A Credit-Building Rewards Card From Capital One

One competitive and lucrative choice for those with low or nonexistent credit is the Capital One Quicksilver Secured Cash Rewards Credit Card. The $0 annual fee card has a refundable security deposit of at least $200 and perks, setting it apart from other secured credit cards. The card can serve as a stepping stone to a conventional credit card because it reports to all three major credit agencies and allows an upgrade to an unsecured product.

Pros And Cons

Pros

• This card is an intelligent alternative for those who want to avoid the rack of their earnings because of its above-average flat rewards rate on everyday transactions.
• It provides prequalification, so you know your approval chances before you apply and perhaps hurt your credit.
• Allows a credit limit increase after as little as six months of responsible use.
• Credit builders who are hesitant to put down cash for a security deposit may appreciate the opportunity to earn back their stake in the form of a statement credit with responsible card use.

Cons

• A high initial deposit of $200 may be prohibitive for specific customers who would like not to have their money locked up for an extended period.
• The credit limit is modest, to begin with, which may make it harder to maintain credit use (a determinant in your credit score) low.
• It costs a lot in annual percentage rate (APR) interest for carrying a load.

Presently Available Gift

Like most secured credit cards (except for the Discover it® Secured Credit Card), the Quicksilver Secured doesn't offer a sign-up bonus. When choosing a secured credit card, it's crucial to focus on other aspects, such as the rewards rate and average APR.

Payment Scale

Even if you've never used a credit card, the Quicksilver Secured card's straightforward rewards structure and uncomplicated redemption process will make you a rewards pro in no time. With Capital One Travel, you may get 5% cash back on hotel stays and auto rentals. This card could be a stepping stone to an unsecured travel credit card if you are a frequent flyer or planning to become one. While the Quicksilver Secured Card's rewards programme may not be the best among competing credit-building cards, it is unquestionably superior to anything else.

How Much Do You Think The Prizes Are Worth?

Since the rewards on this card are given as cash back, there is no need to keep track of points or decide between different redemption possibilities. Instead, you get a rebate on your spending, expressed as a percentage.

Various Benefits For Cardholders

The Quicksilver Secured's stripped-down set of perks may come as no surprise given the card's target demographic: customers with spotty or nonexistent credit profiles. However, the Quicksilver Secured has a few features that make it stand out, including the option to increase your credit limit and earn back your security deposit, which may be especially useful for those working to establish their credit.

Improve Your Credit Score And Get A Higher Credit Limit.

A $200 security deposit will get you a $200 credit limit on your Quicksilver Secured card. Since credit utilisation (how much you've borrowed about your total available credit) is a significant element in credit scores, having such a low limit could be problematic for those still building their credit.

The Quicksilver Secured, however, makes up for this by providing a simple method of increasing your limit. By making all of your payments on time and responsibly using your card, you can improve your credit limit in as little as six months.

Fees &'' Charges

The cheap annual fee of the Quicksilver Secured Card is a significant selling element, along with the card's excellent flat cash-back returns rate. As long as you pay off your debt in full each month, carrying the Quicksilver Secured in your wallet won't cost you anything beyond the initial security deposit.

However, the card's high-interest rates and fees mean that balance transfers and cash advances are not an option. Carrying a balance on a secured card is counterproductive because you'd be borrowing money from yourself and paying interest to the card issuer, but it's possible.

Conclusion

Quicksilver Secured is a good option if you are searching for a low-cost method to improve your credit score while receiving cash back with no annual charge. However, the card's high variable APR and the need for an initial deposit could be problematic for some.