Hi I'm really interested to hear more about this. Getting ready to apply for a secured card in order to build a credit history. No debt, but no credit either. I believe I read that while the interest rate is an incredibly low 9.9%, you are obligated to maintain your security deposit in a USAA sanctioned 2 year CD account. No access to the funds for 2 years, without some sort of surrender penalty or early termination fee, but what's the interest rate on MY money? Or is there an interest rate at all since interest is at historic lows.
So my understanding is, I won't be able to use the full account value. In an emergency, assuming I have a zero balance on the card, it sounds like I can't pay to a zero balance, then close the account and get my initial deposit back... unless 2 years has passed. It sounds like applying for this card might create an additional burden if I were to find myself in some sort of emergency dilemma. I'd better keep saving