4 Best Secured Business Credit Cards
Tricia has nearly two decades of experience in commercial and federal government lending. Her expertise is highlighted throughout small business loan content on Fit Small Business.
Andrée Kirk is a Staff Writer at Fit Small Business, specializing in Small Business Banking and Credit Cards.
This article is part of a larger series on Best Small Business Credit Cards.
Editor’s note: This is a recurring post with regularly updated card details.
If your credit score is below 580 and you need financing for your business, a secured business credit card is an easier option than applying for a high-interest loan or line of credit. Many secured business credit cards have manageable fees and a fast approval process. If you want to build or repair your credit, some issuers will report your history to the major credit bureaus, which will get you on track to eligibility for an unsecured card.
Here are the four best secured business credit cards:
- Wells Fargo Business Secured Card: Best secured card overall
- Discover it® Secured Card: Best for businesses on the road
- OpenSky® Secured Visa Credit Card: Best for no credit check
- Bento for Business Visa® Debit Card: Best for managing employee spending
If you can qualify for an unsecured business credit card, you can access a wider selection of cards to help fund your business. To find out more, check out our choices for the best small business credit cards.
Want to compare the features of one card to another? As of January 2022, we’ve updated this article’s functionality and implemented a way to do just that! Simply check off up to three cards on this page to add them to your cart. This will allow you to view the details in a side-by-side comparison.
Wells Fargo Business Secured Card: Best Secured Card Overall
Wells Fargo Business Secured Credit Card
Fit Small Business's ratings are calculated by industry experts of our editorial team. Our grading rubric considers the type of credit card (such as cash back or travel), and the card's rates, fees, rewards, and additional features like insurance.
BEST FOR:
Business owners with poor credit
Intro APR
N/A
Regular APR
Prime + 11.90% on purchases
Annual Fee
None
Credit Needed
N/A
- Cash Back option:
Earn 1.5% cash back on every $1 spent - Reward Points option:
Earn 1 point on every $1 spent and receive 1,000 bonus points when your company spend is $1,000 or more in any monthly billing period - $0 annual rewards program fee
- $500 to $25,000 credit line
- Zero liability protection
Pros
- Approval with credit scores below 580
- Your choice of fixed-rate cash back or points rewards
Cons
- Requires a security deposit of at least $500
- Has an annual fee
- Purchase assurance: Wells Fargo will repair, replace, or reimburse you for items that are damaged or stolen within 90 days of purchase.
- Design studio: Include a personal image or business design on your credit card.
Intro APR
N/A
Regular APR
Prime + 11.90% on purchases
Annual Fee
None
Credit Needed
N/A
- Cash Back option:
Earn 1.5% cash back on every $1 spent - Reward Points option:
Earn 1 point on every $1 spent and receive 1,000 bonus points when your company spend is $1,000 or more in any monthly billing period - $0 annual rewards program fee
- $500 to $25,000 credit line
- Zero liability protection
Pros
- Approval with credit scores below 580
- Your choice of fixed-rate cash back or points rewards
Cons
- Requires a security deposit of at least $500
- Has an annual fee
- Purchase assurance: Wells Fargo will repair, replace, or reimburse you for items that are damaged or stolen within 90 days of purchase.
- Design studio: Include a personal image or business design on your credit card.
Why We Like It: With no annual fee and flexible rewards, the Wells Fargo Business Secured card is an excellent choice if you have poor credit. Choose between 1.5% cash back on any qualifying purchases or earn 1 point for every $1 spent. If you select points, as a bonus, you’ll gain an additional 1,000 points each billing cycle when you spend at least $1,000. This card has the lowest interest rate on this list, at 15.15% annual percentage rate (APR).
You can manage your spending and payments with online banking and set up recurring automatic payments to save time each month. This card doesn’t report to the major credit bureaus but, by consistently making your payments on time, you could eventually qualify for an unsecured Wells Fargo credit card.
Discover it® Secured Card: Best for Businesses on the Road
Discover it® Secured
BEST FOR:
Business owners who need help rebuilding personal credit
Intro APR
N/A
Regular APR
23.24% Variable
Annual Fee
$0
Credit Needed
N/A
- No annual fee, earn cash back, and build your credit with responsible use.
- It's a real credit card. You can build a credit history with the three major credit bureaus. Generally, debit and prepaid cards can't help you build a credit history.
- Establish your credit line by providing a refundable security deposit from $200 to $2,500 after being approved. Bank information must be provided when submitting your deposit.
