Discover is eliminating automatic upgrade reviews for its secured credit card, fundamentally changing how cardholders graduate to unsecured products.
Starting immediately, Discover it Secured Card holders will no longer receive automatic eligibility assessments at the seven-month mark. Previously, the card automatically reviewed whether customers qualified for the unsecured Discover it Cash Back Card, potentially upgrading them without requiring an application.
The shift places responsibility squarely on cardholders. Those seeking an upgrade must now request one directly, rather than waiting for Discover to initiate the process. This change affects anyone using the secured card as a stepping stone to rebuild or establish credit.
The Discover it Secured Card carries a $200 minimum deposit that doubles as your credit limit, and charges $0 annual fees. Cardholders earn 2% cash back on dining and gas at participating locations, plus 1% on all other purchases. The card reports to all three major credit bureaus, making it useful for credit-building.
For people rebuilding credit, this change demands more proactive management. Previously, passive cardholders could benefit from Discover's initiative. Now, they must monitor their credit score improvement and request the upgrade themselves. Those with solid payment history and improved credit scores after several months should initiate the request directly through their Discover account.
The elimination likely reflects Discover's operational preferences. Automatic reviews cost money and administrative resources. By shifting to manual requests, Discover reduces these costs while identifying only customers genuinely motivated to upgrade.
Cardholders should track their progress closely. After six to nine months of on-time payments and responsible credit usage, consider requesting an upgrade. Improving your credit score during this period strengthens your case significantly.
WHAT THIS MEANS: Discover secured card users now need to actively request upgrades rather than receive automatic reviews, requiring more hands-on credit management