Secured Visa Cards

[TheRecessionista]

I need to rebuild my credit and a secured credit card is the best option for me right now. I went looking on the visa.ca and mastercard.ca websites looking for secured options. The mastercard website directed me to capitol one, but I didn't see any links on the visa.ca website.

Do you know of any major banks/companies that offer secured visa cards to restablish credit? I did a google search and only saw Home Trust, but I have now idea how reputuable this company is.

BTW: I have a bad credit history with PC financial mastercard and TD visa. Though those debts are paid off and accounts closed, I don't want to use CIBC & TD again.

Thanks,

The Recessionista

[brunes]

I need to rebuild my credit and a secured credit card is the best option for me right now. I went looking on the visa.ca and mastercard.ca websites looking for secured options. The mastercard website directed me to capitol one, but I didn't see any links on the visa.ca website.

Do you know of any major banks/companies that offer secured visa cards to restablish credit? I did a google search and only saw Home Trust, but I have now idea how reputuable this company is.


Is there some strange reason you want a secured Visa instead of a secured mastercard? Looking to purchase tickets to the Olympics with it or something, because that is the only reason I can fathom. Mastercard is accepted at more places in Canada than Visa is.

[TheRecessionista]

The reason why I want a Visa is because Capitol One secured Mastercards are only have $300 limits. I would like put a bigger security deposit so I could have a $1000 credit card. I want a $1000 credit limit because I plan on paying my Rogers bundle ($140/mo), metropass ($110/mo), groceries ($200-$225 /mo), and to use it in situations where using cash is not appropiate. I get paid every other week and would pay the balance off in full, but I want it so that whenever the credit card company reports information to the credit bureau, it shows credit utilization @ under 40%.

[jnight99]

FYI...

Capital One MC start at $300 (sometimes as low as $75) and can grow up to $5000 I believe, but depending on your credit worthiness, you may need to supply more liquid funds as security.

Generally speaking, they require a 1-1 ration for liquidity:granted credit.

[YYC27]

I had a secured visa with Home Trust for a while. They charge a monthly fee, and don't pay interest on your security deposit (anymore), but .... they're a company that provides a secured visa card. It's nothing fancy, or great, but it's there.

[brunes]

The reason why I want a Visa is because Capitol One secured Mastercards are only have $300 limits.
That's not true, you just need a bigger deposit.

At any rate you don't want a secured Visa so much as a secured CC from another bank with a higher limit. But if capital one won't giv eyou more than $300 it is doubtful anyone else will as the big banks are more strict.

FYI...

Capital One MC start at $300 (sometimes as low as $75) and can grow up to $5000 I believe, but depending on your credit worthiness, you may need to supply more liquid funds as security.

Generally speaking, they require a 1-1 ration for liquidity:granted credit.
Like he said.

[D582]

Just so you know, the TTC only lets you pay for Metropasses with cash or debit, unless something has changed very recently.

[mrwally]

Home Trust has the Visa like mentioned above, but you'll need $1000 minimum as security to get the same amount in credit line.

Go with the Capital One MC first...maybe you are misunderstanding the site - it says security required $75 or $300. It doesn't say anything about your credit limit. I applied a couple years back and was initially approved for a limit of $750 and they asked for security of only $75. About 6 months later they upped it to a $1500 limit with no requirement for more security funds.

[jnight99]

Home Trust has the Visa like mentioned above, but you'll need $1000 minimum as security to get the same amount in credit line.

Go with the Capital One MC first...maybe you are misunderstanding the site - it says security required $75 or $300. It doesn't say anything about your credit limit. I applied a couple years back and was initially approved for a limit of $750 and they asked for security of only $75. About 6 months later they upped it to a $1500 limit with no requirement for more security funds.

I looked at HomeTrust in the past... I didn't like the monthly fee, but I hear they are good at reporting to Equifax regularly.

An alternative I suggest is HorizonPlus.
http://www.horizonplus.ca/referral.aspx?RefCode=15346

[cybo]

Just so you know, the TTC only lets you pay for Metropasses with cash or debit, unless something has changed very recently.

You can buy them at certain stations using Visa/Mastercard/AMEX.

http://www3.ttc.ca/Fares_and_passes/Prices/Buying_tickets_tokens_and_passes.jsp

[liorsyncro]

I had a secured visa with Home Trust for a while. They charge a monthly fee, and don't pay interest on your security deposit (anymore), but .... they're a company that provides a secured visa card. It's nothing fancy, or great, but it's there.
It's a useless product. IIRC Capital One's secured M/C give you a limit up to $2500 (??) with no monthly fee. All one pays is just an annual fee of $59. Also, Capital One doesn't charge you the set-up fee that Home Trust does ($40). Capital One's interest is also lower, 19.8% compared to Home Trust's 24%, and for $10 more a year Capital One would provide the low rate option currently at 14.9% (not worth it if you're not going to be carrying a balance). For people who need a secured card, the Home Trust secured Visa is worth ****all.

Clarification: Capital One's minimum limit is $300. A deposit of $75 may be required if they're willing to give you the rest as an unsecured portion. If they're unwilling to do so then you're going to have to provide the $300 to get a $300 limit. They pay no interest on the deposit. In contrast, Home Trust wants $1000 minimum, which may help build your credit rating faster as it's a higher limit. But if you can afford to put $1000 down for a secured card, may as well save on the fees and go with Capital One. And no, I'm not a Capital One spokesperson. Hahaha......

A much better option for people is to get a secured credit card from their local bank and secure it with a GIC that does pay interest.

[castor]

Before choosing your secured CC you should ask the issuing bank if it will be possible to change it after 1 year to an unsecured one because that card will be your oldest card and you will not want to have it secured forever. Some secured CC cannot be converted into unsecured CC and you will lose your oldest card and your score will drop.

As other posters said in Hellfire's thred, BMO and TD offer secured cards, just go in a branch and ask them. I personally know someone who got a secured CC from BMO, you will just have to buy some king of investment and GIC. It's much easier to convert a big 5 CC to an unsecured one.