{"id":12562,"date":"2025-02-04T23:28:39","date_gmt":"2025-02-05T04:28:39","guid":{"rendered":"https:\/\/myratecompass.ca\/blog\/?p=12562"},"modified":"2025-02-04T23:30:03","modified_gmt":"2025-02-05T04:30:03","slug":"can-i-upgrade-from-a-secured-credit-card-to-an-unsecured-credit-card","status":"publish","type":"post","link":"https:\/\/myratecompass.ca\/blog\/creditcards\/can-i-upgrade-from-a-secured-credit-card-to-an-unsecured-credit-card\/","title":{"rendered":"Can I Upgrade From A Secured Credit Card To An Unsecured Credit Card?"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_17 counter-hierarchy counter-decimal ez-toc-grey\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" style=\"display: none;\"><i class=\"ez-toc-glyphicon ez-toc-icon-toggle\"><\/i><\/a><\/span><\/div>\n<nav><ul class=\"ez-toc-list ez-toc-list-level-1\"><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/myratecompass.ca\/blog\/creditcards\/can-i-upgrade-from-a-secured-credit-card-to-an-unsecured-credit-card\/#The_Difference_Between_Secured_And_Unsecured_Credit_Cards\" title=\"The Difference Between Secured And Unsecured Credit Cards\">The Difference Between Secured And Unsecured Credit Cards<\/a><ul class=\"ez-toc-list-level-3\"><li class=\"ez-toc-heading-level-3\"><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/myratecompass.ca\/blog\/creditcards\/can-i-upgrade-from-a-secured-credit-card-to-an-unsecured-credit-card\/#Secured_Credit_Card\" title=\"Secured Credit Card: \">Secured Credit Card: <\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-3\"><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/myratecompass.ca\/blog\/creditcards\/can-i-upgrade-from-a-secured-credit-card-to-an-unsecured-credit-card\/#Unsecured_Credit_Card\" title=\"Unsecured Credit Card:\">Unsecured Credit Card:<\/a><\/li><\/ul><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/myratecompass.ca\/blog\/creditcards\/can-i-upgrade-from-a-secured-credit-card-to-an-unsecured-credit-card\/#Pros_And_Cons_Of_Upgrading_To_An_Unsecured_Credit_Card\" title=\"Pros And Cons Of Upgrading To An Unsecured Credit Card\">Pros And Cons Of Upgrading To An Unsecured Credit Card<\/a><ul class=\"ez-toc-list-level-3\"><li class=\"ez-toc-heading-level-3\"><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/myratecompass.ca\/blog\/creditcards\/can-i-upgrade-from-a-secured-credit-card-to-an-unsecured-credit-card\/#Pros\" title=\"Pros:\">Pros:<\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-3\"><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/myratecompass.ca\/blog\/creditcards\/can-i-upgrade-from-a-secured-credit-card-to-an-unsecured-credit-card\/#Cons\" title=\"Cons:\">Cons:<\/a><\/li><\/ul><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/myratecompass.ca\/blog\/creditcards\/can-i-upgrade-from-a-secured-credit-card-to-an-unsecured-credit-card\/#When_Are_You_Ready_To_Switch_From_A_Secured_To_Unsecured_Credit_Card\" title=\"When Are You Ready To Switch From A Secured To Unsecured Credit Card?\">When Are You Ready To Switch From A Secured To Unsecured Credit Card?<\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/myratecompass.ca\/blog\/creditcards\/can-i-upgrade-from-a-secured-credit-card-to-an-unsecured-credit-card\/#Building_Your_Credit_Score_To_Qualify_For_An_Unsecured_Credit_Card\" title=\"Building Your Credit Score To Qualify For An Unsecured Credit Card\">Building Your Credit Score To Qualify For An Unsecured Credit Card<\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/myratecompass.ca\/blog\/creditcards\/can-i-upgrade-from-a-secured-credit-card-to-an-unsecured-credit-card\/#How_To_Upgrade_From_A_Secured_To_An_Unsecured_Credit_Card\" title=\"How To Upgrade From A Secured To An Unsecured Credit Card\">How To Upgrade From A Secured To An Unsecured Credit Card<\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/myratecompass.ca\/blog\/creditcards\/can-i-upgrade-from-a-secured-credit-card-to-an-unsecured-credit-card\/#Common_Mistakes_To_Avoid_When_Upgrading\" title=\"Common Mistakes To Avoid When Upgrading\">Common Mistakes To Avoid When Upgrading<\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/myratecompass.ca\/blog\/creditcards\/can-i-upgrade-from-a-secured-credit-card-to-an-unsecured-credit-card\/#Final_Thoughts\" title=\"Final Thoughts\">Final Thoughts<\/a><\/li><\/ul><\/nav><\/div>\n<span class=\"rt-reading-time\" style=\"display: block;\"><span class=\"rt-label rt-prefix\">Reading Time:<\/span> <span class=\"rt-time\">7<\/span> <span