Just want to make sure I do things correct. I recently was approved for a Capital One secured card they said $49 for a credit line of $200. If I read everything correct, it sounded like they were going to offer me $1 for $1 on any additional deposit I made, so if I make a $300 security deposit I will get $600 in additional credit for a total of $800.
Now my question is, does it boost my credit score more if I have more available credit? Would it be better to have a second card or a higher credit line on the Capital One card? Does charging more build credit faster or does say charging a couple hundred and paying it off before continuing build credit just as fast?
When I say use 2 cards, I'm talking about put a small purchase on one, send the payment then use the other. In my research, Capital One won't convert the card to an unsecured card, but they have been known to increase the credit line with no additional deposit required. From what I understand, they will allow you to keep adding to your deposit so you could add an extra couple hundred every few months, would this be advisable? I figured out how I could make a couple of cards with a low credit line work for daily spending, no splurging, no unnecessary spending, just say charge that doughnut instead of paying cash.
If I get another secured card, I'm looking at Citi. They convert you to an unsecured card in 18 months. Any thoughts? I'm selling some stuff so going to have some nice cash soon, looking to make the best use of it.