Many potential Canadian credit card holders are concerned about their personal safety while filling out an application. Protecting yourself and your credit score against credit card fraud and theft is a serious concern. We’ve identified the top Canadian secured credit cards to help you narrow down your options.
When used responsibly, a secured credit card may be an excellent tool for boosting your creditworthiness and opening the door to better credit card terms in the future. A secured credit card is similar to a regular credit card in every other way except that it requires a security deposit instead of relying on your credit history. The issuing bank will hold this collateral deposit in escrow. The security deposit you make will often serve as your credit limit, but this varies per card.
Canada’s Five Best Secured Credit Cards
1. One of the most often utilised cards for those attempting to improve or repair their credit is the Home Trust Secured Visa Card, which is issued by Home Trust. It has an APR of 13.99%, no annual fee, and requires a minimum security deposit of $500, making it one of the most competitive offerings on the market. Rewards and perks abound with this card, such as free rental vehicle insurance and lower petrol prices.
2. People’s Trust Secured Mastercard is another popular alternative for those who want to establish or repair their credit. There is no yearly fee and a low APR of 17.90%. The card has perks including a cash-back rewards programme and travel insurance, and requires a minimum security deposit of $500.
3. CIBC offers a secured credit card with a competitive annual percentage rate of 19.99% with the CIBC Secured Visa Card. There is no yearly charge, however a $500 security deposit is required. Rewards, savings on vehicle rentals, and insurance on your trips are just a few of the perks that come with this card.
4. Secured credit cards, such as the one given by National Bank, may be invaluable tools in the process of establishing or restoring a positive credit history. There is no annual fee or minimum security deposit required for this card. In addition to the low APR (only 19.99%), extra perks like travel insurance and vehicle rental discounts are provided.
5. Desjardins Secured Mastercard: An excellent choice for establishing or repairing credit, this secured credit card is provided by Desjardins. No annual fee is required, and the APR is a low 17.95%. It has perks like travel insurance, vehicle rental discounts, and incentives, and it only costs a $500 security deposit.
In conclusion, there are a plethora of excellent secured credit cards in Canada, but the five listed above are among the best choices for anyone seeking to establish or repair their credit. Each card has its own set of characteristics and perks, so it’s vital that you do your homework before settling on one. By carefully weighing your options, you may choose a card that can help you establish or reestablish a positive credit history.