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The Neo Secured World Mastercard® ($0/year) works well if you want to build your credit without spending more than usual. The Neo Secured World Elite Card ($149/year) pays off as soon as your eligible spending passes roughly $15,000 a year. Both are available with no minimum income, unlike Neo’s regular versions. They do share a Build fee of $7.99/month, which is waived if you keep a deposit of $5,000 or more with Neo.
I’m Audrey Voisine, co-founder of Milesopedia. I compared both of Neo’s secured cards for this guide: their deposit mechanics are identical, but the choice between them comes down mainly to how much you spend each year.
In this article, you will compare their fees, their cashback rates and their perks to figure out which one fits your situation best.
For the regular (unsecured) version of these cards, see our full review of Neo Financial.
A secured credit card works like a standard card, but it requires a security deposit in exchange for the credit limit granted. A $2,000 deposit gives you a $2,000 credit limit.
This type of card is mainly aimed at:
At Neo, both secured cards offer exactly the same cashback rates and the same perks as their unsecured equivalents. You are therefore not penalized on value while you build your credit.
The Neo Secured World Mastercard® is a card with no annual fee, identical to the regular Neo World Mastercard®, but available with no minimum income at all.
Your credit limit matches the amount of the security deposit you provide, up to $30,000. You get 1% cashback on all your purchases, with no cap and no categories to manage, on top of the extra cashback available with Neo partners.
Net gain in year 1: on $15,000 of annual spending, you earn roughly $150 in cashback. There is no card fee to subtract, but if you do not keep $5,000 on deposit with Neo, the Build fee of $7.99/month ($95.88/year) brings your net gain down to about $54.
Perks:
The Neo Secured World Elite Card is the secured version of Neo’s premium card. Like its regular version, it carries an annual fee of $149, but with no income requirement whatsoever.
It offers 2% cashback on all your purchases, up to $4,000 of spending per month, then 1% after that with no cap. You also keep the Mastercard World Elite® benefits: comprehensive travel insurance (not offered to Quebec residents), collision coverage for car rentals, and a DragonPass membership for airport lounges (fees apply on each visit).
Net gain in year 1: on $15,000 of eligible annual spending, you earn roughly $300 in cashback. Once the $149 card fee is subtracted, the net gain lands at about $151. If you do not keep $5,000 on deposit with Neo, the Build fee of $7.99/month ($95.88/year) is added, bringing the net gain down to roughly $55, essentially the same threshold as the Secured World card, but with the travel benefits on top.
Both cards share the same security deposit principle and the same absence of income requirement. They differ on three points: the annual fee, the cashback rate, and the travel benefits included.
Click on a card name below to see all of its details.
The mechanics are simple: you transfer a deposit to Neo, and that amount becomes your credit limit, up to a maximum of $30,000. Neo holds that deposit as security for as long as you use the card. This deposit is separate from the $7.99/month Build fee: the deposit is refundable and serves as collateral, while the Build fee is a recurring cost for access to the secured card, waived only if you keep $5,000 or more on deposit with Neo.
Every payment made on time is reported to the credit bureaus, exactly as with a standard card. Responsible use (balance paid every month, low utilization rate) lets you build a positive credit history.
The Neo Secured World Mastercard® is ideal if you are looking for a no-annual-fee option to build your credit, without spending more than usual.
The Neo Secured World Elite Card becomes worthwhile if you travel regularly and your annual spending passes roughly $15,000, which covers the annual fee thanks to the higher cashback rate and the travel insurance included.
Conversely, if you spend less or you prefer to keep things simple while building your credit, the no-annual-fee version remains the safer choice.
Pros:
Cons:
In short, both Neo secured cards let you build or rebuild a credit history in Canada with no income requirement, while keeping cashback rates comparable to the regular versions.
The no-annual-fee version suits straightforward use, while the World Elite version is aimed at people who spend more and can cover the fee thanks to the benefits included.
Savings are this way:
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