Auto Loan Refinancing 5 Things To Know

Auto Loan Refinance - Five Things to Consider Before Refinancing Your Car Loan

5 Things to Know When Refinancing an Auto Loan

Refinancing your auto loan is a major decision, but it’s often the best way to deal with car-related debt. Without refinancing, you could be forced to pay late fees or even default on the loan if you’re unable to make payments.

This article will cover some of the most important things you should know if you’re considering refinancing your auto loan. Keep in mind that every situation is different—this strategy is good in some circumstances, but in others refinancing could result in a higher total cost compared to making on-time payments toward the original balance.

1. How Auto Refinancing Works

Refinancing an auto loan is similar to refinancing any other form of credit—you are essentially taking out a new loan to pay off your existing balance.

This could be because you’re having trouble keeping up with your payments.  While you’ll likely spend more in interest, you’ll save money by avoiding the costs that come with making late payments.  In this case, you might be able to find a loan with a longer term, allowing you to make smaller payments each month over a longer period of time.

Of course, if you’re a strong borrower, you could also potentially save money in the long run if you can refinance at a significantly lower interest rate than exists on your current loan.

If you’re thinking about refinancing, make sure to shop around and compare offers from several different options before committing to a specific lender.

2. When Auto Loan Refinancing Is a Good Idea

Refinancing can save you a lot of money, but that doesn’t mean it’s always the right thing to do. You should generally consider refinancing for one of two reasons—this is a major financial decision, so it’s important to think carefully about the pros and cons of each option.

You Can’t Make Payments

The most obvious time to refinance your auto loan is when you’re having trouble making the payments you agreed to when you took out the original loan. High monthly payments can make your budget much more difficult to manage and cut into other areas of your life.

Paying more in interest is a small price to pay to avoid more serious obstacles like defaulting on a loan. Late and missed payments will also hurt your credit score and prevent you from accessing lines of credit later on, so you should refinance as soon as possible if you know you’re not going to be able to make payments.

You Found a Better Offer

Interest rates fluctuate constantly, so the best available offer when you purchased your car may not be as good as the one you could get now. Paying a lower interest rate will allow you to pay off your balance with less money and help you save more cash for other areas of your budget or even put together an emergency fund.

Even a slightly lower interest rate could save you hundreds or even thousands of dollars depending on the size and term of your loan, so you should always be looking at refinancing options to see if there’s a better offer. Car dealerships typically offer loans with higher interest rates compared to more conventional lenders.

3. When to Avoid Auto Loan Refinancing

These are two of the best signs that refinancing could be right for you, but there are also some situations in which you should stick to the original loan. These are a few of the most important drawbacks that lead people to pay off their balance rather than refinancing with a new loan.

You’ve Made Progress on the First Loan

Interest payments can be incredibly frustrating, and they often lead people to feel like they aren’t making progress on their loans. That said, you typically pay more interest over the first half of a loan than the second—as the balance decreases, less interest compounds each month.

If you’ve already paid off the majority of your original auto loan, you probably won’t save much money by refinancing, even if you’re able to find a loan with a lower interest rate. Refinancing earlier on gives you the opportunity to save more on interest while reducing your monthly payment and freeing up cash flow.

Your Auto Loan Carries Prepayment Penalties

You might assume that paying off a loan as quickly as possible is the best way to minimize interest, but many loans charge prepayment penalties designed to give lenders as much interest as possible. These fees remove the incentive to pay off your balance and make refinancing a less attractive option.

Other loans calculate all interest upfront and require you to pay the entire bill regardless of when you finish paying off the principal. Refinancing fees for things like re-registration and lien holding can also add to your costs, although they typically make up a small payment compared to how much you could save by refinancing.

Your Car Has Already Depreciated

Cars depreciate more quickly during the first few years of ownership than at any other time, so most lenders are reluctant to offer refinancing loans after this period. It’s generally easiest to refinance within the first three to five years of owning your car, although some lenders may be willing to work with you later.

4. The Importance of Credit

Interest rates fluctuate naturally based on market conditions, but your refinancing options are mainly determined by your credit report and your history as a borrower. People with a higher credit score have access to more loan offers and more options with competitive interest rates.

If you have a poor credit history, lenders see you as less reliable and will charge more in interest to compensate for the additional risk. Refinancing is a great option if your credit has significantly improved since you purchased the car, as you may be able to find a loan with a substantially lower interest rate.

With that in mind, you should do everything possible to maximize your credit score if you know you’ll need to consider refinancing options. Some of the easiest ways to improve your credit include making on-time payments, using less than 30 percent of your credit limit, and regularly checking your report to identify irregularities and inaccuracies.

Keep in mind that refinancing itself may hurt your credit score, although the impact shouldn’t be more than a few points. You should avoid refinancing and other types of credit if you know that you’ll be applying for a new line of credit in the near future. This is especially critical for mortgages, auto loans, and similar loans—the larger the balance, the more important it becomes to find the lowest possible interest rate.

5. How to Find the Right Auto Loan

If you’ve decided to refinance your auto loan, the next step is comparing your options and looking for a loan that meets your needs. You should start shopping around well before you need the money—the longer you wait, the less time you’ll have to look at offers and wait for the perfect opportunity.

The interest rate is the most obvious factor to consider when comparing loans, but there are a number of other important criteria that should affect your decision. A longer term, for example, gives you more time to pay off the loan and increases your cash flow by requiring smaller payments each month.

On the other hand, shorter terms give you the chance to pay off the balance more quickly and avoid more interest. You should look for a long-term loan if you need cash flow immediately, but short-term loans are better if you’re simply looking to save money relative to the original loan. Remember that everyone is in different circumstances—the right answer for you depends on your unique financial situation and goals.

Refinancing an auto loan for the first time can be confusing, and it’s often difficult to determine which strategy gives you the chance to save as much money as possible. With so much to consider, it’s easy to feel overwhelmed and simply stick to the original loan. These tips will help you identify the best refinancing options for you and pay off your debt as quickly as possible.

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Citi Prestige Card Review Pros and Cons

Citi Prestige - Reviewing Pros and Cons

Citi Prestige Card Review

The Citi Prestige card is one of the more expensive options available. However, it comes with benefits that can be huge for cardholders. Is the Citi Prestige card worth it? We’ll outline the pros and cons below. This way, you’ll know whether or not this is a card you want to add to your wallet.

Citi Prestige Card Pros

1. Priority Pass

Cardholders with the Citi Prestige get Priority Pass. This service makes traveling and waiting in airports more convenient. You’ll get access to hundreds of airport lounges across the country free of charge. This is great for frequent flyers who want a chance to rest in comfort and style between flights. So all you have to do is show your card, scan it, and you’ll gain access.

