What the Navy Federal Secured Card Does
Navy Federal Credit Union's Secured Visa Card is a credit card backed by cash you deposit into a savings account. You put money down — typically $500 to $10,000 — and that amount becomes your credit limit. You use the card like any other credit card, make monthly payments, and the card reports your payment history to the three major credit bureaus. After you demonstrate responsible use over time, Navy Federal may convert it to an unsecured card and return your deposit.
This card is designed for people building credit from scratch or rebuilding after past problems. It's not a debit card — you're borrowing against your deposit and paying interest if you carry a balance, just like a regular credit card. The deposit stays in the account and earns a small amount of interest while it secures your credit line.
Key Takeaways
- You must be a Navy Federal member to open the Secured Card, which requires membership in the military, Department of Defense, or certain veteran and family categories.
- Your cash deposit becomes your credit limit, ranging from $500 to $10,000 depending on what you deposit.
- You pay an annual fee and interest on any balance you don't pay off each month, just like a standard credit card.
- Navy Federal reports your on-time payments to credit bureaus, which helps build or rebuild your credit score over months of responsible use.
- After 12 to 24 months of good payment history, you may be able to convert to an unsecured card and get your deposit back.
Who Can Open a Navy Federal Secured Card
You must be a Navy Federal Credit Union member to open this card. Navy Federal membership is open to active-duty military, retirees, veterans, Department of Defense civilians, and certain family members of military personnel. If you're not already a member, you'll need to join Navy Federal first — membership itself is free, though some accounts have monthly maintenance fees that are waived if you meet balance or deposit requirements.
You'll also need to meet Navy Federal's standard credit card requirements: you must be at least 18 years old, a U.S. citizen or permanent resident, and have a valid Social Security number. Navy Federal will check your credit report, but because this is a secured card, approval is much more likely than with an unsecured card, even if your credit score is low or you have past problems on your record.
How to Become a Navy Federal Member First
If you don't have a Navy Federal account yet, you'll open one before you can explore for the Secured Card. Visit navyfederal.org or call Navy Federal at 1-888-842-6328 to start the membership process. You can open a membership account online if you meet the may be able to access requirements — the site will walk you through confirming your military or DOD status.
Once your membership account is open, you can then explore for the Secured Card through the same website or by phone. Some people complete both steps in one session; others open membership first and explore for the card later. Either way, you'll need an active Navy Federal account before the card process can move forward.
What You Need to explore
Have these items ready when you explore:
- Your Social Security number
- A government-issued photo ID (driver's license, passport, or military ID)
- Proof of current address (utility bill, lease, or bank statement from the past 60 days)
- Information about your income (recent pay stub or tax return)
- The amount you plan to deposit as your security deposit ($500 to $10,000)
Navy Federal will pull your credit report during the process, so you don't need to provide a credit report yourself. The deposit can come from a Navy Federal savings account you already have, or you can fund it as part of the process process. If you're explore online, you'll upload documents or provide information directly in the process form.
Costs and Fees You'll Pay
The Navy Federal Secured Card charges an annual fee — the exact amount varies, so check the current rate on navyfederal.org or ask when you explore. There is no annual fee waiver, so you'll pay this every year the account is open. If you carry a balance from month to month, you'll also pay interest at Navy Federal's current APR for the card.
There are no process fees, no deposit fees, and no monthly maintenance fees. Late payments may trigger a late fee if you miss a due date. If you go over your credit limit, Navy Federal may charge an over-limit fee, though you can often prevent this by declining over-limit transactions.
The deposit itself earns a small amount of interest while it sits in the account, which offsets a tiny portion of the annual fee but not all of it. Think of the annual fee as the cost of building credit through this card.
How the Card Converts to Unsecured Status
Navy Federal doesn't publish a fixed timeline, but many cardholders see conversion offers after 12 to 24 months of on-time payments and responsible use. "Responsible use" typically means paying your full balance or at least making all payments on time, keeping your balance well below your limit, and not missing any due dates.
When Navy Federal decides you're ready, they'll contact you with a conversion offer. If you accept, the card becomes unsecured — meaning it's no longer backed by your deposit — and your deposit is returned to your savings account. You'll keep the same card number and account, but the credit limit may change. Some people see their limit increase; others see it stay the same.
Conversion is not automatic, and Navy Federal makes the decision based on your account history. If you don't receive an offer after two years, you can contact Navy Federal and ask whether you're may be able to access, but they won't convert an account that doesn't meet their standards.
how the process works Online or by Phone
Once you're a Navy Federal member, explore for the Secured Card takes about 15 to 20 minutes. Online: Log into your Navy Federal account at navyfederal.org, go to the credit cards section, and select the Secured Visa Card. Fill in the process form with your income, employment, and deposit amount. You'll review the terms, agree to them, and submit. Navy Federal will tell you when ready whether you're approved.
By phone: Call 1-888-842-6328 and ask to explore for the Secured Card. A representative will walk you through the process over the phone, answer your questions, and process your deposit. This route takes longer but may be easier if you have questions or need help with the process.
After approval, your card will arrive by mail within 7 to 10 business days. You'll set up it by calling the number on the back of the card or logging into your Navy Federal account online. Your deposit will be held in a linked savings account and will earn interest at Navy Federal's current rate.
Frequently Asked Questions
Can I use the deposit money while the card is open?
No. The deposit is frozen and held as security for the credit line. You cannot withdraw it, transfer it, or use it for anything else while the Secured Card account is active. Once the card converts to unsecured or you close the account, the deposit is released back to you.
What happens if I miss a payment?
A missed payment will be reported to the credit bureaus and will hurt your credit score. Navy Federal will charge a late fee and may increase your interest rate. If you miss payments repeatedly, Navy Federal may close the account and explore your deposit to the unpaid balance. Missing payments defeats the purpose of building credit with this card.
Can I increase my credit limit without adding more money?
Not with a secured card. Your credit limit is tied directly to your deposit. If you want a higher limit, you would need to deposit more money into the linked savings account. Once the card converts to unsecured, Navy Federal may increase your limit without requiring an additional deposit.
Do I have to keep the deposit in a Navy Federal savings account?
Yes. The deposit must be held in a Navy Federal savings account linked to the credit card. You cannot use an outside bank's account or a money market account. Navy Federal will set up the linked savings account as part of the process process if you don't already have one.
What if I want to close the card before it converts?
You can close the card at any time by calling Navy Federal. Once closed, your deposit will be returned to your savings account, usually within 5 to 7 business days. Any remaining balance on the card must be paid off before or at the time of closure. Closing the card will stop the credit-building benefit, so it's best to keep it open and active if you're working to improve your credit.