- Automatic reviews starting at eight months to see if we can transition you to an unsecured line of credit and return your deposit.
- 2% cash back at gas stations and restaurants on up to $1,000 in combined purchases every quarter, automatically. Plus, earn unlimited 1% cash back on all other purchases.
- Get 100% United States-based customer service & get your free Credit Scorecard with your FICO® Credit Score
- We match all the cash back you've earned at the end of your first year automatically.
- Receive Free Social Security number alerts—Discover will monitor thousands of risky websites when you sign up.
Pros
- Earns ongoing cash back rewards
- No annual fee
- Automatic monthly account review
Cons
- Security deposit is required
- No 0% APR period
- High ongoing APR
- FICO® Credit Score: Receive free FICO® scores and monitoring.
- Discover® Identity Alerts: Get free Experian credit report and dark web monitoring.
- Freeze it®: Protect your account by stopping account activity in the event of suspicious card activity or if your card is lost or stolen.
Intro APR
N/A
Regular APR
23.24% Variable
Annual Fee
$0
Credit Needed
N/A
- No annual fee, earn cash back, and build your credit with responsible use.
- It's a real credit card. You can build a credit history with the three major credit bureaus. Generally, debit and prepaid cards can't help you build a credit history.
- Establish your credit line by providing a refundable security deposit from $200 to $2,500 after being approved. Bank information must be provided when submitting your deposit.
- Automatic reviews starting at eight months to see if we can transition you to an unsecured line of credit and return your deposit.
- 2% cash back at gas stations and restaurants on up to $1,000 in combined purchases every quarter, automatically. Plus, earn unlimited 1% cash back on all other purchases.
- Get 100% United States-based customer service & get your free Credit Scorecard with your FICO® Credit Score
- We match all the cash back you've earned at the end of your first year automatically.
- Receive Free Social Security number alerts—Discover will monitor thousands of risky websites when you sign up.
Pros
- Earns ongoing cash back rewards
- No annual fee
- Automatic monthly account review
Cons
- Security deposit is required
- No 0% APR period
- High ongoing APR
- FICO® Credit Score: Receive free FICO® scores and monitoring.
- Discover® Identity Alerts: Get free Experian credit report and dark web monitoring.
- Freeze it®: Protect your account by stopping account activity in the event of suspicious card activity or if your card is lost or stolen.
Why We Like It: If you’re a contractor, run a delivery service, or run your business from an RV, the Discover it® Secured card might be a good choice, thanks to its 2% cash back rewards on gas station and restaurant purchases and 1% on all other qualifying purchases. Plus, with Cashback Max, at the end of your first year of card ownership, you’ll get an unlimited dollar match of all the cash back you earned. Also, you can activate fraud alerts easily from online banking or the mobile app or freeze your card if it gets lost or stolen.
Discover reports credit history to the major credit bureaus and begins automatic card reviews after eight months of card ownership to see if you qualify for an unsecured card.
OpenSky® Secured Visa Credit Card: Best for No Credit Check
OpenSky® Secured Visa® Credit Card
BEST FOR:
Business owners with a credit score below 580
Intro APR
N/A
Regular APR
17.64% Variable
Annual Fee
$35
Credit Needed
No Credit Check
- No credit check needed to apply—OpenSky® won’t pull your credit so there’s no impact on your credit score.
- You can set your own credit limit by making a refundable deposit ranging from $200 to $3,000.
- OpenSky® reports your activities to credit bureaus including Equifax®, Experian® and TransUnion® to help you build or improve your credit score.
Pros
- No credit check required
- Helps build credit
- Low annual fee
Cons
- No introductory APR
- No rewards
- Requires security deposit
- Email alerts: Set up email alerts as a reminder to make a payment, or when you almost use up your credit limit.
- Automatic payments: You can set up recurring automatic payments to ensure your card is paid on time.
- All benefits of a Visa®: This card comes with all the benefits of a Visa® credit card, including worldwide acceptance and fraud protection.
Intro APR
N/A
Regular APR
17.64% Variable
Annual Fee
$35
Credit Needed
No Credit Check
- No credit check needed to apply—OpenSky® won’t pull your credit so there’s no impact on your credit score.
- You can set your own credit limit by making a refundable deposit ranging from $200 to $3,000.
- OpenSky® reports your activities to credit bureaus including Equifax®, Experian® and TransUnion® to help you build or improve your credit score.
