Because it doesn't require a credit history or credit score, secured credit cards are an appealing option for building a credit history.
How secured credit cards workTraditional credit cards use undisclosed mathematical algorithms that rope in credit score, income, and payment history to determine your credit limit.
Step 2: Find which secured credit card is right for youMost major credit card companies, including banks and credit unions, offer a secured credit card option.
Though secured credit cards offer a way to build credit, they are subject to the same rules as normal credit cards.
With little-to-no prior credit requirements, secured credit cards are one way to reestablish credit or start a credit history.