What is a secured credit card? A secured credit card works like any other credit card—in that you use the card for purchases, and then pay the balance at a later time. The difference, though, is that a secured credit card requires a cash deposit as collateral, typically equal to the ...
While no credit history is better than having bad credit, both situations can hold you back. No credit makes it harder to get a credit card, loans, and even rent an apartment. And if you’re approved for financing without a credit score, you’ll likely pay a higher rate compared to an applicant ...