Featured secured credit cards
Secured Neo Mastercard
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Home Trust Secured Visa Card
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Secured Neo World Elite Mastercard
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Best secured credit cards in Canada
These are the top secured credit cards in Canada selected by our editors. We assessed cards based on annual fees, purchase and cash-advance interest rates, minimum deposit requirements, available rewards and eligibility criteria—factors that matter most to people with little or poor credit who need a secured card to build or rebuild their credit history.
Gold: Capital One Guaranteed Secured Mastercard
At a glance: Capital One’s Guaranteed Secured Mastercard is straightforward and easy to get if you meet basic requirements: be of the age of majority in your province, not already have a Capital One account, and provide the required security funds ($75 or $300). The card includes a few valuable perks, such as extended warranty coverage, car rental insurance and other travel benefits. It also offers price protection — if a purchased item drops in price within 60 days, you may be eligible for the difference up to specified limits.
Capital One Guaranteed Secured Mastercard
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Annual fee: $0
Rewards: None
Welcome offer: None at this time
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Card details
| Interest rates | 21.9% to 29.9% on purchases, cash advances and balance transfers |
| Income required | None specified |
| Credit score | None specified |
Pros
- Guaranteed approval: Automatic approval if you meet the basic eligibility conditions.
- Insurance coverage: Includes select insurance benefits such as car rental collision and travel accident coverage.
- Price protection: A rare card benefit that can help protect purchases against short-term price drops.
Cons
- Low initial deposit limit: The maximum initial deposit is $300, which limits the starting credit line compared with cards that allow much larger deposits. There may be options to increase the limit later.
Silver: Secured Neo Mastercard
At a glance: The Neo Secured Mastercard stands out because it offers rewards and occasional welcome incentives. Cardholders can earn cashback at partner merchants and Neo advertises guaranteed approval for eligible Canadian residents of the age of majority.
Secured Neo Mastercard
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Annual fee: $96 ($7.99/month)
Rewards: 1% cashback on gas and groceries, plus up to 15% back at select Neo partners
Welcome offer: None at this time
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Card details
| Interest rates | 19.99% to 29.99% on purchases (19.99% to 24.99% for Quebec residents) and 22.99% to 31.99% on cash advances (22.99% to 25.99% for Quebec residents) |
| Income required | None |
| Credit score | None |
Pros
- Rewards: One of the few secured cards that returns cashback on purchases.
- Flexible add-ons: Optional subscription perks such as boosted rewards, lounge access and insurance are available for a fee.
- Gift card promotion: Limited-time offers have included gift card incentives for new cardholders.
Cons
- Annual fee: Unlike many secured cards, this product charges an annual fee.
- Variable interest: Purchase APR can vary by credit profile and province, with rates that may be higher than other secured options.
Bronze: Home Trust Secured Visa
At a glance: Home Trust’s secured Visa offers flexibility with two main options: a no-annual-fee choice with a 19.99% purchase rate, or a lower-rate option (14.90%) for a $59 annual fee. Home Trust reports payment history to Canada’s credit bureaus, which helps applicants build a credit file. Note that this card is not available to residents of Quebec or individuals currently in bankruptcy.
Home Trust Secured Visa
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Annual fee: $0
Rewards: Does not offer rewards
Welcome offer: None at this time
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Card details
| Interest rates | 19.99% on purchases and 19.99% on cash advances |
| Income required | None specified |
| Credit score | 300 or higher |
Pros
- Choice of plans: Two rate/fee options let you select the best fit for your budget.
- Reports to bureaus: Payments are reported to Equifax and TransUnion to support credit-building.
- Low foreign transaction fee: At 2%, it’s lower than many cards that charge 2.5%.
- High deposit limit: You can deposit up to $10,000 for a corresponding credit limit.
Cons
- High minimum deposit: The minimum $500 deposit may be a barrier for some applicants.
- Additional fees: Inactivity or exceeding your limit can trigger extra charges.
