KeyBank has a standout secured credit card program, regularly highlighting the success of cardholders who graduate from a secured card to a traditional, general-purpose credit card.
Well-run secured card programs can play an important role in helping consumers establish or rebuild their credit. Metrics reported on the KeyBank website suggest the program is delivering on that promise: 88% of cardholders earned an unsecured card within 24 months. Of those enrolled, 71% entered the program without a FICO Scores, while the average score at graduation reached a respectable 722. Among cardholders who had a score when they enrolled, the average increased by 70 points by the time they graduated.
Since launching the program, KeyBank reports that 48,000 cardholders have transitioned from secured to unsecured credit. The Cleveland-based bank does not disclose the program’s total account volume, but an estimate based on its Q2 2026 call report puts it roughly 380,000 accounts, representing 0.83% of its $111.81 billion loan book. That makes the program a potentially valuable customer acquisition channel, while also creating an opportunity to build long-term customer loyalty.
Several other major banks offer secured card programs, including Capital One, Citi, and Wells Fargo, while Chase does not. Some programs take different approaches, such as allowing credit limits to grow beyond the initial security deposit. KeyBank’s model, which releases the security deposit as cardholders qualify for unsecured credit, is a straightforward approach that appears to be working.
A recent look at fintech versions of secured cards from Javelin Strategy & Research raised a different set of questions, particularly from a credit risk management perspective. Unlike standard secured programs, which hold a customer’s deposit in escrow, some fintech models link a debit card to a credit card. Instead of requiring cardholders to make payments themselves, the fintech automatically sweeps funds from the linked debit account to trigger repayment.
For now, KeyBank’s program stands out as a best-in-class example of how a secured card offering can benefit both consumers and the issuing bank. It provides a clear path to building credit while giving the bank an opportunity to develop lasting customer relationships. That’s a compelling combination.
