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The Discover it® Secured Credit Card charges a $0 annual fee and offers great rewards, including bonus cash back at gas stations and restaurants, and a cash back match in your first year. Plus, Discover reviews your account on a regular basis to graduate to an unsecured card and get your security deposit refunded.
You may be on the hunt for a secured credit card because you’ve experienced the sting of applying and getting turned down for an unsecured card. Rest assured — whether you’re new to credit or trying to rebuild your credit history — you’ll find that there are many great secured credit card options that can help you improve your credit score quickly.
For a small upfront deposit, many secured credit cards offer solid cash back rewards, useful cardholder benefits and protections, and fees that won’t break your bank account. In fact, the best secured credit cards have no annual fee and report your account activity to all three credit bureaus. Over time, you may graduate to an unsecured credit card and get your deposit refunded.
How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.The Discover it® Secured Credit Card has the best combination of features for applicants with low credit scores — $0 annual fee, a good rewards program and the opportunity to upgrade to an unsecured card.
Minimum deposit: $200
Credit limit: $200 to $2,500
Who’s this card best for?
If you have limited / poor credit and want the opportunity to earn cash back rewards, the Discover it® Secured Credit Card is one of the best options you’ll find.
You can 2% cash back at Gas Stations and Restaurants on up to $1,000 in combined purchases each quarter. 1% unlimited cash back on all other purchases - automatically Plus, Discover will match all the cash back you’ve earned at the end of your first year.
After you’ve had the card for seven months, Discover will begin conducting monthly account reviews to see if you’re eligible to graduate to an unsecured card and get your deposit refunded.
Unfortunately, it does have a high ongoing APR. But it offers a 10.99% Intro APR for 6 months on balance transfers — which is rare for a credit card intended for those with limited / poor credit. After the intro period, a 27.74% Variable APR applies.
How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.Usually, secured credit cards require your deposit to match your credit line, but the Capital One Platinum Secured Credit Card is unique. Depending on your credit score, you could qualify for a deposit as low as $49 to secure a $200 credit line.
Minimum deposit: $49, $99 or $200
Credit limit: $200 minimum, See terms for maximum credit limit
Who’s this card best for?
If you want to see if you can avoid paying a full $200 deposit, the Capital One Platinum Secured Credit Card could be a good fit. Capital One offers the chance to qualify for a $200 credit line with a minimum refundable deposit of $49, $99 or $200.
That said, you’re not guaranteed to qualify for one of the lower deposit amounts, and you won’t know your minimum deposit amount until after you’ve been approved. While you won’t earn any rewards on your spending with this card, you don’t have to worry about ongoing fees, since it has a $0 annual fee.
On the downside, the card has an exceptionally high 29.99% (Variable) APR, so you should only choose this card if you plan to pay your balance off each billing period.
How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.In a world where many secured cards have interest rates well above 20%, the DCU Visa® Platinum Secured Credit Card has an outstanding 16.75% (variable).
Minimum deposit: $500
Credit limit: $500 minimum, no set maximum
Who’s this card best for?
If you think you’ll need to carry a balance on your credit card month over month, you’ll want a low interest credit card, like the DCU Visa® Platinum Secured Credit Card. Along with an ongoing APR of 16.75% (variable), the card charges a $0 annual fee, no balance transfer fee and no cash advance fee (if you use your line of credit to get cash from an ATM).
You do have to join Digital Federal Credit Union (DCU) to become a cardholder, but luckily, there are many ways to qualify for membership.
How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.The Capital One Quicksilver Secured Cash Rewards Credit Card earns cash back on every purchase at a rate that matches some of the best cash back cards. It’s a great option if your spending fluctuates between different categories from month to month.
Minimum deposit: $200
Credit limit: $200 minimum, See terms for maximum credit limit
Who’s this card best for?
If you want a simple approach to earning cash back rewards, you’ll like the Capital One Quicksilver Secured Cash Rewards Credit Card‘s rewards program. Cardholders earn 1.5% Cash Back on every purchase, every day; 5% Cash Back on hotels and rental cars booked through Capital One Travel (terms apply).
This card also offers a $0 annual fee, and as for foreign transaction fees — there are none. However, the high APR of 29.99% (Variable) can make carrying a balance very expensive, so it’s best for people who plan to pay their credit card bill in full each month.
How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.The U.S. Bank Altitude Go Visa Secured Card is designed for cardholders with limited / poor credit, but it doesn’t skimp on the rewards. It offers a generous bonus on dining, whether you’re eating in at a restaurant, picking up takeout or getting delivery.
