Our Disclosure

The content on this website includes links to our partners and we may receive compensation when you sign up, at no cost to you. This may impact which products or services we write about and where and how they appear on the site. It does not affect the objectivity of our evaluations or reviews. Read our disclosure.

CIBC Secured Credit Cards in Canada & Alternatives

Updated:

A secured credit card requires the cardholder to provide a security deposit, which lowers the default risks faced by the card issuer.

The security deposit also determines the credit limit available on the card. Other than this, a secured credit card functions just like a regular credit card, and you can:

  • Make payments whenever the card is accepted (Visa or Mastercard)
  • Rebuild your credit score when payments are reported to the credit bureaus

Does CIBC offer a secured credit card? Read on to learn about your options and alternative secured cards you can apply for in Canada.

CIBC Secured Credit Cards

CIBC does not offer a dedicated secured credit card. This is the same for some other big banks as well, i.e. BMO, Scotiabank, and RBC.

While you may be able to get a secured credit card, in some cases, they are not advertised.

Bank programs designed for newcomers to Canada often include access to both secured and unsecured credit cards.

For CIBC, permanent residents, international students, and foreign workers who have a limited credit history may be able to qualify for a card without a security deposit.

Best Secured Credit Cards in Canada

If you have limited, poor, or bad credit, you could use a secured credit card to build or improve your credit score.

Some of the best secured credit cards in Canada are:

For a prepaid cashback Mastercard that offers credit building, cash back on purchases, and pays you interest on your balance, consider the KOHO Mastercard.

KOHO Credit Building

For a low monthly fee, build your credit score in one of three easy ways.

Monthly fee: $5 to $10 (depending on which KOHO Mastercard you have)

Free transactions: Unlimited debits and Interac e-Transfers.

Sign-up bonus: Earn $20 in cash back when you make a purchase within 30 days of registering.

Interest earned on deposit: Up to 4.00% interest rate, plus earn up to 5% unlimited cash back.

On KOHO’s website

  • Build or repair your credit score in one of three ways:
  • Credit Building: Take out a line of credit, repay it on time, and build your credit history.
  • Flexible Credit Building: Deposit your money as a line of credit, repay it on time, and build your credit history.
  • Use both to supercharge your credit building.
  • Every month, KOHO reports on-time payments to Equifax.
  • KOHO Credit Building costs $10, $7, or $5 monthly, depending on which KOHO plan you subscribe to.
  • Everyone is approved for KOHO Credit Builder.
  • Whichever plan you choose, get access to your credit score and a financial coach on-demand.
  • No credit check to sign up, and you can cancel anytime.

This subscription is discounted for those with Essential, Extra, or Everything plans

3 ways to build your credit

No application, credit check, or hidden fees

Missing payments can negatively impact your credit score

KOHO Credit Building helps build or repair your credit score for a low monthly cost in one of three easy ways. As long as you pay off your line of credit on time, KOHO reports the positive payments to Equifax monthly. Those with the KOHO Essential, Extra, or Everything plans get a discount.

The Neo Secured Card offers guaranteed approval when you join, and there are no hard credit checks. You will also receive a $25 bonus after approval.

Neo Secured Credit

Rewards: Earn up to 5% cash back on purchases at Neo partner stores.

Welcome offer: $25 welcome bonus.

Interest rates: 19.99% – 29.99% for purchases; 22.99% – 31.99% for cash advances.

Annual fee: $60

Credit limit: Starts at $50.

Credit score required: Poor or bad credit score.

The minimum security deposit is $50, and how much you deposit determines your credit limit.

When you close your account in good standing, your deposit is refunded.

New cardholders earn extra cashback on their first-time purchases at participating stores. Thereafter, you continue to earn up to 5% cash back at thousands of stores across Canada

Learn more in this Neo Secured Card review.

3. Home Trust Secured Visa Card

The standard Home Trust Secured Visa has no annual fee, but unlike the Neo Secured Card, you don’t earn any rewards.

You can also apply for a paid version of the card that costs $59 per year for access to a lower purchase APR of 14.90%.

Learn more in this review.

CIBC Secured Credit Cards in Canada & Alternatives

How To Get a Secured Credit Card in Canada

To apply for a secured credit card, visit the website of the card issuer using the links provided above.

