New Delhi, June 12 -- A secured credit card is a type of credit card that requires a refundable security deposit which is equal or more than the credit limit. It's a feasible option for those who are new to credit or trying to rebuild a poor credit score.

Several banks in India offer secured cards against fixed deposits (FDs). These include SBI Advantage Plus Card, ICICI Bank Coral Credit Card Against FD and Axis Bank Insta Easy Card.

Here we explain several advantages of a secured credit card and whether one should consider applying for it.

I. It helps build or rebuild credit: Most secured credit cards report to all major credit bureaus. When a user makes timely payments and maintain low utilisation, it can positively impact his credi...