class=\"rt-label rt-postfix\">Min<\/span><\/span>\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"12562\" class=\"elementor elementor-12562\" data-elementor-post-type=\"post\">\n\t\t\t\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-553bb9d elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"553bb9d\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-e0377c1\" data-id=\"e0377c1\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-74a0a05 elementor-widget elementor-widget-text-editor\" data-id=\"74a0a05\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.17.0 - 08-11-2023 *\/\n.elementor-widget-text-editor.elementor-drop-cap-view-stacked .elementor-drop-cap{background-color:#69727d;color:#fff}.elementor-widget-text-editor.elementor-drop-cap-view-framed .elementor-drop-cap{color:#69727d;border:3px solid;background-color:transparent}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap{margin-top:8px}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap-letter{width:1em;height:1em}.elementor-widget-text-editor .elementor-drop-cap{float:left;text-align:center;line-height:1;font-size:50px}.elementor-widget-text-editor .elementor-drop-cap-letter{display:inline-block}<\/style>\t\t\t\t<p>If you\u2019ve been using a secured credit card to help you build your credit, but feel like <b>it\u2019s time to upgrade to an unsecured credit card<\/b> &#8211; you\u2019re in luck! It\u2019s possible to switch to an unsecured credit card from a secured card if you\u2019ve met certain credit requirements.&nbsp;<\/p>\n<p>If you feel like you\u2019re ready to make the change, read on to learn how to go from a secured to an unsecured credit card in no time.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-265398c elementor-widget elementor-widget-heading\" data-id=\"265398c\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.17.0 - 08-11-2023 *\/\n.elementor-heading-title{padding:0;margin:0;line-height:1}.elementor-widget-heading .elementor-heading-title[class*=elementor-size-]>a{color:inherit;font-size:inherit;line-height:inherit}.elementor-widget-heading .elementor-heading-title.elementor-size-small{font-size:15px}.elementor-widget-heading .elementor-heading-title.elementor-size-medium{font-size:19px}.elementor-widget-heading .elementor-heading-title.elementor-size-large{font-size:29px}.elementor-widget-heading .elementor-heading-title.elementor-size-xl{font-size:39px}.elementor-widget-heading .elementor-heading-title.elementor-size-xxl{font-size:59px}<\/style><h2 class=\"elementor-heading-title elementor-size-default\"><span class=\"ez-toc-section\" id=\"The_Difference_Between_Secured_And_Unsecured_Credit_Cards\"><\/span><b>The Difference Between Secured And Unsecured Credit Cards<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-31f50b9 elementor-widget elementor-widget-text-editor\" data-id=\"31f50b9\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>Secured and unsecured credit cards serve very different functions. While both can help you build credit, they offer different features, limitations, and end goals. The main features of each type of credit card are as follows:<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-f806455 elementor-widget elementor-widget-heading\" data-id=\"f806455\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h3 class=\"elementor-heading-title elementor-size-default\"><span class=\"ez-toc-section\" id=\"Secured_Credit_Card\"><\/span><b>Secured Credit Card: <\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-1a35bd9 elementor-widget elementor-widget-text-editor\" data-id=\"1a35bd9\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>A secured credit card is recommended for individuals with <b>limited or poor <\/b><b>credit history<\/b>.<\/p>\n<p>When you apply for a secured credit card, you need to make a <b>cash deposit<\/b> that&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; serves as collateral. This deposit acts as security for the credit card issuer, reducing their risk in case you default on your payments.&nbsp;<\/p>\n<ul>\n<li>Your cash deposit equals your card\u2019s <b>credit limit<\/b>.&nbsp;<\/li>\n<li>&nbsp;<\/li>\n<li>These types of cards <b>help you rebuild your credit and improve your score<\/b> over time when you do not qualify for a traditional credit card.&nbsp;<\/li>\n<li>&nbsp;<\/li>\n<li><b>Lower interest rates<\/b>: Since secured credit cards have collateral, their interest&nbsp;&nbsp;&nbsp;&nbsp; rates are <a href=\"https:\/\/www.investopedia.com\/ask\/answers\/110614\/whats-difference-between-secured-line-credit-and-unsecured-line-credit.asp#:~:text=As%20mentioned%20earlier%2C%20unsecured%20credit,cheaper%20and%20easier%20to%20get.