7 facts to know about secured credit cards, their benefits and also who should get it - What is a secured credit card?

An FD-backed credit card is a secured card that requires a deposit, making approval easier and interest rates lower, while also helping to build credit. In contrast, an unsecured credit card does not need any deposit and usually offers a higher credit limit. However, it comes with stricter eligibility, as banks look for a good credit history. These cards also tend to carry a higher APR compared to FD-backed options.Takeaway: FD cards are for building credit, unsecured cards reward good credit. Secured vs. Unsecured cards