For those with less-than-stellar credit score that need a credit card, the Indigo ® Platinum Mastercard ® is one worth considering. Unlike several cards geared toward customers with negative credit rating, this card doesn’t require a down payment, but expect a reduced credit limit and few benefits.
|No security deposit required||Low credit limit|
|Approval possible with bad credit||Potential for a high annual fee|
|Get prequalified without a hard credit check||No rewards program|
You may also be on the hook for a steep annual cost with this card. Here’s everything you need to learn about the Indigo Credit Card before you use.
$75 – $99
- Less than perfect credit is okay
- No security deposit needed
- Account history is reported to the three major credit bureaus in the U.S.
- Simple and fast application process
- Fraud protection for stolen or lost cards
- Select your own style of card design at no extra charge
If you’re simply starting to build credit history or attempting to reconstruct an inadequate credit score (in the FICO ® Score ☉ range of 300 to 579), the Indigo ® Platinum Mastercard ® is one to consider. It doesn’t have any kind of bells and also whistles, but it likewise does not need a security deposit, which is what you’ll require if you apply for a secured charge card.
Also, the card reports your month-to-month repayments and balance to all three credit scores coverage companies (Experian, TransUnion and also Equifax), which can assist you establish an excellent credit report if you make use of the card properly.
Depending on your creditworthiness, you can pay a yearly fee as high as $99 with this card– a significant drawback taking into consideration there are a lot of credit cards for those with negative credit rating that don’t charge an annual fee at all. You’ll additionally have a low credit line, which can make it challenging to keep down your credit score usage price– the credit scores you’re making use of about your restrictions.
As you think about whether this card is right for you, right here are all the details you require to assist you make your choice.
Prequalify Before Applying
One advantage of the Indigo ® Platinum Mastercard ® is its prequalification tool, which permits you to determine your eligibility before you apply. Prequalifying doesn’t need a tough credit score questions, which can decrease your credit report by a couple of points. The soft debt check that occurs with prequalification will not impact your credit history whatsoever.
To prequalify, you’ll simply require to share your name, address, day of birth, Social Security number and call info. If you do not prequalify, the card’s issuer, Celtic Bank, may advise a card that you are prequalified for from a partner bank, such as the First Progression Platinum Elite Mastercard ® Guaranteed Bank Card.
Develop Credit scores Across All Your Credit report Reports
Among the primary reasons to take into consideration getting the Indigo ® Platinum Mastercard ® over an additional credit card is that your repayments will be reported to the 3 major credit scores bureaus every month. By paying all your bills on time and maintaining your balance well listed below your credit line, you can enhance your credit scores with this card.
Not all bank card for negative credit history do this– some report to only one or more credit report bureaus, as well as some may not report whatsoever.
Consider the Low Credit Line and also Possibly High Annual Cost
Relying on your credit rating, you might get one of three yearly charge frameworks: no annual charge in any way, an established charge of $59 per year, or a $75 yearly cost that jumps to $99 after the initial year. If you receive no annual cost, the card is on the same level with other top charge card for poor credit.
But if you’re paying $75 the very first year and $99 afterwards, or even $59 per year, it may be worth obtaining a safeguarded charge card rather– since you’ll usually a minimum of obtain your down payment cash back eventually with a safeguarded card.
The card’s credit line is just $300, and also there’s no chance to increase that. This implies you’ll need to be mindful about how you use your card. Your credit history utilization price– your equilibrium split by your credit line– is a major factor in your FICO ® Score, as well as the lower the rate, the better. Your credit report will certainly start to be hurt if your credit rating use remains above 30%, which means you’ll intend to carry an equilibrium listed below $90 on this card (ideally none whatsoever).
To stay clear of acquiring a high equilibrium, consider using the card moderately or making multiple settlements throughout the month. According to the card provider, it can use up to 2 week for your account to reflect a payment, so keep that in mind as you handle your usage.
Ultimately, expect to pay a high rates of interest if you carry a balance on this card. The ongoing interest rate is 24.90% taken care of, which is above average. So make it a goal to utilize the card only when you understand you can pay it off.
Don’t Expect Several Rewards
When it concerns card advantages, the Indigo ® Platinum Mastercard ® offers the bare minimum. You’ll get:
Mastercard ID burglary defense, which supplies access to identity burglary resolution resources if you come down with fraudulence.
A 15% discount rate on airport terminal meet-and-greet services through the Mastercard airport terminal concierge.
Mastercard global service, which supplies 24-hour support if your card is lost or taken, as well as emergency situation card substitute and also emergency cash loan.
You can manage your account online, but there’s no mobile app to make it simpler to maintain track when you’re on the go.
Acquisition APR: 24.90% fixedGrace duration: 25 days
Transfer APR: The card does not permit balance transfersAnnual charge: $0, $59, or $75 the first year after that $99 afterwards
Cash loan APR: 29.9% fixedBalance transfer cost: The card does not enable equilibrium transfers
Minimum interest cost: $0.50 Cash loan fee: None for the first year, then 5% of the advance quantity or $5, whichever is better
Foreign transaction charge: 1%.
Late settlement fee: Up to $40.
Returned repayment fee: Up to $40.
If you want to add a certified user to your Indigo ® Platinum Mastercard ® account, you can do so at on the house. The accredited customer will get a card with their name on it that’s connected to your account, as well as they can make purchases utilizing your credit limit. You’ll be responsible for settling the full equilibrium, including their purchases.
Is This Card Right For You?
The Indigo ® Platinum Mastercard ® can be a good fit if you’re servicing enhancing your credit rating and do not have the cash to cover a down payment. But unless you get approved for no yearly charge, it may deserve conserving up for a deposit and obtaining a card that doesn’t bill one or one that provides incentives.
But if you do qualify for a $0 annual fee with the Indigo ® Platinum Mastercard ®, and also make use of the card sparingly and also properly, it can be a fantastic device to aid you develop your credit history.