Since many people think secured credit cards are only for people with bad credit, it’s easy to understand why they might assume that the interest rates on these cards are astronomically high. But that’s not the reality. Since secured credit cards are backed by your funds, they often have lower interest rates than some unsecured cards. The Applied Bank Secured Visa Gold credit card, for example, carries a 9.99 percent interest rate and a $50 annual fee. Compare that to the Capital One Card for Newcomers, which is designed for people with limited or no credit history. It carries a 24.9 percent interest rate. But in its favor, there is no annual fee and one can earn rewards with this card.