"starter" credit cards, where you put about $500 down as collateral, then slowly build your credit up. Over time, you'll graduate into a regular card. I explain the details of this in the video above. #2. If you're on a secured credit card... Since secured credit cards charge unnecessarily high fees and limit your credit, your goal is to move from a secured credit card to a standard ("unsecured") credit card, which will give you more flexibility and lower fees. To do this, pay off your secured credit card every month -- no exceptions. After 6 months, call the credit-card company and ask for an unsecured credit card. If they say no, ask what it will take to move to an unsecured card. It usually takes 6-12 months to graduate to an unsecured card. Anything beyond that, I suggest you approach a different credit-card company and apply for an unsecured card with them. Remember, there are a lot of credit card companies that would love to have your business. When you use your credit cards right, they are an interest-free loan with incredible rewards. If you want to know how to take full advantage of your credit cards, I cover exactly how -- including the word-for-word scripts to negotiate late fees, how to decrease your APR, and special perks that few people know about -- in chapter 1 of my New York Times best-selling book. If you're interested, I'm making it available (free) to Lifehacker readers . Ramit Sethi is