Secured cards reporting as secured…does it impact your score or rebuilding process?

[Epic]

When a secured card is reporting to the CRA’s as secured, does this negatively impact your credit score or not help it as much over reporting as unsecured?

[Fleischman]

Doesn't matter much one way or the other. So long as you're paying, you're good to go.

[TBA]

Hi epic - there is a section of your score fico refers to as "types of credit used (10%)" this is both applicable to the type of credit - CC vs. Car loan VS mtg, as it is to "who" the lender is. Someone with more "a paper" lenders on their report is going to score higher than someone who only does business with b/c lenders (think amex versus homecomings (are they even still in business?! LOL)). That being said, you have to start somewhere. Amex isnt just going to give you a card. So to answer your question, there is a small impact - but not one that you will notice - it doesnt justify you closing that account (one of the worst things you can do). Just keep paying on time and you will work you way back to those great scores... Then you can apply to more a paper lenders and rebuild yourself even higher.