Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@. Skimlinks & other affiliated links are turned on

Search
  • FIRST POST
    • thevdm
    • By thevdm 20th Sep 19, 9:26 AM
    • 65Posts
    • 14Thanks
    thevdm
    Do secured credit cards exist in the UK
    • #1
    • 20th Sep 19, 9:26 AM
    Do secured credit cards exist in the UK 20th Sep 19 at 9:26 AM
    I'm not looking at applying for one for some time as I am waiting for discharge at the minimum before that happens. Just doing some research in advance.


    I've seen theat Capital One used to do a secured credit card in the past, but no longer seem to offer the service. Are there actually any UK providers who do offer this type of card?
Page 1
    • sleepyjones
    • By sleepyjones 20th Sep 19, 10:41 AM
    • 4,753 Posts
    • 348,527 Thanks
    sleepyjones
    • #2
    • 20th Sep 19, 10:41 AM
    • #2
    • 20th Sep 19, 10:41 AM
    Would a secured Credit card not just be the same as a pre-pay credit card?

    I gather a "secured" credit card is where you pay a deposit which is returned when the card is closed, this sounds a lot like a pre-pay card, where you would pay 250 onto it and then be able to spend 250 on it and the cycle repeats, so technically you're only spending the "deposit" you paid?
    I don't know how/if these report to agencies though if your trying to build credit.

    Found the FAQ for the Capital One Secured card : https://www.capitalone.co.uk/support/faqs/secured-card.jsf

    But they don't seem to list the actual card on their site, I have read that if you're declined for a classic card they may offer you the Secured card instead, although I can neither confirm nor deny that this is the case, might be worth calling them and asking.
    Last edited by sleepyjones; 20-09-2019 at 11:13 AM.
    *Good Luck * Be Lucky * Stay Lucky*
    • thevdm
    • By thevdm 20th Sep 19, 1:06 PM
    • 65 Posts
    • 14 Thanks
    thevdm
    • #3
    • 20th Sep 19, 1:06 PM
    • #3
    • 20th Sep 19, 1:06 PM
    Secured credit cards work in a slightly different way to a pre-pay card in that you aren't spending the money that you front and instead are using credit (usually to the value of the deposit).



    The main difference that matters is that a secured credit card can be used to build credit history, whereas the pre-pay cards don't help in that way.


    Capital one seem to be the only reference I can find of such a card in the UK too, although it looks like it might have been discontinued as there's no information past the FAQ.
    • boo_star
    • By boo_star 20th Sep 19, 5:22 PM
    • 2,610 Posts
    • 1,937 Thanks
    boo_star
    • #4
    • 20th Sep 19, 5:22 PM
    • #4
    • 20th Sep 19, 5:22 PM
    Secured credit cards work in a slightly different way to a pre-pay card in that you aren't spending the money that you front and instead are using credit (usually to the value of the deposit).



    The main difference that matters is that a secured credit card can be used to build credit history, whereas the pre-pay cards don't help in that way.


    Capital one seem to be the only reference I can find of such a card in the UK too, although it looks like it might have been discontinued as there's no information past the FAQ.
    Originally posted by thevdm
    IIRC you can't apply for their secured card, you're offered it if you don't meet the criteria for any of their other cards.
    • Willing2Learn
    • By Willing2Learn 20th Sep 19, 5:27 PM
    • 4,386 Posts
    • 3,939 Thanks
    Willing2Learn
    • #5
    • 20th Sep 19, 5:27 PM
    • #5
    • 20th Sep 19, 5:27 PM
    IIRC you can't apply for their secured card, you're offered it if you don't meet the criteria for any of their other cards.
    Originally posted by boo_star
    Yes, a decade ago, when I got my original card from CapitalOne, I made an application for one of their Classic cards but was declined. CapitalOne then immediately made me an offer for a Secured card.
    I work within the voluntary sector, supporting vulnerable people to rebuild their lives.

    I love my job

    • thevdm
    • By thevdm 20th Sep 19, 5:52 PM
    • 65 Posts
    • 14 Thanks
    thevdm
    • #6
    • 20th Sep 19, 5:52 PM
    • #6
    • 20th Sep 19, 5:52 PM
    Ok, that would make sense, similar to how some banks offer a basic account only after you've applied and been rejected for a current account.
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

2,739Posts Today

7,249Users online

Martin's Twitter