2. Bonus

You get bonus points if you spend $4,000 in the first three months of having the card. Depending on where you fly, that’s like two or three ticket purchases. You can use these points to redeem rewards whenever you like. If you don’t make the spending limit in four months, you won’t get your sign up bonus.

3. Rewards Rate

This card has a very generous rewards rate for their cardholders, but how much are Citi Prestige points worth? You earn five points for every dollar you spend at restaurants and for air travel. You earn three points per dollar on cruises and hotels. Every other purchase will earn you one point per dollar spent. The points never expire, and you can stack them as long as you want.

4. Complimentary Hotel Stay

Twice a year, Citi Prestige cardholders get two complimentary fourth-night hotel stays. You do have to book four consecutive nights in a row for this to work. Additionally, you have to book through the ThankYou.com portal. However, this can quickly add up to hundreds of dollars in savings each year.

5. No Blackout Dates

One of the most frustrating things about traveling and using points is blackout dates. However, the Citi Prestige card makes this a thing of the past. There are no blackout dates with this card. This means you can book flights 365 days of the year without a problem. It’s especially useful for holiday travel.

6. Several Redemption Options

Unlike some cards, you have a host of ways to redeem your points with this card. You can use them for travel and airfare. However, you can also redeem cash, merchandise, and dozens of gift cards. Since the points don’t expire, you could easily stack them for larger redemption offers. You can pool them with other Citi cards too!

7. Transfer Points

There are 13 travel partners connected to Citi. You can transfer your points to any of these 13 partners. The points transfer at a 1:1 ratio. This is convenient if you don’t normally travel with one specific airline or travel agency. You’ll still get to use your points when you travel, no matter the airline.

8. Annual Travel Credit

Each year that you use your Citi Prestige card and keep it in good standing, you get a credit. This is a $250 credit, and Citi will apply it automatically. It’ll show up each year and apply to your eligible travel purchases. The great thing is that you don’t do anything extra for this credit.

9. Cell Phone Protection

If you pay your cell phone bill each month with your Citi Prestige card, you’ll get additional protection. This protection doesn’t cost you anything. They’ll reimburse you the cost to repair or replace your phone if it gets stolen or damaged. So this protection plan works for up to five phones and $1,500 in yearly benefits. Another credit card that offers this is the Wells Fargo Propel American Express® card.

10. Banking Annual Credit

If you’re a qualifying Citigold client, you’ll earn $145 in statement credits each year. To get this credit, you have to have a Citigold account. Every authorized user you have on your account will earn you a $25 statement credit. Again, you do nothing but keep your card in good standing to automatically earn it. Review travel offers for TSA PreCheck and Global Entry credit cards.

11. Security

Fraud and identity theft are huge problems. However, the Citi Prestige card protects cardholders. They monitor your account and sent you early fraud warning signs. They’ll also reimburse you for fraudulent purchases. This will help you get your life back on track much quicker.

Citi Prestige Card Cons

1. Annual Fee

This card is one of the most expensive available on the market today. Each year, you’ll pay $495 just for having the card open. It doesn’t matter if you use it all of the time or not. You’ll pay this fee. This makes you spend more in order to justify the high annual fee amount.

2. Have to Book Through the Citi ThankYou Portal

In order to earn points, you have to book all of your travel through the Citi ThankYou Portal. If you forget or don’t do it, you won’t earn points on your purchase. While this isn’t the worst thing in the work, it can be inconvenient.

3. ThankYou Point Value

Although you can earn a lot of points, ThankYou Point values are relatively low compared to other cards. They’re roughly one cent per point with airline points being 1.25 cents per point. So, 100 points is a dollar. If you travel a lot, you can make this work for you. However, it also means your signup bonus is on $50.

Is the Citi Prestige Card Worth It?

The short answer is that it depends. If you travel a lot, you could outweigh the steep annual fee. You also earn some great luxury travel benefits. So, we’d say that it is worth it for higher spenders and frequent travelers.

However, if you don’t travel or spend a lot, it’s going to be difficult to offset the fee. It’s also difficult to combine your points due to the relatively low point value. Finally, take a look at your spending and travel habits while you weigh the pros and cons. This will help you decide if the Citi Prestige card is a good fit or not.

Advertiser Disclosure for the CreditFast website – CreditFast.com, provides information about the best credit card applications, as well as other financial products and services. Our goal is to provide you with fair, balanced reviews. Some credit offers that appear on our website are from companies from which CreditFast receives compensation, and some are not.

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TSA PreCheck and Global Entry – Best Credit Cards

Airport Security Best Credit Cards - TSA PreCheck and Global Entry

What are the best credit cards for Global Entry and TSA PreCheck?

For frequent travelers, TSA PreCheck services can be invaluable. For low-risk passengers, global entry is another excellent service that can speed checking in along. Did you know that some credit cards offer reimbursement for global entry or TSA PreCheck services just for having it? We’re going to go over what these two things are before listing a few credit cards you can compare below.

Defining TSA PreCheck

If you enroll for TSA PreCheck, you get a few benefits. First, you go through a special security line. You won’t have to remove your jacket, belt, laptop, or liquids from your bag. The lines are also significantly shorter than traditional TSA lines. This can help you get on your flight quicker with less hassle.

You do have to renew your TSA PreCheck every five years. So without a credit card that reimburses you, you’ll pay $85 for the service. There are over 200 airports that accept this service, and there is no age limit to use it. It’s open to U.S. citizens, U.S. nationals, and permanent residents.

Defining Global Entry

The second perk travelers can use is the Global Entry system. If you enroll in this system, you’ll automatically enroll in the TSA PreCheck. Participants get expedited clearance using special kiosks when they arrive in the United States. You go to the machine, present your passport, scan your fingerprints, and sign a customs declaration.

The kiosk will then print you a receipt, and you’re free to go to the baggage claim. You renew your enrollment every five years, and the cost by itself is $100. You won’t go through processing lines, and it reduces your wait times. There is no age limit for this program. It’s open to U.S. citizens, U.S. permanent residents, and citizens of certain countries.

The Eight Best Travel Cards That Come With Global Entry or TSA PreCheck Reimbursement

Now that you know what both perks are, we’ll go over a few cards that offer reimbursement. Remember, if you have Global Entry, you automatically have TSA PreCheck enrollment. Before applying it is important to read all terms and conditions of each offer. The best cards include:

1. Capital One Venture Rewards Card

Capital One Venture card gives you a $100 credit every four years for either fee. All you have to do is pay for them with your card. Additionally, you get 50,000 miles for spending $3,000 in the first three months. You can earn unlimited double miles on each purchase. If you stay at certain hotels and pay for it with the card, you get bonus miles. The first year has no annual fee; then it goes to $95.

