If you need a credit card that’s easy and quick to apply for, with no annual fee, no credit bureau checks, and lots of benefits, the Discover it Secured credit card might be the ideal solution.
Unlike many “entry-level” cards that charge high fees and offer no benefits, this card reverses the logic.
Whether you’re a student, a newcomer to the United States, or someone recovering from bankruptcy, follow along and see how to apply for your card online today!
Who issues the Discover it Secured Credit Card?
The Discover it® Secured Credit Card is issued by Discover, which is a division of Capital One NA. While you might know Discover for its commercials or its widespread acceptance, it is important to understand that they are a major financial institution regulated by U.S. laws.
This matters because when you are building credit, you want an issuer that reports your activity to the major credit bureaus. Discover reports your payment history and credit utilization to the three major agencies: TransUnion, Equifax, and Experian.
This reporting is the mechanism that actually builds your credit score. If an issuer doesn’t report to these three bureaus, your good habits won’t help your score rise.
Main benefits of the Discover it® Secured
Most secured cards are bare-bones financial tools. You pay a deposit, you use the card, and you pay a fee for the privilege. Discover changes this dynamic by adding features usually reserved for premium unsecured cards.
A clear path to an unsecured card
The ultimate goal of a secured card is to eventually stop using a secured card. Discover has an automated process to help you get there. Starting at seven months, they conduct automatic monthly account reviews.
During this review, they look at your responsible credit management across all your credit cards and loans—not just your Discover account. If you qualify, they can upgrade you to an “unsecured” card and refund your security deposit.
This means you don’t have to close your account and lose your account age just to get your deposit back.
Real cash back rewards
It is rare to find a secured card that pays you to use it. With this card, you earn rewards on every purchase:
- 2% Cashback Bonus®: You earn this at gas stations and restaurants on up to $1,000 in combined purchases each quarter.
- 1% Cashback Bonus®: You earn this unlimited 1% on all other purchases automatically.
Cashback Match™
Discover offers a unique benefit for new cardmembers called Cashback Match. At the end of your first year, they automatically match all the cash back you earned.
There is no limit to how much they will match. If you earned $100 in cash back during the year, they turn it into $200. You don’t need to sign up for this; it happens automatically.
No annual fee and credit-building features
Many secured cards charge an annual fee just to keep the account open. The Discover it® Secured card has a $0 annual fee. Additionally, since there is no credit score required to apply, it removes a major barrier to entry for many people.
You also get free access to your FICO® Credit Score. Checking this score won’t hurt your credit, and it allows you to track your progress as you build your history.
Who is the Discover it® Secured Card best suited for?
Because of its specific structure, this card isn’t for everyone. It is designed for a specific set of financial needs.
Credit Builders and Rebuilders
If you have a “thin” credit file—meaning you haven’t borrowed much in the past—or if you have a damaged credit history due to missed payments or bankruptcy, this card is designed for you. Reviews from current users highlight success stories of people raising their scores significantly after bankruptcy by using this card responsibly.
Students and Young Adults
For those just turning 18 or leaving for college, establishing credit early is a smart financial move. Since this card requires a refundable security deposit (starting at $200) rather than a high income or long credit history, it is accessible for younger adults who have savings but no credit score.
Strategic Spenders
If you drive frequently or eat out often, the 2% cash back at gas stations and restaurants makes this an excellent choice. You can build your credit while earning a return on money you were going to spend anyway.
Required documents and criteria
Before you sit down to apply, you need to gather some information. While the application is “easy” and doesn’t require a credit score, you still need to prove your identity and your ability to fund the deposit.
You must meet the following basic criteria:
- Be at least 18 years of age.
- Have a U.S. address.
- Have a Social Security number.
You will also need to provide specific financial information:
- U.S. Bank Account: You must have a bank routing number and account number ready. This is how you will pay your security deposit.
- Income Information: Discover needs to verify that you have the ability to make your monthly payments.
- Security Deposit: You need access to at least $200 to fund your deposit. Your credit line will equal this deposit amount. For example, if you deposit $500, your credit limit will be $500. The maximum you can deposit (and thus your maximum limit) is $2,500, subject to approval.
Steps to apply for the Discover it® Secured
The application process is digital and straightforward. You can complete it from a desktop computer or a mobile device.
1. Check if you are pre-approved
Before doing a full application, you can check if you are pre-approved. This allows you to see if you are likely to be accepted without a hard impact on your credit report initially. However, submitting the full application typically results in a hard inquiry on your credit report.
2. Fill out the application
Navigate to the Discover website and select “Apply Now.” You will enter your personal details, including your name, address, and Social Security number. You will also enter your financial details, such as total annual income and monthly housing/rent payment.
3. Choose your design and deposit amount
You can often select a specific card design. More importantly, you will specify how much you want to deposit. Remember, this money will be held as collateral. It is refundable if you close the account in good standing or if you graduate to an unsecured card, but you won’t have access to that cash while the account is secured.
4. Fund the account
Using the routing and account number from your U.S. bank account, you will authorize the transfer for your security deposit.
5. Wait for the decision
In many cases, the decision is instant. If approved, your card will be mailed to you. If Discover cannot approve your application, they will provide you with the specific reasons why, and if they used a credit score in the decision, they will tell you which bureau it came from.
Once you receive your card, the strategy is simple: use it for small purchases, pay your bill on time and in full every month, and keep your balance low. Doing this consistently is the key to passing that 7-month review and getting your deposit back.
Apply for your Discover it Secured Credit Card now!
Building credit doesn’t have to be a confusing ordeal. With the right tool, it is simply a matter of consistency and time. The Discover it® Secured Credit Card offers a rare combination of rewards, low fees, and a transparent graduation process that makes it a favorite among financial experts and customers alike.
If you are ready to start building your financial future, gather your banking info and submit your application. Your future credit score will thank you!