Capital One Platinum Secured Credit Card Review
The Capital One Platinum Secured Credit Card is one of the premier secured cards on the market. Designed for those rebuilding their credit, the card is a perfect mix of rewards and responsibility. It doesn’t have extra cash back features that one might expect from a rewards credit card, but it is a good choice if you need a starter credit card.
Read below to see the nitty gritty of this card and if it’s the best choice for your needs.
What You Get
This credit card is a secured card, which means that the consumer has to provide collateral against the card in order to protect the credit card company. Secured cards are great for people who have no credit or poor credit, because they allow customers to rebuild their credit as they use the card.
The credit limit for this card is $200. However, Capital One allows some users who qualify to put down $49 or $99 instead of the full $200. This offer isn’t available to everyone, so don’t be surprised if you don’t qualify. Most secured cards require that everyone put down an amount equal to the credit limit, so this is an extra perk for Capital One cardholders. They also require access to an authorized bank account to make the security deposit.
After five months of on-time payments, Capital One will increase your credit limit without an additional security deposit. At this time, you might even be eligible for a regular credit card, depending on other factors in your credit report.
Users who apply for this card will also get access to the Capital One CreditWise program which allows them to monitor their credit score. While every consumer can benefit from credit monitoring, this is even more vital for users with low scores who want to qualify for a regular credit card at some point. There’s no fee for checking your score on CreditWise, which is based on the TransUnion credit report.
This card has no annual fee, so it won’t charge customers anything extra just for using the card. Many secured cards do come with annual fees, so if you can qualify for one that doesn’t, you’ll save even more money.
What You Don’t Get
The APR for this card is a variable 29.74%, which seems to be in line with other secured cards but higher than the typical credit card. If you do use this card, pay off the balance in full after you’ve received your monthly statement. That way, the card will report good usage to credit bureaus but you won’t pay any extra interest fees.
It’s not clear how much of a credit limit increase you’ll get, so after building your credit, you may be ready for a regular credit card. Again, this will depend on your credit score and other factors.
The Bottom Line
If you’re rebuilding your credit and don’t qualify for a regular credit card, then a secured card is your best chance of quickly rebuilding your credit and being eligible for a regular card.
Unless you qualify for one of the rare secured cards that offers cash-back rewards, the Capital One Platinum Secured Credit Card may be the best one you can find. It doesn’t have an annual fee or a high APR and it comes with free access to your credit score, so you can track it every day.
Plus, it comes with all the typical benefits that one finds in a credit card, such as price protection, no fraud liability, travel accident insurance and assistance if your car breaks down on the side of the road. If you’re looking for a secured card to start your journey toward the 850-credit score club, this card is right for you.
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Editorial Note: Any opinions, analyses, reviews or recommendations expressed in this article are those of the author's alone, and have not been reviewed, approved or otherwise endorsed by any card issuer.