A secured credit card can be a great option for building credit, whether you’re an inexperienced borrower or you have a troubled credit history.
The OpenSky® Secured Visa® Credit Card is notable in that it doesn’t require a credit check in order to apply. This means even borrowers with a bad credit score or short credit histories can qualify. As a secured credit card, the OpenSky Secured Visa does require a refundable cash deposit of at least $200 and as much as $3,000.
The card has a $35 annual fee and doesn’t come with many other benefits, so some borrowers may be able to qualify for better options. But for those who are struggling to repair their credit and are looking for a place to start, this card could be a good fit.
Below, we’ll cover how the card works and how to maximize its features.
Features of the OpenSky Secured Visa Credit Card
The OpenSky Secured Visa’s features include no credit check for applicants, reporting to all three major credit bureaus, access to educational resources and more.
No credit check
One of the most attractive features of this card is that it doesn’t require a credit check.
Bad credit can keep many consumers from opening credit cards, since they’re viewed by lenders as more risky. But even if you have a troubled credit history, you may still be able to qualify for the OpenSky Secured Visa.
Limited or no credit history can also affect your ability to open a credit card. Whether you’re new to credit or previously unbanked, the OpenSky Secured Visa can be a great first stepping stone to building a history of responsible borrowing.
The OpenSky Secured Visa comes with credit reporting to all three major credit bureaus. So if you use the card responsibly — making at least the minimum payment on-time each month and keeping your balance low — that positive credit history will appear on your credit reports. (And keep in mind that any missteps, such as a missed payment or a high balance, will also be reported.)
OpenSky offers a variety of educational resources to help borrowers better understand how credit works and how they can improve their credit score. This includes a robust library of credit building and personal finance content, including real stories about how using the card has helped borrowers raise their credit scores.
High potential credit limit
The card comes with a flexible credit limit that depends on the size of your deposit. Amounts range from $200 to as high as $3,000, so you can have a small or relatively large credit limit as long as you have the cash to back it up.
FDIC insured deposit
Your refundable deposit is FDIC insured. This means the funds you use to secure your credit line are protected from bank failure.
Other Visa credit card benefits
As a Visa card, the OpenSky Secured comes with a variety of associated benefits that go above and beyond those offered by OpenSky itself. These include worldwide acceptance, fraud protection, lost or stolen card reporting, roadside dispatch service and more.
Quick and easy application process
According to OpenSky, it takes just a few minutes to apply for the card. There are only four steps in the application process — and since there’s no need for a credit check, borrowers can potentially be approved right away.
Maximizing the OpenSky Secured Visa Credit Card
There are a few things to keep in mind in order to get the most out of the OpenSky Secured Visa Credit Card
First and foremost, it’s a good idea to pay off your credit card balance on time and in full each month in order to avoid paying interest. This will also improve your credit score over time, since payment history and credit utilization are the two most important factors in FICO’s scoring model.
The OpenSky Secured Visa is best viewed as a stepping stone to bigger and better cards. It’s great for building credit, but eventually you can benefit from moving on to cards that earn rewards or come with additional perks.
The bottom line
The OpenSky Secured Visa Credit Card is a worthwhile option for borrowers who may not qualify for other cards. Since there’s no credit check required, applying won’t hurt your score — and even applicants with poor credit are likely to be accepted for this card.
While the OpenSky Secured Visa card doesn’t come with many other benefits, it’s still a decent option for borrowers primarily looking to raise their score.