The Neo secured credit card lets you build your credit history while also earning cashback on your spending. It’s worth a look if you want to build credit, but it’s not your only option.
In this guide, we’ll show you alternatives to the Neo secured credit card, including other secured cards as well as apps that offer interest-free cash advances. Keep reading to find out if one of these alternatives to the Neo Secured Mastercard is right for you.
Unlike Neo, KOHO isn't a credit card, nor does it require you to provide a security deposit. But when you sign up for KOHO Cover, you can get a cash advance of up to $250 with no credit check. You don't need to meet a minimum income requirement to qualify, and KOHO doesn't charge any interest. You also have the freedom to repay your cash advance any time, and KOHO doesn't charge late or NSF fees on Cover. It doesn't have the potential to help you build credit history like a Neo secured credit card does, but KOHO Cover does offer an affordable solution when you need a small loan, and your credit isn't the best.
Sign up in five minutes with no credit check
No income required to qualify for funding
No interest charges
Instant access to funds
No NSF fees
Monthly subscription fee for KOHO Cover
Monthly KOHO fee also applies (may be waivable depending on your plan)
Low maximum amount of $250
Won't improve your credit score
Costs
0% + monthly fee from $2
Loan Amount
$20 – $250
Loan Term
Flexible
Credit Check
No
Turnaround Time
Immediately
Requirements
KOHO account—access higher loan amounts over time by using KOHO for everyday spending, repaying your monthly fees and using its other services
Just like the Neo secured credit card, Nyble offers a convenient service that can also help you build credit. Nyble provides interest-free cash advances of up to $250, with no credit check needed to qualify. Instant funding is available for a fee, or you can opt for three-day delivery and pay no fees. You can use the funds for any legit purpose, and when you make on-time payments, Nyble reports them to the credit bureaus to help you build credit.
Apply in minutes with no credit check
Instant funding available
No interest charges or late fees
Use it to build your credit history
Late payments could hurt your credit score
Small maximum loan amount of $250
$11.99 monthly membership fee for instant funding and other perks
Costs
0%
Loan Amount
$30 – $250
Loan Term
31 days, extendable
Credit Check
No
Turnaround Time
1-30 minutes with a paid membership or 1-3 business days with a free membership.
Requirements
You must be 18 years or older and have a minimum monthly income of $1,000.
Bree is another cash advance app, but unlike the Neo secured credit card, you can't use it to build credit. Instead, Bree offers easy access to cash advances of up to $500. You can apply online or via a mobile app and get an instant decision, and bad credit won't stop you from getting funded. There are no interest charges to worry about either, and if you don't mind waiting up to three business days to get the money, you can borrow from Bree without paying any fees.
Apply in five minutes online or via the Bree app
No interest charges
Get funded without paying any mandatory fees
No credit checks
Instant decisions
Maximum loan amount of $500 may not be enough
Monthly subscription fee applies for instant transfers and other perks
Instant transfer fee also applies
Won't improve your credit score
Costs
0%
Loan Amount
$20 – $500
Loan Term
Next pay cycle (90 days max)
Credit Check
No
Turnaround Time
Receive funds within 5 minutes with express delivery (the fee is based on the advance amount) and within 1 to 3 business days for standard delivery.
Requirements
You must have a bank account with regular income deposits and a Visa or Mastercard debit card with a CVV
The Capital One Guaranteed Secured Mastercard is a popular alternative to the Neo secured credit card. This secured card comes with guaranteed approval, provided you meet key criteria like being the age of majority and being authorized to access credit. You'll need to deposit security funds to set your credit limit, and you can use your card just like an ordinary credit card. Then when you make on-time payments and don't exceed your credit limit, Capital One reports this information to the credit bureaus, which can help you build credit.
No annual fee
Get pre-approved online without it affecting your credit score
Please note: All information about Capital One Guaranteed Secured Mastercard has been collected independently by Finder and this product is not available through this site.
The Home Trust Secured Visa is well worth checking out if you're searching for Neo secured credit card alternatives. This no-annual-fee secured Visa is designed to help people like newcomers to Canada and students build their credit history. You can set a credit limit of up to $10,000 by depositing security funds, and that deposit is protected by CDIC insurance for extra security. You can then use the card just like you would any normal credit card, with a 19.99% interest rate on purchases. Or if you'd like a lower rate of 14.90%, you can access this by paying a $59 annual fee.
