Basically just what the title asked
In: Economics
It’s a credit card with a line of credit backed by a opening deposit. For example, if you make a $1000 opening deposit the bank will then grant you a credit card with a $1000 credit limit.
Because you’re essentially borrowing your own money instead of the bank’s, banks are more willing to offer such a card to those with no/poor credit history since there’s very little risk. As the customer pays back the secured card satisfactorily over time, the bank may opt to return the opening deposit converting the account to a normal credit card
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