Pros
- No credit check required
- Helps build credit
- Low annual fee
Cons
- No introductory APR
- No rewards
- Requires security deposit
- Email alerts: Set up email alerts as a reminder to make a payment, or when you almost use up your credit limit.
- Automatic payments: You can set up recurring automatic payments to ensure your card is paid on time.
- All benefits of a Visa®: This card comes with all the benefits of a Visa® credit card, including worldwide acceptance and fraud protection.
Why We Like It: The OpenSky® Secured Visa Credit Card isn’t a business credit card, but you can use it for any business purchase. Since a credit check isn’t required when you apply, your credit score isn’t part of the approval process. OpenSky® reports to the three major credit bureaus, Equifax, Experian, and TransUnion, so as you continue to use the card and make on-time payments, you can grow your credit score and build your credit history. Most secured cards require a bank account to get started, but OpenSky® makes it easy if you don’t have or don’t qualify for a bank account. Instead, you can use a money order for the deposit to get the application going.
OpenSky® helps you make on-time payments with email alerts to remind you when your payment is due.
Bento for Business Visa® Debit Card: Best for Managing Employee Spending
Bento for Business Visa® Debit Card
BEST FOR:
Managing employee expenses without a credit check to qualify
Number Of Cards
Unlimited
Monthly Cost
$29-149 monthly
Daily Load Limit
None
Daily Spend Limit
$25,000
- Instant decision
- No credit check required
- One-click card controls and expense reports
Pros
- Get the first two cards for free
- Manage employee expenses easily
- Additional card features and purchase protections
Cons
- Large fees for more than two cards
- Deposited funds are required
- Won’t help build business or personal credit
- Auto rental collision damage waiver: Use this card to pay for your entire auto rental transaction and get collision coverage for a damaged or stolen rental vehicle, up to the value of the vehicle.
- Purchase protection: Purchases are covered up to 90 days for damage and theft, up to $10,000 per claim, $50,000 per year.
Number Of Cards
Unlimited
Monthly Cost
$29-149 monthly
Daily Load Limit
None
Daily Spend Limit
$25,000
- Instant decision
- No credit check required
- One-click card controls and expense reports
Pros
- Get the first two cards for free
- Manage employee expenses easily
- Additional card features and purchase protections
Cons
- Large fees for more than two cards
- Deposited funds are required
- Won’t help build business or personal credit
- Auto rental collision damage waiver: Use this card to pay for your entire auto rental transaction and get collision coverage for a damaged or stolen rental vehicle, up to the value of the vehicle.
- Purchase protection: Purchases are covered up to 90 days for damage and theft, up to $10,000 per claim, $50,000 per year.
Why We Like It: The Bento for Business Visa® Debit Card isn’t a credit card, but it’s just as valuable as the other cards on this list. It doesn’t require a credit check for approval. Since it’s a debit card, it doesn’t charge any interest, so more of your money stays in your account.
One of the best features of this card is that if you’re a business owner with multiple employees, each employee can have their own card. You can control the spending limit and spend category on each card, make changes to these controls on the mobile app, and freeze a card if it gets lost or stolen. However, there is a fee of $29 a month for up to 10 cards. Approval can happen in less than 5 minutes, which makes the Bento for Business Visa® Debit Card one of our choices for the best easy approval credit cards.
How We Evaluated the Best Secured Business Credit Cards
To determine the best secured business credit cards, we took a look at rates, fees, ease of application, rewards or benefits, and what the card does to help you elevate to an unsecured card.
What Is a Secured Business Credit Card?
A secured business credit card typically requires a deposit to a checking or savings account, called your collateral account. The amount of the required deposit is usually equal to your credit limit. For example, if your collateral account contains $500, then your credit line is $500.
When the bill is due each month, you’ll be responsible for making a payment on time. With secured cards, it’s especially important that the payment is on time because the penalties for late payments are higher than unsecured cards. Also, if the issuer reports your credit history to the major credit bureaus, each late payment could affect your chances of getting an unsecured card in the future.
Bottom Line
All of these secured business credit cards offer an easy approval process and liability protection. If you’re not sure which one to select, consider the unique features that each card offers and identify which are important to you, such as a rewards program or being able to apply without a credit check. With consistent on-time payments, you can build your credit history and become eligible for an unsecured credit card with higher limits, flexible payment dates, and richer rewards. For more tips on growing your credit score, check out our article on how to build business credit.
