Last Updated on June 24, 2024 by Archie Biggs
- No Annual Fee with this card
- Free Credit Score:
- No foreign transaction fee
- Earn 2% cash back at gas stations and restaurants
- 1% on all other purchases
- Discover matches all cash back after year 1
- High APR
- Requires Minimum Deposit
Smart Promise
we strive to help you make smarter financial decisions. While we adhere to strict editorial integrity, this post may contain references to products from our partners. Here’s an explanation for how we make money . The content on this page is accurate as of the posting date; however, some of the offers mentioned may have expired. Terms apply to the offers listed on this page. Any opinions, analyses, reviews or recommendations expressed in this article are those of the author’s alone, and have not been reviewed, approved or otherwise endorsed by any card issue
| Purchase Intro Apr | Balance Transfer | Regular APR | Annual Fee | Cash Back | Credit Needed |
|---|---|---|---|---|---|
| N/A | 10.99% intro on Balance Transfers for 6 months |
28.24% (Variable) | $0 | N/A | Poor |
Bottom Line
What if rebuilding your credit was as simple as climbing a ladder? The Discover it® Secured Credit Card is designed to help you ascend from bad credit to financial stability. Like a sturdy ladder, this card provides a solid foundation with its no annual fee and cash back rewards, making the climb to better credit smoother and more rewarding. Whether you’re new to credit or looking to repair past mistakes, this card offers the rungs you need to climb toward your financial goals.
Discover it® Secured Credit Card- OverView
How Discover it® Secured Stands Out
Discover it® Secured is special because it doesn’t require a credit check. It also offers cash back rewards on every purchase, which is rare for secured cards. Plus, after seven months, Discover reviews your account to see if you qualify for an unsecured card, allowing you to upgrade if you’ve been responsible.
The Benefits of Discover it® Secured
Cash Back Rewards: Earn 2% cash back at gas stations and restaurants (up to $1,000 each quarter) and 1% on all other purchases. Discover matches all the cash back you earn at the end of your first year.
No Annual Fee: Save money because there are no yearly fees to worry about.
Credit Building: By using the card responsibly, you can improve your credit score. Discover reports your activity to all three major credit bureaus.
Earning Cash Back on Every Purchase
With Discover it® Secured, you earn cash back on every purchase. Use your card for everyday expenses like gas and dining to maximize your rewards. The cash back you earn can be redeemed for statement credits, direct deposits, or gift cards.
No Annual Fee and How It Saves You Money
One of the best things about Discover it® Secured is that it has no annual fee. This makes it affordable, especially if you don’t have a lot of extra money. Without an annual fee, you can focus on rebuilding your credit without added costs.
Building Your Credit with Discover it® Secured
To build your credit, use the card responsibly and pay your bill on time every month. Keep your credit utilization low by not maxing out your limit. Over time, this responsible behavior will help improve your credit score.
The Role of Refundable Deposits
The refundable deposit is key to secured cards. It sets your credit limit and acts as collateral for the bank. When you close your account in good standing, you get your deposit back. This deposit allows you to start building credit.
Automatic Review for Upgrade to Unsecured Card
Discover it® Secured offers automatic reviews starting at seven months. If you’ve been responsible with your credit, you could be upgraded to an unsecured card. This upgrade can offer more benefits and a higher credit limit.
Utilizing Your Card for Maximum Benefits
Use your card for everyday purchases to earn cash back. Pay off your balance each month to avoid interest and keep your credit utilization low. This will help you stay in good standing and make the most of the card’s benefits.
Best Practices for Gas Stations and Restaurant Spending
To maximize your rewards, use your card at gas stations and restaurants. Pay off your balance each month, keep your credit utilization low, and take advantage of bonus categories.
Tips for Maximizing the Cash Back Match Feature
To make the most of the cash back match, use your card for all eligible purchases, take advantage of bonus categories, and pay your bill in full each month. This way, you can double your cash back at the end of the first year.
Additional Features That Make a Difference
Discover it® Secured offers more than just cash back. You get free access to your FICO credit score, no foreign transaction fees, and strong online privacy protection.
Free Access to Your FICO Credit Score
With this card, you can check your FICO score for free. This helps you see your progress and make better financial decisions.
Leveraging No Foreign Transaction Fees
Use your card for purchases in other countries without worrying about extra fees. This is great for travelers and those who shop internationally.
Transitioning to an Unsecured Card
After showing responsible credit behavior, you may be upgraded to an unsecured card. This means no deposit and usually a higher credit limit.
What Happens During the Automatic Review?
During the automatic review, Discover checks your credit score, payment history, and credit usage. If everything looks good, you could be upgraded to an unsecured card.
Preparing for the Transition: Tips and Tricks
To prepare for an upgrade, always pay on time, keep your credit utilization low, monitor your credit report, and work on improving your credit score.
Protecting Your Online Privacy
Discover it® Secured uses encryption and secure connections to protect your information online. They also monitor for fraud and suspicious activity.
How Discover Helps Protect Your Online Data
Discover uses strong security measures to keep your data safe. They monitor for unusual activity and have protocols in place to handle any issues quickly.
The Importance of Online Security in Today’s Digital Age
Online security is crucial. Use strong passwords, avoid suspicious sites, and regularly check your accounts for any strange activity to keep your information safe.
