Credit card

Best secured credit cards, according to an ASU finance expert

Secured cards are great for people with bad credit or limited credit because they offer high approval odds and report information to the major credit bureaus every month. Secured credit cards are also much cheaper than unsecured credit cards for bad credit, and some secured cards offer rewards on purchases.

In this story published Sept. 7, 2022, in WalletHub:

The security deposit is to compensate for the higher risk of default of the cardholder. Paying interest would reduce the compensation for the bank for the risk it has assumed and perhaps make the transaction unviable for the bank.


Sreedhar Bharath, Richard C. Kraemer Professor of Finance

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