2. Citi Prestige Card

You can earn up to $250 in travel credit each year with the Citi Prestige® Card. You get five times the points on airlines and three times at hotels and cruises. If you spend $4,000 in the first three months, you get a 50,000-mile bonus. This card does have a steep $495 annual fee attached to it. However, extensive travelers can balance it out with rewards.

3. Bank of America Premium Rewards

With the Bank of America® Premium Rewards® credit card, you’ll get two points for every dollar spent on travel. One point for everything else. There is a 50,000-mile welcome bonus for spending $3,000 in the first three months. There is no foreign transaction fee, and this makes it excellent for global use. The $95 annual fee is very reasonable for a rewards card as well.

4. American Express Platinum Card

Every four years, this card will reimburse you $100 for Global Entry or TSA PreCheck fees. Every flight you book directly through the airport and pay for with this card earns five points per dollar. So if you book hotels through amextravel.com, you’ll earn five points per dollar. Every other dollar spent is one point. You’ll get 60,000 points for spending $5,000 in the first three months. There is an annual fee of $550.

5. United Explorer Card

The United Explorer Card launched in 2018, will reimburse your fees once every four years. There is a $95 annual fee they waive the first year. Credits post within 24 hours, and this makes it extremely quick. You’ll earn double points for United purchases and double points for hotel and restaurant accommodations. Priority boarding, free checked bag, two lounge passes for United, and 25% back on in-flight purchases are available.

6. Chase Sapphire Reserve Card

With the Chase Sapphire Reserve®, you’ll get $100 back once every four years for your application fees. Each year, you’ll get a $300 statement credit to cover your travel expenses. The card gives you 50,000 points if you spend $4,000 in the first three months. It also comes with triple points per dollar spent on travel and dining purchases. The annual fee is $450.

7. Citi AAdvantage Executive World Elite MasterCard

Every five years, you’ll get a reimbursement for your fees. If you spend $5,000 in the first three months, you’ll get a 50,000-mile bonus. There is a full Admirals Club membership that gives you access to 120 lounges across 90 countries. Since an Admirals Club membership is $500 by itself, this makes up for the $450 annual fee. You’ll earn priority boarding, 25% reimbursement for in-flight purchases, and Elite Qualifying Miles.

8. MasterCard Black Card

This card offers one point for each dollar you spend. You can redeem them at a rate of 2% for airline credit or 1.5% for cash back. It comes with a $100 annual travel credit and no foreign transaction fee. The Luxury Card VIP Travel Program is another perk. It gives you upgrades, complimentary food and beverages, car rental, and spa credits. It has a $495 annual fee.

Bottom Line on the Best Credit Cards for TSA PreCheck and Global Entry

For travelers, having the correct cards can result in huge savings year after year. So Global Entry and TSA PreCheck service reimbursement alone can save you hundreds of dollars. We invite you to compare the various cards we laid out for you above side by side. This will help you match the best card for your preferences to maximize your savings. Safe travels!

CreditFast has reviewed the best travel credit cards on the market. Some of the credit card offers are from our advertising partners. CreditFast has objectively reviewed the features and benefits of each travel credit card. We have chosen travel credit card offers based on our editor’s recommendations.

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Deserve Edu Mastercard – International Students

International students apply for the Deserve Edu Mastercard

Deserve Edu Mastercard Review

Building your credit and learning to manage your finances early is essential. The Deserve EDU card can help with both these goals. As a credit card for international students, the Deserve EDU Mastercard comes with several unique perks. So we’ll outline all of them for you below. This way, you can decide if the Deserve EDU credit card is a good choice for your situation or not.

Deserve Edu

Deserve EDU Mastercard Pros

1. The Deserve Edu Card Helps Build Credit

This Mastercard comes specifically designed for students. This means that it has requirements suited for students for the approval process. When you start making payments, you build your credit. As long as you don’t miss any, it lays the foundation for a solid credit score. Lenders will look favorably on this, and it makes them open for offering other credit lines.

2. No Annual Fee

Since you’re just learning how to use a credit card, you may not use it as much. The Deserve EDU Mastercard doesn’t come with an annual fee. This is great news for anyone who uses it. You can use it as much or as little as you need without trying to justify paying a fee. It also lets you keep all of the rewards you earn throughout the year.

3. No Co-Signer or Deposit

Many credit cards for young applicants require a deposit or co-signer for approval. Most college kids don’t have much money so that a deposit would be out of the question. You don’t have to worry about this with the Deserve EDU Mastercard. You can apply on your own for this student credit card, and you don’t need additional money to secure it.

4. Scholarship Opportunity for International Students

If you’re an international student with this card, there are scholarship opportunities. There will be 10 scholarships for $10,000 each with the Deserve International Student Scholarship. For many people, this could help get through at least two semesters, or it could cover room and board. It’s very quick and easy to apply for them too.

5. No Social Security Number Required

Many international students don’t have a credit history or social security number. This stops them from getting virtually any type of credit card. However, the Deserve EDU Mastercard is different. It doesn’t use a traditional route to check your creditworthiness. It uses your major, U.S. bank account balance, student visa, and how easy it will be for you to find a job. So if you pass that check, they’ll extend a line of credit. This helps you avoid being rejected for a student credit card.

6. No Foreign Transaction Fee

If you want to go home for a vacation, you can use your card abroad. There is no foreign transaction fee with this card. It makes sense since Mastercard designed it for international students. You can use it at virtually any ATM or non-US bank in the world without additional fees.

7. Roadside Assistance

Cardholders get roadside assistance when they get this card. Roadside assistance protects you if your car should break down. A tow will come to get your car and give you a ride. They do this without charging you money for it. For most cards, it also includes flat tires, battery services, lockouts, fuel delivery, and extrication. You can call 24 hours a day.

8. Price Protection

You should make your expensive purchases on the Deserve EDU Mastercard. If you do, it entitles you to price protection. If the cardholder finds the item for a lower price, they’ll refund you the difference. This is great if you have to buy a tablet or a computer for your school.

9. ID Theft Protection

If you lose your card or someone steals it, Mastercard will protect you. If someone steals your ID, any charges won’t be your responsibility. Mastercard will close out your card and reissue it. They’ll wipe out any charges that aren’t yours to protect your money. Since ID theft is so common, this is an extremely important feature to have on any card.

10. Deserve Edu Credit Card Waiver for the First Late Payment

If you miss a payment or forget to pay it, Mastercard will forgive it. This can protect your payment history. Even a single late payment can result in damage to your credit score. However, they won’t forgive more than one payment. If you can, put your card on automatic payments. This way, you’ll never have to worry about missing another one.