\" target=\"_blank\" rel=\"nofollow noopener\">generally lower and more affordable<\/a>.<\/li>\n<\/ul>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-f7789ff elementor-widget elementor-widget-heading\" data-id=\"f7789ff\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h3 class=\"elementor-heading-title elementor-size-default\"><span class=\"ez-toc-section\" id=\"Unsecured_Credit_Card\"><\/span><b>Unsecured Credit Card:<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-c6560df elementor-widget elementor-widget-text-editor\" data-id=\"c6560df\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>Unsecured credit cards are <b>traditional credit cards<\/b>.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<\/p>\n<ul>\n<li>Unsecured credit cards <b>do not require a cash deposit as collateral<\/b> and are&nbsp;&nbsp;&nbsp;&nbsp; issued based on your creditworthiness. Your <b>creditworthiness <\/b>is determined by&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; factors such as credit score, income and payment history.&nbsp;<\/li>\n<li>&nbsp;<\/li>\n<li>Unsecured credit cards typically offer <b>higher credit limits<\/b> than secured credit cards.&nbsp;<\/li>\n<li>&nbsp;<\/li>\n<li><b>Rewards and cashback<\/b>: Unsecured credit cards offer additional perks, such as&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; cashback and travel rewards or points that can be redeemed for merchandise or&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; services.<\/li>\n<li>&nbsp;<\/li>\n<li>In short, a secured credit card is easy to get and can help you <b>build credit over time<\/b>, but an unsecured credit card offers a<b> higher credit limit<\/b> and <b>rewards<\/b>. For a more in-depth look at the pros and cons, see below:&nbsp;<\/li>\n<\/ul>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-ccd8961 elementor-widget elementor-widget-heading\" data-id=\"ccd8961\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\"><span class=\"ez-toc-section\" id=\"Pros_And_Cons_Of_Upgrading_To_An_Unsecured_Credit_Card\"><\/span><b>Pros And Cons Of Upgrading To An Unsecured Credit Card<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-14f9e77 elementor-widget elementor-widget-text-editor\" data-id=\"14f9e77\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>The process and result of switching to an unsecured credit card can have both pros and cons. Below, we explore these pros and cons in more detail:<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-5a4da79 elementor-widget elementor-widget-heading\" data-id=\"5a4da79\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h3 class=\"elementor-heading-title elementor-size-default\"><span class=\"ez-toc-section\" id=\"Pros\"><\/span><b>Pros:<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-3b955ed elementor-widget elementor-widget-text-editor\" data-id=\"3b955ed\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<ul>\n<li>\n<ul>\n<li><b>Higher credit limits<\/b> provide more purchasing power and flexibility.<\/li>\n<li>&nbsp;<\/li>\n<li><b>Rewards and perks<\/b> can enhance your overall credit card experience.<\/li>\n<li>&nbsp;<\/li>\n<li>Opportunity to <b>improve your credit score<\/b> and creditworthiness.Access to a wider range of credit card <b>options and benefits.<\/b><\/li>\n<\/ul>\n<\/li>\n<\/ul>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-039bb63 elementor-widget elementor-widget-heading\" data-id=\"039bb63\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h3 class=\"elementor-heading-title elementor-size-default\"><span class=\"ez-toc-section\" id=\"Cons\"><\/span><b>Cons:<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-e2f72c1 elementor-widget elementor-widget-text-editor\" data-id=\"e2f72c1\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<ul>\n<li><b>Approval <\/b>for an unsecured credit card is<b> not guaranteed<\/b> and is subject to creditworthiness.<\/li>\n<li>&nbsp;<\/li>\n<li><b>Higher interest rates<\/b>: Since a loan on an unsecured credit card is not insured with collateral, it can drive up interest rates.&nbsp;<\/li>\n<li>&nbsp;<\/li>\n<li>Higher credit limits can lead to <b>increased spending<\/b> and potential debt if not managed responsibly.<\/li>\n<li>&nbsp;<\/li>\n<li>Rewards and perks may come with <b>annual fees <\/b>or specific spending requirements.