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Secured vs Unsecured CC - any difference in how they affect scores?

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js0319
Established Contributor

Secured vs Unsecured CC - any difference in how they affect scores?

A mortgage loan officer told me today that secured cards help your score more than unsecured cards when you're rebuilding. This sounds like a total crock, but doesit have any validity? The CRA's can't tell secured vs unsecured in most cases, correct? So, ow could here be any difference?

AMEX PRG - NPSL I AMEX Everyday Preferred - $34.8k I Capital One Venture - $20k I Chase Sapphire Preferred - $25.5k I Chase Southwest Rapid Rewards Premier - $20.7k I Barclay Arrival + - $10k I Capital One Quicksilver - $10k I NFCU Flagship Rewards Visa Signature - $15k I NASA FCU - $10k I Texell FCU Visa - $5k I Chase Freedom - $9.9k I Citi Double Cash - $7.8k I Discover IT - $5k I NFCU CLOC - $15k I Total Unsecured Credit - $188,700

EQ FICO - 714 (5/24/16) I TU FICO - 772 (5/24/16) I EX FICO - 770 (5/24/16)
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2 REPLIES 2
RTOrockstar
Frequent Contributor

Re: Secured vs Unsecured CC - any difference in how they affect scores?

Doesn't sound like there's much basis for that. There are a few secured cards that show up as secured on your credit report, or so I've heard, but I would think it wouldn't make much of a difference. 

Until someone more knowledgeable that myself says otherwise, I'm gonna say the LO is misinformed.

Message 2 of 3
guiness56
Epic Contributor

Re: Secured vs Unsecured CC - any difference in how they affect scores?

Both cards help the same.  Both are CC, one is just secured but it works the same as a non-secured as far as FICO is concerned.  As mentioned, most don't state secured on the TL anyway.

 

I agree, the LO is misinformed.

Message 3 of 3
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