11. Deserve Edu Card Rewards

This card is a rewards card, and this is rare for a beginner credit card. You’ll earn 3% back on entertainment and travel. There’s 2% cash back at restaurants, and 1% back on everything else. Once you get $25 in rewards, it turns into a statement credit. This can help you pay the bill.

Deserve EDU Mastercard Cons

1. The Deserve Edu Credit Card is Only for Students

If you can’t produce of enrollment in a college or college program, you can’t get this card. The Deserve EDU Mastercard requires you to provide your school when you apply for it. This shuts out a huge amount of potential applicants. Fortunately, the Deserve Pro Mastercard® is an option for those who not students.

2. High APR

You’ll pay a 20.49% APR each month you carry a balance. This can quickly add a decent amount of money to your balance. It’s also a way to get deeper into debt if you’re not careful. The APR is also variable. This means that it can change over time. However, this is usually very gradual and slow.

3. Deserve Edu Credit Card Credit Limit

The Deserve EDU Mastercard has a credit limit that tops out at $5,000. While this isn’t terrible, it’s something to consider. If you only want to use 33% at the most, you can’t go over $1,650. In an emergency, this wouldn’t be difficult to blow past this amount.

Bottom Line on the Deserve Edu Card for International Students

Finally, for international students, the Deserve EDU Mastercard is a solid option. Vendors around the world accept it, and it has a host of perks associated with it. It’s worth a look, even if you only use it in an emergency.

CreditFast has reviewed the best student credit cards on the market. Some of the credit card offers are from our advertising partners. CreditFast has objectively reviewed the features and benefits of each college credit card. We have chosen student credit card offers based on our editor’s recommendations.

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Credit Card Application Denied – 10 Reasons

Credit card application denied!

Credit Card Application Denied – Why Did I Get Denied a Credit Card?

Have you ever applied for a credit card and got a denial? If you have, you’re not alone. There are literally thousands of people who have had their credit card application denied. Whether it was a denied credit card too many inquiries or something else, it can be discouraging. There are other factors that can result in your credit card application denied, and we’ll outline them for you below.

1. Thin Credit History

Lenders look at your credit history to see how reliable you are with your finances. They like to see a mix of accounts with a long history of on-time payments. If you don’t have a limited credit history, they’re hesitant to lend to you. Also, they see you as a riskier client that has a high probability of not paying them back.

2. Credit Balances Are Too High

Ideally, you only want to utilize 33% of your credit card’s limits at the most. If your balances go beyond this amount, it’s a red flag to lenders. You may be living beyond your means. You could easily end up with your credit card application denied. So the best thing to do is to pay down your balances. Work to keep your credit utilization below 33% across all of your cards.

3. Unemployed or Low Income

Your income can also play a significant role in your acceptance or denial when you apply for a new credit card. Lenders have to see that you have the income required to make your payment each month. Unemployed or low-income people may have trouble paying on time. Some lenders may even ask for proof of income before they accept your application for a credit card.

4. Denied Credit Card Too Many Inquiries

When you apply for a credit card or loan, an inquiry goes on your credit report. They can stay on your credit report for two years. They only lower your score a few points. However, denied credit card too many inquiries is very common. If lenders see a sudden cluster of inquiries, it’ll make them worried. They’ll wonder what’s happening right now that is so urgent. Minimizing your inquiries is the best way to avoid getting your credit card application denied.

5. Too Many Credit Cards

While it’s good to have a mix of accounts, too many credit cards isn’t good. Each credit card issuer has a different amount of credit cards they’ll accept. If you fall over their limit, they’ll deny your request. Having a lot of credit cards is another red flag that you’re living beyond your means. It also increases your chances of missing payments or forgetting them entirely.

6. Missed Payments

Your payment history makes up the bulk of your credit score. Even one late payment can cause your score to drop significantly. Credit lenders take your payment history into careful consideration when they approve or deny credit. Ideally, they like to see no or very few missed payments. If you have them, concentrate on not missing any going forward and build your payment history.

7. Recent Public Record or Collections

If an account sits in collections long enough, it’ll eventually become a public record. They hurt your score less over time. However, they can drop your score when they first appear on your credit report. These are serious delinquencies that ward off credit card lenders. It can result in your credit card application denied because the lender doesn’t think you have enough money for your debts. Paying these off can help. You can also negotiate to remove them from your credit file.

8. Errors on Your Credit Report

Errors on credit reports are extremely common. This is especially true if you’ve never checked it. Errors can drop your score and ruin your chances of getting a credit card. If you see errors, dispute them with the credit bureaus. They’ll do an investigation. If they are errors, they’ll remove them from your credit report. This can boost your score. It also cleans up your credit history. In turn, lenders will be more willing to work with you.

9. Charge-Offs on Your Credit Report

A charge-off is a huge issue for lenders. It’s a credit card balance that you didn’t pay for at least six months. If you didn’t pay another card, there’s no proof you’d pay this one. New credit card companies will hesitate to extend you a line of credit. You can try to negotiate to pay it off for removing it from your credit report. However, most will leave it on but update that you paid in full.

10. Recent Delinquency

Maybe you have a solid payment history, but you recently missed a payment. A popular reason for your credit card application denied is due to having recent delinquency. Even if you made your next payment on time, lenders would look at it. They may wonder if you’re slowly losing the ability to pay your debts. You should wait a few months, pay everything on time, and try again.

How to Improve Your Credit Score

If you got your credit card application denied, improve it before you apply again. There are a few ways you can do this, and they include:

  • Authorized User – You can become an authorized user on a family or friend’s account. You’ll get the positive parts of their payment history. Basically, you’ll get your friend or family member’s line of credit. However, they’ll be responsible for the bill if you don’t pay for it.
  • Don’t Miss Payments – Put everything on auto-pay if you can. This will ensure that you don’t miss any more payments. In turn, it helps you build a strong payment history.
  • Pay Down Debt – Start paying down your debt. This will look good to lenders. It’ll also improve your debt-to-income ratio. They’ll be more willing to extend you a line of credit.

Bottom Line – Credit Card Application Denied

A credit card denial can be discouraging. However, there are things you can do to fix your credit before you apply again. Finally, take a look and see why they denied your application. You’ll get a starting point to fix your credit and get the next card you apply for.

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Deserve Pro Mastercard Review and Benefits

What is Deserve Pro Mastercard and the benefits of the Deserve Pro credit card?

What are the Deserve Pro Mastercard benefits?

Are you considering adding a solid rewards card to your wallet? If so, have you heard about the Deserve Pro MasterCard? If not, this could be a solid option for you to try. We’re going to round up the biggest pros and cons of the Deserve Pro credit card. This way, you can decide if this card is a viable option for you.


