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Capital One Secured Mastercard
22 Jul 2018

Is a Capital One Secured Mastercard the Answer to Bad Credit?

Hearing their slogan, “What’s in your wallet?” may make you wonder if your wallet should have a Capital One Secured Mastercard inside. However, if you have bad credit, you may find that applying for credit cards is discouraging and shake the idea entirely.

Should you avoid applying for a credit card? Or, is a Capital One Secured Mastercard an excellent choice for bad credit? Let’s find out.

The details of a Capital One Secured Mastercard

You will receive an initial credit line of $200.00. You may, however, get increases as time goes on based on your on-time monthly payment history.

The details of this secured credit card are fairly simple and straightforward. To obtain, Capital One will require you to make an initial deposit. This amount will consist of $49.00, $99.00, or $200.00 and is what provides the security deposit for the credit card. The amount you will pay will be determined by Capital One and is based on your current credit situation.

There is no annual fee associated with this Secured Mastercard.

Capital One gives you the ability to select your own payment due date. This assures that your payment is due on a date that is most convenient for you – and the easiest time for your ability to pay.

There is an APR rate of approximately 24.99%. Unfortunately, Capital One does not offer any introductory APR or any interest-free time-frames for their Secured Mastercard.

The no-frills guarantee

The idea behind the Capital One Secured Mastercard is that it provides the consumer with the opportunity to rebuild credit with a reputable company. Perhaps that is why you will not find any frills here. For example –

  • There are no rewards programs associated with this card.
  • There is no introductory APR percentage offer.
  • You will find no deals for balance transfers.

If you are looking for a credit card that will get you airline miles or one that will pay you a percentage back for every dollar you spend, the Capital One Secured Mastercard is not it. But, if you are looking for a credit card to help you correct your past negative financial choices, then this may be right for you. It is help without all the frills and fluff.

Your opportunity presented by Capital One

Capital One offers you an opportunity to make a difference in your credit history. This reputable company will provide you with a credit card to give you what you need to increase your credit score. They will work with you over time in increasing your credit limit as long as you make it a priority to make your payments on time.

Of course, there are other companies that offer you the same sort of secured credit card. Some offer perks and others may offer a lower APR. Very few, though, offer you the name Capital One, which is highly recognized.

For those with a less-than-stellar credit rating, obtaining an unsecured credit card may not be an option. Further, depending on just how bad your credit is, many credit card companies may deny you credit. In addition, for them to fully review your application, they must pull your credit. With each inquiry, your credit is marked and this could, potentially, have a negative impact on your overall score.

Capital One Secured Mastercard, however, is different. It will allow you to obtain a credit card despite your poor credit. With a minimal chance for denial, there is a high chance you will obtain a card without having to deal with a declined application and another mark on your credit report.

If you are looking to turn your bad credit around and are ready to responsibly rebuild your credit, then the Capital One Secured Mastercard could be the perfect tool for you.