Best Secured Credit Cards in Canada to Rebuild Your Score

A secured credit card in Canada is often the first “yes” after a string of declines. You put down money, and the issuer gives you a real card that reports to the credit bureaus.

We compared three ways to rebuild with a deposit or a credit-building tool, using only each provider’s official pages.

Key takeaways

• A secured card is a real credit card. Your deposit is collateral, not a fee.
• Only products that report to Equifax and TransUnion help your score. Prepaid cards on their own don’t.
• Monthly fees matter: $9.99 or $10 a month costs about $120 a year.
• Payment history is the biggest factor in your score, so on-time payments do most of the work.

Secured cards and credit builders at a glance

Terms as of September 2026, from each provider’s official pages.

1. Home Trust Secured Visa

The traditional route. Home Trust built this card for people with past credit issues, newcomers, students and the self-employed.

At a glance

• Cost: choose a $0 annual fee at 19.99% interest, or a $59 annual fee at 14.90%.
• Deposit: $500 to $10,000, from a Canadian account in your name. Your limit equals your deposit.
• Deposit safety: Home Trust is a member of the Canada Deposit Insurance Corporation and says your deposit is fully protected.
• Reporting: Home Trust reports your file to the credit bureau every month.
• Cash advances: up to 20% of your limit, with extra fees.

Pros and cons

• Lowest interest option in this list if you pick the $59 plan.
• Home Trust says almost everyone who applies and puts down a deposit is approved.
• Higher deposits allow a higher limit, which makes low usage easier.
• $500 minimum is a lot to lock away on a tight budget.
• The deposit stays with Home Trust as long as you hold the card.

How to apply

Apply online, pass ID checks and fund the deposit. You must be at least the age of majority in your province or territory.

2. Neo Mastercard with a secured credit limit

A digital option with the smallest entry point. Neo decides between a regular card and a secured limit based on your credit history.

At a glance

• Security funds: refundable, starting from $50, per Neo.
• Cost: $0 annual fee on the Neo Mastercard; the secured limit requires the Build membership at $9.99 a month, which Neo says you can get free in some cases.
• Interest: 19.99% to 29.99% on purchases and 22.99% to 31.99% on cash advances outside Quebec, per Neo’s September 2026 disclosure.
• Other fees: 3% on foreign currency transactions; $29 if you go over your limit.
• Reporting: Neo’s guide says secured card payments are reported to Equifax and TransUnion.

Pros and cons

• Start with as little as $50.
• Neo says no credit score is required to apply for its secured card.
• The $9.99 monthly membership is a real cost, about $120 a year.
• Neo’s disclosure says security funds are not a deposit and are not CDIC-insured.

How to apply

Apply online or in the Neo app. If you are offered a secured limit, add your security funds before you start using the card.

3. KOHO Credit Building

Not a credit card, and that is the point. KOHO gives you a small credit line to repay each month, so you build history without a deposit or interest.

At a glance

• How it works: make monthly interest-free payments on a line of credit; KOHO reports those payments to the credit bureaus.
• Cost: KOHO’s guide lists Credit Building at $10 a month; its paid Extra and Everything plans cut that by 30% and 50%.
• Requirements: no deposits, hard credit checks or applications, per KOHO.
• Score tracking: the app shows your Equifax score.

Pros and cons

• Nothing to deposit and no interest.
• No hard inquiry, so applying doesn’t dent your score.
• You can’t use it like a credit card for everyday purchases.
• The monthly fee runs for as long as you stay subscribed; confirm the current price in the app.

How to apply

Open the KOHO app and register under Credit. KOHO is also part of our KOHO vs Neo vs Wealthsimple comparison.

How to choose

• Choose Home Trust if you can spare $500 and want a classic card with the lowest interest option.
• Choose Neo if you can only set aside a small amount and are fine paying a monthly membership.
• Choose KOHO if you have no cash for a deposit and only want to add payment history.

Weighing a “guaranteed” card instead? Our guide to credit cards for bad credit in Canada explains the Capital One option and its conditions. Newcomers should also see our best credit cards for newcomers to Canada.

What the regulator says about secured cards

• Issuers normally set your limit at or above your deposit.
• You may pay a one-time application or set-up fee that isn’t part of the deposit.
• Be particularly careful with secured card offers from issuers outside Canada.

Source: Financial Consumer Agency of Canada (FCAC), Choosing a credit card.

Checklist: rebuild your score in 12 months

• Get your free Equifax and TransUnion reports and dispute errors.
• Save the deposit first; a high-interest savings account keeps it growing while you save.
• Use the card for one small bill a month.
• Pay the full balance by the due date. Federally regulated issuers must give at least a 21-day interest-free grace period, per the FCAC.
• Track your score monthly. Our guide on how to check your credit score in Canada for free lists the options.

How we compared these products

• Sources: each provider’s official product pages, help centre and disclosure statements. Every offer was checked on September 23, 2026.
• Criteria: deposit, annual and monthly fees, interest rates, bureau reporting and deposit protection.
• Order: listed from the best fit for most readers down.
• Left out: BMO CashBack Secured was on our shortlist, but we could not find a current official BMO Canada page for it on September 23, 2026.
• Independence: no provider paid for placement.

FAQ

What does a secured credit card mean in Canada?

It is a regular credit card backed by a deposit you give the issuer. The deposit lowers the issuer’s risk, so it is easier to get with poor or no credit.

Is there a secured credit card in Canada with no deposit?

Not really: a secured card needs security funds by definition. Neo starts at $50. KOHO Credit Building needs no deposit, but it is a credit line, not a card.

Which secured card do Reddit users recommend?

Forum threads often mention Home Trust and Neo. Compare the real costs: Home Trust’s $500 deposit versus Neo’s $9.99 monthly membership.

How long until my score improves?

There is no fixed timeline. Credit bureaus update your report at least monthly, and payment history is the biggest factor, per the FCAC.

Do I get my deposit back?

Home Trust holds it while you have the card. Neo calls its security funds refundable. Check the refund terms before you close any account.

For the full picture, see our hub Best Credit Cards in Canada 2026, the best credit cards in Canada for 2026 and the best no-fee cash back cards in Canada for when you’re ready to upgrade.

Sources

• Home Trust Secured Visa — official page
• Neo secured credit limit — official page
• Neo — disclosure statement, September 1, 2026
• Neo — membership fees for secured cards
• Neo — secured card guide
• KOHO Credit Building — official page
• KOHO — Does KOHO build credit? (price)
• FCAC — Choosing a credit card
• FCAC — How credit cards work
• FCAC — Improving your credit score

Ieveera SEO is an independent publisher, not a bank or financial advisor; content is for information only and may include paid affiliate links that never affect our rankings — always confirm current rates and terms with the provider. Rates shown in CAD; verify with the issuer.