Deserve Pro

Deserve Pro MasterCard Benefits

1. Generous Welcome Offer

To get the welcome offer with this rewards card, you have to spend $1,000 in the first three months. This totals out to $333 per month. Most people spend this amount in the grocery store! So if you spend this amount, you’ll earn a full year of Priority Pass from MasterCard. You can use your Priority Pass to gain access to thousands of airport lounges around the world. For people who travel a lot, this is an excellent bonus.

2. Strong Rewards

You’ll earn rewards in multiple categories when you use the Deserve Pro credit card. First, you earn 3% back on all travel and entertainment purchases. You get 2% back on all dining up to $500 per billing cycle. Everything else is 1% back, including any dining purchases over $500. However, this resets each billing cycle. So, you have a lot of reward potential.

3. No Annual Fee

Unlike many rewards cards, the Deserve Pro MasterCard has no annual fee attached to it. If you don’t use the card a lot, you won’t have to justify an additional cost. For cardholders who use it a lot, you’ll get to keep all of your rewards. This allows you to get the most out of every purchase and reward point you earn. So it works out for everyone, no matter your spending style.

4. No Foreign Transaction Fee

Since this card offers Priority Pass, it makes sense that it doesn’t have a foreign transaction fee. You’ll be able to travel anywhere in the world and use your card. It works through non-US banks, and you won’t pay extra for it. So this is great news for travelers who don’t want to carry a lot of cards with them. You can carry this one and use it anywhere.

5. Wide Acceptance

Along with Visa, MasterCard is the most widely accepted credit card lender available. This is especially important when you travel. Almost all vendors accept this type of credit card. Again, this reduces the number of cards you have to bring with you. It also makes it easy to buy everything you need, anywhere in the world.

6. Rewards Never Expire

As long as your account is in good standing, the Deserve Pro MasterCard will let you stack rewards. They never expire. This is for people who don’t use their credit cards as much and are looking for a low usage credit card. They can slowly accumulate points. So if you have something big coming up, stacking your rewards for a few months can be very helpful.

7. Cellphone Protection

If you pay your cellphone bill with this card, it’ll give you extended protection. This protection works against damage or lost or stolen phones. It’ll also cover one problem with your cellphone every year. If you sign up for Mint Mobile with the card, you’ll get a $45 statement credit. This is good for unlimited talk and text.

8. Rebate for Lemonade Insurance

Lemonade is renters and property insurance. They’ll give you a rebate if you pay three consecutive months with your card. When you do, you’ll get a $10 statement credit. Since Lemonade starts at just $10 to $15 per month, it’s like getting a deeply discounted or free month.

9. Feather Furniture Rental Rebate

If you have a Feather Furniture Rental company around you, the Deserve Pro MasterCard can get you a rebate. All you have to do is rent furniture using your card. When you checkout, use the code DESERVE100. This code will give you $100 off your first month’s rental price.

10. Extended Warranties

Buying products with this card gives you access to extended warranties. Typically, it’ll add an additional year of protection to your electronic devices. The original warranty has to be under three or five years, though. If it’s not, you won’t get an extended warranty.

11. MasterCard Platinum Benefits

MasterCard Platinum benefits include a host of perks. First, you get zero-fraud liability. You get emergency assistance almost everywhere you go. Also, it gives you early access to tickets for events, shows, and dining experiences. Hotel deals, travel deals, rental car assistance, and booking destination limos are benefits you can claim.

Deserve Pro MasterCard Drawbacks

1. Credit Score

This is a reward credit card, so it has higher credit score requirements. So this blocks out a lot of potential cardholders. You’ll need a credit score right below or at 700 to qualify. The closer your score is to 700, the higher your APR will be. Ideally, your credit score will be well beyond this point. They look for established credit. Deserve offers the Deserve® Edu Mastercard for students who are new to credit.

2. High APR

Again, a higher APR isn’t a surprise since this is a rewards card. However, the APR ranges between 17.74% and 24.74%. It’s also variable, and this means it can fluctuate. If you start with a lower APR, it can rise quickly. For anyone who carries balances, this can be problematic. It can quickly add a lot of additional money to your monthly balance until you pay it off.

3. No Balance Transfers With the Deserve Pro Credit Card

The Deserve Pro MasterCard doesn’t allow you to transfer balances to it. However, since the APR starts the first month, you have the card, this isn’t necessarily bad. You do want to avoid this card if you wish to transfer balances and pay them down, though.

Deserve Pro

Bottom Line on the Deserve Pro MasterCard

Annual Fee: $0
Credit Recommended: Fair/Good/Excellent
Regular APR: 17.74%-24.74% Variable
Foreign Trans Fee: $0
Late Payment Fee: Up to $25, First Late Fee Waived
Return Check Fee: Up to $37

Is the Deserve Pro MasterCard a good choice for you?

As you can see, the Deserve Pro Credit Card has a host of benefits with a few drawbacks. So it does largely hinge on your credit score and your habits. For people who travel, it can be a solid choice. For people who don’t spend a lot in the set categories, looking elsewhere is a good idea. Finally, you’ll mostly earn 1% in rewards, and this takes a while to stack up. Overall, this is a solid card you should take a look at.

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New Walmart Credit Card and Walmart MasterCard

The new Walmart credit card issued by Capital One is also available as the Walmart MasterCard.

New Walmart Credit Card and Walmart MasterCard Issued by Capital One

The new Walmart credit card from Capital One is catching attention with consumers everywhere. These two have teamed up to help make your shopping experience more rewarding, especially for people who shop often. But, how does the Walmart MasterCard compare to the Target REDcard? If you shop at both stores, you’ll want to know which is best. We’ll break down the new Walmart credit card below before giving you a quick comparison.

New Walmart Credit Card Pros

1. Excellent Rewards with the New Walmart Cards

The Walmart MasterCard has enticing cash back rewards for cardholders. To start, you get 2% back on travel and dining with 1% everywhere else. However, when you shop at Walmart.com, you get 5% back on purchases, including groceries. You also get 5% back using Walmart Pay for in-store purchases for a full year. Once the year ends, this drops to 2% back.

2. Flexible Redemption on Rewards

Once you start earning rewards with the Capital One new Walmart credit card, you can redeem them a few ways. Choose statement credits, gift cards, travel, or savings at the online checkout on all Walmart purchases. Whatever you choose, you’ll reap the benefits of the higher rewards rate for at least a year.

3. Easy Application

The application process for this card is very straightforward. You can apply right at the register, or through any mobile device. All you have to do is text from anywhere to start the application process. You’ll get an approval or denial in a matter of minutes. If they approve you, you can verify your identity and use the card straight away.

