Sentences with phrase «collateral against their credit limit»

Cardholders deposit money up - front with the credit card issuer, as collateral against their credit limit.

Not exact matches

Secured cards require you to make a security deposit to open an account, and that amount becomes your credit limit — and collateral against non-payment.

Unsecured credit cards are «regular» credit cards that don't require you to deposit any cash with the bank as collateral against unpaid debt: you're allowed to make purchases up to your credit limit, and can pay for your purchases over time — although you'll typically pay high interest rates on any purchases you don't pay off in full each month.