If you are looking for a decent credit card to rebuild your credit history or to establish one from scratch, the U.S. Bank Secured Visa® Credit Card is a good option to pay attention to. Although in general this card is very similar to most secured cards, it has few exceptional features that will help you avoid dangerous misuses of your credit line which might be toxic for your credit history.
- You can qualify with bad credit score or no credit history;
- Allows to upgrade to an unsecured card;
- No penalty APR.
- $29 annual fee;
- No rewards program;
- High purchase APR;
- Relatively high minimum deposit.
How to use this card
To start using this card you must deposit $300– $5,000 to your account. Your credit line will be equal to the deposit. U.S. Bank will report your payment history to all three credit bureaus, which is crucial for your credit history. If within first 12 month of account opening you manage your credit line in a proper way without late payments, your card may be upgraded to the unsecured one.
What important is that, unlike other credit cards, the U.S. Bank Secured Visa® Credit Card has an extended grace period. You can pay your bills within 30 days period while most of the other cards will give you only 25 days to pay. This difference might seem insignificant, but for some cardholders even a few additional days are crucial to meeting payment deadlines. This card also includes an option for automatic payments via free U.S. Bank’s FlexControl service. Free Auto Rental Insurance and Zero Fraud Liability services are coming together with this card.
How much it costs
Annual fee for this card is $29. Quite high variable 19.99% APR for purchases. For late or returned payments bank can charge you up to $37.
The bottom line
This secured credit card is a kind of “nothing to write home about”. It’s fine if your priority is just to to rebuild your credit history or to build one from zero. However, customers who are also interested in rewards programs and additional bonuses and perks might prefer to pay attention to other secured cards: check our list of the top 4 secured credit cards.