5 Things You Need to Know about a Canadian Secured Credit Card

5 Things You Need to Know about a Canadian Secured Credit Card
There are numerous articles and informative resources that
contain tips and advice regarding secured cards in the
United States, but what about those consumers who need a
Canadian secured credit card? Are there secured card
options for Canadian cardholders? The truth is out there,
and we are getting to the bottom of it. If you want
information about secured credit cards in Canada, this is
what you have been looking for...

They Do Exist!

Yes, my friends, you can indeed get a Canadian secured
credit card -- if, of course, you meet some basic
requirements. First and foremost, you need to live in the
country of Canada. You cannot really get a Canadian secured
credit card if you live in a different country. In addition
to residency requirements, you will probably also need to
meet some income requirements and you will definitely need
to supply a security deposit for the card.

The Security Deposit Factor

A security deposit for a Canadian secured credit card is
not much different than the security deposits required for
US-based cards. Security deposit minimums are usually
around $300 and your deposit will likely earn an interest
rate of around 2 percent annually.

The Fees

Like other secured cards, there are going to be fees
associated with a Canadian secured credit card. You can
expect an annual fee of $50 or more depending on your
specific credit history. There might even be processing
fees depending on the card you apply for and monthly fees
are also a possibility. Of course, interest is something
you will have to pay no matter what card you go with, and
rates can vary drastically from card to card.

Try to keep your fees to a minimum, applying for cards with
the lowest fees first. If you do not qualify for those
cards, you might have to settle for a Canadian secured
credit card, and they may have higher fees and higher
finance charges as well. Handle With Care

When you do get your credit card, make sure you manage it
wisely. If you pay your bill on time each and every month
you'll eventually be able to transition to an unsecured
line of credit.

While a Canadian secured credit card may be more expensive
and less prestigious than the card of your dreams, it's a
practical way of establishing the credit history you need
for the credit you want in the future.

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For more tips on secured credit cards, saving money and
avoiding getting taken, check out CreditCardTipsEtc.com, a
website that specializes in providing credit card tips,
advice and resources.
http://www.creditcardtipsetc.com/secured_credit_cards/