How the OpenSky Card Works

The OpenSky Credit Card is a secured card that requires a cash deposit to open, which becomes your credit limit. You deposit between $200 and $3,000, and that amount is held as collateral while you use the card to make purchases and build credit history. The card reports your payment activity to all three credit bureaus — Equifax, Experian, and TransUnion — every month.

Unlike many secured cards, OpenSky does not require a credit check to open an account. This means people with no credit history, damaged credit, or recent negative marks can often be approved. You keep the deposit in place for as long as you hold the card, and it earns no interest while sitting there.

The card itself carries an annual fee of $35, charged to your account in the first month and every 12 months after. There is no foreign transaction fee, which sets it apart from some competitors in this category. If you miss a payment, OpenSky reports it to the bureaus just as a regular card issuer would.

Key Takeaways

  • OpenSky requires a cash deposit of $200 to $3,000 that becomes your credit limit and is held for the life of the account.
  • The card reports to all three credit bureaus monthly, so on-time payments build your credit score over time.
  • No credit check is required to open an account, making it accessible to people rebuilding credit or starting from scratch.
  • The $35 annual fee is charged upfront and every year after, with no foreign transaction fees.
  • You can request a credit limit increase after six months of on-time payments, which may not require an additional deposit.

Deposit, Fees, and Interest Rates

Your deposit is the foundation of this card. The minimum is $200 and the maximum is $3,000. OpenSky holds this money in a deposit account and does not pay interest on it. Once you open the account, your credit limit equals your deposit amount — if you deposit $500, your limit is $500.

The annual percentage rate (APR) on purchases is 19.99%, which is higher than most unsecured cards but typical for secured cards aimed at people with poor or no credit. There is no introductory rate period. If you carry a balance, interest accrues daily and is added to your statement.

The $35 annual fee is non-negotiable and appears on your first statement. Cash advances carry a 3% fee (minimum $1) and a separate APR of 22.99%. Late payments incur a fee of up to $38, depending on how late the payment is.

Building Credit and Graduating to an Unsecured Card

The purpose of a secured card is to demonstrate responsible credit use so that you can eventually move to an unsecured card. OpenSky reports every payment to the three major bureaus, which means on-time payments directly improve your credit score. Missed or late payments also report and can damage your score.

After six months of on-time payments, you can request a credit limit increase. OpenSky may grant this without requiring an additional deposit — meaning your limit rises but your deposit stays the same. This is one way the card can become more useful over time without tying up more of your money.

There is no automatic graduation to an unsecured card. You will need to monitor your credit score and explore for other cards once it reaches a range where unsecured issuers will approve you. Many people use a secured card for 12 to 24 months before moving to an unsecured product. When you close the OpenSky account or it converts to unsecured, your deposit is returned to you.

Who This Card Suits Best

OpenSky works well for people with no credit history who need to start building a file. It also suits people rebuilding after bankruptcy, collections, or a period of missed payments. Because there is no credit check, you do not risk a hard inquiry that would temporarily lower your score.

The card is less ideal if you cannot afford to lock up $200 to $3,000 in a deposit. It is also not the best choice if you plan to carry a balance regularly, since the 19.99% APR makes interest charges steep. If you can pay your full statement balance each month, the card works as intended — you build credit history without paying interest.

The $35 annual fee means you should plan to use the card regularly enough to justify the cost. If you open it and never use it, you are paying $35 per year for no benefit. Active use — making small purchases and paying them off monthly — is what generates the credit-building benefit.

How OpenSky Compares to Other Secured Cards

Several other issuers offer secured cards, and the differences matter. The Capital One Secured Mastercard requires a credit check but offers a lower APR (19.99% is the same, but Capital One sometimes offers promotional rates). The Discover it Secured has no annual fee and reports to all three bureaus, but it does require a credit check and a minimum deposit of $200.

The U.S. Bank Altitude Go Visa Secured Card charges no annual fee and offers cash back on purchases, but again requires a credit check. OpenSky's main advantage is the no-credit-check approval, which makes it the most accessible option for people with very poor credit or no credit history at all.

The trade-off is the $35 annual fee and the higher APR. If you can pass a credit check, you may find a secured card with lower fees or better rewards. If you cannot, OpenSky removes that barrier to entry.

How to Use the Card Responsibly

To build credit with this card, keep your balance low relative to your limit. Credit scoring models reward people who use only a small portion of their available credit — ideally under 10%, though under 30% is acceptable. If your limit is $500, try to keep your balance under $50 at any given time.

Pay your statement balance in full and on time every month. This is the single most important factor in credit scoring. Even one late payment can lower your score significantly and will be visible to future lenders. Set up automatic payments if you tend to forget due dates.

Do not close the account when ready after your credit improves. Lenders want to see a long history of responsible use. Keeping the account open for at least 12 to 24 months, even after you move to an unsecured card, helps your credit score because it lengthens your average account age.

Frequently Asked Questions

Can I get my deposit back before closing the account?

No. Your deposit must remain in place for as long as you hold the card. You cannot withdraw it or use it to pay your statement balance. The deposit is released only when you close the account or if OpenSky converts it to an unsecured card, which is not may provide.

What happens if I miss a payment?

OpenSky reports the missed payment to all three credit bureaus, which will lower your score. You will also be charged a late fee of up to $38. If you miss a payment by more than 60 days, OpenSky may close your account. Contact them when ready if you cannot pay on time.

Does OpenSky offer rewards or cash back?

No. The OpenSky card has no rewards program, no cash back, and no points. It is designed solely for credit building, not for earning benefits on purchases. If rewards matter to you, consider waiting until you can move to an unsecured card that offers them.

How long does it take to build credit with this card?

Credit bureaus need at least one month of payment history to generate a score. Most people see meaningful score improvements after three to six months of on-time payments. The longer you use the card responsibly, the more your score will improve, but results vary based on your starting point and other factors in your credit file.

Can I increase my credit limit without adding more money?

After six months of on-time payments, you can request a limit increase. OpenSky may grant this without requiring an additional deposit, though they are not required to. If they do increase your limit, your original deposit stays the same and your new limit is higher — which improves your credit utilization ratio.