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OpenSky Secured Credit Card Review

OpenSky Secured Credit Card Review

*Editorial Note: This content is not provided or commissioned by the credit card issuer. Any opinions, analyses, reviews or recommendations expressed in this article are those of the author’s alone, and may not have been reviewed, approved or otherwise endorsed by the credit card issuer. This site may be compensated through a credit card issuer partnership.

This article was last updated Jun 12, 2018, but some terms and conditions may have changed or are no longer available. For the most accurate and up to date information please consult the terms and conditions found on the issuer website.

Who is the card best for

If you’re looking for a no-frills secured card that doesn’t pull your credit during the application process, the OpenSky® Secured Visa® Credit Card may be a decent option. However, be aware that there’s an atypical $35 annual fee, so you should thoroughly review your options prior to applying.

People looking for a more well-rounded secured card should check out our roundup of the best secured credit cards.

Where this card stands out in its category

There is no credit check required for this card. If you have bad credit, or no credit at all, it doesn’t matter — OpenSky® won’t run a credit check during your application process. But that doesn’t mean they don’t require other financial information during the application process. You are still required to input your annual income and monthly housing payment.

Where this card falls short in its category

$35 annual fee. While this may not seem high, it is for secured cards — you can find other secured cards that don’t have annual fees.

The annual fee reduces your initial available credit limit. You won’t have as much purchasing power during your first billing cycle, since the $35 annual fee is deducted from your starting credit limit. That means if you have an initial $200 credit limit, the $35 annual fee will reduce it to $165.

There is no rewards program. While rewards are hard to come by with secured cards, you can find cards offering rewards, such as the Discover it® Secured, offering 2% cash back at restaurants & gas stations on up to $1,000 in combined purchases each quarter. Plus, 1% cash back on all your other purchases.

How to use the OpenSky® Secured Visa® Credit Card most effectively

As with any secured card, it’s key to practice responsible credit behavior with this card. Some key tips to follow include:

  • Pay on time and in full. Payment history makes up 35% of your credit score — making it key to always make timely payments. This not only helps you avoid late payment fees and penalty interest rates, but paying in full also prevents your from racking up interest charges.
  • Keep a low utilization rate. Utilization (or amounts owed) is the amount of credit you use compared to your total credit limit. For example, if you have a $500 credit limit and spend $150, you’d have a 30% utilization rate. That’s ideal and may help improve your credit score.

Compare it with the Discover it® Secured

If you want a secured card with rewards, the Discover it® Secured is a great alternative.

The OpenSky® Secured Visa® Credit Card is quite different from the Discover it® Secured, especially when you compare the main features of each card. The only significant similarity is the $200 minimum security deposit. The Discover it® Secured has a $0 annual fee, but the OpenSky® Secured Visa® Credit Card charges a $35 annual fee. There really isn’t a need to pay an annual fee with a secured card, and there are plenty of no-fee secured cards to choose from.

Comparing rewards, the Discover it® Secured offers 2% cash back at restaurants & gas stations on up to $1,000 in combined purchases each quarter. Plus, 1% cash back on all your other purchases. Also, for new cardmembers, Discover will automatically match all the cash back you earn at the end of your first year. Meanwhile, the OpenSky® Secured Visa® Credit Card doesn’t offer any rewards.

Here’s a breakdown of the key features of each card:

OpenSky® Secured Visa® Credit Card Discover it® Secured
Annual Fee $35 $0
Minimum Security Deposit $200 $200
Regular Purchase APR 18.64% Variable 24.49% Variable
Rewards Non-rewards card 2% cash back at restaurants & gas stations on up to $1,000 in combined purchases each quarter. Plus, 1% cash back on all your other purchases
New Cardmember Offer N/A Discover will automatically match all the cash back you earn at the end of your first year.
Foreign Transaction Fee 3% of each Transaction in U.S. dollars None

Bottom Line

If you’re looking to build credit with a secured card, you’re better off checking out some other options that offer more perks like rewards and no annual fee — but if you don’t want a credit check pulled, the OpenSky® Secured Visa® Credit Card can be an OK option.


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