💳 Secured vs. Unsecured Credit Cards — Which Is Best for UK Beginners?

  Introduction:

New to credit cards? Confused between secured and unsecured cards?

You're not alone. In this post, we’ll break down the differences between secured and unsecured credit cards in the UK — and help you decide which one is right for you in 2025.

 What Is a Secured Credit Card?

A secured card requires a deposit (example: £200). That deposit becomes your credit limit. It's ideal if:

You have no credit history

You've been rejected for normal cards

You're serious about rebuilding your score

Example: Thinkmoney Credit Card (Secured)

💳 What Is an Unsecured Credit Card?

This is the most common type. No deposit required — but harder to get approved. Best if:

You have some credit history or income

You want rewards/cashback

You understand how to manage bills

 Examples: Barclaycard Forward, Aqua Classic

Quick Comparison Table:

Feature Secured Card Unsecured Card

Requires deposit ✅ Yes ❌ No

Easier approval ✅ Yes ❌ No

Builds credit ✅ Yes ✅ Yes

Rewards ❌ Rare ✅ Often available

Good for beginners? ✅ Yes (no credit) ✅ Yes (some credit)

So, Which One Should You Choose?

Situation Best Choice

No credit history at all ✅ Secured card

Got rejected before ✅ Secured card

Earning income, basic credit ✅ Unsecured card

Want rewards/cashback ✅ Unsecured card

 Final Advice:

If you’re just starting and worried about getting rejected — go with a secured card.

If you have even a small job or student income and basic credit — try a beginner unsecured card.

Either way, the go

al is to build trust with banks, pay on time, and grow your credit score.

🔗 Next Step: Read our guide on “5 Common Credit Card Mistakes Beginners Make”