Minimum deposit: $300
Credit limit: $300 to $5,000
Who’s this card best for?
If you spend a large amount on dining each month, the U.S. Bank Altitude Go Visa Secured Card could be ideal. Cardholders earn 4X points on dining, takeout and restaurant delivery, 2X at grocery stores, grocery delivery, streaming services, gas stations and EV charging stations, 1X on all other purchases. Additionally, the $0-annual-fee card offers a $15 credit for annual streaming service purchases, like Netflix and Spotify. As for foreign transaction fees? There are none.
Just know, the U.S. Bank Altitude Go Visa Secured Card comes with an extremely high APR of 29.74%.
The Bank of America® Customized Cash Rewards Secured Credit Card offers a uniquely flexible cash back program. You can choose from six different categories to match the rewards to your spending each month.
Minimum deposit: $200
Credit limit: $200 to $2,500
Who’s this card best for?
If you want to have some say so as to which of your purchases earn rewards, the Bank of America® Customized Cash Rewards Secured Credit Card could be ideal. The $0-annual-fee card lets holders Earn 3% cash back in a category of your choice each month, 2% cash back at grocery stores and wholesale clubs and 1% cash back on all other purchases.. Choice category options, which can be changed as often as once a month, include:
How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.The OpenSky® Secured Visa® Credit Card doesn’t require a credit check and comes with a reasonable $35 annual fee, making a safe choice for those who can’t qualify for other secured credit cards.
Minimum deposit: $200
Credit limit: $200 to $3,000
Who’s this card best for?
If your credit is too bad to be approved for a traditional or even a secured credit card, the OpenSky® Secured Visa® Credit Card may be your best bet. It does not require a credit check or bank account to apply, and it’s not laden with a high annual fee or ongoing maintenance fees. You just need to provide some financial information, such as your annual income and monthly housing payment. It even offers a pretty reasonable 25.14% (variable) APR.
The OpenSky® Secured Visa® Credit Card also provides the opportunity to transition to an unsecured credit card. You could be eligible for the OpenSky Gold Unsecured Card after as few as six months.
How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.The Secured Self Visa® Credit Card is a secured credit card that comes with a $25 annual fee and requires a Self Credit Builder savings account. It has no rewards program or sign-up bonus, so it’s a simple card designed to help you build credit.
Minimum deposit: $100
Credit limit: Minimum of $100
Who’s this card best for?
This card is best for people who have a Self Credit Builder account already and want a card that doesn’t require a huge security deposit or a credit check. It has a small annual fee that may be worth it if those factors are important to you.
If you want a card that doesn’t require a hard credit check but you don’t have a savings account with Self, the OpenSky® Secured Visa® Credit Card could be a good fit for you.
How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.The First Tech Platinum Secured Mastercard® offers a credit line of up to $25,000 — this is one of the highest credit lines currently available for a secured credit card.
Minimum deposit: $500
Credit limit: $500 minimum, $25,000 maximum
Who’s this card best for?
The First Tech Platinum Secured Mastercard® is one of the best high limit secured credit cards, since you can secure a line of credit worth up to $25,000. This makes it easier to use your secured card for large purchases, and to keep your credit utilization ratio low to boost your credit score. You’ll appreciate its low 14.25%-18.00% APR, its $0 annual fee and the fact it rewards you on every purchase (1 point per $1 on every purchase).
However, if you’re on a limited budget, you might skip this card. The minimum deposit of $500 is on the high end as far as security deposits go.
How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.If you qualify for membership with Navy Federal Credit Union, you’ll find that the Navy Federal nRewards® Secured Credit Card is a very affordable secured credit card. It comes with a $0 annual fee and a low 18.00% variable APR. It even offers a schedule for when you’ll be considered for an upgrade to an unsecured card.
Minimum deposit: $200
Credit limit: $200 to $5,000
Who’s this card best for?
If you or a family member are part of the armed forces, Department of Defense or National Guard, the Navy Federal nRewards® Secured Credit Card should be on your list of secured credit cards to consider. In addition to no annual fee and a low APR, it lets you earn rewards on every purchase: 1X points per dollar spent.
After three months of using it responsibly, you may be eligible to receive additional credit to allow for spending beyond your deposit. After six months, Navy Federal will automatically review your account to see if you’re eligible to be upgraded to the .
