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How Quick Will My Credit Score Increase With a Secured Credit Card



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By : Darin Sewell    99 or more times read


Secured credit cards are a great way to build credit but many people wonder how quick will my credit score improve with a secured credit card? This is one of the biggest questions on peoples minds when they are trying to rebuild their credit rating with a secured charge account.

This is a question that has many variables that need to be considered before you can determine how fast your scores will improve when using a secured credit card. To help you understand these variables, will be covered below.

The first thing that will impact how quickly your credit scores increase with a secured credit card is if you pick the right card for the job. You may think that all secured credit cards are the same but in reality they are not and there is one very important difference that can make or break your efforts.

When it comes to secured credit cards the biggest difference is that some of them do not report to the major credit bureaus and function only as pre-paid debit cards. If you get this type of account your credit scores will never get a boost, so make sure to chose agood secured card that reports to the major credit bureaus!

The next most important thing is the manner in which you use your new secured credit card. If you just run out and start charging up a balance, your scores will not rise. In fact if you take your balance over 45% of the limit, your credit score will actually start to drop. So make sure to spend wisely and always try to pay your balance off in full each month.

And the last critical part of the equation is a how timely you make your payments. If you get the right secured credit card spend wisely and then make a late payment all your efforts will be wasted.

This is critical because a single 30 day late payment on your credit report will drop your credit scores by 50 pints or more and it will remain on your credit report for 12 months. So stay vigilant on you payment or sign up for the automatic payment plan that most lenders offer.

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