52 responses to “Open Sky Secured Credit Card Review”

  1. Shari D. Moore

    I’m three years out from a Chapter 7, have no recent credit, and one hard inquiry about a year ago. Credit Karma gave me a score of 594. I’d like to start rebuilding my credit with a secured card and/or a small personal loan. (1) Should I try to get one of the better cards, such as Capital One, and take the risk of a hard inquiry/denial on the off chance that I’m approved, or should I go with something that’s more of a sure deal like Open Sky and not add a second hard inquiry? (2) Would a small loan be a better option? (3) Or would having both be better, and which would I do first and how far apart? Sorry. Lot’s of questions. I just don’t want to shoot myself in the foot.

  2. Jennifer

    Hi Beverly-

    First off your website/blog is fantastic for people who are trying to rebuild their credit. I made several mistakes in my younger years and they have followed me throughout. I am now at a point in my life where I can get my derogatory balances paid off and am currently working on that. I have researched this card and feel like that in the state I am in, this will fit my needs at this time.

    My question is in regards to how much you would suggest putting towards the card. I have quite a bit of money that I can put towards it at this point in my life but I just don’t know where to start. I don’t like the idea of paying extra to increase my line when its my own money but I am sure starting out there is some type of limit. If I am asked to decide on an amount, what would be your opinion? 300? 500? 1000?

  3. Robert

    Hello Beverly,

    Read your posting June 30 2013. I wanted to bring to your attention 2 things. Both my wife and I have separate cards for a year now and the renewal fee was not $29.00, it is $50.00. I know it is on my bill for this month. Who knew?

    We rarely use it, Just to keep the dust off. Overall I think Open Sky a great help to those who need a fresh start in credit because life is not always kind. Having said that a concern for us is for example: My payment is due the 28th of each month. Today is the 7th. If I paid the balance today of which they will receive the money in a couple of days, my account is not credited until the 28th so those funds are not available, nor does it reflect in the balance on the website as applied. Technically, it’s my money, why do they have the right to with hold access. Their CSR had no answer other than it is policy.

    I not really complaining just passing info along to. Thank you for what you do and God bless.

  4. Marie

    Hello beverly, i recently got this card an its not a bad card but its not good either. The issue with this card is the fact that the company place a 5 to 6 day hold on ur payment even when it clears your bank account. Normally my payments are withdrawn from my bank account within 2 days. I understand the banks being cautious of a returned payments but this company dont offer the option to make a payment by western union unless ur requesting a credit increase an even that takes 3 days to post an be available to use. This card would be amazing if they had better ways to make a payment to your account other than just ur bank account. Love your reviews

  5. CJ

    MLE. I just got my card and they never asked me all of those questions all they did was the small withdrawal of change and then deposit them back. I must say so far I’m satisfied with the card. I belong to Credit Karma.com and they even recognized the card wish is great cause now they can monitor the card for me and the credit bureau just increased my credit from a D to a C wish is good. Especially with claiming bankruptcy in 2012. So I recommend the card. Also they have a website that you can pay your valence online which saves on postage.

  6. MLE

    This credit card you feel is ‘middle tier’ makes the applicant jump through too many hoops to confirm their identity. Asking for bank account numbers and routing numbers to deposit pennies into so that you can confirm your the bank holder is understandable, but they continue to ask for every other piece of a person’s ‘straw man’ identity ie. a copy of your social security number or w2 statement within 5 yrs, a copy of your driver’s license, rental agreement, utility bill, a copy of your phone bill, and.. a copy of your birth certificate!?
    All of that for a $200 line of PRE-PAID credit? That gives me the most uneasy feeling I’ve had in a long time. I’m gonna’ pass on this card.

  7. Jennifer

    Does this card report secured card on the credit bureaus? Also, why does this matter if it reports “secured card”?

  8. Lib


    Thank you for your review. I recently found out my ex has been trying to get credit cards in my name. They have been denied, thankfully, and I have since put an alert on Experian and such.

    Because of your review, I decided to apply for this card. While I do not like that I will have to rebuild my credit at such an expense. I felt it was worth it.

