Secured credit cards
How a secured credit card deposit works
What a secured card deposit is, how it sets your credit limit, when you get it back and the questions to ask any card issuer before you apply.
Secured credit card · In development
A secured credit card for building your Canadian credit history
Your security deposit sets your credit limit. Use the card for everyday purchases, pay your statement on time and build a record that lenders can see once reporting agreements are in place.
Not available yet. This card is in development. The issuer, payment network, fees, interest rates, deposit rules and the provinces we’ll serve are all still to be confirmed. Nothing on this page is an offer of credit.
How it works
How a secured credit card works
A secured card works like any other credit card. The difference is the deposit you provide up front, which secures your credit limit.
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Provide a security deposit
You set aside a deposit when your account is opened. It stays in place while the account is secured.
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Get a limit based on your deposit
Your credit limit is based on the deposit you provide. Exact deposit and limit rules are to be confirmed.
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Use it and pay your statement
Shop in person or online, then pay at least the minimum by the due date. Paying in full avoids interest on purchases.
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Build your history over time
When an account is reported to the credit bureaus, on-time payments add to your credit history.
We’ll confirm credit bureau reporting before launch.
Deposit and limit
Your deposit secures the card. Your payments build the history.
The deposit isn’t a payment toward your balance. You still receive a monthly statement and pay it, and those on-time payments are what can build your credit history.
- The deposit stays in place while the account is secured and is generally returned, minus any amount owed, when the account is closed in good standing.
- Keeping your balance low relative to your limit helps. The Financial Consumer Agency of Canada suggests using less than 30%.
- Our own deposit, limit and deposit-return terms will be published before applications open.
Worked example
Example only- Security deposit
- $500
- Credit limit
- $500
- Balance to aim for
- Under $150
What we’re designing
A card you’ll be glad to carry
Building credit shouldn’t mean settling for a card that feels like a compromise. Here’s what we’re designing, and what depends on our future issuing partner.
- Concept
Matte-black, numberless card
A minimal front with gold detailing and no number printed on it. The final card face depends on our issuing partner.
- Planned
Card details in the app
View your card details securely in the app when you need them, protected by your sign-in.
- Planned
Lock and unlock
Pause your card from your phone if you misplace it. Available only once our issuing partner supports it.
- Planned
Reminders and alerts
Due-date reminders and balance alerts, so on-time payments and low balances are easier to keep up.
- Planned
Statements and activity
Monthly statements, pending and posted transactions, and payment history in one place.
- Planned
Credit monitoring
Planned at no extra cost for customers with an eligible active product. Eligibility is to be confirmed.
Who it’s for
Built for starting out and starting over
A secured card may suit you if you’re in one of these situations. Our eligibility criteria will be published before launch.
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New to credit
You haven’t had a credit card or loan yet and want to start building a history.
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New to Canada
Your credit history from another country doesn’t carry over and you’re starting a Canadian file.
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Rebuilding after a setback
You’re working your way back after missed payments, a consumer proposal or a bankruptcy.
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Prefer a set limit
You like knowing your spending is anchored to a deposit you chose.
Compare
Secured, unsecured and prepaid cards
They look alike in your wallet, but they work differently, and only credit products can build credit history.
| Feature | Secured credit card | Unsecured credit card | Prepaid card |
|---|---|---|---|
| Money needed to open | A security deposit | None | You load your own money |
| What sets your spending limit | Usually your deposit | The issuer’s assessment of your credit | The balance you’ve loaded |
| Is it credit? | Yes | Yes | No, you’re spending your own money |
| Can it build credit history? | Yes, when reported to credit bureaus and paid on time | Yes, when reported to credit bureaus and paid on time | Generally no, because there’s no credit to report |
| Interest if you carry a balance | Yes | Yes | Not applicable |
General information about these card types in Canada. Individual products vary.
Key facts: Evolve Capital secured card
Nothing below is final. We will publish every item before applications open.
- Availability
- To be confirmed Not available yet. Provinces and territories will be confirmed before launch.
- Card issuer
- To be confirmed Will be a licensed issuing partner.
- Payment network
- To be confirmed We will only show a network’s name or logo once we are authorized to.
- Security deposit (minimum and maximum)
- To be confirmed
- How your credit limit is set
- To be confirmed Based on your security deposit; exact rules to be confirmed.
- Annual or monthly fee
- To be confirmed
- Interest rate on purchases
- To be confirmed
- Interest rate on cash advances
- To be confirmed
- Other fees
- To be confirmed
- Credit check when you apply
- To be confirmed
- Reporting to credit bureaus
- To be confirmed Depends on agreements with credit bureaus that are not yet in place.
- When your deposit is returned
- To be confirmed
Will your products improve my credit score?
We can't promise that, and no one honestly can. Your credit score depends on everything in your credit file, not just one account.
Making on-time payments on an account that's reported to the credit bureaus can help you build a positive history over time. Late or missed payments can hurt it.
Who are your partners?
We're testing identity verification with Didit, a specialist provider. We haven't finalized agreements with a card issuer, payment network, credit bureau or payments provider.
We won't name those partners until agreements are signed and we're permitted to.
How does a secured credit card work?
You provide a security deposit and your credit limit is based on it. You then use the card like any other credit card, receive a monthly statement and make payments.
Because your deposit secures the account, a secured card can be easier to qualify for than an unsecured card. If the account is closed with a balance owing, the deposit can be used to pay that balance.
Do I get my security deposit back?
With secured cards in general, the deposit is returned when the account is closed in good standing or moved to an unsecured card, minus any amount you still owe.
Our own deposit-return terms, including timing, are still being finalized and will be published before launch.
Can a secured card help me build credit?
It can, if the account is reported to the credit bureaus and you pay on time. On-time payments and low balances are two of the most important parts of a healthy credit history.
We'll only say our card reports to credit bureaus once those agreements are in place.
How much of my credit limit should I use?
The Financial Consumer Agency of Canada suggests trying to use less than 30% of your available credit. On a $500 limit, that means keeping your balance under $150.
Paying your full statement balance by the due date also helps you avoid interest on purchases.
Which payment network will the card use?
That hasn't been decided. The card shown on this website is a concept design without a payment-network logo.
We'll show a network's name or logo only once an authorized card-issuing partner is in place.
Will you check my credit when I apply?
Our eligibility and approval approach isn't final. Before applications open, we'll tell you clearly whether we check your credit, and if so what kind of check it is and how it may affect your credit file.
Guides
Keep learning
Credit scores & reports
Credit utilization, explained
What credit utilization is, how to calculate it, why FCAC suggests staying under 30% and practical ways to keep your balance low on a small limit.
Credit builder loans
Secured card vs credit builder loan: which fits you?
A side-by-side look at how secured credit cards and credit builder loans work, what each asks of your cash flow and which habits each one builds.
Not sure a card is right for you?
A Credit Builder Loan builds history without needing a deposit up front. Compare the two, or preview how applying will work.
Important information
Draft, awaiting legal review. Evolve Capital Credit’s secured credit card is a product in development and is not available. Any card would be issued by a licensed issuing partner under a cardholder agreement. Approval, credit limits, fees, interest rates and deposit terms would be set out in that agreement and disclosed before you apply. The card shown is a concept design and does not represent an actual card, issuer or payment network.