Prepaid credit cards are similar to debit cards as you can only use your card for the amount that’s present in your bank account. There’s no credit line or loaned amount given by the bank in case of a prepaid credit card.

In contrast, a secured credit card is one where in you can use credit up to a particular limit of your fixed deposit amount. Here, you get to use the credit limit as your fixed deposit is the collateral in this kind of secured credit card.

Please note, a secured credit card can be used effectively to build credit, unlike a prepaid credit card which doesn’t have any such long-term benefit associated with it.