If you’re looking to build or repair your credit, secured credit cards can be a powerful tool. These cards require a deposit that usually determines your credit limit, allowing you to make purchases just like with a traditional credit card. You can either pay off the balance in full each month or make minimum payments over time.

However, it’s crucial to ensure that the credit card issuer reports your activity to all three major credit bureaus — this is key to helping your credit score improve. To find the best secured credit cards, here are five smart strategies to follow:

1. Start by Checking with Credit Unions

Credit unions are a great place to begin your search. Many offer secured credit cards with lower interest rates and fewer fees compared to traditional banks. Some even waive application or annual fees altogether. Credit unions often have flexible options specifically designed to help members rebuild their credit.

2. Use Credit Card Comparison Websites

Comparison websites make it easy to view multiple secured card offers side-by-side. You can quickly compare features like fees, interest rates, and benefits to find the best fit for your financial situation. After narrowing down your options, do additional research on individual cards before applying.

3. Pay Attention to Fees and Interest Rates

Not all secured cards are created equal. Look for cards with low or no application and processing fees. Also, choose a card with an interest rate you’re comfortable with — this can save you money in the long run, especially if you plan to carry a balance occasionally.

4. Evaluate Credit Limits

Credit limits on secured cards can vary widely. Some cards offer very low limits, while others may allow you to build a higher credit line over time. Make sure you understand the credit limit terms before applying, as a low limit could be restrictive as your financial needs grow.

5. Look for Additional Benefits

Some secured credit cards come with extra perks, such as cash back rewards, points programs, or even the opportunity to upgrade to an unsecured card after a period of responsible use. Carefully review what each issuer offers — reading the fine print can help you maximize your benefits while rebuilding your credit.

Secured credit cards can be a powerful stepping stone toward a stronger financial future — if you choose wisely. Taking the time to research and compare your options can make all the difference in setting a solid foundation for lasting credit success.