<\/li>\n<li>&nbsp;<\/li>\n<li>Potential impact on credit score due to <b>hard inquiries and credit limit changes<\/b>.<\/li>\n<li>&nbsp;<\/li>\n<\/ul>\n<p>While it may seem like the cons outweigh the pros, this is mainly because of the <b>range of options available<\/b> with an unsecured card. <b>Higher credit limits<\/b> (while helpful in an emergency), need to be handled responsibly to ensure you stay debt-free. While getting an unsecured credit card can launch a <b>hard inquiry<\/b> into your credit history and lower your credit score, this effect is only temporary and may be worthwhile.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-306bf59 elementor-widget elementor-widget-heading\" data-id=\"306bf59\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\"><span class=\"ez-toc-section\" id=\"When_Are_You_Ready_To_Switch_From_A_Secured_To_Unsecured_Credit_Card\"><\/span><b>When Are You Ready To Switch From A Secured To Unsecured Credit Card?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-8d2ed0f elementor-widget elementor-widget-text-editor\" data-id=\"8d2ed0f\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>Before making the decision to upgrade from a secured credit card to an unsecured credit card, first make sure you qualify for the upgrade. You can do this by checking for <b>the following eligibility requirements:<\/b>&nbsp;<\/p>\n<ol>\n<li><b>1. Your creditworthiness has increased<\/b>: Your <a href=\"https:\/\/www.investopedia.com\/terms\/c\/credit-worthiness.asp#:~:text=Understanding%20Creditworthiness,-Your%20creditworthiness%20tells&amp;text=Lenders%20periodically%20review%20different%20factors,credit%20score%2C%20and%20payment%20history.&amp;text=Your%20creditworthiness%20is%20also%20measured,factors%20in%20your%20credit%20report.\" target=\"_blank\" rel=\"nofollow noopener\">creditworthiness is calculated<\/a> based on your credit score, income, and payment history. It tells a lender that you are responsible with money and can pay back debts fully and on time. <b>A good indicator of your creditworthiness is your credit score<\/b>, so be sure to check this before applying for an upgrade. <\/li>\n<li>&nbsp;<\/li>\n<li><b>2. You have a consistent payment history<\/b>: Making consistent, on-time payments on your secured credit card can demonstrate responsible credit behaviour and increase your chances of being approved for an unsecured credit card. Before applying for an upgrade, make sure you have a solid payment history and have been making your payments in full and on time.<\/li>\n<li>&nbsp;<\/li>\n<li><b>3. You have a long credit history: <\/b>Credit card issuers prefer individuals who have a longer credit history as it provides them with more information about your credit behaviour. If you have been using your secured credit card responsibly for an extended period, it may work in your favour when applying for an unsecured credit card.<\/li>\n<li>&nbsp;<\/li>\n<\/ol>\n<p>If you see that your <b>credit score and payment history look good<\/b>, you are more than ready to apply for an unsecured credit card. However, if not, you may need a little extra push to qualify. See our tips below on how to build your credit and qualify for a new unsecured credit card.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-66b7718 elementor-widget elementor-widget-heading\" data-id=\"66b7718\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\"><span class=\"ez-toc-section\" id=\"Building_Your_Credit_Score_To_Qualify_For_An_Unsecured_Credit_Card\"><\/span><b>Building Your Credit Score To Qualify For An Unsecured Credit Card<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-8f9e96d elementor-widget elementor-widget-text-editor\" data-id=\"8f9e96d\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>If you don\u2019t quite make the cut for an unsecured credit card yet, consider the following <b>strategies on how to improve your credit score<\/b> to qualify for an unsecured credit card in the future:\u00a0<\/p><ul><li><b>Make timely payments<\/b>: Showing consistent, on-time payments is crucial for building a positive payment history. You can set up <b>automatic payments<\/b> or monthly reminders to make this easier.<\/li><li>\u00a0<\/li><li><b>Reduce credit card utilization<\/b>: The more credit you use each month, the worse it is for your credit, even if you pay it all back! Aim to use under 30% of your credit to demonstrate responsible credit usage.