4. Security Features from Both Walmart and Capital One

The new Walmart credit card takes identity theft and fraud seriously. You can set up a host of security features straight from the Walmart or Capital One app. They include instant purchase notifications, security alerts, and 0% fraud liability. You can also lock or unlock your card from the app if you should misplace it. All of these things combine to create a secure card.

5. Introductory Offer

We touched on the introductory offer earlier. However, it gives you 5% back on purchases for the first 12 months. This period is when you want to get your bigger items from Walmart because you get bigger rewards. At the end of the introductory offer, your amount falls to 2% back. While this is still good, it’s nowhere near the 5% back you get for 12 months.

6. Fully Digital

Walmart and Capital One have worked hard to offer cardholders a fully digital experience. They give them all of the tools they need to manage everything from their phones. You can monitor your card, check your purchases, and much more. Also, the app features a heavy layer of encryption that helps to protect your identity if you ever lose or phone. This gives you greater peace of mind.

7. Rewards Portal

Every person who has the new Walmart credit card gets access to their own rewards portal. This portal is where you choose how you’d like to redeem your rewards. You can stack them for a year before they expire. So, if you want to help with the cost of an expensive item, save. You can then redeem them at checkout as long as you shop online.

New Walmart Credit Card Cons

1. Short Introductory Reward Rate

The 5% back that draws people is only temporary. You get 5% back on your purchases for 12 months from the date you open the card. Once the 12 months pass, this rewards rate drops. This makes this card still useful, but not as useful when it has a higher rate.

2. Credit Score

Walmart and Capital One are keeping the exact score range required for this card under wraps. However, they did say that you need excellent to exceptional rates. If this is the case, it shuts out a lot of potential cardholders. If you apply, they’ll deny you for the card. This can drop your credit score. They set up their requirements like this because they want assurance that they’ll get their money.

3. High-Interest Rate

The new Walmart credit card comes with a higher interest rate. The Walmart MasterCard has interest rates between 17.99% are 26.99%. The store-only credit card has an interest rate of 26.99%. If you carry a balance from month to month, this can stack up. You can quickly get into debt that you have trouble getting out of.

Comparing the New Capital One Walmart Credit Card to the Target REDcard

The Target REDcard is the direct competition to the new Capital One Walmart credit card. As such, it’s important to see how they stack up. You want to make sure you have the one that is going to serve you best.

Rewards

One of the biggest differences between these two cards is the rewards. Both do have a 5% cash back option, but they differ after that. The Target REDcard allows you to earn 5% when you shop in-store and online for as long as you have the card. Walmart’s card gives you 5% for the first year before dropping back to 2%.

Branded

Both of these cards are branded credit cards. This means that you can only use them at the specific stores, or Target and Walmart. You can use both of them online and in the physical stores without a problem. You can’t use either card anywhere else because it isn’t valid.

APR

The Walmart MasterCard’s APR is 17.99% to 26.99% with the reward card having a flat 26.99% APR. The Target REDcard comes with a 25.15% variable APR. Depending on the card you get, you could end up paying more in interest fees with the Walmart card. If you don’t carry a balance, this won’t be a big deal either way.

Introductory Offers

The new Walmart credit card is the clear winning in the introductory offer category. You get 5% back for the first 12 months as an introductory offer. The Target REDcard will give you $40 after you spend $100 in the first three months. This isn’t much, especially when you stack the cards side by side.

Apply Now or Learn More About the New Walmart Cards
Capital One® Walmart Rewards™ Card

Final Thoughts on the New Capital One Walmart Rewards Card and Walmart MasterCard

When it comes to longevity, the Target REDcard wins against the new Walmart credit card with a Capital One partnership. However, the sheer options you get for going digital lean toward Walmart’s card. We believe that Walmart’s new card can compete with Target’s REDcard. Finally, Walmart has reported that Walmart credit reward benefits will continue to evolve with time. However, you have to decide whether or not the benefits outweigh the costs.

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Bank of America Premium Rewards Credit Card Review

The Bank of America Premium Rewards Visa is perfect for travelers.

Bank of America Premium Rewards Credit Card Review

Do you like to travel? If so, you can rack up rewards with the Bank of America Premium Rewards credit card. This travel-based credit card comes with a host of perks and a few drawbacks attached to it. You want to know them both before you decide if this card is a good choice for you. We’ll outline them all next.

Bank of America Premium Rewards Credit Card Benefits

1. Large Bonus for Signing Up

This travel rewards card offers members a larger card bonus for signing up than other cards. You get 90 days to spend $3,000. This is just $1,000 a month, and it’s very doable if you travel. Spend this amount, and you’ll earn 50,000 bonus points. So these points equal out to a reward of $500. This amount is on the higher end for any reward card, especially the travel card category.

2. Decent Reward Potential

If you use this card regularly, you’ll have the potential to earn decent rewards. You earn two points for every dollar you spend on dining and travel. All other purchases you make with the Bank of America cards earns you 1.5 points per dollar. Even if you don’t use this card for large purchases, you can still earn and redeem your rewards. There is no cap on the number of points you can earn. Additionally, they don’t expire for as long as your account is in good standing.

3. No Blackout Dates

The Bank of America Premium Rewards credit card makes it extremely easy to travel any day of the year. Blackout dates can restrict your flight plans, but they’re a thing of the past with this card. You’ll have zero blackout dates per year. This means you can book a flight when you want without having to shuffle things around.

4. Flexible Redemption Options

The Bank of America travel card offers members other important perks. You can use your points for travel discounts and flights. However, you can also redeem them for cash, statement credits, gift cards, and merchandise. You can switch up how you choose to redeem every time too! So this makes it a flexible and convenient option for people who need different types of rewards.

5. Preferred Awards Member

The Bank of American rewards members who use their card and spend a lot throughout the year. Once you reach this level, your point bonuses increase. You’ll get between 25% to 75% more points on every single purchase you make. In turn, you can stack your rewards even quicker.

6. Credits

Once a year, the Bank of America will reward cardholders with a $100 credit for travel incidentals. You’ll also get close to $100 in expedited screening statement credits. These come from just having the card in good standing, and you get these credits every year. This helps to offset the card’s annual fee. You can use these credits however you’d like when you travel.

7. No Foreign Transaction Fee

As a travel card, you don’t want foreign transaction fees. You’ll pay none when you use the Bank of America Premium travel card. This is great news for people who plan to use their card while they’re out and about. You won’t have to factor in an extra fee every time you run your card through a non-U.S. bank.

8. Luxury Travel Perks

Cardholders get automatic access to the Visa Signature Luxury Hotel Collection. This perk gives you both travel insurance and a host of other benefits. They include free upgrades, best rate guarantee, complimentary breakfast and WiFi, VIP guest status, and more. So you’ll get these perks every time you use this card to book your travel.

