The Benefits of A Secured Visa

If you have had problems previously and your credit report is reporting you late in your bill payments, you might find it difficult to find any lender who will give you a credit card. Do not fear that you cannot get a credit card; on the contrary, you can always get a secured Visa card. A secured Visa is just as good as a regular Visa credit card.

Visa is one of the three most popular backed credit organizations on the planet. Most banks, credit unions and finance companies provide credit cards that will allow you to re-establish your credit should you have had a problem previously. The only difference between a secured Visa and an unsecured one is that you must have opened a savings account with the financial institution before they will issue an account.

Once you back up the card with a certain dollar amount, you can charge up to that dollar value 100%. Some secured Visa cards will double or triple the percentage and by matching it in credit. So a $100 deposit is equivalent to $300 in credit. The popularity of secured Visa has grown in the past decade as more and more people are using them to get back on their feet.

A secured Visa is a great tool for a teenager starting out in the world of financial responsibility. Should the teen be able to properly repay the monthly balance, his/her credit will be reviewed every six months. On the discretion of the credit card maker, they can raise your credit limit proportionally to give you an added spending just for being responsible.

A secured Visa is taken everywhere there is a Visa logo. Also, when you meet the obligation of the lender, which is usually one calendar year, they can reimburse you the deposit fee and make your account unsecured. Although your money is tied up in a savings account it does earn simple interest. Thus adding another benefit to saving, as well as building a solid credit history