Santa Claus comes around just once a year. In the meantime, there are Credit Cards.
  • Credit Card BYTES FROM OUR KITCHEN

    What Is A Secured Credit Card?

    A secured credit card is one that is availed on the back of a cash deposit. The deposit serves as the credit limit for the cardholders. Secured credit cards are best for those who don’t have a good credit score. Banks and financial institutions offer credit cards to such individuals based on their deposit as it reduces the risk for them. If the cardholder's default on the payments, banks can deduct the amount from the deposit. Secured Credit cards enables individuals to build up their credit score and make them eligible for availing regular credit cards.

    Difference Between Secured Credit Cards And Unsecured Credit Cards

    The main difference between secured cards and unsecured cards is that for availing a secured credit card one needs not have a good credit score while for unsecured cards it is a must have. For unsecured credit cards, an applicant needs not put in a deposit which acts as the credit limit whereas that is prime criteria for availing a secured card. Apart from this, there are other differences as well like in annual fees, interest rates etc.

    How Does Secured Credit Cards Work?

    A secured credit card works just like an unsecured credit card after the initial deposit is being made. The holder of the secured credit card can use it online as well as in places which accepts credit cards. As mentioned earlier, an individual can build up the credit score by using the card responsibly and make himself/herself eligible for unsecured credit cards.

    Applying For A Secured Credit Card

    Secured credit cards are a type of credit cards that allow people with zero credit history or no credit score to get a credit card. However, in order to avail a secured credit card, individuals needs to shell out some amount towards a fixed deposit. The bank will consider the fixed deposit as a security deposit for a credit card and issue the card.

    The credit limit on secured credit cards is typically a percentage of the fixed deposit amount. In case, the credit cardholder defaults the payment, the bank will break the fixed deposit.

    Once the cardholder uses the secured credit card for a specified amount of time, say for instance, one year, the bank may consider releasing the FD. However, during the one year period all the credit card should be active, dues on the cards should be cleared on time, and the spending pattern on the card should also be impressive.

    Availing a secured credit card also allows the individuals with zero credit history to build a credit history. Thus built credit score would further allow them to get access to other kind of loans including personal loan, home loan, auto loan, etc.

    What To Watch For?

    Though Secured credit cards come with no annual fee, the cardholders need to be wary of other kinds of fees that comes with the card. Other fees which takes into account late fees, returned payment fees among others can take a toll on the fees paid to avail the card.

    How To Use The Secured Credit Card?

    When we talk about using the secured credit card, one to avails the card need not utilize the credit amount that he/she is eligible for. By not utilizing the entire credit limit helps them to build up their credit. Apart from that, paying the monthly dues on time also helps in using the card responsibly and in the process build up a good credit score which will enable them in availing unsecured credit cards in the future.

    Features Of Secured Credit Cards

    Secured credit cards come with certain features that an individual needs to be aware of. Some of them are mentioned below:

    • The first feature which makes it a preferred choice is that applicants are not needed to provide additional enquiries of their credit history.
    • The approval process is fast as the banks are already risk free considering that the individuals are offered the cards on the back of a security deposit.
    • Certain banks offer interest on the security deposit. This enables the applicants of secured credit cards to earn interest on their deposit as well as avail the benefits of credit cards.
    • Some secured credit cards come with a grace period. This feature helps individuals to get a few extra days to make their payments, if there is a delay in making the due payments.
    • With banks reporting about secured credit cards to credit bureaus, individuals who manage their cards effectively stand a good chance of availing loans and unsecured credit cards in the future.

    Top Secured Cards Available In The Market

    Secured credit cards are offered by almost all banks and financial institutions, however one should avail one from banks which has a good credit value attached to them. Here, we have mentioned the features and benefits of the most sought after secured cards offered by SBI and ICICI.

    SBI Advantage Plus Card

    This card is one of the most sought after secured credit card. It is because it offers much more benefits than a regular credit card. The card which can be used both nationally and internationally offers credit limit up to 85% of the amount deposited in the FD account.

    Features of SBI Advantage Plus Card

    • Extended credit option which allows the cardholders to pay the minimum amount and carry forward the remaining amount at the low charge of 2.25% per month.
    • Cash withdrawal limit is up to 100% of the credit limit and offers the cardholders flexible payment options.
    • Comes with ‘Easy Money’ facility which enables the cardholders to get a demand draft or cheque delivered to their address provided in the application form.
    • Cardholders can transfer credit from other credit cards at nominal processing fee.
    • Individuals who avail this card become eligible for an Encash facility of either Rs. 25,000 or Rs, 50,000. A Fixed Deposit is opened in their name with they being billed Rs. 2,500 or Rs. 5,000 as EMI for 11 months.

    Benefits of SBI Advantage Plus Card:

    • Can be used at more than 1 million Visa or MasterCard ATMs globally.
    • Transactions can be converted into EMIs using the Flexipay option.
    • Interest is provided on the fixed deposit after 555 days.
    • Can share the benefits of the card with other supplementary cards in the family.

