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Key takeaways
- When comparing the Discover it® Secured Credit Card vs. Capital One Platinum Secured Credit Card, the best option comes down to whether you have a limited budget and need to establish a line of credit or have more cash to spare for a security deposit and want to earn rewards.
- The Discover it® Secured Credit Card features cash back rewards, a first-year welcome offer and an introductory APR offer on balance transfers.
- The Capital One Platinum Secured Credit Card, on the other hand, has a potential minimum security deposit starting at $49 and features a variety of credit-building tools (though you won’t earn rewards).
If your goal is to establish or rebuild your credit, a comparison of the Discover it® Secured Credit Card and the Capital One Platinum Secured Credit Card is worth your time. Both cards offer noteworthy benefits for being secured credit cards, plus a few added perks you won’t typically find with similar cards available.
A secured credit card requires you to put down a cash deposit to establish a line of credit. In return, you have the benefits and conveniences of a credit card and the chance to improve your credit.
Below, we compare the major card details and earning potential of the Capital One Platinum Secured versus the Discover it® Secured Credit Card, as well as highlight further information to help you determine which is the best card if you have bad credit or no credit.
Main details
| Details | Discover it® Secured Credit Card | Capital One Platinum Secured Credit Card |
|---|---|---|
| Welcome bonus offer |
|
None |
| Rewards rate |
|
None |
| Annual fee | $0 | $0 |
| Intro APR offer | 10.99% intro APR for 6 months (then 27.24% Variable APR) | N/A |
| Regular APR | 27.24% Variable APR | 29.74% (Variable) |
| Minimum security deposit | $200 | $49, $99 or $200 depending on qualifications |
Capital One Platinum Secured vs. Discover it® Secured Credit Card highlights
Welcome bonus winner
-
The Discover it® Secured Credit Card wins big in this category compared to the Capital One Platinum Secured, which offers no welcome bonus at all.
It includes access to Discover’s Cashback Match program, through which Discover will match whatever cash back you earn at the end of your first year with the card — essentially doubling your rewards. And with no minimum or maximum spending requirements, this is a chance to earn significant rewards.
Rewards rate winner
-
With the Discover it® Secured Credit Card, you’ll get:
- Earn 2% cash back at Gas Stations and Restaurants on up to $1,000 in combined purchases each quarter, automatically.
- Earn unlimited 1% cash back on all other purchases.
Not only is this a decent cash back opportunity for any credit card, but it’s one that you don’t typically see for secured credit cards.
The Capital One Platinum Secured, like most secured credit cards, does not feature any ongoing rewards.
Annual fee winner
-
Both cards offer a $0 annual fee, making them affordable options for people who want to build their credit with minimal costs.
Minimum security deposit winner
-
The Capital One Platinum Secured comes out far ahead in this category by requiring a security deposit starting at $49 for a $200 minimum credit line. This is on the lower side not only between these two cards, but for secured credit cards in general.
However, not everyone will qualify for the $49 security deposit. Depending on Capital One’s decision over your application, you might otherwise put down $99 or $200 to get a $200 minimum credit line. Still, the potential for a lower minimum deposit sets the Capital One Platinum Secured card apart from other secured cards.
The Discover it® Secured Credit Card requires a $200 minimum deposit no matter what, making it tougher for people on a tighter budget.
Intro APR winner
-
Neither card offers an introductory annual percentage rate (APR) on purchases, but the Discover it® Secured Credit Card has an introductory balance transfer offer, making it the winner in this category.
Discover offers an introductory APR of capi_apr card_name=”Discover it Secured Credit Card” pid=”6743″ type=”balance_transfer” period=”introductory”], along with a 3 percent introductory balance transfer fee. This is followed by a fee of up to 5 percent on future balance transfers and a 27.24% Variable APR after the introductory period ends.
This could prove beneficial if you have high-interest balances on other credit cards that you want to transfer to your secured card, giving you a chance to pay less in interest while knocking out debt.
It is also important to compare the ongoing regular interest rates, or variable APRs, charged by these cards in case you wind up carrying a balance at any point. The Capital One Platinum Secured comes with a 29.74% (Variable) APR, which is higher than the Discover it® Secured Credit Card.
Which card earns the most?
Because only the Discover it® Secured Credit Card offers rewards, it’ll earn you more than the Capital One Platinum Secured by default. An example of what those earnings could look like per quarter is broken down below:
| Spending categories | Total spending | Cash back earned |
|---|---|---|
| Gas station purchases at 2% cash back | $400 | $8 |
| Restaurant purchases at 2% cash back | $600 | $12 |
| Miscellaneous purchases at 1% cash back | $2,000 | $20 |
| Total per quarter | $3,000 | $40 |
If you spent $3,000 broken down this way, you’d earn $40 in cash back per quarter or $160 a year. With Discover’s CashBack Match, however, you’d get to double that amount — meaning you’d earn $320 in cash back after your first year of card use.
Why you should get the Capital One Platinum Secured
The Capital One Platinum Secured is worth it for people looking for a low security deposit threshold. The potential minimum deposit starting at $49 puts the card within reach for more people, giving them the chance to start building credit with a secured card.
Paying off the card each month will not only help you avoid substantial interest rate fees, but also gives you a solid chance at establishing or rebuilding credit.
Why you should get the Discover it® Secured Credit Card
The Discover it® Secured Credit Card is easily worth it thanks to its welcome bonus and cash back rewards program. It’s a strong secured credit card option for someone who wants to test their responsibilities, improve their credit profile and eventually move on to an unsecured card as soon as possible. The key is to pay the balance off each month to avoid high interest rate charges.
The bottom line
The Capital One Platinum Secured is an excellent choice for someone who has a limited budget for establishing a secured line of credit since the minimum deposit required starts at $49 for those who qualify. And it’s a Mastercard, which is accepted almost everywhere in the world.
Meanwhile, the Discover it® Secured Credit Card offers an impressive welcome bonus where your cash back rewards are matched at the end of your first year with the card. Having a cash back rewards program tied to a secured credit card is unusual, and if you envision using your card for multiple purposes and can pay the balance in full each month, the cash back could be an enticing perk. Keep in mind, though, it will cost a minimum of $200 to establish a credit line with this card.
Before you apply, be sure to review Bankrate’s current list of the best secured credit cards. By researching the cards on these lists and comparing your options, you can make sure you’ve found the one that best suits your needs.
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