Credit Cards | Our Ratings | Rewards Rate | Regular APR | Late Fee | |
---|---|---|---|---|---|
Discover it® Secured Credit Card*
|
Winner
|
2% cash back at Gas Stations and Restaurants on up to $1,000 in combined purchases each quarter. 1% unlimited cash back on all other purchases - automatically | 27.74% Variable APR | None the first time you pay late. After that, up to $41. | |
Capital One Platinum Secured Credit Card
on Capital One's secure site Rates & Fees |
Low security deposit
|
Non-rewards Card | 29.99% (Variable) | Up to $40 |
on Capital One's secure site Rates & Fees |
DCU Visa® Platinum Secured Credit Card*
|
Low APR
|
N/A | 16.75% (variable) | Up to $35 | |
Capital One Quicksilver Secured Cash Rewards Credit Card
on Capital One's secure site Rates & Fees |
Flat-rate cash back
|
1.5% Cash Back on every purchase, every day; 5% Cash Back on hotels and rental cars booked through Capital One Travel (terms apply) | 29.99% (Variable) | Up to $40 |
on Capital One's secure site Rates & Fees |
U.S. Bank Altitude Go Visa Secured Card*
Learn More
on U.S. Bank's secure site |
4.2
Dining rewards
|
4X points on dining, takeout and restaurant delivery, 2X at grocery stores, grocery delivery, streaming services, gas stations and EV charging stations, 1X on all other purchases | 29.74% | Up to $41 |
Learn More
on U.S. Bank's secure site |
Bank of America® Customized Cash Rewards Secured Credit Card*
Review Coming Soon
|
Flexible rewards
|
Earn 3% cash back in a category of your choice each month, 2% cash back at grocery stores and wholesale clubs and 1% cash back on all other purchases. | 28.74% variable | Up to $40 | Review Coming Soon |
OpenSky® Secured Visa® Credit Card
on Capital Bank, N.A.'s secure site |
No credit check
|
Earn up to 10% cash back* on everyday purchases | 25.14% (variable) | Up to $40 |
on Capital Bank, N.A.'s secure site |
Secured Self Visa® Credit Card
on Self's secure site Rates & Fees |
No credit check and low deposit
|
Non-rewards card | 29.24% Variable. | up to $15 |
on Self's secure site Rates & Fees |
First Tech Platinum Secured Mastercard®*
Learn More
on First Tech's secure site |
4.0
High credit limit
|
1 point per $1 on every purchase | 14.25%-18.00% | Up to $25 |
Learn More
on First Tech's secure site |
Navy Federal nRewards® Secured Credit Card*
Learn More
on Navy Federal Credit Union's secure site |
4.3
Military members
|
1X points per dollar spent | 18.00% variable | Up to $20 |
Learn More
on Navy Federal Credit Union's secure site |
Business Advantage Unlimited Cash Rewards Secured credit card*
Review Coming Soon
|
4.1
Business
|
Unlimited 1.5% cash back on all purchases | 27.99% variable | Up to $49 | Review Coming Soon |
The information related to the DCU Visa® Platinum Secured Credit Card, U.S. Bank Cash+ Visa Secured Card, U.S. Bank Altitude Go Visa Secured Card, , Navy Federal nRewards® Secured Credit Card and the Wells Fargo Business Secured Credit Card has been collected by LendingTree and has not been reviewed or provided by the issuer of this card prior to publication. Terms apply.
A secured credit card is a type of credit card that requires you to make a cash deposit upfront. This acts as collateral and secures your line of credit. The deposit amount is generally equal to your line of credit which means a $200 deposit would allow you to make up to $200 in purchases with your card.
Secured credit cards work the same as unsecured credit cards (credit cards with no deposit). You can use your secured credit card to pay for purchases anywhere credit cards are accepted. Just like an unsecured credit card, a secured credit card can help build your credit history by reporting your payments to credit bureaus.
The best secured credit cards will report your credit activity to the three major credit bureaus: Equifax, Experian and TransUnion. Many secured credit cards offer regular reviews of your account after a period of time. Customers who pay their bills on time and stay well below their credit limit may be graduated to an unsecured card.
If, for some reason, you do not pay your credit card bill, the money you owe is deducted from your deposit and your account will likely be closed. In situations where you choose to close the account yourself, as long as you have no outstanding charges, your deposit will be returned in full.
The biggest difference is that an unsecured credit card does not require a deposit, while a secured credit card does. Unsecured credit cards generally have more stringent credit score requirements and offer better rewards. Secured credit cards are useful for people with poor credit or those just establishing credit.