9. Wide Acceptance

The Bank of America Premium Rewards Card is a Visa card. Visa and MasterCard are two of the most widely accepted credit lenders in the world. You won’t have to worry about carrying several cards because most vendors accept them. This is especially nice when you travel to more remote locations because there’s a reduced chance of losing it.

10. Extended Warranty

Have you ever made a big-ticket purchase and wanted a longer warranty? If you make it with Bank of America’s card, you can get one. They’ll add a full year onto your product’s existing warranty. This gives you greater peace of mind when it comes to buying the more expensive items.

Bank of America Premium Rewards Credit Card Cons

1. Annual Fee

As a rewards card, you shouldn’t be surprised to see an annual fee. You’ll pay $95 every year you have the card open and in good standing. While this isn’t terrible, it’s hard to justify for light users. However, the lower annual fee makes it easy to balance it out with rewards.

2. Credit Requirements

You need excellent credit to apply for this card. That means that it shuts out a lot of people. Your APR will also depend on your credit at the time you apply, and it ranges between 17.99% and 24.99%. If you don’t have good enough credit, the lender will deny you and drop your credit score a few points.

3. Can’t Transfer Points

The Bank of America Premium Rewards card doesn’t allow you to transfer points between airline and hotel partners. You can use it for one or the other when you travel. This can make it hard to take advantage of the best rates and point opportunities. However, you can still earn if you plan your trips out.

4. No Priority Pass

If you want a card to give you lounge access in airports, this one isn’t it. There is no Priority Pass associated with this card. You’ll have to stay in the main lounges when you book your flights with this travel card. This isn’t a deal-breaker, but it can be inconvenient for some travelers.

Bottom Line on the Bank of America Premium Rewards Credit Card

The Bank of America Premium Rewards Visa credit card is a solid option for people who travel. You get a host of benefits with relatively minor setbacks. As long as you use your card in a smart manner, you can benefit from it. So take a look and see if it’ll work for you with your travel itinerary.

CreditFast has reviewed the best travel credit cards on the market. Some of the credit card offers are from our advertising partners. CreditFast has objectively reviewed the features and benefits of each travel credit card. We have chosen travel credit card offers based on our editor’s recommendations.

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PenFed Power Cash Rewards Visa Signature Card

The PenFed Power Cash Rewards Visa Signature Card is ideal for military families.

PenFed Power Cash Rewards Visa Signature Card

The PenFed Power Cash Rewards Visa Signature Card is a solid card for military service members. This design makes the PenFed credit card unique. If you’re a military member looking for a solid card, this one is for you. We’ll outline the perks and drawbacks that come with using this card. This way, you can see if the Power Cash Visa is a good option for your lifestyle or not.

PenFed Power Cash Rewards Visa Signature Card Pros

1. PenFed HonorsAdvantage Program

We did tell you that this card is for military service members. If you are or were, you get automatic admittance into the PenFed HonorsAdvantage Program. This program gives you unlimited 2% cashback on every purchase you make. So there are no rotating categories, and there is no cap. Everyone else gets 1.5% cashback in rewards. Non-military can get the 2% cashback by having a PenFed Access America checking account in good standing. It’s that easy!

2. Bonus for Signing Up

The PenFed Power Cash Rewards Visa Signature Card doesn’t have an amazing bonus for signing up. But, the signup bonus is relatively easy to get if you use the card every month. So you’ll get a $100 bonus by spending $1,500 in the first three months. That’s just spending $500 per month and paying it off. Many people spend more than that on groceries alone!

3. Flexible Rewards Redemption

Unlike some rewards cards, the PenFed credit cards come with relatively flexible rewards. You can redeem any amount of rewards for cashback. For people who don’t use their card a lot, this is a fantastic deal. You’ll still be able to get your rewards with minimal use. If you want to maintain your credit by using the card rarely, this works wonderfully.

4. Power Cash Visa Has No Annual Fee

Most rewards cards have a steep annual fee attached. However, the PenFed Power Cash Rewards Visa Signature card is different. This card has no annual fee with it. In turn, any rewards you earn when you use it are pure profit. You can use your card as little or as much as you like without a problem. For many people, this will be a huge selling point with this card. They want rewards without having a large annual fee, and this card delivers.

5. No Foreign Transaction Fee

Another nod to the military does not have a foreign transaction fee. Since members of the military get deployed all over the world, they need a card that travels with them. You can use this card worldwide without paying a foreign transaction fee. Since this can quickly get expensive, this is a very important consideration for people who card shop. Use it both U.S. and non-US banks without a problem.

6. Wide Acceptance

The PenFed credit card is a Visa-branded card. Since MasterCard and Visa are the two biggest lenders, they have wide acceptance. Also, you’ll be able to use your card anywhere vendors accept Visa, and this is usually worldwide. The large acceptance rate eliminates the need to carry multiple cards every time you go out. This gives you a greater peace of mind as well.

7. PenFed Credit Card Mobile App

The PenFed Power Cash Rewards Visa Signature card comes with a user-friendly mobile app. It’s available for both Android and iOS. So you’ll be able to log in, check your balance, check your transactions, and more. It’s encrypted, and this is an important security feature to help protect your identity. No matter how much you use the card, this is an extremely important feature.

8. Concierge Service

Traveling can be a hassle and stressful, and concierge service can help. With this card, you’ll get 24/7 complimentary concierge service. They can help book your flights, arrange transportation, and book hotels. So no matter if you want to travel a state over or internationally, this service can help. They’ll work to ensure you get a smooth journey from start to finish. It’s available for solo travel or travel with your family and friends.

9. Digital Wallet

If you have a digital wallet set up, you can add the Power Cash Visa to it. This eliminates the need for you to carry a physical card in most instances. It’s also more secure because it’s difficult for people to steal it. If you don’t have a digital wallet, you can set one up and add it. This is a completely optional feature, and you don’t have to use it.

A popular penfed credit card for military families is the Power Cash Visa.

PenFed Power Cash Rewards Visa Signature Card Cons

1. Can Be Difficult for Non-Military

While you can get this card without being military, it can be difficult. There are a few avenues you can take. First, you can join the PenFed credit union. This bank is open to current and former members of the U.S. military and armed forces. You can get an account if you’re a relative of a military member. You can also get it if you an employee of the government. Finally, joining the Voices for America’s Troops or the National Military Family Organization will qualify you. Otherwise, you’re not able to get one. In turn, you can’t get this card.

2. Flat Rate

Do you spend more in a specific category like gas or groceries? If so, you’ll get a flat rewards rate. You could probably make more in rewards with a tiered rewards program like with the American Express Blue Cards. The PenFed Power Cash Rewards Visa Signature card does have a solids rewards program. However, other rewards cards have higher rewards rates that let you rake in the rewards faster.

