how does a secured credit card work
Credit card issuers take a risk when issuing unsecured credit cards. If you max out your credit line, canât pay the balance and declare bankruptcy, the bank has to cover that amount. Because of that, people with low credit scores or a limited credit history may be unable to win approval for a traditional credit card.aying for Purchases. At the point of sale, a secured card works exactly like an unsecured card. You swipe it at a merchant location or type the number into the form for an e-commerce site, and the transaction goes through if you have enough money remaining on your credit line.