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First Progress Secured Credit Cards Review

The First Progress Platinum Elite MasterCard® Secured Credit score Card is the “highest” mannequin (or “lowest” relying on the way you have a look at it) card First Progress provides because it has the very best buy APR at 19.99% (V), however the lowest annual payment at $29.

I like to recommend this card for somebody who occasionally makes use of their bank card and pays their stability in full each month. A 19.99% (V) APR is simply too excessive to justify carrying a stability, so paying in full is further vital right here. The $29 annual payment is digestible, even with average utilization. Under are the information in regards to the card and what I like and don’t like about it.

Key information:

  • Greatest for – Most cost-effective annual payment.
  • Annual Share Charge (APR) for Purchases: – 19.99% (V).
  • APR for Money Advances – 24.99% (V).
  • Annual payment – $29.
  • Money advance transaction payment – $10 or 3% of every money advance, whichever is bigger. 
  • International transaction payment – 3% of the transaction quantity.
  • Late cost payment – As much as $40.
  • Returned cost payment – As much as $29.

Execs:

  • Low annual payment – I’m by no means loopy about playing cards – particularly secured playing cards – that include an annual payment, however this one is simply $29, which is fairly affordable.
  • Simple approval – There’s no credit score historical past or minimal credit score rating required for approval on this card, making it a superb choice for these trying to rebuild their credit score with accountable account use.
  • Quick processing – You’ll be able to obtain your card extra rapidly with a brand new expedited processing choice, permitting you to start out constructing your credit score as quickly as doable.

Cons:

  • No rewards – Like the opposite playing cards on this lineup, there are not any rewards for utilizing the cardboard – which means it’s only for rebuilding credit score.
  • Excessive APR – I don’t advocate carrying a stability on this card because the APR is simply too excessive to justify it. Pay it in full every month.
  • Annual payment charged immediately – Some cardholders have complained that they have been charged the annual payment immediately after signing up earlier than they even obtained the bank card, which is a frustration level.

Annual payment

Every of the three playing cards from First Progress does have an annual payment, however they’re all comparatively low. The very best payment is $49 on the First Progress Platinum Status MasterCard® Secured Credit score Card, however you get a good 9.99% (V) APR with it. 

Whereas I don’t take care of annual charges, it’s important to notice the worth you’re getting with these playing cards. They’re designed for individuals who have very poor credit score or no credit score in any respect. At that time, your choices are extraordinarily restricted, so First Progress has provide you with a reasonably distinctive product and I wouldn’t balk on the annual payment for those who’re on this place.

APR

Constructing off my level above, the APR isn’t stunning on any of the three playing cards. You’ll both get 9.99% (V)13.99% (V), or 19.99% (V) APR. Whereas I don’t advocate carrying a stability, I notice that generally you could have to. In that case, I might go for one of many playing cards that has a decrease APR.

Contemplating that the typical fee on new bank cards is round 19% APR, I’d say these charges are very aggressive – particularly contemplating they’re secured bank cards. So just like the APR, I wouldn’t shrink back from these playing cards due to their APR. Simply concentrate on paying it in full or carrying solely a small stability.

No credit score required

Discovering a bank card when you’ve got completely no credit score (or in case your credit score is totally trashed) could be very, very troublesome to do. Most secured playing cards require not solely a safety deposit but in addition at the very least some or respectable credit score.

What I actually admire about First Progress is that they’re not attempting to be flashy and provide you with a terrific sign-up bonus or rewards – however they’re geared towards individuals who need assistance getting and constructing their credit score.

Refundable safety deposit

If you happen to resolve to in the end shut your First Progress account sooner or later, your safety deposit is totally refundable. The way in which First Progress does that is by crediting your account for the quantity of your deposit. If in case you have a stability on there, it’ll cut back that stability. If in case you have no stability, you’ll have a credit score stability – at which level First Progress will ship you a examine for the quantity they owe you.

I like this as a result of it provides you a way of “safety” understanding that if the cardboard doesn’t work out otherwise you construct your credit score to the purpose you can get an unsecured card, you may get your a refund.

Discreet playing cards

This will likely not matter for some folks, however I like that First Progress retains their playing cards discreet. That means, it doesn’t say “secured card” on it anyplace. And regardless that you could solely have a credit score line of $150 or $200, no person else is aware of that – it simply appears to be like like a Platinum Mastercard.

I’m not about being flashy or caring what others suppose, however I can acknowledge the embarrassment one may really feel in the event that they’ve filed for chapter or skilled another monetary hardship. So with First Progress, you should use the cardboard confidently with out anybody understanding the distinction.

Quick utility course of

Getting began and making use of takes only some minutes. And as you’ll see under, First Progress provides expedited processing to get your utility shifting sooner and your card within the mail sooner. This fashion, you can begin constructing your credit score as quickly as doable. And keep in mind, First Progress experiences to all three main credit score bureaus, too.

An alternative choice to First Progress playing cards: OpenSky® Secured Visa® Credit score Card

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If the three First Progress playing cards don’t fairly fit your fancy, the OpenSky® Secured Visa® Credit score Card is perhaps the right various. For starters, what makes this card particularly distinctive is the truth that OpenSky doesn’t pull your credit score in any respect once you open your card, so that you gained’t see an impact in your rating.

You can too select your individual credit score restrict – something between $200 and $3,000. You’ll have to pay a safety deposit of no matter credit score line you select. If you happen to ever shut your account, this quantity is completely refundable.

Whereas the OpenSky® Secured Visa® Credit score Card doesn’t provide something in the way in which of rewards, its important function is that can assist you construct credit score. You’ll just do that with accountable account use, as a result of OpenSky will report your on-time month-to-month funds to all three credit score bureaus.

How does a secured card differ from an everyday bank card or pay as you go debit card?

A secured bank card, like those provided by First Progress, is designed to assist those that can’t get authorised for a conventional bank card, begin their credit score constructing journey. Secured bank cards like these require a safety deposit, which in the end equals your credit score line.

So for example, the minimal deposit is $200. If you happen to deposit $200, you should have a credit score line of $200 to make use of to rebuild your credit score. Conventional bank cards don’t require a deposit and your credit score restrict is set by your credit score profile, credit score rating, revenue, debt, and extra.

A pay as you go debit card, then again, is pre-loaded with money onto a debit card. Whereas there are totally different tips for getting established, a secured card is actually nonetheless a bank card. That means, you utilize it identical to you’d a conventional bank card, and also you pay curiosity on any balances carried. Plus, in contrast to a pay as you go debit card, you possibly can construct credit score with a secured card.

Abstract

Actually, these playing cards are designed for a really particular viewers – those that don’t have any credit score or are rebuilding their broken credit score. If you happen to fall into this class, these playing cards is perhaps a terrific choice for you, and the one factor it’s important to select is the annual payment you wish to pay – in any other case, phrases are fairly near being equal. 

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