Who is the Applied Bank® Secured Visa® Gold Preferred® Credit Card for?
If you’re new to owning a bank account or trying to establish credit, the Applied Bank® Secured Visa® Gold Preferred® Credit Card could be what you’ve been looking for. This card is among the best for new and inexperienced cardholders. This card has a rare “no credit line” policy, meaning they won’t take your credit score into account when deciding whether or not to approve you for the card.
Upon attaining this card, you will not need to link any bank accounts. Probably one of the most exciting features of this secured credit card is that all money initially deposited into this card will be used as a credit line. With a credit line, money can be taken out from your bank account under your bank’s name and be repaid with minimal interest. Unlike most credit cards, the ability to build credit is also a feature that comes with this card. With monthly reporting to the three major credit bureaus (TransUnion, Equifax, and Experian), your creditworthiness becomes more known and slowly improves.
One thing that should absolutely be noted about this card is its low variable APR rate. For most secured credit cards, the variable APR will be lower than traditional credit cards, but with an APR of only 9.99%, this cards’ rate is considered extremely low. This is definitely something to be thankful for when making a big purchase.
Something very interesting about this card is it doesn’t have typical bonus rewards points, so there is ultimately nothing of value to redeem. This card is for those who are just starting out and trying to figure out how to establish a great credit score.
Benefits and Credits
The no credit check that this card offers is another huge bonus. With no need to worry about bad credit or non-existing credit, getting approval for this card is relatively easy. If you’re a recent college graduate looking for work, this card is great to start out with. If you’re currently in college and looking to get a head start on your finances for the future, opening a credit card connected to the three major credit bureaus would be a positive start to personal gains in raising credit score.
The low fixed APR rate this card offers is unheard of. While many credit cards offer variable rates between 13.99% to 25.99%, this low APR rate is only 9.99%. On average secured cards, this would still be a low APR rate due to most cards having an APR of around 13.99% to 15.99% variably. With a fixed rate of 9.99% that never goes higher, this is a great card to start with so long as you stay away from the high annual fees.
While this card has no welcome bonus, it is still a great starter card for those with lower credit scores. The welcome bonus could essentially be considered the initial deposit made, as that would be the credit line for the cardholder.
This card has a somewhat high annual fee of $48. For some, this can be seen as quite expensive, and therefore should be taken into consideration when applying.
Another aspect that should be considered is the other fees charged to this card. Additional users, replacement cards, and stopping payment fees are each $30 alone. On top of that, fees for copying and optional payments are $12.95 and $10 respectively.
Finally, there is a 0.5% automated account information fee for each separate account made through the automated account information system.
If you have established credit and aren’t looking to upgrade your credit score, this probably isn’t for you. If you’re someone who wants to get into a better credit score standing, either because you’ve never had one or because of some untimely purchases, this could be the card to set you on the right path.