An unsecured credit card is a type of credit card that does not require collateral, such as a security deposit, to access a credit line. Unlike secured credit cards, unsecured cards are not connected to a cash security deposit, and your credit limit is determined by the issuer upon opening. Unsecured cards may be any range of card types, from travel rewards cards to cash back cards and balance transfer cards. Because unsecured credit cards are not backed by any kind of deposit like secured cards are, they are more of a risk for the issuer. That’s why issuers consider a number of factors to determine the likelihood you’ll be able to pay off the charges you put on your card before they approve your application. Unsecured credit cards may come with higher credit limits and lower interest rates compared with secured credit cards. However, unsecured credit cards are riskier for lenders since they’re not secured by collateral, so they tend to require stronger credit. Unsecured credit cards are more common than secured cards and are available to individuals with a wide range of credit scores, from average to excellent.