No annual fee
Competitive 19.99% interest rate
Lower rate available for an annual fee
Build your credit history
High minimum deposit of $500
No cashback rewards
Annual Fee
$0
Purchase APR
19.99%
Cash Advance Rate
19.99%
Balance transfer APR
N/A
Welcome offer
N/A
Rewards
N/A
How does the Neo secured credit card work?
The Neo Secured Mastercard requires a security deposit of up to $10,000. You can apply without meeting an income requirement and regardless of your credit history. The amount you deposit becomes your credit limit.
You can then use your Neo secured credit card to pay for purchases in store and online anywhere Mastercard is accepted. Neo pays 1% cashback for gas and grocery purchases, while you can also access cashback offers at over 10,000 Neo partners across the country. Neo offers an instant virtual card so you can start spending straight away, and it’s easy to manage your card via the Neo Financial app.
Neo then reports your card utilization and payment history to the Equifax and TransUnion credit bureaus. This can help you build your credit history.
You’ll need to pay a monthly fee of $7.99 for a Neo Build membership to qualify for this card. However, this fee is waived if you hold at least $5,000 in your Neo Everyday, Neo Savings, or Neo High-Interest Savings accounts.
Most cards have an interest-free grace period of 21 days
Next pay cycle or flexible
Interest and fees
19.99 - 29.99%
Annual fees range from $0 to $99
No interest
No late fees
Fee will apply if you want instant funding
Monthly subscription may also apply
Credit building
Yes
Some apps report payments to the credit bureaus, but not all apps do
Deposit requirements
Yes. The amount you deposit as security will become your credit limit. This amount will be refunded if you pay off your outstanding balance and close your account.
$0
Eligibility criteria
Must be the age of majority in your province or territory.
Must be a Canadian resident.
Must provide a security deposit.
Must meet the card issuer’s other requirements, such as not currently being in bankruptcy.
Must be the age of majority in your province or territory.
Must be a Canadian resident.
May need to have a recurring income.
Must have a bank account.
Credit check requirements
Most cards require a credit check
No credit checks
Application process
Fill out an online application with your personal info and contact details.
Complete a credit check.
Provide a security deposit.
Receive your card and start using it.
Apply online or via an app. Provide your personal info and contact details.
Provide your bank account details.
Choose regular funding or instant funding (for a fee).
The funds will be deposited into your account.
Funding speed
Approx. 2-15 business days
Instant (usually for a fee)
Up to 3 business days (with a free account)
Cost example: Leah needs to cover a $200 tire repair
Leah is a full-time student in Ontario and needs $200 to replace a tire on her car. All her income is already being put towards essential expenses, so Leah will have to borrow money to cover the cost. She knows that her lack of credit history will make it hard to qualify for funding from a bank, and she wants to avoid taking on the very high cost of a payday loan.
So Leah decides to compare a cash advance app with a secured credit card. As you can see in the table below, a cash advance app offers faster access to funds, plus a longer interest-free repayment period. The secured credit card allows Leah to spread her repayments over a much longer period if required, but if she wants to avoid paying interest, she’ll need to pay the money back in the first 21 days.
Cash advance app (Nyble in this example)
Secured credit card
Amount
$200
$200
Turnaround time
3 business days
7 business days
Fees
$0
$0
Interest
0%
19.99% (or 0% if repaid in the 21-day interest-free grace period)
Repayment period
30 days, can be extended with no charges
21 days (to avoid interest)
Credit building
Yes
Yes
Bottom line
The Neo secured credit card is just one of several options if you need to build credit or access a small loan amount. It’s well worth comparing the Neo card with other secured credit cards, plus interest-free cash advance apps, to find credit that suits your requirements.
Frequently asked questions
The credit limit for a Secured Neo Mastercard depends on the amount you provide as security, up to a maximum of $10,000. You'll need to provide at least $50 before you can start using your card.
Yes, you'll need to pay a $7.99 monthly fee for Neo's Build membership to get a Neo secured credit card. That adds up to a yearly cost of $96. However, you can get a Build membership for free if you keep a minimum balance of $5,000 across your Neo Everyday, Neo Savings, or Neo High-Interest Savings accounts.
Yes, the Neo secured credit card can help you build your credit history and potentially improve your credit score. Neo reports your payment history to the Equifax and TransUnion credit bureaus, so making full on-time payments each month will help you build your credit.
Tim Falk is a freelance writer for Finder. Over the course of his 15-year writing career, he has reported on a wide range of personal finance topics. Whether you're investing in stocks and ETFs, comparing savings accounts or choosing a credit card, Tim wants to make it easier for you to understand. When he’s not staring at his computer, you can usually find him exploring the great outdoors.
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