Credit Card Center Advertiser Disclosure

New Visitor
Posts: 1
Registered: ‎09-10-2013
0 Kudos

Secured vs. Unsecured. Which is better for repairing credit?

So here's my situation. 


When I was 18 I got a credit card. Paid it down every month. Never had a balance. After a few months I misplaced it after doing some shopping online. Didn't think much of it, because I was only using it to build my credit, I didn't use the card for anything in particular. 


Well then I moved and changed phones all in the same month. I didn't do a mail forward (remember I was 18). I completely forgot about the purchases I had made. 


Almost 7 years later, my phone rings. It's a collection agency. Calling about my Capital 1 debt. I told her she had the wrong person. A few days later, they call again. Sure enough, they had tracked me down and I did actually owe them money. I paid off the balance in two quick payments and moved on. 


That is literally the only thing that has ever been on my credit. I've never had a loan, or utility in my name. I always pay cash for everything.


My score is 601. It was 620, but I've had 5 hard inquires in the last 6 months and I think that lowered it. I've also started a business so the hard inquiries were a result of that. 


So obviously I need to rebuild it. It's a little embarassing to go to you business partners and need their credit for everything. If I weren't making them $, they would probably hate me. 


I've been researching my options. It seems like with my credit, I either have to get a terrible unsecured card like the Credit One Platinum card, or a secured card. I won't be carrying a blanance, so the inerest rate isn't as important to me. I just want what's best for my credit and something with decent fees. 


Which would be better for my credit, the secured card or the unsecured, pre approved card from hell?


Also, the previous credit card that is on my credit report began reporting 6.6 years ago. Does that mean it will be off my credit report in 3 months, or does it come off your credit report 7 years from when you pay it off? If it does come off my credit in 3 months, should I wait and apply after it leaves my credit report?


Thanks for you help. 


Kind regards,



Valued Member
Posts: 26
Registered: ‎09-07-2013
0 Kudos

Re: Secured vs. Unsecured. Which is better for repairing credit?

With the hard inquiries only a month old I would recommend going for an secured card as more of a guarantee. You could try going unsecured but that risks adding an additional hard inquiry if you are denied and end up going for the secured card right after. 


Negative payments on your card will drop after 7 years and positive activity will stay for 10. I'm not sure exactly how that appears in report but someone else could chime in and confirm/deny. 

Starting Scores: 639 EX | 625 EQ | 664 TU (9/1/13)
Current Scores: 640 EX (11/10/13) | 627 EQ (10/18/13) | 658 TU (12/16/13)
CL Timeline: CapOne Secured: $1200 | Amazon Store Card: $800 • In the Garden until 01/2015 (for auto re-fi)

*Score dropped 10 points on 12/09/13 for auto loan inquiries and high christmas utilization.
Regular Contributor
Posts: 239
Registered: ‎08-29-2013
0 Kudos

Re: Secured vs. Unsecured. Which is better for repairing credit?

For you... hands down get a secured card.

You really can't afford any more HP's (inquires) on your report. 


SDFCU has a really good secured card with low apr (which you don't care about) but it's a really good secured card. Lowest balance to secure is $250. 

You can apply at 


OpenSky doesn't pull credit either. You can get secure card with them for $200. 



Starting Score: (FICO)(August 29, 2013) 502(EQ) 568(EX) 549(TU)
Current Score: (FICO) (January 28, 2017) 712(EQ) 720(EX) 720(TU)
Goal Score: 720(EQ) 720(EX) 720(TU)

Amex Business Platinum NPSL | Chase Sapphire Preferred $15,000 | Chase Freedom $9000 | Amex ED $1,000 | BofACash Rewards $3100 | Amazon Store Card $4000
New Contributor
Posts: 54
Registered: ‎08-05-2013
0 Kudos

Re: Secured vs. Unsecured. Which is better for repairing credit?

I also say secured...with a secured you can continually add money to it, raising your credit limit....which also looks good on your report.

Frequent Contributor
Posts: 306
Registered: ‎04-18-2013
0 Kudos

Re: Secured vs. Unsecured. Which is better for repairing credit?

[ Edited ]
Secured cards would be better for rebuilding and will help you get approved for unsecured cards in the future.
Samsung mobile

Forums posts are not provided or commissioned by FICO. Forums posts have not been reviewed, approved or otherwise endorsed by FICO. It is not FICO's responsibility to ensure all posts and/or questions are answered.

† Advertiser Disclosure: The listings that appear on myFICO are from companies from which myFICO receives compensation, which may impact how and where products appear on myFICO (including, for example, the order in which they appear). myFICO does not review or include all companies or all available products.
‡ Credit cards for FICO Score ranges: The score ranges are guidelines based on internal myFICO analysis of actual applicant approvals, and having a FICO Score in a particular range does not guarantee you will be approved for credit cards recommended in that range. These ranges were not provided by any card issuer.

* For complete information, see the terms and conditions on the credit card issuer’s website. Once you click apply for this card, you will be directed to the issuer’s website where you may review the terms and conditions of the card before applying. While myFICO always strives to present the most accurate information, we show a summary to help you choose a product, not the full legal terms - and before applying you should understand the full terms of products as stated by the issuer itself.

Copyright ©2001-2015 Fair Isaac Corporation. All rights reserved.   | Terms of Use | Privacy Policy | Sitemap

IMPORTANT INFORMATION: All FICO® Score products made available on include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more

FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.