Another secured card option for Canadians
Secured Neo World Elite Mastercard
At a glance: The Neo World Elite secured card earns high cash back rates—up to 5% on groceries, 4% on recurring bills, 3% on gas and 1% on other purchases. Higher rewards are available for customers who maintain larger deposit balances in qualifying Neo accounts.
Secured Neo World Elite Mastercard
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Annual fee: $125
Reward options:
- Gas & Grocery: 5% groceries, 4% recurring, 3% gas, 1% elsewhere
- Shop & Dine: 5% food and drink, 3% shopping, 1% elsewhere
- Everywhere: 2% on all purchases
Welcome offer: None at this time
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Card details
| Interest rates | 19.99% to 28.99% on purchases and 22.99% to 28.99% on cash advances (rates vary by province) |
| Income required | $80,000 personal or $150,000 household (for some eligibility features) |
| Credit score | None |
Pros
- Flexible perks: Optional monthly add-ons such as boosted rewards and lounge access are available for a fee.
- High cashback: Among secured cards, this product offers some of the strongest cashback rates.
Cons
- High interest rates: APRs can be higher than with some low-interest or unsecured cards.
- High annual fee: The $125 fee is higher than most secured card options.
What is a secured credit card?
A secured credit card requires an upfront cash deposit that serves as collateral for the account. Aside from the deposit requirement, using a secured card resembles using an ordinary credit card: you can make purchases online or in stores and pay the balance later. Secured cards are designed to be accessible to applicants with little or poor credit and are a common tool for building or rebuilding a credit history.
How does a secured credit card work?
You make a deposit that becomes the basis of your credit limit. If you miss payments, the issuer may use the deposit to cover the outstanding balance. You cannot use the deposit directly to pay the bill. If you close the account or upgrade to an unsecured card and meet the issuer’s terms, your deposit is returned. Otherwise the card operates like any regular credit card: you can set up recurring payments, make purchases, and be charged interest on any carried balance at the card’s stated rate.
Who should apply for a secured credit card?
Secured cards are well suited to students, newcomers to Canada and people looking to build or rebuild credit. Many secured products offer simple eligibility criteria and, in some cases, guaranteed approval if you meet basic requirements.
Do secured credit cards build credit?
Yes. Payment history is a major factor in credit scores, so consistently making on-time minimum payments on a secured card helps establish or improve your credit rating. Use the card regularly but responsibly—try to pay the full balance each month to avoid interest and to build a positive track record. Many people see noticeable credit improvement within a year of responsible use.
Can you increase the credit limit of a secured credit card?
Card issuers typically allow limit increases when you provide additional deposit funds or meet other criteria. Simply overpaying your balance does not usually increase your official credit limit.
Secured vs unsecured credit cards
Key differences include:
| Secured credit card | Unsecured credit card | |
|---|---|---|
| Requires security deposit | Yes | No |
| Guaranteed approval | Often, but not always | No |
| Interest rates | Typically higher | Average or lower |
| Can help build credit | Yes | Yes |
| Rewards and perks | Rare | Common, especially for premium cards |
Where to get a secured credit card in Canada
Secured cards are more commonly offered by smaller financial institutions, credit unions and specialized card issuers. Some major banks offer alternative credit-building products for students and newcomers, even when they do not list secured cards prominently online.
| Financial institution | Secured credit cards available online | Other credit-building options for students & newcomers |
|---|---|---|
| BMO | None | Yes |
| CIBC | None | Yes |
| National Bank of Canada | None | Yes |
| RBC | None | Yes |
| Scotiabank | None | Yes |
| TD | None | Yes |
| Neo Financial | Secured Neo Mastercard, Secured Neo World Elite Mastercard | No |
| Home Trust | Home Trust Secured Visa | No |
| Capital One | Capital One Guaranteed Secured Mastercard | No |
| Koho Financial | None | Prepaid card with optional credit-building feature |
More of the best credit cards:
- Best credit cards in Canada
- Best no-fee credit cards
- Best low-interest credit cards
- Best balance transfer credit cards