rates. Ideally, you’ll choose a card with a low fee to help you save money on this credit-building strategy.

Credit building

Not all secured credit cards will report your activity to the credit bureaus. Before getting a secured credit card, make sure the issuer will report your activity to credit reporting agencies.

Awards

Although not extremely common in the secured credit card business, some secured credit cards offer cash back and other perks, such as a welcome bonus. They won’t be as attractive as the perks that come with the standard rewards credit cardsbut they can provide an incentive to use your credit card even while you’re fixing your credit score.

The bottom line

While secured credit cards can be a great credit-building tool, the downfall can be notoriously low credit limits — which can make it difficult to keep your credit utilization rate low. For this reason, we recommend that you consider a high-limit secured credit card. However, make sure your secured credit card has other desirable features besides a higher credit limit, like lower fees, rewards, and automatic account reviews.

It may also be useful to compare your choices to other cards in our list of best secure credit cardsin case other features catch your eye and prove more useful.

*U.S. Bank Secured Visa card information was independently collected by Bankrate.com. Card details have not been reviewed or endorsed by the card issuer.

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