To qualify, you may be required to show you have a source of income and are not currently in bankruptcy.

Applicants must also be the age of the majority in their province or territory of residence.

After your application is approved, you must provide security funds.

Secured vs. Unsecured Credit Cards

Unlike secured credit cards, collateral (i.e. security deposit) is not required to qualify for an unsecured credit card.

That said, most credit card companies will not approve your application for an unsecured credit card if you don’t have a good to excellent credit score.

Pros of a Secured Credit Card

Secured credit cards are easier to get when your credit rating is damaged. This is useful since it means you can use them to repair your credit.

For those that offer rewards, such as the KOHO Prepaid Mastercard, it also means you earn rewards or cash back with every purchase.

Cons of a Secured Credit Card

If you are struggling to make ends meet, it may be challenging to provide a significant security deposit.

Many secured credit cards charge annual and monthly fees, which add to your cost outlay, and the interest charges may also be steep.

Lastly, your credit limit is tied to your security deposit.

Conclusion

If you are a new immigrant in Canada, you could qualify for a regular CIBC credit card via its newcomer program. You can also check our list of the best newcomer credit cards for options.

While CIBC does not generally offer secured credit cards, you could get a secured line of credit.

The CIBC Home Power Plan Line of Credit uses the equity you have built in your home as collateral and offers flexible repayment options.

CIBC Secured Credit Card FAQs

Does CIBC offer secured credit cards?

CIBC does not advertise secured credit cards on its website. However, if you are a CIBC customer needing a secured card, you can visit one of its branches to discuss your options.

What credit score does CIBC use?

CIBC pulls your Equifax credit score and report.

Is my credit checked when I apply for a secured credit card?

Yes, credit card companies typically pull your credit when you apply for secured and unsecured credit cards. Neo Financial advises that it does not conduct a hard credit check.

Do secured cards build credit?

Yes, a secured credit card can build your credit score if you make timely payments.

Related:

Best Credit Offers in April 2025

Grab the top financial account and stop paying costly bank fees ($40 Bonus)

Earn up to 50% unlimited cash back and up to 4% savings interest on your balance.*

Save on fees and access unlimited transactions, eTransfers & bill payments.

Grab a $40 instant bonus after completing your first purchase (SAVVY50 referral code).

Guaranteed instant approval with any credit score, free budgeting app & cash advances.

Stop paying monthly fees with a free chequing account + $300 bonus

Get a $300 cash bonus when you set up a qualifying direct deposit.

Unlimited debits, online bill payments and Interac e-Transfer transactions.

No monthly or annual account fees.

Earn a high interest rate on your savings (3.90% interest rate offer).

Earn 3.90% interest on your savings account for 5 months

One of Canada's top high-interest savings accounts offers at 3.90% for 5 months.

Free access to a chequing account with unlimited transactions & e-transfers.

Access to thousands of free ATMs.

No monthly or annual fees.

Author

Gravatar for Enoch Omololu, MSc (Econ)
Enoch Omololu, MSc (Econ)

Enoch Omololu, personal finance expert, author, and founder of Savvy New Canadians, has written about money matters for over 10 years. Enoch has an MSc (Econ) degree in Finance and Investment Management from the University of Aberdeen Business School and has completed the Canadian Securities Course. His expertise has been highlighted in major publications like Forbes, Globe and Mail, Business Insider, CBC News, Toronto Star, Financial Post, CTV News, TD Direct Investing, Canadian Securities Exchange, and many others. Enoch is passionate about helping others win with their finances and recently created a practical investing course for beginners. You can read his full author bio.

About Savvy New Canadians

Savvy New Canadians is one of Canada's top personal finance platforms. Millions of Canadians use our site each year to learn how to save for retirement, invest smartly, maximize rewards, and earn extra cash. We have been featured in prominent finance media, including Forbes, Globe and Mail, Business Insider, CBC, MSN, Wealthsimple, and TD Direct Investing. Learn more about Savvy New Canadians.

Free financial education

Expert advice

Free resources

Detailed guides

Leave a comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Review Your Cart
0
Add Coupon Code
Subtotal