Cardholder perks
A 24/7 on-demand referral dispatch network that provides emergency roadside assistance,
How the Discover it® Secured Credit Card compares to other Secured Credit cards
The Discover it® Secured Credit Card excels in its rewards program and additional benefits like the cash back match after the first year, making it a strong choice for those looking to maximize rewards while rebuilding credit. The Capital One Platinum Secured Credit Card is great for those needing a lower initial deposit and quick credit line increases, while the Bank of America® Travel Rewards Secured Credit Card caters to frequent travelers seeking a solid rewards program without an annual fee. Each card has its unique strengths, making them suitable for different financial needs and goals.
Discover it® Secured Credit Card
- See Rates & Fees, Terms Apply
- APPLY ON DISCOVER’S
SECURE SITE
$0
Cashback Match™
1% to 2%
Poor (300 – 629)
Capital One Platinum Secured Credit Card
- See Rates & Fees,Terms Apply
- APPLY ON CAPITAL ONE’S
SECURE SITE
$0
N/A
N/A
Poor (300 – 629)
bank of america
Bank of America® Travel Rewards Secured Card
- See Rates & Fees, Terms Apply
- APPLY ON BANK OF AMERICA’S
SECURE SITE
$0
N/A
N/A
Poor (300 – 629)
Discover it® Secured vs. Capital One Platinum Secured Credit Card
Both cards offer valuable benefits for those looking to build or rebuild their credit. The Discover it® Secured Credit Card shines with its cash back rewards and the cash back match after the first year, making it a great option for those who want to earn rewards while improving their credit. On the other hand, the Capital One Platinum Secured Credit Card is excellent for those who need a lower security deposit and are looking for a straightforward, low-cost option to start building credit quickly. Each card has unique features that can cater to different needs and financial situations.
Discover it® Secured vs. Bank of America Travel Rewards Secured Credit Card
Both cards offer valuable benefits for those looking to build or rebuild their credit. The Discover it® Secured Credit Card shines with its cash back rewards and the cash back match after the first year, making it a great option for those who want to earn rewards while improving their credit. On the other hand, the Bank of America® Travel Rewards Secured Credit Card is excellent for those who want to earn travel rewards with every purchase and value a straightforward points system. Each card has unique features that can cater to different needs and financial situations.
Understanding Secured Credit Cards
Secured credit cards are like training wheels for your credit. They help you learn how to manage credit responsibly. You make a refundable security deposit, which sets your credit limit. This deposit acts as a safety net for the bank. By using the card wisely and paying on time, you can build a positive credit history.
The Basics of a Secured Credit Card
A secured credit card requires a refundable deposit. This deposit becomes your credit limit. Use the card like a regular credit card, make timely payments, and your good behavior is reported to major credit bureaus. This helps you build or rebuild your credit score. Remember, it’s not a prepaid card—you must pay off your purchases each month.
Our Two Cents: Is the Discover it® Secured credit card worth it?
Just as a reliable ladder helps you reach new heights, the Discover it® Secured Credit Card can elevate your financial standing. With its cash back rewards, no annual fees, and the potential to upgrade to an unsecured card, it’s a powerful tool for improving your credit score. By using this card responsibly, you can ascend step by step toward a brighter financial future, enjoying the benefits and security it offers along the way. Start your climb today and reach new financial heights with Discover it® Secured.
The Discover it® Secured card stands out from other credit cards with its impressive cash back program. You’ll earn 2% back at gas stations and restaurants (up to $1,000 per quarter) and 1% on other purchases, a significant benefit for a secured card. Additionally, the cash back match after the first year is a generous perk, making it attractive to those aiming to maximize rewards while rebuilding credit. The free credit score feature also helps you track your progress.
Frequently Asked Questions
What is the Minimum Deposit Required for Discover it® Secured?
The minimum deposit for the Discover it® Secured card depends on the credit limit you want. You need to make a refundable security deposit that acts like a safety net for your credit line. The deposit amount can vary, but it usually matches or is slightly more than your chosen credit limit. You get this deposit back when you close your account in good standing.
How Long Does It Take to Upgrade to an Unsecured Card?
The time it takes to upgrade to an unsecured card with Discover it® Secured can be different for each person. Discover checks your account automatically to see if you qualify for an upgrade. They look at things like your credit score, payment history, and how much of your credit you’re using. If you show responsible credit behavior and keep your account in good standing, you might qualify for an upgrade in as little as 8 months.
Can I Earn Cash Back on All Purchases with Discover it® Secured?
Yes, you can earn cash back on all purchases with the Discover it® Secured card. The card offers a cash back program where you earn a percentage back on everything you buy. You can collect these cash back rewards and use them for statement credits, direct deposits, or gift cards.
What Makes Discover it® Secured Different from Other Secured Cards?
Discover it® Secured is different from other secured cards for several reasons. It gives you cash back rewards on every purchase, has no annual fee, and offers automatic reviews for a possible upgrade to an unsecured card. These features make it a great choice for people who want to build their credit while enjoying the perks of a cash back program.
How Does Discover it® Secured Help Improve My Credit Score?
The Discover it® Secured card helps improve your credit score by reporting your activity to all three major credit bureaus. By using the card responsibly, keeping your credit use low, paying on time, and building a positive payment history, you show that you can manage credit well. This responsible behavior can help boost your credit score over time.
