The credit limit on a secured credit card is almost always equal to the amount of the refundable security deposit required to open the secured card account. For example, the credit limit on a secured credit card will be $200 if the cardholder puts down a $200 security deposit, and the limit will be $300 with a $300 deposit.
There are often minimum and maximum security deposit amounts that will restrict cardholders’ credit limits to a certain range, generally between $200 and $5,000. In some cases, you’ll even need the card issuer’s approval if you want to add to your security deposit to get a higher credit limit than you currently have.
Although rare, there are also some secured cards that allow you to get a credit limit that’s higher than your deposit amount. The Capital One Platinum Secured Credit Card, for example, offers a starting credit limit of $200 for a deposit of $49, $99 or $200, depending on the applicant’s credit standing.
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