    ICICI Bank Coral Credit Card

    Like the SBI Advantage Plus card, this card offered by ICICI bank offers credit limit up to 85% of the fixed deposit. For an individual to avail the card, one needs to have Rs. 20,000 in his/her fixed deposit account for a period of 180 days.

    Features of ICICI Bank Coral Credit Card:

    • To avail the card, one needs to provide only ID proof.
    • Cardholders receive a welcome benefit worth Rs. 999 from Provogue
    • Reward points can be converted into cash and gift vouchers.
    • Comes with a permanent microchip that ensures secure transactions

    Benefits of ICICI Bank Coral Credit Card

    • Joining fee is very low with only Rs. 500
    • ‘Buy one movie ticket and get one absolutely free’ offer can be availed all through the week.
    • Double reward points can be earned when the card is used at supermarkets and for dining purposes.
    • Free airport lounge access
    • 15% discount on food can be availed at 800 listed restaurants.

    ICICI Bank Instant Platinum Credit Card

    This card is for those who have minimum credit card requirement. The card is offered by ICICI bank to offer the best to their fixed deposit customers. To avail the card, an applicant needs to have a minimum fixed deposit of Rs. 20,000.

    Features of Instant Platinum Credit card:

    • No need to provide additional address, ID or income proof.
    • The interest rate on this card is 2.5% per month.
    • The card comes with 3 built-in microchips to offer highest security.

    Benefits of Instant Platinum Credit card:

    • Cash withdrawal up to 100% of the credit limit.
    • Free credit time period of up to 50 days.
    • Fuel charge waiver of 2.5% on all transactions.

