Yes, Chase offers a secured credit card called the Chase Secured Visa Card

Chase offers the Chase Secured Visa Card, which is designed for people building or rebuilding credit. With this card, you put down a cash deposit that becomes your credit limit — typically between $200 and $2,500. You use the card like a regular credit card, and Chase reports your payment activity to the three major credit bureaus, which helps establish or improve your credit history.

The card charges an annual fee of $39. There is no interest-free period on purchases, so interest accrues from the day you use the card unless you pay the full balance immediately. The variable APR depends on your creditworthiness at the time you open the account.

A secured card is different from a prepaid card. With a secured card, you are borrowing against your deposit and building a credit history. With a prepaid card, you are simply spending money you already set aside. Chase's secured option reports to credit bureaus; a prepaid card does not.

Key Takeaways

  • The Chase Secured Visa Card requires a cash deposit between $200 and $2,500 that serves as your credit limit.
  • Chase reports your payment history to credit bureaus, which means on-time payments help build your credit score over time.
  • The card has a $39 annual fee and a variable APR that starts based on your credit profile when you open the account.
  • After you demonstrate responsible use, Chase may convert your account to an unsecured card and return your deposit.

How the deposit and credit limit work

Your cash deposit is held in a separate account and is not used to pay your monthly bill. Instead, Chase sets your credit limit equal to your deposit amount. If you deposit $500, your credit limit is $500. You then charge purchases to the card and receive a monthly statement, just like a regular credit card.

You must make at least a minimum payment each month, typically around 1% to 3% of your balance. If you do not pay, Chase can apply your deposit toward what you owe. Your deposit earns no interest while it is held, so it does not grow over time.

When Chase converts a secured card to unsecured

Chase does not publish a specific timeline for conversion, but the bank typically reviews accounts after 6 to 18 months of responsible use. Responsible use means paying on time, keeping your balance low relative to your limit, and not missing payments.

When Chase decides to convert your account, they notify you and return your deposit to you. Your credit limit may increase, decrease, or stay the same depending on your credit history and payment record. Conversion is not automatic — Chase makes the decision based on your individual account activity.

If your account is not converted after a reasonable period, you can contact Chase to ask about your options. Some cardholders choose to close the secured account and open an unsecured card elsewhere if they have built sufficient credit.

Comparing Chase's secured card to other options

Chase's secured card is one of several options for building credit. Other banks offer secured cards with different terms — some have lower annual fees, higher deposit minimums, or different APRs. Credit builder loans, available through many credit unions and banks, are another path that does not involve a credit card at all.

If you already have some credit history but a low score, an unsecured card with a higher APR might be available to you and would not require a deposit. If you have no credit history at all, a secured card is often the most straightforward option because the deposit reduces the bank's risk.

The choice depends on your current credit situation, how much cash you can set aside, and whether you prefer a card-based or loan-based approach to building history.

What happens if you miss a payment

Missing a payment on a secured card has the same consequences as missing a payment on any credit card. Chase reports the late payment to credit bureaus, which damages your credit score. The damage is often more severe on a secured card because the whole point of the card is to demonstrate reliability.

If you miss a payment by 30 days or more, Chase may charge a late fee (typically $25 to $35 for the first offense) and apply a higher penalty APR to your balance. If you miss payments repeatedly, Chase can close your account and use your deposit to cover what you owe.

If your deposit does not cover the full amount owed, Chase will pursue collection, which can appear on your credit report and affect your ability to open accounts elsewhere.

Annual fees and other costs

The $39 annual fee is charged once per year, usually on your account anniversary. There are no other regular fees built into the card. However, you will pay interest on any balance you carry, and you may incur late fees or over-limit fees if you miss a payment or exceed your credit limit.

Some secured cards charge foreign transaction fees if you use them outside the United States. Chase's secured card does charge foreign transaction fees, typically around 3% of the transaction amount. If you travel internationally or make purchases from foreign merchants, this cost adds up.

How to open a Chase Secured Visa Card

You can open an account online through Chase's website, by phone, or in person at a Chase branch. You will need to provide personal information including your Social Security number, date of birth, and income. Chase will pull your credit report, which results in a hard inquiry that may temporarily lower your credit score by a few points.

Once approved, you choose your deposit amount and arrange to fund it. Chase typically transfers the funds to the secured account within a few business days, and your card arrives in the mail within 7 to 10 business days. You can begin using the card as soon as it arrives.

If Chase denies your application, you can ask why and reapply later if your situation changes. Some people are denied because of recent late payments, collections accounts, or other negative marks on their credit report.

Frequently Asked Questions

Can I increase my credit limit on a secured card?

You can increase your credit limit by adding more money to your deposit. Contact Chase to arrange an additional deposit, and your credit limit will increase by that amount. You cannot increase your limit without increasing your deposit.

What if I close my account before conversion?

If you close your secured account, Chase returns your deposit within 7 to 10 business days. However, closing the account stops the credit-building process, and closing an account can temporarily lower your credit score. It is usually better to keep the account open even after conversion to an unsecured card.

Does Chase offer a secured card for people with very bad credit?

Chase may deny applications from people with recent bankruptcies, active collections, or multiple recent late payments. If you are denied, you might have better luck with a secured card from a credit union or a different bank that has less strict approval standards.

Can I use my secured card deposit to pay my bill?

No. Your deposit is held separately and cannot be used to make payments. You must pay your monthly bill from your regular bank account or another payment method. The deposit only serves as collateral for your credit limit.

How long does it take to build credit with a secured card?

Most people see meaningful improvement in their credit score within 6 to 12 months of on-time payments. However, the exact timeline depends on your starting score, how much you use the card, and what other accounts appear on your credit report. Checking your score regularly helps you track progress.