Where a balance in the credit card remains outstanding, withdrawal from the savings account may not be allowed at all. Some banks review all applications before acceptance while others guarantee a card, under any and all conditions so long as the security deposit remains at the bank. Security deposit accounts earn a small amount of interest. An important characteristic you may have to ask about concerns the card's credit reporting. The goal of simply having a credit card can be met by any of these secured cards, but in order to rebuild credit the new card must report the activity to the credit bureaus.
Most cards report without any indication the cardholder maintains an associated security account.
Anyone reading the credit report would never be able to tell the secured card from an unsecured card. The problem comes from those banks that do not report their secured cards to credit bureaus at all. Anyone needing a rebuilding of credit must investigate which cards report credit card activity, and avoid cards which do not report. After some time, usually several years, many of these companies will either increase the credit line of the secured card, or allow the card to convert to an unsecured card. Don t expect this to happen automatically.