There are unsecured credit cards available for consumers who have a poor credit score. However they are usually burdened with expensive fees so we recommend avoiding them.
Look for a secured card that offers transparent terms and no, or a low, annual fee because they can be a better tool to improve your credit without costing you anything.
Secured credit cards | Unsecured credit cards | |
---|---|---|
Report activity to credit bureaus | ||
Can earn rewards | ||
Require a security deposit | ||
Credit limit based on your deposit (usually) | ||
Credit limit based on creditworthiness | ||
Can apply with poor or no credit | ||
May have higher interest rates |
Secured credit cards are primarily best for two types of consumers: individuals with low credit scores due to mistakes in the past, and consumers with no credit history or limited credit history. But whether you’re looking to rebuild, establish or build your credit with the help of a secured credit card, it’s crucial to practice responsible card usage while doing so — by paying at least the minimum amount due on time each month and staying below your credit limit.
When deciding which secured credit card is best for you, ask yourself these questions:
Most issuers will pull your credit report before approving or rejecting your application. If your credit history is so bad that you’re concerned it may lead to a rejection, a card with no credit check might help. Just be aware that the card will likely charge an annual fee.
You should avoid a secured credit card with an annual fee, if possible. This will not only save money, but will give you the option to keep the account open. You’ll likely move on to better credit cards, but you may want to maintain your secured card, as the overall age of your accounts is a major factor in credit scoring. Opening a card without an annual fee means you can leave your account open indefinitely without having to pay a fee each year. That said, sometimes an annual fee may be worth it, such as if you need a card with no credit check.
Getting a secured card that offers a clear path to upgrade to an unsecured card and get your deposit back gives you a goal to work toward in your financial journey.
A minimum deposit requirement of $200 is fairly typical, but some secured cards will require a minimum deposit as high as $300 or even $500. With the Capital One Platinum Secured Credit Card, you may be able to start with just a $49 deposit. While you may be looking for the lowest deposit possible, you may want to consider a card that allows you to boost your deposit, to secure a larger credit line. This is because credit utilization (how much of your available credit line you are using) is a major factor in your credit score. A larger credit line will help you keep your utilization low, and may improve your credit score.
Building credit, not earning rewards, should be your main focus with a secured card. Still, as long as the credit card rewards don’t tempt you to overspend on your credit card, they can give you a little return on your spending.
Not all banks offer secured cards, but if yours does, you might want to start by considering their card. An existing relationship with an issuer boosts your odds of approval, plus your bank is likely to offer you better cards down the line.
Here’s a list of some banks that issue secured credit cards:
Applying for a secured credit card is simple and doesn’t take much time if you’re prepared. You’ll generally need to do the following:
1. Be prepared to provide some personal and financial information:
2. Fill out the form as completely as possible. Submit your application and wait for confirmation.
3. Check your email and complete all follow-up steps, including sending (via mail or electronically) your deposit.
Once your credit card arrives, you will need to activate it. This is usually done by calling a toll-free number or logging in to your account online, according to the directions that come with your card.
As long as the credit card issuer reports account and payment activity to the three major consumer credit bureaus, using your card responsibly will help build positive credit history. Here are a few tips for building credit:
The most important factor in improving your credit score is to always pay on time; late and missed payments will hurt your score more than almost anything else. If your due date slips your mind, make the payment as quickly as possible, because many issuers don’t report a late payment to the bureaus until you’re behind 30 days or more. Also, set up automatic payments if possible (most issuers offer this option) — this will help keep your payment timely, while also helping you avoid expensive late fees and interest.
Next, pay attention to your utilization — that is, how much of your available credit you’re using. The closer you are to maxing out your credit card, the riskier you seem to lenders and the more your credit score will suffer. A good rule of thumb is to keep utilization at 30% or less. For example, on a card with a $200 credit limit, aim to never have more than a $60 balance at any time.
In addition to payment history and utilization, avoid applying for new credit too frequently. When you apply for credit, the prospective lender checks your credit report, which generates what’s called a hard inquiry. Each hard inquiry may knock your credit score down a few points. Plus, opening new cards reduces your average age of accounts. A longer average age of accounts is better for your score.
Take a close look at your credit report to see if you have any old debts in collections or errors on your credit report. While using a secured credit card can help you improve your score, taking care of blemishes on your credit report is also a crucial part of building credit. While you’re at it, take advantage of any credit scoring and credit-monitoring tools that your issuer offers — this will help you catch missed payments or suspicious activity on your credit report before it gets out of hand.
