What the First Latitude Credit Card Is
The First Latitude Credit Card is a secured credit card designed for people building or rebuilding credit. You put down a cash deposit, and that deposit becomes your credit limit. The card reports to all three major credit bureaus—Equifax, Experian, and TransUnion—so your payment history builds a credit record you can use to move to an unsecured card later.
First Latitude is issued by Latitude Inc., a subsidiary of Comenity Bank. The card itself carries an annual fee and an interest rate that depends on your creditworthiness at the time you open the account. Unlike some secured cards, First Latitude does not require a minimum credit score to open an account, which is why it shows up in searches from people with no credit history or a damaged one.
The core trade-off is straightforward: you lock up money as collateral, and in return you get a card that reports to the bureaus and can help you move toward better rates and terms elsewhere.
Key Takeaways
- Your cash deposit becomes your credit limit, so a $500 deposit gives you a $500 limit.
- The card charges an annual fee (the exact amount varies) and a variable interest rate that the issuer sets based on your credit profile.
- On-time payments are reported to all three credit bureaus, which is the main reason to use this card instead of a prepaid card.
- After a period of responsible use—typically 7 to 12 months of on-time payments—you may be able to move to an unsecured card or have your deposit returned.
- The deposit is held in a reserve account and is not used to pay your bill; you must make payments from your regular income or bank account.
How Your Deposit and Credit Limit Work
When you open a First Latitude account, you choose how much to deposit. That amount becomes your credit limit. If you deposit $500, your limit is $500. If you deposit $2,500, your limit is $2,500. The deposit sits in a reserve account held by the bank and is not touched unless you stop paying your bill or close the account.
Your monthly payment comes from your checking account or debit card—not from the deposit. If you charge $300 on the card and make a $300 payment, your deposit stays untouched at $500. The deposit is collateral, not a prepaid balance.
Some issuers allow you to increase your deposit over time, which raises your credit limit. First Latitude's policies on deposit increases vary, so check your account terms or call customer service to learn what your account allows.
Fees and Interest Rates You Will Pay
First Latitude charges an annual fee. The exact amount depends on your credit profile and the specific product you open, but it is typically in the range of $25 to $99 per year. This fee is charged once a year and is usually deducted from your deposit or added to your bill.
The interest rate (called the APR, or annual percentage rate) is variable, meaning it can change. Your starting rate depends on how the issuer assesses your credit risk. People with no credit history or recent negative marks often start at a higher rate—sometimes 20% or more. As you build a payment history, you may be able to request a rate reduction, though this is not may provide.
If you carry a balance, interest accrues daily on the unpaid amount. The best way to minimize interest is to pay your full balance each month. If you cannot, paying more than the minimum keeps interest from compounding.
How Payments and Reporting Work
You make payments to First Latitude each month, just like any other credit card. Payments can usually be made online, by phone, or by mail. Your payment due date is set when you open the account and stays the same each month.
Every payment you make—whether on time, late, or missed—is reported to Equifax, Experian, and TransUnion. This is the card's main value: it creates a credit history that other lenders can see. On-time payments help your credit score rise over time. Late payments or missed payments damage it and stay on your report for seven years.
The card also reports your credit utilization—how much of your limit you are using. Using less than 30% of your limit is better for your score than maxing out the card. If your limit is $500, keeping your balance below $150 helps more than carrying $400.
Moving to an Unsecured Card or Getting Your Deposit Back
After you demonstrate responsible use—usually 7 to 12 months of on-time payments—First Latitude may offer to convert your account to an unsecured card. This means you get your deposit back and keep the card without collateral. The interest rate and annual fee may change when you convert.
Conversion is not automatic. Some cardholders are offered it; others must request it. Call First Latitude customer service to ask whether your account is may be able to access and what the terms of conversion would be. If they decline, keep making on-time payments and ask again in a few months.
If you close the account, your deposit is returned to you, usually within 7 to 10 business days. However, closing the card can hurt your credit score in the short term because it reduces your total available credit and may shorten your average account age. If your goal is to build credit, keeping the account open—even after conversion—is usually better.
When First Latitude Makes Sense and When It Does Not
A First Latitude card is worth considering if you have no credit history, a very low credit score, or recent negative marks that make other cards unavailable. The card reports to all three bureaus, so it actually builds credit rather than just spending money you already have (as a prepaid card does).
It makes less sense if you already have access to unsecured cards with lower fees and rates. If your credit score is above 650 and you have been rebuilding for a year or more, you may find better options from other issuers. Compare the annual fee and starting rate against cards from Capital One, Discover, or other issuers that also serve people rebuilding credit.
The card also does not make sense if you cannot afford to lock up a deposit for several months. If you need that money for rent or emergencies, a secured card is not the right tool.
Steps to Open an Account
To open a First Latitude account, you will need to provide your Social Security number, date of birth, address, and income information. You will also choose your deposit amount and decide how to fund it (usually by bank transfer or check).
The process process is online and typically takes 10 to 15 minutes. First Latitude does a soft credit pull, which does not affect your credit score. Once approved, you fund your deposit, and the card is usually mailed within 7 to 10 business days.
When your card arrives, you will need to set up it before you can use it. set up instructions come with the card or are available on the First Latitude website. After set up, you can begin charging and making payments.
Frequently Asked Questions
Can I use my deposit to pay my bill?
No. Your deposit is held separately and is not available for payments. You must pay your bill from your checking account, savings account, or debit card. The deposit is collateral only and is released when you close the account or convert to an unsecured card.
What happens if I miss a payment?
A missed payment is reported to the credit bureaus and damages your credit score. First Latitude will charge a late fee (typically $25 to $35) and may increase your interest rate. If you miss a payment, contact the issuer as soon as possible to bring your account current and discuss your options.
How long does it take to build enough credit to get an unsecured card?
Most people see meaningful credit score improvement after 6 to 12 months of on-time payments. However, the exact timeline depends on your starting score and credit history. Some issuers offer conversion after 7 months; others wait longer. Check your account terms or call customer service to learn when you may be may be able to access.
Is there a minimum deposit amount?
First Latitude typically requires a minimum deposit of $300 to $500, though this may vary. Check the current terms on the First Latitude website or call their customer service line to confirm the minimum for new accounts.
What if I want to increase my credit limit?
You can request a credit limit increase by adding more money to your deposit. Contact First Latitude to learn the process and any limits on how much you can deposit. Some accounts allow increases after a period of on-time payments; others may allow them at any time.