3. Power Cash Visa Rewards Expire

Once you get your rewards, you have five years to spend them. While this is generous, it can be difficult to track. Once you hit the five-year mark, any rewards you may have sitting in your account vanish. If you were stockpiling for a large purchase, this could be difficult to lose. The best bet is to redeem your rewards at least once a year, so you don’t forget and lose them.

4. Power Cash Visa APR

The APR ranges from 11.74% to 17.99%. While this isn’t terrible for a rewards card, it can add up if you carry balances. The APR you get comes based on your credit at the time you apply for the card. The APR is also variable. For your best bet, pay off your balance each month to avoid the interest rate. Otherwise, you can find yourself sliding into debt.

5. PenFed Credit Card Balance Transfer Fee

You’ll pay a 3% fee on every balance transfer you perform with this card. Again, this isn’t terrible. However, the PenFed credit card will also charge you deferred interest if you miss payments. If you have a higher-end interest rate, this could be hundreds of dollars in fees. You also only have 12 months with no interest.

Bottom Line on the PenFed Power Cash Rewards Visa Signature Card

Finally, the PenFed Power Cash Rewards Visa Signature Card is a decent choice for current or former military members and their families. For them, applying for a PenFed credit card is an easy application process. Apply or learn more about this PenFed cash back Visa card. You do need great credit to apply for the Power Cash Visa, but you’ll earn rewards for doing so. All in all, it’s worth a look if you’re considering adding a new card to your arsenal.

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Reflex Mastercard® Review Pros and Cons

Learn more about the Reflex MasterCard online application.

Reflex Mastercard® Review

Continental Finance released the Reflex Mastercard® for people who have poor credit. It has two versions that you can get depending on how poor your credit is. So if you’re just starting your credit building journey, this is for you. We’ll go over the pros and cons of this card below. In turn, you’ll be able to see whether or not it’s a viable option for your lifestyle.

Reflex Mastercard® Pros

1. Two Versions

The Reflex Mastercard® comes with two versions. You can get either the secured or unsecured version of this card. If you get the secured version, you’ll pay a security deposit. This deposit is then your line of credit. An unsecured card doesn’t need a direct deposit. You may be able to upgrade to the unsecured card as your credit improves.

2. Improves Creditworthiness

Having a card that reports to all three credit bureaus is critical. This card does just that once a month. You want to make your monthly payments on time each month. This will show lenders that you can make good decisions regarding your finances. Also, stay below 33% for credit utilization for an even more impressive impact. Ideally, you shouldn’t take out more than you can pay each month. This will help you avoid interest.

3. Higher Credit Limit

Your initial credit limit will stop at $500. However, this can jump up to $2,000 within 12 months of opening the Reflex Mastercard®. All you have to do is make every payment on time. If you do, the lender will review your card after 12 months. They’ll approve you for the higher credit line at this point. This is usually the point where people try for other cards, though.

4. Free Account Access

Reflex Mastercard® holders get free access to their accounts through a mobile app. So you can use this app to check your balance, make payments, and track your FICO score. It’s encrypted with additional security layers to safeguard your information. Additionally, it’s very user-friendly and easy to navigate. It offers a countdown to a higher credit limit too.

5. Fast Application

Unlike some credit cards with complicated applications, the Reflex Mastercard® is simple. Once you fill it out, you’ll get an answer within seconds. If you don’t have good enough credit for the unsecured card, they’ll offer you the secured one. The majority of applicants end up with the unsecured card though. You’ll get a more detailed explanation of why you didn’t get it if they deny you.

6. Wide Acceptance

MasterCard is one of the most widely accepted card brands in the world. There are hundreds of thousands of vendors that use it. This means that you don’t have to worry about carrying one or two cards with you when you shop. Most vendors accept MasterCard and Visa at the very least, and this is great news for you.

Reflex Mastercard® – Cons

1. Annual Fee

Unfortunately, the Reflex Mastercard® comes with a high annual fee. This card has an annual fee of $99. For a card with no rewards, this is a very steep annual fee. It’ll be hard to justify this card and make it balance out the annual fee.

2. Monthly Maintenance Fee

On top of the annual fee, you’ll pay a monthly maintenance fee. The monthly maintenance fee for this card ranges from $0 – $120.00 annually (billed at $0 – $10.00 per month). The monthly maintenance fee is not billed for the first 12 months your account is opened. When you combine this with the annual fee, you could pay up to $219 per year. This is on-par with excellent reward cards for miscellaneous fees without any of the perks the rewards card has.

3. High APR

A higher APR is expected with this card since the Reflex Mastercard® is for people with poor credit. Each month you carry a balance, you’ll pay 25.90% – 29.99%, based on your creditworthiness when you open your account. This APR will vary with the market based on the prime rate. This can add up very quickly and push you deeper into debt. The best way to avoid this is not to carry a balance in the first place. If you’re learning to build credit, this is a necessary step.

4. Foreign Transaction Fee

This card isn’t one you’d use when you travel if you can help it. You’ll pay a foreign transaction fee each time you run this card through a non-US bank. This includes ATMs, shopping, and online purchases. All of these fees will come in your monthly bill. You pay 3% of each transaction in U.S. dollars every time you swipe your card. So this can easily add up to hundreds of dollars in fees.

5. Credit Line Cap

No matter where you start, you can get a credit increase up to $2,000. However, this is where it stops. Your credit won’t go up any higher than this. If you only use 33% of it, you can only use $660. If you go over, your credit score can start to drop a few points. A few points can be huge when you’re working on building your credit.

6. No Rewards

This is a very basic card with no frills. There are no rewards whatsoever when you get this card. Aside from building your credit, it doesn’t offer you anything else. This makes it exceptionally hard to justify the high yearly fees you have to pay. Even if you use it each month, you’ll be out hundreds in annual fees and monthly maintenance fees.

7. Other Fees

This card comes riddled with other miscellaneous fees. For example, getting an alternate card costs you $30. Late payment fees are $28. If you fail to make a timely payment in any of the six billing cycles after the initial late payment, you will be charged $39 or the amount of the required minimum payment, whichever is less. There is either $5.00 or 5% of the amount of each cash advance, whichever is greater. So all of these little things keep adding up and pushing you deeper into debt.

Bottom Line – Should You Apply for the Reflex Mastercard®?

Unless you have no other options, we recommend you compare other credit building credit cards. Finally, it makes sense to consider going with a highly rated secured credit card. Not only will this be more forgiving if you carry a monthly balance, but it won’t have a high annual fee.

Reflex Mastercard®

Each credit card offer for bad credit contains our editor’s rating and objective opinion. Most of the credit card offers are from advertising partners. CreditFast has reviewed the features and benefits of each credit card.

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