Some issuers allow you to graduate from a secured credit card to an unsecured one, and refund your deposit. Issuers like Discover and NFCU even offer clear timelines for account reviews and upgrades.
The following tips will improve your chances with these issuers:
If you don’t have the cash available to put down as a minimum security deposit, or if you just want to consider all of your options, here are some alternatives to using a secured credit card:
Secured credit cards are most useful to those with poor or bad credit, or no credit at all. Because of their unique features that help you build credit, but are more limited to those with good credit, they aren’t helpful to people with good credit.
Like unsecured cards, some secured cards charge annual fees while others don’t. Our top choice, the Discover it® Secured Credit Card, has a $0 annual fee.
Yes, many people can get a secured credit card with bad credit because secured cards are designed to help rebuild or establish credit. If you’re turned down for a secured card, you may need to consider other options, such as asking a family member to make you an authorized user on one of their cards.
Yes, but not until you’ve graduated to an unsecured credit card or close your account. As long as your account is in good standing when either of those events happen, you should get a full refund of your deposit.
Secured cards require a cash deposit as collateral, whereas unsecured credit cards extend a line of credit with no collateral required.
Also note that secured credit cards may be available to people with bad credit or no credit, whereas unsecured credit cards often have more stringent approval requirements.
Even the best secured credit card in the world only has the amount of power you give it. For example, you can use a secured credit card to boost your credit score if you use credit with care and you never miss a payment. However, you can also see your credit score drop if you max out your secured credit card limit and make late payments.
If you are ultimately able to use a secured credit card to boost your credit score, the number of points you gain will vary based on a wide range of factors.
Yes, it’s possible to be denied a secured credit card. Minimum requirements vary by card issuer. You may be informed of their decision immediately after applying or by a mailed letter.
The most obvious criterion for selecting the credit cards on this list is that all are secured cards, meaning you must submit a security deposit to the issuer. This protects the issuer in case you default on what you owe.
We also evaluated rewards programs. Many of the cards on this list earn cash back or points. While building credit should be your primary focus with a secured card, it’s still nice to have the opportunity to earn cash back on your normal spending.
Another factor was annual fees. Most of the secured cards on this list charge no annual fee, and the one that does (the OpenSky® Secured Visa® Credit Card) offers enough value to consumers with poor/limited credit that some will find the annual fee worth it.
Finally, if a card has other unique features — such as offering the chance for an unusually low security deposit or requiring no credit check to apply — that also weighed in favor of including the card here.
For Capital One products listed on this page, some of the above benefits are provided by Visa® or Mastercard® and may vary by product. See the respective Guide to Benefits for details, as terms and exclusions apply
For Capital One products listed on this page, some of the benefits may be provided by Visa® or Mastercard® and may vary by product. See the respective Guide to Benefits for details, as terms and exclusions apply.
The information related to the Discover it® Secured Credit Card, DCU Visa® Platinum Secured Credit Card, U.S. Bank Altitude Go Visa Secured Card, Bank of America® Customized Cash Rewards Secured Credit Card, First Tech Platinum Secured Mastercard®, Navy Federal nRewards® Secured Credit Card, Business Advantage Unlimited Cash Rewards Secured credit card, U.S. Bank Cash+ Visa Secured Card and Wells Fargo Business Secured Credit Card has been collected by LendingTree and has not been reviewed or provided by the issuer of this card prior to publication. Terms apply.
The content above is not provided by any issuer. Any opinions expressed are those of LendingTree alone and have not been reviewed, approved, or otherwise endorsed by any issuer. The offers and/or promotions mentioned above may have changed, expired, or are no longer available. Check the issuer's website for more details.
Glen Luke Flanagan is a former senior credit card writer for LendingTree. He joined the team in June 2019, and covered topics that included new credit cards, how your credit score works and what you need to know about credit card interest.
Before joining LendingTree, Glen worked in journalism and government communications. As a journalist at newspapers in North Carolina and South Carolina, his reporting won awards from the North Carolina Press Association and the South Carolina Press Association, respectively.
Glen earned his bachelor’s degree in media studies with a concentration in journalism from Radford University, graduating summa cum laude in May 2014. He also earned a master’s degree in English with a concentration in technical and professional communication, as well as a graduate certificate in marketing, from East Carolina University in May 2022.