Discovering the suitable secured bank card can really feel overwhelming, particularly you probably have horrible credit.
This First Latitude Credit score Card evaluation will assist you perceive how this card works and decide if it’s best for you.
- Low-security deposit beginning at $100
- Earn 1% again for every fee made
- No minimal credit score rating requirement
- Studies to all three credit score bureaus
- Has a excessive APR of 24.49%
- Costs a $19.95 set-up price
- Costs a $25 annual price the primary yr, then $35
Not like most secured bank cards, the safety deposit is low with the First Latitude bank card. You want solely $100 to open a bank card. Now, this implies your credit score line is just $100, but when that’s all it’s important to put towards it, you can begin constructing credit score with $1 at a time.
Most reward bank cards pay you whenever you make purchases, however the First Latitude bank card rewards you for making funds as an alternative. Every time you make a fee, you’ll earn 1% of the fee as cashback rewards. You’ll be able to redeem the factors for a bank card assertion credit score.
When you want a secured bank card, likelihood is you don’t have good credit score, or possibly you haven’t constructed credit score but. This doesn’t matter with the First Latitude bank card. They don’t require a minimal credit score rating.
The purpose of a credit score constructing bank card is to report your exercise to the credit score bureaus.
Luckily, First Latitude experiences your historical past to all three credit score bureaus. Utilizing your bank card properly, making funds on time, and never overextending your credit score line may also help you construct credit score.
The First Latitude bank card has some downsides you could contemplate.
There isn’t a lot you are able to do with a $100 credit score line. Whereas it’s good that they permit this low of a safety deposit, it doesn’t depart a lot to be used that will help you construct a credit score rating.
Ideally, you shouldn’t have a steadiness that exceeds 30% of your credit score line, which implies solely $30, which isn’t sufficient to do a lot.
The First Latitude bank card has some excessive charges that you simply would possibly keep away from for those who take a look at your alternate options. The charges embody:
- $19.95 set-up price that you could pay inside 30 days of opening the cardboard or they withdraw your utility, which will increase your up-front charges to $119.95, together with the minimal $100 safety deposit
- Annual price of $25 for the primary yr; the price will increase to $35 yearly, even for those who don’t use the cardboard
- Money advance price equal to $10 or 3% of the quantity, whichever is bigger
- Late fee price of $41
- Returned fee price of $30
The cashback rewards are a pleasant incentive to pay your invoice, however you can not money them in till you’ve 500 factors. This is the same as a $5 bank card assertion credit score.
The First Latitude bank card is finest for individuals who don’t have a credit score rating but since First Latitude doesn’t require a selected credit score rating. Nevertheless, I’d use it to construct credit score for the primary yr, pay my invoice off, and obtain my safety deposit again.
The charges are excessive however not extreme. The $19.95 set-up price is one thing most playing cards don’t have, however then once more, they settle for any credit score rating, so it’s a small value to pay to begin constructing your credit score for those who don’t qualify for different alternate options, as I talk about under.
The First Latitude bank card isn’t the worst bank card, however it’s not the most effective, both. Listed here are some alternate options to match it to.
The Uncover it® secured bank card doesn’t have an annual or set-up price, and credit score strains begin at $200, with a $200 safety deposit.
The cardboard pays 2% again on fuel and restaurant purchases as much as $1,000 per quarter and 1% on all the pieces else. Uncover additionally matches your cashback earned for the primary yr, greenback for greenback.
The Capital One Platinum Secured bank card doesn’t have an annual price and permits safety deposits of $49, $99, or $200 for a $200 credit score line. It is determined by your credit score rating and qualifying components.
The APR on this card is excessive at 30.74% versus the First Latitude APR of 24.49%, however there are a lot decrease charges.
The Capital One Quicksilver Secured credit score card additionally doesn’t have an annual price however requires no less than a $200 safety deposit. Cardholders earn an infinite 1.5% again on all purchases, however the APR, like on the Capital One Platinum card, is excessive at 30.74%.
The OpenSky® Plus Secured Visa® bank card doesn’t have an annual price and doesn’t require a credit score verify for approval. The minimal safety deposit is $300, and so they report back to all three credit score bureaus.
After six months, they’ll reassess to see for those who qualify for a better credit score line or for those who can graduate to an unsecured card.
The Avant bank card has a $39 annual price, provides an preliminary credit score line of $300, and has a excessive 31.24% APR.
The tradeoff is that you simply don’t want a safety deposit, and so they robotically decide for those who can have a better credit score restrict whenever you use the cardboard. There aren’t any hidden charges, however they do a tough credit score verify to find out for those who qualify.
The UNITY Visa® Secured bank card shares info with the three credit score bureaus. The cardboard additionally has a $39 annual price and 17.99% APR. Nevertheless, they aren’t clear about how a lot is required for a safety deposit.
The First Latitude bank card might assist you construct credit score for those who don’t have any but. Listed here are some frequent questions folks ask concerning the card.
The First Latitude bank card has a number of charges, and the annual price instantly depletes your low $100 credit score line if that’s all you set down. You’ll be in a greater place for those who qualify for different secured bank cards, just like the Uncover it® secured bank card.
You’ll be able to log into your First Latitude bank card on the web site or obtain their cell app to simply handle your account.
The bottom credit score restrict for the First Latitude bank card is $100, however for those who can afford a better safety deposit, you get a better credit score line. They go as much as $2,000.
First, Latitude pays 1% money again whenever you make funds to your bank card. That is totally different than most bank cards, however it’s motivation to pay your invoice.
Sadly, First Latitude doesn’t provide any promotions for brand new bank card holders. The advantage of this card is you can begin constructing credit score.
Sure, First Latitude does a tough pull in your credit score. Nevertheless, they don’t require a minimal credit score rating, so it received’t matter. The draw back is that your credit score rating will drop just a few factors, however for those who use your bank card appropriately, it ought to enhance rapidly once more.
You should full an utility to find out for those who qualify for the First Latitude bank card. They don’t provide a no-credit pull pre-approval.
Luckily, First Latitude doesn’t require a minimal credit score rating. As a result of it’s a credit score constructing secured bank card, they don’t have a minimal rating requirement.
You should use the First Latitude bank card wherever Mastercard® is accepted. This implies thousands and thousands of shops, eating places, and leisure institutions.
Sure, you may make a money advance with the First Latitude bank card; nonetheless, the APR will increase to 29.49%, and there’s a price of $10 or 3% of the quantity, whichever is bigger.
The First Latitude bank card works for those who don’t qualify for different secured bank cards with no charges that pay rewards.
In my First Latitude bank card evaluation, I found that the cardboard is just good for these with no credit score or a rating that doesn’t enable them to qualify for another card.
I encourage you to take a look at your alternate options and evaluate your choices. Look not solely on the credit score line but in addition on the charges and different advantages every card provides.