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3. Capital One Platinum Secured Credit Card review: An opportunity to build or improve your credit health

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reviews

4.1

Rating: 4.1 out of 5.

Great for a lower security deposit

Annual Fee: $0

This content is curated by Intuit Credit Karma’s Editorial team using data from members who were approved for this card or similar cards, or who self-matched this card or similar cards. Intuit Credit Karma receives compensation from third-party advertisers, but that doesn’t affect our editors’ opinions. Our third-party advertisers don’t review, approve or endorse this content. Information about financial products not offered on Credit Karma is collected independently. Our content is accurate to the best of our knowledge when posted.

Here’s the average credit limit of members who matched their Capital One Platinum Secured Credit Card or similar cards.

% of members by credit limit range

The average credit limit for members who have matched with this card or similar cards is $2,464, with $300 being the most common.

Here’s the average credit score of members who matched their Capital One Platinum Secured Credit Card or similar cards.

% of members by credit score range

The average credit score for members who have matched with this card or similar cards is 613, with 570 being the most common. Note this is just one of the deciding factors when it comes to getting approved.

Member stats

Updated daily

47.5%

Average credit utilization (or what percent of the card’s credit limit is being used) of members who matched with this card or similar cards.

41 years

Average age of members who matched this card or similar cards.

$71,881

Average annual income of members who matched this card or similar cards. Note: Income may be estimated for some members by Credit Karma and may differ from members’ actual incomes.

Pros and cons

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Potential for a low security deposit

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Ability to earn back your security deposit

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Automatic credit line review in as few as six months

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All cardholders receive the same low initial credit limit

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High purchase APR

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No rewards

Capital One Platinum Secured Credit Card: What you need to know

The Capital One Platinum Secured Credit Card is one of the top options for people who want to rebuild their credit history or establish a positive credit file. Capital One reports to the three major credit bureaus — Equifax, Experian and TransUnion — meaning you can help build your credit by making payments on time and in full and keeping your credit utilization low.

Before you apply for the card, here are some of its core features to know.

Potential for a low security deposit

Like other secured credit cards, the Capital One Platinum Secured Credit Card requires a refundable security deposit to open your account, which isn’t ideal for many people.

But this card stands out because it offers cardholders the chance to get an initial credit line of at least $200 for a minimum security deposit of $49, $99 or $200. With other cards, your credit limit often equals the amount of your deposit.

The chance for a lower deposit depends on your credit health, though, so there’s no guarantee you’ll qualify for a lower one.

Ability to earn back your security deposit

Capital One also offers the chance to refund your deposit without requiring you to close the account. The issuer notes that using your card “responsibly” — which often means making on-time payments — can boost your odds of getting your money back in the form of a statement credit, converting the card into an unsecured credit card. Consider setting up autopay on your account to help make sure you make your payments on time.

Low initial credit limit

While your security deposit may end up being lower than you’d have to pay with other secured cards, your credit limit may be lower than with other secured cards, too. The initial credit line for the Capital One Platinum Secured Credit Card is at least $200 — though you can increase your limit to up to $1,000 by making an additional deposit before activating your card.

Automatic credit line reviews

In as few as six months after you get the card, Capital One may start reviewing your account to determine whether you qualify for a higher credit limit, based on your payment history and credit. If you do, you won’t need to put up more deposit money to get it, making your card partially unsecured.

These automatic credit line reviews are a standout feature of the Capital One Platinum Secured Credit Card. With many secured card issuers, you need to request a credit limit increase or make a larger security deposit to get a higher credit limit.

High interest rate for purchases

The Capital One Platinum Secured Credit Card doesn’t charge an annual fee or even a foreign transaction fee. But if you carry a balance from one month to the next or get a cash advance, you’ll be slapped with a high 29.74% variable APR. If you want to avoid interest charges, make it a goal to pay off your balance on time and in full every month.

No ability to earn rewards

The Capital One Platinum Secured Credit Card doesn’t offer an opportunity to earn rewards such as cash back. This isn’t unusual — rewards aren’t usually standard on a secured credit card —but it’s worth knowing that some card issuers do offer them.

If you’d like to also earn some cash back as you build or rebuild your credit, expand your search a bit to find the right card for you.

What else you need to know about Capital One Platinum Secured Credit Card

Here are some other things you’ll want to keep in mind.

• Even though the Capital One Platinum Secured Credit Card is secured, not everyone will qualify.
• You can apply for preapproval on the Capital One website to see if you might qualify for the card. Just keep in mind that preapproval doesn’t guarantee that you’ll be approved.
• You won’t be charged a penalty APR if you miss a payment, but you could be hit with a late fee of up to $40.

Who this card is good for

The Capital One Platinum Secured Credit Card is designed to help people build or rebuild their credit. It’s bare-bones in terms of perks, but making on-time payments can set you up to get approved for better cards in the future.

The card is an especially good fit for someone who doesn’t want to tie up their security deposit money. With some other credit card issuers, you have to close your account to get your cash back. But closing a credit card account can have a negative impact on your credit scores, so having a card that can be converted to an unsecured card could be a better bet.

The Capital One Platinum Secured Credit Card may not be the card for you if you plan to carry a balance from month to month or want the ability to make a larger purchase on a secured card. The card’s interest rate is high, and the initial credit limit is lower than some other secured cards.

Not sure this is the card for you? Consider these alternatives.

If you aren’t sure whether the Capital One Platinum Secured Credit Card is right for you, here are a couple of other options to consider.

• Discover it® Secured Credit Card: This card could be good if you want to build credit while earning cash back rewards on your purchases.
• Petal® 1 Visa® Credit Card: This card may be a fit if you want to rebuild your credit but don’t want a secured card.