Does the limit on a secured card have any impact on my credit repair?
Your secured card limit is not important. You can get as much benefit from a small card as one with a large limit. Secured cards are the perfect credit repair tool. Your credit scores are based on both the positive and the negative information on your report. Many people in credit repair programs focus strictly on getting rid of derogatory information. Cleaning up your report is critical, but if you do not have any good open accounts you will find that your scores don’t improve much.
The Only Choice
For many people starting credit repair services, secured cards are the only way to go simply because they will not get approved for a regular card. Fortunately, you do not have to invest a fortune to get your scores moving the right direction.
Watch the Card Usage!
In fact, we normally recommend to our credit repair clients that they get the smallest limit offered and reserve their cash for unexpected expenses. A card with a 200 dollar limit will have a dramatic impact, as long as you manage it right. The key is to keep the balance down. For credit score optimization you are best off only using 20 percent of the limit.