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Getting approved for a new credit card can seem like an uphill battle if you’ve had past credit struggles. Fortunately, you might qualify for certain credit cards even with poor credit.
Some card issuers offer secured credit cards, which require a deposit that typically serves as your credit limit. Because they’re backed by a cash deposit, these cards are generally easier to qualify for than traditional credit cards. That said, you’ll still need to meet specific income, debt, and other requirements to qualify.
If you’re in the market for a secured card, the Capital One Platinum Secured Credit Card is one option worth considering. Here’s what you need to know about this card’s deposit requirements, pros and cons, and who it’s best for.
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Benefits
- No annual or hidden fees; see if you’re approved in seconds
- Earn back your security deposit as a statement credit when you follow best practices, such as making payments on time
- Be automatically considered for a higher credit in six months with no additional deposit
More card details:
• Preapproval option: Capital One offers the chance to get preapproved for this card. This can help you better understand your odds of approval before you submit a formal application and undergo a hard credit check.
• Reports to credit bureaus: Capital One reports your Platinum Secured Card payments to the three major credit bureaus: Equifax, Experian, and TransUnion. If you make payments on time and in full each month, it could improve your credit score.
• Automatic credit limit reviews: Capital One automatically reviews your account twice a year to determine your eligibility for a higher credit limit.
• Option to upgrade with responsible use: If you use your card responsibly, you could get your security deposit back and upgrade to the unsecured version of this card, the Capital One Platinum Credit Card.
Deposit requirements
As with other secured cards, the Capital One Platinum Secured Card requires a security deposit. Depending on your creditworthiness, you’ll need to deposit $49, $99, or $200 to open an account. The card has an initial credit limit of $200, but you can increase that by depositing more money to reach the maximum $1,000 credit limit.
Your deposit is refundable if you close your account and pay off the balance in full. You can also receive a refund if you upgrade to an unsecured Capital One card.
Who is the Capital One Platinum Secured Card best for?
The Platinum Secured card from Capital One might be right for you if you have poor credit or a limited credit history. With responsible use and regular, on-time monthly payments, you could improve your score over time.
That said, the card has a high APR — 29.99% (variable) — so it could be an expensive choice if you typically carry a monthly balance. For context, the average credit card rate is around 21.59%, according to the Federal Reserve.
Despite a high rate, this card has minimal additional costs. Capital One is also transparent about its fees, so you won’t encounter any expensive surprises when using your card. There are no annual, foreign transaction, authorized user, or replacement card fees with this card, making it a decent choice if you want to minimize added expenses. Late payment fees of up to $40 apply, though.
Capital One Platinum Secured Credit Card pros
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It’s possible to get approved with poor credit
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Access to Capital One CreditWise to track your credit score over time
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Automatic consideration for credit limit increases every six months
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$0 fraud liability protection against fraudulent charges
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Can help you build credit if you use the card responsibly
Capital One Platinum Secured Credit Card cons
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High variable APR means expensive interest costs if you carry a balance
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Security deposit as high as $200 is required
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Relatively low credit limit compared to traditional credit cards
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No welcome offer, rewards program, or 0% introductory APR
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Late or missed payments could hurt your credit
Where can you use the Capital One Platinum Secured Credit Card?
The Capital One Platinum Secured Credit Card is a Mastercard, so you can make purchases wherever Mastercards are accepted — currently in 210 countries and territories globally. You won’t pay a foreign transaction fee if you use your card to make purchases outside of the U.S.
How to make a Capital One Platinum Secured Credit Card payment
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Online through your Capital One account or via the Capital One mobile app
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By mail:
Capital One
Attn: Payment Processing
PO Box 71087
Charlotte, NC 28272-1087 -
Over the phone: 1-800-CAPITAL (227-4825)
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In-person at a Capital One bank branch
Capital One Platinum Secured Credit Card customer service info
You can reach Capital One’s customer service team seven days a week from 8 a.m. to 11 p.m. EST by calling 1-877-383-4802 or get help by visiting Capital One’s online help center. For fraud support outside of regular business hours, call 1-800-655-2265 to reach an automated service 24 hours a day.
Alternative cards to consider
While the Capital One Platinum Secured Credit Card offers some perks, it also has a high APR, no rewards program, and a potentially costly security deposit. Here are some other credit cards to consider if it doesn’t sound right for you.
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Annual fee
$35
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Card type(s)
Secured, Credit-builder
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Ongoing Purchases APR
25.64% (variable)
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Recommended credit score
No credit check
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Rewards rate
- No credit check to apply
- No credit risk to apply
- 88% average approval rate
- $200 minimum security deposit
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Benefits
- Earn up to 10% cash back through the OpenSky Rewards program
- Graduate to an OpenSky Unsecured Gold Card in as little as 6 months
Why we like it: With the OpenSky Secured Visa Credit Card, you won’t be subject to a hard credit pull at all, even when you formally apply for the card. This is helpful if your credit score isn’t great to start, as it won’t dip further due to a hard check.
Like the Capital One Platinum Secured, this card could help you build credit. You’ll also be eligible for automatic credit line increases every six months and the option to potentially upgrade to an unsecured card.
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Annual fee
$0
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Welcome offer
None
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Card type(s)
Secured, Cash-back
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Purchase APR
29.99% variable
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Recommended credit score
Excellent, Good
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Rewards rate
- 5% unlimited cash back on hotels and rental cars booked through Capital One Travel
- 1.5% unlimited cash back on every purchase, everywhere
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Benefits
- No annual or hidden fees; see if you’re approved in seconds
- Earn back your $200 security deposit as a statement credit when you follow card best use practices, such as making payments on time
- Be automatically considered for a higher credit in six months with no additional deposit
Why we like it: The Capital One Quicksilver Secured Cash Rewards Credit Card might be a good choice if you have fair credit and want to earn cash back. This card offers some of the same benefits as the Capital One Platinum Secured, including no annual fee and automatic credit line reviews. But cardholders earn 1.5% unlimited cash back on every qualifying purchase.
The Quicksilver Secured requires a $200 security deposit, which is refundable with responsible card use. If you consistently make payments in full and on time, you could also upgrade to the unsecured version of this card.
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Annual fee
$0
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Welcome offer
None
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Card type(s)
Credit-builder
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Purchase APR
29.99% variable
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Recommended credit score
Fair, Good
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Benefits
- Be automatically considered for a higher credit line in as little as 6 months
- Get unlimited access to your credit score and access tools to help you monitor your credit profile with CreditWise
Why we like it: Those with fair credit may also consider the Capital One Platinum Credit Card, an unsecured card with no deposit required. This is the sister card to the Capital One Platinum Secured, so you’ll get many of the same cardholder benefits.
You won’t pay annual fees or foreign transaction fees with this card, and you’ll get access to CreditWise to stay on top of your credit score. Card members also benefit from $0 fraud liability protection and automatic consideration for credit limit increases.
Editorial Disclosure: The information in this article has not been reviewed or approved by any advertiser. All opinions belong solely to Yahoo Finance and are not those of any other entity. The details on financial products, including card rates and fees, are accurate as of the publish date. All products or services are presented without warranty. Check the bank’s website for the most current information. This site doesn’t include all currently available offers. Credit score alone does not guarantee or imply approval for any financial product.