Best Secured Credit Cards to Build Credit in 2025
Last updated: July 2, 2026
Secured credit cards require a cash deposit that becomes your credit limit, making them accessible to people with no credit history or very poor credit. The best ones report to all three credit bureaus, have no annual fee (or a small one), and upgrade you to an unsecured card after 6–12 months of responsible use.
Our top picks
Discover it® Cash Back
Earn 5% cash back on rotating quarterly categories (groceries, gas, restaurants, Amazon) and 1% on everything else. Discover matches all cash back earned in year one.
Annual Fee
$0
APR
18.74%–27.74% variable
Welcome Offer
Unlimited Cashback Match in first year
Pros
- ✓5% on rotating categories (up to $1,500/quarter)
- ✓Cashback Match™ doubles your first year
- ✓No annual fee
Cons
- ✗Must activate 5% categories quarterly
- ✗Discover accepted at fewer merchants abroad
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Chase Freedom Unlimited®
One of the best flat-rate cash back cards — earn 1.5% on everything with no annual fee, plus boosted rates on dining and drugstores.
Annual Fee
$0
APR
20.49%–29.24% variable
Welcome Offer
$200 bonus after $500 spend in first 3 months
Pros
- ✓1.5% unlimited cash back on all purchases
- ✓3% on dining and drugstores
- ✓5% on travel through Chase
Cons
- ✗Requires good to excellent credit (670+)
- ✗3% foreign transaction fee
Rates & terms on partner's site. We may earn a commission. Learn more
How we chose these picks
How Secured Cards Build Credit
Payment history is 35% of your FICO score — the single biggest factor. By making small purchases and paying them off in full every month, you establish a track record of on-time payments that builds your score over time. Most people see a 50–100+ point improvement within 12 months of consistent use.
What to Look for in a Secured Card
- Reports to all 3 credit bureaus (Equifax, TransUnion, Experian)
- No annual fee or a small one
- Path to upgrade to unsecured card
- Earn rewards if possible (some secured cards do)
- Low deposit requirement ($200–$500)
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