Secured credit cards, also known as credit cards against fixed deposits (FD), are an excellent way for individuals with a low CIBIL score or no credit history to build or repair their credit. These cards are backed by a fixed deposit, which acts as collateral and reduces the risk for the card issuer. Using a secured credit card responsibly can help improve your CIBIL score over time. In this article, we will discuss how secured credit cards can help repair your CIBIL score and provide examples of products available from various banks in India.
Conclusion
Secured credit cards, or cards against fixed deposits, offer an effective way to repair your CIBIL score by demonstrating responsible credit behaviour. By choosing the right secured credit card based on your needs and using it responsibly, you can gradually improve your credit score and become eligible for better credit products in the future. Make sure to research and compare various secured credit cards from different banks to find the one that best suits your requirements.