\u00a0<\/li><li>\u00a0<\/li><li><b>Diversify your credit mix<\/b>: Having a diverse credit mix, including revolving credit (e.g. credit cards) and installment loans (e.g. car loans or mortgages), can positively impact your credit score. It demonstrates an ability to manage different types of credit responsibly.<\/li><li>\u00a0<\/li><li><b>Monitor your credit report<\/b>: Regularly monitoring your credit report allows you to stay informed about any changes or potential issues that may impact your credit score. You can also sign up for a free credit monitoring service to make this easier.<\/li><li>\u00a0<\/li><\/ul><p>Once your credit qualifies as good (e.g. above 580), you are much more likely to get approval for an unsecured credit card. To learn how, see our steps below.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-88947df elementor-widget elementor-widget-heading\" data-id=\"88947df\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\"><span class=\"ez-toc-section\" id=\"How_To_Upgrade_From_A_Secured_To_An_Unsecured_Credit_Card\"><\/span><b>How To Upgrade From A Secured To An Unsecured Credit Card<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-01a9184 elementor-widget elementor-widget-text-editor\" data-id=\"01a9184\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>Once you\u2019re ready to upgrade your secured credit card, there are several steps to <b>change to an unsecured one<\/b>. These steps are outlined below:\u00a0<\/p><p><b>Step 1: Check your credit report for errors<\/b><\/p><p>Before initiating the upgrade process, it&#8217;s crucial to review your credit report for any errors or inaccuracies. You can obtain a free copy of your credit report from any of the major credit bureaus.\u00a0 Carefully go through your credit report and <b>dispute any errors<\/b> or discrepancies you find.\u00a0<\/p><p><b>Step 2: Assess your creditworthiness<\/b><\/p><p>If you already know your credit score, you can skip this step. However, if you last checked a few months ago, ensure that nothing has changed.<b> If your credit score has improved<\/b> since you first obtained your secured credit card, it may be a good indicator that you&#8217;re ready to upgrade. However,<b> if your credit score is still low<\/b> or hasn&#8217;t significantly improved, it may be beneficial to continue building your credit before attempting an upgrade.<\/p><p><b>Step 3: Contact your credit card issuer<\/b><\/p><p>After assessing your creditworthiness, it&#8217;s time to contact your credit card issuer to<b> inquire about upgrading from a secured to an unsecured credit card<\/b>. Reach out to your credit card issuer&#8217;s <b>customer service<\/b> or <b>visit their website<\/b> to find information about the upgrade process. Some credit card issuers may automatically review your account for possible upgrades, while others may require you to submit a formal request.<\/p><p>When you contact your credit card issuer, make sure to have the right information on hand. This includes the information about your current credit card, your payment history, and any improvements to your credit profile. Emphasize why you believe you&#8217;re ready for an upgrade and highlight any positive changes in your financial situation that may support your request.<\/p><p><b>Step 4: Consider requesting a credit limit increase<\/b><\/p><p>If your credit card issuer approves your request for an upgrade, it&#8217;s worth <b>inquiring about a potential credit limit increase during the process.<\/b><\/p><p><b>Step 5: Evaluate alternative options<\/b><\/p><p>If your credit card issuer denies your request for an upgrade or you decide that now is not the right time to upgrade, don&#8217;t be discouraged. Other options to improve your credit includes getting a new unsecured credit card with a different issuer, or applying for a credit builder loan to help you establish and improve your credit history. This can help diversify your credit portfolio.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-b8b210a elementor-widget elementor-widget-heading\" data-id=\"b8b210a\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\"><span class=\"ez-toc-section\" id=\"Common_Mistakes_To_Avoid_When_Upgrading\"><\/span><b>Common Mistakes To Avoid When Upgrading<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-9ce4ffb elementor-widget elementor-widget-text-editor\" data-id=\"9ce4ffb\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>When attempting to upgrade from a secured credit card to an unsecured credit card, there are some common mistakes that can undermine your efforts. The mistakes to avoid include:<\/p><ul><li><b>Applying for upgrades too soon<\/b>: If you apply too soon, your credit history is not well-established yet. This can result in a denial.