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The OpenSky® Secured Visa® Card is a secured credit card designed primarily for people building or rebuilding credit history. Unlike standard credit cards, a secured card requires a cash deposit that serves as collateral, reducing the issuer's risk when lending to applicants with limited or damaged credit.
Understanding how this card works—and whether it fits your situation—requires knowing how secured cards function and what role they play in credit building.
A secured credit card operates on a straightforward principle: you deposit money into a savings account held by the card issuer, and that deposit becomes your credit limit. For example, a $500 deposit typically means a $500 credit limit.
You use the card like any other credit card—making purchases, receiving a monthly statement, and paying a bill. The issuer reports your payment activity to the three major credit bureaus (Equifax, Experian, and TransUnion), which is the core benefit. Your payment history becomes part of your credit file, helping you establish or improve your credit score over time.
The cash deposit itself is not your payment. It sits in a restricted account and only covers your debt if you fail to pay your bills entirely. As long as you make regular payments, your deposit stays untouched.
Several factors determine whether a secured card makes sense for your specific situation:
Your credit profile. Secured cards are marketed to people with no credit history, poor credit scores, or recent negative marks. If you already have fair credit and access to unsecured cards, the terms may not be as favorable by comparison.
Your ability to fund the deposit. You must have the cash available upfront. If liquidity is tight, this requirement itself can be a barrier.
Annual fees and interest rates. Secured cards typically charge annual fees and may carry higher interest rates than unsecured cards. These costs affect the total expense of building credit and vary by card.
Your spending and payment habits. A secured card only helps your credit if you use it responsibly—keeping balances low relative to your limit and paying on time every month. Maxing out the card or missing payments will damage your score further.
Your timeline. Credit building is gradual. Most people don't see significant score improvements for several months, and meaningful changes take longer.
| Feature | Secured Card | Unsecured Card |
|---|---|---|
| Deposit required | Yes | No |
| Credit limit | Usually tied to deposit amount | Based on creditworthiness |
| Typical annual fee | Often present | Varies; may be none |
| Interest rates | Often higher | Varies by applicant |
| Approval likelihood | High (deposit provides security) | Lower for poor credit profiles |
| Credit-building value | Yes, if used responsibly | Yes, if available |
The trade-off is straightforward: a secured card accepts applicants traditional lenders won't, but that acceptance comes with higher costs and restrictions.
What they are: A legitimate credit-building tool that reports to the major bureaus and can help establish positive payment history.
What they aren't: A guaranteed path to credit repair, a loan, or a magic fix for past mistakes. They require discipline and time to deliver results. They're also not the only way to build credit—becoming an authorized user on someone else's account, securing a credit-builder loan, or other methods may work for different people.
Whether a secured card actually improves your credit depends on:
Before deciding whether a secured card is right for you, assess:
A qualified credit counselor or financial advisor familiar with your full situation can help clarify these questions. Your own circumstances—not the card itself—determine whether this tool delivers the results you're looking for.