    I graduate with my MBA in two more years. I am working hard to clean up my credit and rebuild it.

    I do have a question though, my bank told me not to close my other two credit cards (both are for school books) even though they are paid off. They said to keep them open with no balance. I wanted to close one because I do not buy books there anymore. I thought it would look better if I had less open credit and revolving credit available. Are they correct?

    Thank you for taking the time to review all these cards, and to help everyone at no charge. I admire the task you have taken on, and you!

    Thank you again!

    1. Lib

      Ooops, I forgot my other question!

      I know it says to get a credit increase, it’s a $25 charge, but what if you just send them say another $200?? Without asking for an increase?

  9. Jenifer

    If I don’t have a job, but am able to pay off the balance every month am I still qualified for the card? I was reading on line and it says that they need to verify who I am (I’m assuming by SS#) and my ability to pay. What does that exactly mean?

  10. Charles

    Fox Rent A Car and Ace Rent A Car have a $200.00 security deposit,last I checked.Advantage Rent A Car(Which is now owned by Hertz),and Payless Rent A Car have really good rates-especially if you RSVP online-with only a $250.00 security deposit which is returned to your card within 72 hours after you return the vehicle.Also,the website RetailMeNot.com always have discount codes for car rental agencies which are not usually advertised anywhere else.And the Car rental agencies always honor them. Yes,people;it pays to be a proactive consumer!

  11. Jalisa

    Hi Beverly, I’m trying to rebuild my credit and I was recently denied for the Capitol One Secured Credit Card. I do not have a checking account but I do have a savings and my credit score is 515. Do you think this is a good card for me?

  12. Corey Parks

    Hello, Ive just got this card and had a few questions. My credit limit is 400. Ive heard that its good to have at least 30% on the card after making a payment, is this true? I want to spend at least 150 a month on the card but pay it all back when the statment comes in or before. Is this a good strategy?

  13. jay gomes

    So if I put down 200 my credit limit is 200

  14. Bobbie

    We need a secured card to be able to rent a car once a year. We drive 2400 miles home for Thanksgiving. We wouldn’t be able to get a non secured card, since my husband was out of work for over a year. Our credit is trashed. Rental car companies will not let you use a debit card without doing a credit check, then you are denied the rental car. The rental car is $450.00 for eight days. If we open card with $600.00, would we be allowed to use $450.00 for car rental right away?

  15. Josh

    Not sure if you’re aware, but I’m looking into this card now and there’s a minimum monthly payment of $25, so you have to pay that much each month now, whether or not you used the card. Not a huge deal since most people getting it will be trying to build credit and will likely charge more than that in a month, but it’s something to be aware of, especially if they make it difficult to cancel the card.

  16. CreditFlare.com

    It’s amazing to hear complaints from people who have poor credit. You’re lucky to be getting a non-secured credit card in the first place. If you’re constantly needing to pull cash advances from your card, I think you have more significant issues than how fast the card company can get you the cash.

    1. Lib

      I am HIGHLY insulted by your remark “CreditFlare.”

      My credit was destroyed by my ex-husband who took out a bank loan for his business. We had been married for 23 years. He talked me into being a co-applicant. A year later, he closed the business and disappeared….along with the money, which was never put into the business. I was unemployed, and it took some time to find a job. Even then I could not make the payments. I tried everything to fix the problem, but the bank kept telling me, “Without his signature, we cannot help you.” Well, how do you get a signature from someone who has disappeared. (BTW it took me 9 years to find him! I only looked because I found out he forged my name on another loan!)

      He also charged off a truck (which he took when he left) on BOTH our accounts. I was not aware of the charge off, nor did I approve it being done on MY account. He also ended up doing a “volunteer repossession” on the truck (which is how I found him and even though I was still paying for the truck, only because I did NOT want anything else affecting my credit!), so now I have a repossession on my credit!

      On top of that, now I am a full time student and have had to take out student loans to pay for school.