<\/li><li>\u00a0<\/li><li><b>Neglecting to review credit reports<\/b>: If you fail to dispute errors and issues in your credit history, you could miss an opportunity and suffer negative impacts on your credit score.<\/li><li>\u00a0<\/li><li><b>Closing your secured credit card too soon<\/b>: If you apply for an unsecured credit card, instead of applying for an upgrade on your existing secured credit card, it can be tempting to close your secured credit card as soon as your new card gets approved. However, this can lower your credit score. If your secured credit card has a long history of on-time payments, consider keeping it open even after upgrading to maintain a positive credit history.<\/li><li>\u00a0<\/li><li><b>Applying for multiple credit cards simultaneously<\/b>: Each credit card application results in a hard inquiry on your credit report, which can lower your credit score. Rather than try your luck with several credit card applications, focus on applying strategically and improving your creditworthiness sufficiently to lower your chances of rejection.<\/li><li>\u00a0<\/li><li>Overall, it\u2019s a good idea to make sure you have demonstrated financially responsible behaviour in the last few months, and not to act too hastily. While it can be tempting to get a credit card and access its rewards and benefits, <b>it may sometimes be best to wait a bit longer <\/b>and demonstrate creditworthiness with your secured credit card.<\/li><\/ul>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-7bedc80 elementor-widget elementor-widget-heading\" data-id=\"7bedc80\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\"><span class=\"ez-toc-section\" id=\"Final_Thoughts\"><\/span><b>Final Thoughts<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-fff1f34 elementor-widget elementor-widget-text-editor\" data-id=\"fff1f34\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>Applying for an unsecured credit card after using a secured credit card to build up credit can be a major milestone in your financial journey. Whether you had to build credit from scratch, or had to recover from a bad credit score, a secured credit card likely helped you build the foundation of your current credit.&nbsp;<\/p>\n<p>When you finally do decide to upgrade to an unsecured credit card, remember to always check that you meet the credit requirements, avoid common mistakes, and demonstrate the same committment to due dates and regular payments as you did with your secured credit card. Happy upgrading!<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p><span class=\"rt-reading-time\" style=\"display: block;\"><span class=\"rt-label rt-prefix\">Reading Time:<\/span> <span class=\"rt-time\">7<\/span> <span class=\"rt-label rt-postfix\">Min<\/span><\/span> If you\u2019ve been using a secured credit card to help you build your credit, but feel like it\u2019s time to upgrade to an unsecured credit card &#8211; you\u2019re in luck! It\u2019s possible to switch to an unsecured credit card from a secured card if you\u2019ve met certain credit requirements.&nbsp; If you feel like you\u2019re ready&hellip; <a class=\"more-link\" href=\"https:\/\/myratecompass.ca\/blog\/creditcards\/can-i-upgrade-from-a-secured-credit-card-to-an-unsecured-credit-card\/\">Continue reading <span class=\"screen-reader-text\">Can I Upgrade From A Secured Credit Card To An Unsecured Credit Card?<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":12579,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"footnotes":""},"categories":[1],"tags":[21],"class_list":["post-12562","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-creditcards","tag-blog-post-template-1-main-template-to-use","entry"],"aioseo_notices":[],"featured_image_urls":{"full":["https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-scaled.jpg",924,616,false],"thumbnail":["https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-150x150.jpg",150,150,true],"medium":["https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-300x200.jpg",300,200,true],"medium_large":["https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-768x512.jpg",750,500,true],"large":["https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-1024x683.jpg",750,500,true],"1536x1536":["https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-1536x1024.jpg",924,616,true],"2048x2048":["https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-2048x1365.jpg",924,616,true],"post-thumbnail":["https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-1568x1045.jpg",924,616,true],"post-image-medium":["https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-375x250.jpg",375,250,true]},"post_excerpt_stackable":"<p>Table