Not long after you start your credit repair process you will find several offers for secured credit cards.

These cards require a deposit of cash in a savings account that will be used to secure the credit limit of the credit card.

After about a year of on time payments, you may qualify for an unsecured card and you can get the initial deposit back.

All of the secured credit card providers use the fact they report to all credit bureaus as a selling point.

Because of that, a secured credit card can be helpful in getting the first newly active account on a dormant credit report.

But beware, they are not free. There will inevitably be some type of application fee or membership fee. In fact, you can count on a substantial portion of the initial deposit to be charged to card as fees right off the bat.

You may end up with as little as $50 remaining credit and a balance of $150 you have to pay off. And that is after spending $200 out of pocket.

The bottom line: Secured credit cards can help you jump start a dormant credit file. You just have to ask yourself if the cost is worth it.

Check out the secured credit cards available and decide for yourself if the cost is within your range and what benefits you will get by having it.