      Lastly, I found out he has been applying for credit cards in MY name. After 23 years of marriage, of course he has my information! Banks now allow you to type in your name to sign the paper! So, they have made it so he does not even have to forge my name! Thankfully, they have been denied. But, it still is on my report….and takes years and years to clear it up!

      When one has situations like this, there isn’t much one can do.

      I am glad you have had nothing bad in your life to affect your credit. But, some people have been through heck and ended up cleaning up the mess financially!

      So you can kiss our A!!!!

  17. herb

    this is the worst credit card that i have every had, not to mention the 2 months to get my $1,000 deposit back after closing my account. the reason i closed the account in the first place is, every time i got in a bind i could never get cash until the next day after calling these jokers back. the last time this happen was my last time dealing with them.

  18. Angel

    Hey i want to build my credit and have no credit
    And i want something i can trust im only 20yrs old
    And do any of you know what bank is good and will accept me?

  19. nigel rodney

    hi Beverly,

    Thank you for reviewing this card the information was very helpful. I have decent credit (635) with at least one of the credit bureaus, I would like to build my credit at least another 50-80 points. I initially liked this card for the possibility of having $3000 revolving credit. After reading all the comments, I am not so sure now. What do you suggest.

  20. Lance

    I have had this card to a few years now. I also do not like having to pay
    interest no matter what. This is the only card I have. Would it hurt my
    credit to close this card if I get another card?

  21. Ann

    Hi Beverly! Question, I was seriously considering this card. I had a Chapter 13 bankruptcy back in 2003 and since tried to establish good credit. BUT life happened and now I’m not in such a good place. I’d like to buy a new/used car in the near future but I don’t have any revolving credit to help build my credit score. Anyhoo, if I established credit with Open Sky and only use less than 8% of the balance each month …like a tank of gas or a milkshake once per month, would I get dinged with a hefty interest penalty??? I like this card because they don’t pull my credit report etc. Have any other reasonable security cards in mind that you recommend?

  22. Danielle

    Hi Beverly,
    Great review. I originally got this card when it was with Public Savings. It was a great card and good way to rebuild credit. There have been all kinds of surprises since the new bank took charge. Just today I received a letter stating that my interest rate was going up to 18.25%. My payment this past month was late – less than 30 days, but late nonetheless. Anyway, this letter is a bit confusing – at one point it says the increased APR will be reflected on the 2/3/13 statement and will be applicable to new transactions and to all existing transactions if you become more than 60 days late. Then at the bottom of the letter, assuming you choose to accept the terms and NOT cancel the card, “If we have not been notified of cancellation before the effective date, the new terms outlined above will apply to the entire outstanding balance of your account and will remain in effect for a potentially indefinite period of time.”

    Not sure how they can say that the new interest rate will apply to existing balances only if you’re 60 days late in one paragraph and then turn around and say if you choose to keep the card it applies to the entire balance in the next.

    I’m thinking I’ll find a new secured card, but I’ll probably forward this to my attorney as well.

  23. Justin

    Hi Beverly! I’m so glad you posted this review. I’ve been trying to get my first credit card these last couple weeks but have been denied from both my bank and a gas station card. I was tempted to apply for this card. I thought I had read the terms more carefully, but I guess I didn’t catch the whole “no grace period” part on the Open Sky Card. You saved me so much trouble. Thanks for all your help.

  24. Carolyn

    Thanks for your review…
    I was going to sign up for this card but went with Bank of America’s secured card instead. Not only is the BOA annual fee less than Open Sky ($39), they offer a grace period. So as long as I pay my bill in full each month, I never have to pay interest! The other great thing about BOA is they allow the option of graduating to an unsecured card after a year of responsible usage. (Open Sky doesn’t offer this opportunity.) Perhaps the only good thing about Open Sky is that they don’t check your credit report, so anyone can be accepted–and a hard inquiry for credit is avoided.

  25. Dee

    Your last statement was on point!

    Few of the factors you found about they card, probably are they reaso we really do not hear much about this card. I guess this will be off my list.

    I have two secured credit cards right now: The Capital One card and The Wells Fargo card.I will stick with them to help me improve my credit for the time being.

    Thanks for the awesome review Beverly!

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