    Secured Credit Card Reviews

    • HDFC Bank Credit Card
      "Good in all"
      0.5 5.0/5 "Blown Away!"
      HDFC Bank has offered me a credit card and the customer services are good. They also provide me with good offers and a very good credit limit. It is a smooth process while using the card, I never faced any hassles in the overall process till date.
      Was this review helpful? 0
      , kolkata
      Reviewed on Mar 22, 2019
    • Citibank Credit Card
      "Experience is good"
      0.5 5.0/5 "Blown Away!"
      Citibank has been overall good in the customer services. The online banking is good and the credit card offers are also good. The statements are also good and the billing is also in a timely manner. The credit limit is also fine and there are no charges taken for the card.
      Was this review helpful? 0
      , kolkata
      Reviewed on Mar 22, 2019
    • ICICI Bank Credit Card
      "Average"
      0.5 3.5/5 "Pretty good"
      I have been using ICICI Platinum card for more than 1.5 years. The credit limit is low which they need to increase. IVR takes longer time for the connectivity also they need to improve the service. There is no annual charge for this credit card.
      Was this review helpful? 0
      , bangalore
      Reviewed on Mar 22, 2019
    • RBL Bank Credit Card
      "Good card for the withdrawal"
      0.5 5.0/5 "Blown Away!"
      From RBL I have et money card it gives the flexibility of taking the cash without any interest. I can withdraw the maximum of 100%, the credit limit is also satisfactory with RBL card. One month back I got the card, the due date is convenient for me.
      Was this review helpful? 0
      , pune
      Reviewed on Mar 22, 2019
    • HDFC Bank Credit Card
      "Recommendable Card"
      0.5 5.0/5 "Blown Away!"
      I get 10x points from HDFC card based on the spends, In fact the cash back is also excellent. The customer support is good for the credit card queries, but there is a long queue to connect with the executive. They don't have direct contact no, first I need to verify my details in IVR, then again the executive verify it, therefore the process should be simple.
      Was this review helpful? 0
      , pune
      Reviewed on Mar 22, 2019
    • Citibank Credit Card
      "Good card for all transaction"
      0.5 5.0/5 "Blown Away!"
      I have reward points from CITI bank, I get more bonus points on the transactions, they give cash back offers for some transaction, I don't what to call them everything is prefect, the interest is also reasonable, I am using life time free credit card.
      Was this review helpful? 0
      , pune
      Reviewed on Mar 22, 2019
    • HDFC Bank Credit Card
      "Need to increase the limit"
      0.5 5.0/5 "Blown Away!"
      I have HDFC Bharath credit card and using it for past 1.5years. The service is excellent and they are not charging high for the late payments. The credit limit is average and they need to enhance the limit. It is a life time free credit card. There was no much offers.
      Was this review helpful? 0
      , vadodara
      Reviewed on Mar 22, 2019
    • Bank Bazaar Credit Card
      "Simple method for getting credit card "
      0.5 5.0/5 "Blown Away!"
      Through Bank bazaar it is a simple process of getting the credit card in quick time .It hardly took 1 week of time in Online method . I came to know bank bazaar through SMS . Customer executive guided about the various credit card in online . Mobile app is also user-friendly .
      Was this review helpful? 0
      , kolkata
      Reviewed on Mar 22, 2019
    • Axis Bank Credit Card
      "Good card"
      0.5 4.0/5 "Great!"
      Axis Bank has offered NEO credit card and am using it for past 6 months. The credit limit is sufficient for the beginner, its 40K. The rate of interest is too high for late payment charges which they need to reduce. It is a life time free credit card.
      Was this review helpful? 0
      , vadodara
      Reviewed on Mar 22, 2019
    • IndusInd Bank Credit Card
      "Online shopping and EMI is major advantage"
      0.5 5.0/5 "Blown Away!"
      I recently applied for the Indusind bank credit card in the on-line method . Within 10 days of time ,I got a good response till the time of dispatchement of my card . No annual fees for this card . The main plus point with Indusind bank credit card is the on-line shopping .
      Was this review helpful? 0
      , kolkata
      Reviewed on Mar 22, 2019
    • Kotak Credit Card
      "Good Card with Kotak"
      0.5 5.0/5 "Blown Away!"
      I am using Kotak Mahindra card for around two years, I have salary account hence everything is fine for me. The credit limit is not good because they gave only Rs.22,000, they need to enhance the card limit. I have master card and the accessibility is great.
      Was this review helpful? 0
      , faridabad
      Reviewed on Mar 22, 2019
    • RBL Bank Credit Card
      "Average Credit card"
      0.5 5.0/5 "Blown Away!"
      Almost it is going to be 3 months since I started to use this RBL credit card . Normally I will do most of the shopping Off-line .Offers are on-line and it is up to the expectation . RBL mobile app is very easy for making the payment and downloading the statement .
      Was this review helpful? 0
      , ahmedabad
      Reviewed on Mar 22, 2019
    • Axis Bank Credit Card
      "Credit limit is not sufficient "
      0.5 5.0/5 "Blown Away!"
      For the past 6 months, I am using the AXIS bank credit card . My credit limit is around 25 k only . But this credit limit is very insufficient to use .I am not getting any notification about the various offers in on-line . Annual fees is around 499 - .
      Was this review helpful? 0
      , ahmedabad
      Reviewed on Mar 22, 2019
    • Axis Bank Credit Card
      "EXCELLENT"
      0.5 5.0/5 "Blown Away!"
      I have been using the credit card with the AXIS BANK the card is user friendly to use. The credit limit with this card is satisfactory added on that the offers with this card is good. I am using it from last few years with this card. There is a EMI conversion option but there is no balance transfer option with this card.
      Was this review helpful? 0
      , bhopal
      Reviewed on Mar 22, 2019
    • ICICI Bank Credit Card
      "BETTER"
      0.5 3.5/5 "Pretty good"
      I am not satisfied with the credit card that i am using it with the ICICI BANK because the credit limit with this bank card is not satisfactory also there are no offers available with this credit card. There is a EMI conversion option with this credit card which is good also it is easy to convert.
      Was this review helpful? 0
      , bangalore
      Reviewed on Mar 22, 2019
    • HDFC Bank Credit Card
      "BETTER"
      0.5 3.5/5 "Pretty good"
      I have a credit card with the HDFC BANK the credit limit with this bank they have offered is average and i am not getting any offers with this bank. There is a EMI conversion option with this bank it is good and easy to convert with this bank credit card.
      Was this review helpful? 0
      , bangalore
      Reviewed on Mar 22, 2019
    • ICICI Bank Credit Card
      "Excellent Service"
      0.5 5.0/5 "Blown Away!"
      It has almost been ten months since i am using this credit card and the services which they had provided me has been pretty good. But the credit limit with the card has been less and there has not been any annual charges with this card. I had been using this credit card for all sort of purposes.
      Was this review helpful? 0
      , bangalore
      Reviewed on Mar 22, 2019
    • HDFC Bank Credit Card
      "Excellent card"
      0.5 5.0/5 "Blown Away!"
      HDFC has given me a Money Back credit card and using it for past three years. I am happy with the credit limit. There was no annual charges and am paying monthly due. The charges are reasonable for EMI conversion. I got reward points but my sister use to redeem so have no idea.
      Was this review helpful? 0
      , bangalore
      Reviewed on Mar 22, 2019
    • IndusInd Bank Credit Card
      "Excellent Service"
      0.5 5.0/5 "Blown Away!"
      I am just using this credit card for the last one week and the services which they had provided so far has been pretty good. They had given me with a good credit limit and it does not have any sort of annual charges. I am using this credit card for all sort of purposes.
      Was this review helpful? 0
      , bangalore
      Reviewed on Mar 22, 2019
    • RBL Bank Credit Card
      "Good for all transaction"
      0.5 4.0/5 "Great!"
      I am holding RBL bajaj credit card, features are like the monthly benefits which they give like surcharges on the products, extra points on the shopping with the air lounges. The limit is very satisfied with RBL credit card, I am happy with it.
      Was this review helpful? 0
      , hyderabad
      Reviewed on Mar 22, 2019
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