My favourite financial tool is credit cards, but they also have their dark sides. You can earn special rewards such as cashback or travel points if you use your credit cards correctly.
Their dark side is something that many people are well aware of. Credit card debt can grow exponentially if you spend too much, and late or missed payments can bring down your credit score.
You may be hesitant about getting back into credit if you have had such bad experiences. You may also have difficulty finding cards that will approve your low credit score or limited credit history. Secured credit cards such as the Self Visa card are available to help you.
This review will examine the pros and cons of secured cards, how they work, details about the Self Visa credit card, who can use it, how to apply, and the pros and cons.
What is the Self Visa Credit Card?
The Self Visa Credit Card can be used as a secured credit card. Let’s review their features and differences from other cards.
Secured credit cards work the same way as debit cards, except that you have to deposit money into a linked account to secure your credit line. Even if your credit score is not perfect, this means you aren’t a risk to your lender. They still have the option to make payments if you miss one. That doesn’t mean you should ignore any fees, and it will cancel your credit benefits.
Secured credit cards report directly to credit agencies, unlike debit cards. They are a great way to rebuild your credit. You can demonstrate responsible credit usage by using a secured loan and paying on time. Who will help you to raise your credit score?
Secured cards may be a good option if you don’t have credit cards and are just starting. These cards are easier to get and can help you become more comfortable with credit cards.
Open a Self Visa Credit Card
You must first have a Self-Credit Builder Loan Account to be eligible for a secured Self Visa credit card.
It’s similar to a credit card, but it’s a personal secured loan that helps you build credit. The loan account is opened, and you make the payments. However, you won’t get your loan amount until you have completed the costs. This system is similar to secured credit cards, and it eliminates the risk for the lender and allows you to show responsibility and consistency in your loan payments.
Steps to obtaining a Self Visa Credit Card
- Go to this page at the Self website.
- Register for a Self-Credit Builder Account.
- To be eligible for the Self Visa Credit Card, you will need to make three monthly payments once you are approved.
- Once you have met the eligibility requirements, you will receive a notification inviting you to apply for the card.
- Follow these steps to order your credit card. You can limit your credit limit as high as the savings you have in your Credit Builder account.
Many credit cards offer attractive benefits such as travel rewards or cashback. These cards are great for your credit strategy, but they can be challenging to get. Who can use secured credit cards such as the Self Visa to climb the credit ladder and help you get better cards?
This credit card has the primary benefit of reporting to all three major credit bureaus. It also helps you build credit. Who can combine it with the Credit Builder Loan to help you improve your credit score?
You’ll also get an additional perk when you are notified you are eligible for the card. There is no credit check, and you won’t have to go through a lengthy application process. Funds will protect your card from your Credit Builder account, so you don’t need to make any additional security deposits.
This benefit doesn’t apply to cards, but having a Self-Credit Builder Account acts as forced savings. After you have made your loan payments, the money goes into a Certificate Of Deposit (CD). You then receive all the money (minus any fees) at the end. Who can help you get started on an investment account or an emergency fund if you have struggled with saving in the past?
Fees and costs
Before you can apply for the card, you must have a Self-Credit Builder Account. Let’s take a look at the fees.
Self Credit Builder Loan fees
- $9 one-time administrative fee, non-refundable
- Finance Charge: Between $89 to $146, depending on the monthly loan agreement you choose
- Based on the loan you choose, annual interest rate: 14.14% to 14.87%
- Late fees: 5% of the number of your monthly payments. This means that your loan may have a range between $1.25 to $7.50.
Who can pay off the loans in 12-24 months. Who can pay off the loans at any time, but you might not want to. An early withdrawal fee, less than $5 will be assessed.
Self Visa Credit Card Fees
- The annual fee is $25
- APY: Variable at 23.99% (meaning that it can vary from month to month).
- Late fee: The initial one is waived; subsequent late fees are $15
- There is no additional security deposit. Who can link this card to your Credit Builder account so your security deposit is taken directly from your existing savings?
You do not want an ongoing credit card balance, unlike the loan. You must pay your entire balance each month and not the minimum. If you have $50 in credit card purchases, you must pay the full $50 at the end of the month. Who will help you build your credit score, and you won’t have to pay late fees or interest.
Self Financial employs the following security measures.
- Credit Builder loan savings are transferred to an FDIC insured CD. (Please see below for FDIC disclosures)
- To verify your identity, they ask for documents.
- They have emergency systems and encrypt your data.
Do you have a problem or question? Who is how you can reach Self Financial customer service.
- Visit Contact Page to select your question category.
- If you are not satisfied with the answer, please like “I’d love to contact support”.
- Please send us a message, including your email address and phone number. Or click here to chat live.
The pros and cons of the Self Visa Credit Card
Keep in mind all that we have learned thus far. Here are some quick takeaways from this Self Visa Credit Card Review.
- Who can obtain this card if you have a Self-Credit Builder Account? There are no credit checks and no additional deposits.
- It reports to all three credit agencies to help build credit as long you pay your bills on time.
- The process for getting this card will be more difficult if you don’t have a self credit-builder account. Before you can be eligible for the card, you will need to open a loan account. You must keep it open for at least three consecutive months.
- This card comes with an annual fee of $25. Other secured cards have no annual fees.
- There are no rewards. It is not uncommon for secured credit cards to offer cashback, however.
Who is a good candidate to apply for the Self Visa Credit Card
It is essential to research all options if you are looking for a secured card. The Self Visa Credit Card is my recommendation to those who fit into these categories.
- You are on a mission to rebuild your credit through multiple avenues (secured loans + secured credit cards).
- Secured cards may not be available with better terms.
- You are confident you will make all of your payments on schedule and avoid interest and late fees.
Let’s find the perfect stepping stone for better credit!