of Contents The Difference Between Secured And Unsecured Credit CardsSecured Credit Card: Unsecured Credit Card:Pros And Cons Of Upgrading To An Unsecured Credit CardPros:Cons:When Are You Ready To Switch From A Secured To Unsecured Credit Card?Building Your Credit Score To Qualify For An Unsecured Credit CardHow To Upgrade From A Secured To An Unsecured Credit CardCommon Mistakes To Avoid When UpgradingFinal Thoughts Reading Time: 7 Min If you\u2019ve been using a secured credit card to help you build your credit, but feel like it\u2019s time to upgrade to an unsecured credit card &#8211; you\u2019re in luck! It\u2019s possible to&hellip;<\/p>\n","category_list":"<a href=\"https:\/\/myratecompass.ca\/blog\/.\/creditcards\/\" rel=\"category tag\">Credit Cards<\/a>","author_info":{"name":"Mohamed Konate","url":"https:\/\/myratecompass.ca\/blog\/author\/admin\/"},"comments_num":"0 comments","featured_image_urls_v2":{"full":["https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-scaled.jpg",924,616,false],"thumbnail":["https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-150x150.jpg",150,150,true],"medium":["https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-300x200.jpg",300,200,true],"medium_large":["https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-768x512.jpg",750,500,true],"large":["https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-1024x683.jpg",750,500,true],"1536x1536":["https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-1536x1024.jpg",924,616,true],"2048x2048":["https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-2048x1365.jpg",924,616,true],"post-thumbnail":["https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-1568x1045.jpg",924,616,true],"post-image-medium":["https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-375x250.jpg",375,250,true]},"post_excerpt_stackable_v2":"<p>Table of Contents The Difference Between Secured And Unsecured Credit CardsSecured Credit Card: Unsecured Credit Card:Pros And Cons Of Upgrading To An Unsecured Credit CardPros:Cons:When Are You Ready To Switch From A Secured To Unsecured Credit Card?Building Your Credit Score To Qualify For An Unsecured Credit CardHow To Upgrade From A Secured To An Unsecured Credit CardCommon Mistakes To Avoid When UpgradingFinal Thoughts Reading Time: 7 Min If you\u2019ve been using a secured credit card to help you build your credit, but feel like it\u2019s time to upgrade to an unsecured credit card &#8211; you\u2019re in luck! It\u2019s possible to&hellip;<\/p>\n","category_list_v2":"<a href=\"https:\/\/myratecompass.ca\/blog\/.\/creditcards\/\" rel=\"category tag\">Credit Cards<\/a>","author_info_v2":{"name":"Mohamed Konate","url":"https:\/\/myratecompass.ca\/blog\/author\/admin\/"},"comments_num_v2":"0 comments","jetpack_featured_media_url":"https:\/\/myratecompass.ca\/blog\/wp-content\/uploads\/2024\/02\/Can-I-Upgrade-From-A-Secured-Credit-Card-To-An-Unsecured-Credit-Card-scaled.jpg","_links":{"self":[{"href":"https:\/\/myratecompass.ca\/blog\/wp-json\/wp\/v2\/posts\/12562","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/myratecompass.ca\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/myratecompass.ca\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/myratecompass.ca\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/myratecompass.ca\/blog\/wp-json\/wp\/v2\/comments?post=12562"}],"version-history":[{"count":31,"href":"https:\/\/myratecompass.ca\/blog\/wp-json\/wp\/v2\/posts\/12562\/revisions"}],"predecessor-version":[{"id":13280,"href":"https:\/\/myratecompass.ca\/blog\/wp-json\/wp\/v2\/posts\/12562\/revisions\/13280"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/myratecompass.ca\/blog\/wp-json\/wp\/v2\/media\/12579"}],"wp:attachment":[{"href":"https:\/\/myratecompass.ca\/blog\/wp-json\/wp\/v2\/media?parent=12562"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/myratecompass.ca\/blog\/wp-json\/wp\/v2\/categories?post=12562"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/myratecompass.ca\/blog\/wp-json\/wp\/v2\/tags?post=12562"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}