Basically just what the title asked
In: Economics
* A secured card means that you give the credit card company something of value that they will keep if you don’t pay off your debt with them.
* Most of the time that “thing of value” is money.
* Most people don’t need secured cards because they have “good credit” and the credit card company thinks it stands a good chance of getting their money back from you.
* But people with bad credit can’t get those regular cards because the credit card company things there is too high a risk they won’t get their money back.
* So instead they offer a secured card.
* They take a deposit and then you use the card as normal.
* Every time you make a payment on time, it gets noted on your credit report.
* Slowly you can demonstrate that you actually are not a high risk and that eventually you can get regular credit again.
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