The Applied Bank Secured Visa® Card is a great option for individuals looking to build or rebuild their credit.
Since it is a secured credit card, it requires a security deposit that serves as collateral, which also determines your credit limit.
This makes it ideal for people with limited or poor credit history who may have difficulty qualifying for a traditional unsecured credit card.
Unlike many other secured credit cards, the Applied Bank Secured Visa® Card offers a fixed APR that is relatively low compared to similar cards.
Additionally, this card reports to all three major credit bureaus (Experian, Equifax, and TransUnion), which helps cardholders establish or improve their credit scores through responsible use.
Despite its benefits, this card does come with annual fees and other costs, making it important to consider whether the benefits outweigh the fees.
Let’s dive deeper into the details of this card.
Reasons to Choose the Applied Bank Secured Visa® Card
If you are considering applying for the Applied Bank Secured Visa® Card, here are some of the top reasons why it might be a good choice:
1. Helps Build or Rebuild Credit
One of the main reasons to get this card is to improve your credit score.
Since Applied Bank reports to all three major credit bureaus, making on-time payments can significantly boost your credit over time.
This is essential for those who want to qualify for better financial opportunities, such as lower-interest loans or unsecured credit cards in the future.
2. No Credit Check Required for Approval
Unlike many other secured credit cards, the Applied Bank Secured Visa® Card does not require a credit check.
This makes it a great option for individuals with bad credit or no credit history, as approval is based primarily on the ability to pay the required security deposit.
3. Fixed APR – No Variable Interest Rate Increases
One standout feature of this card is its fixed APR. While many credit cards have variable APRs that fluctuate with market conditions, the Applied Bank Secured Visa® Card offers a consistent APR of 9.99%.
This is significantly lower than most unsecured credit cards designed for people with bad credit, which often have interest rates above 25% or even 30%.
4. Customizable Credit Limit
The minimum security deposit for this card is $200, but you can deposit up to $1,000 initially.
Over time, you can increase your credit limit up to $5,000, giving you greater spending flexibility while still keeping the card secured.
5. Accepted Worldwide
Since this card is backed by Visa, it is accepted at millions of locations worldwide, including online purchases, restaurants, gas stations, and travel bookings.
6. No Minimum Credit Score Requirement
Unlike many unsecured cards, which require at least a fair or good credit score, this card is available to anyone who can meet the deposit requirement.
Negative Factors of the Applied Bank Secured Visa® Card
While the Applied Bank Secured Visa® Card offers many benefits, it also has some drawbacks that potential applicants should consider:
1. Annual Fee
One of the biggest downsides of this card is its annual fee of $48. While this fee is lower than some secured cards, it is still an extra cost that could be avoided by choosing a fee-free secured card.
2. No Rewards or Cash Back
Unlike some other secured credit cards, the Applied Bank Secured Visa® Card does not offer any rewards for spending.
If earning cash back or points is important to you, you may want to consider alternative credit cards.
3. No Credit Limit Increase Without Additional Deposits
With some secured credit cards, your credit limit may increase automatically after demonstrating responsible usage.
However, with this card, the only way to increase your credit limit is to deposit additional funds.
4. No Upgrade to an Unsecured Card
Many secured credit cards allow you to transition to an unsecured card after a certain period of responsible usage.
However, the Applied Bank Secured Visa® Card does not offer an upgrade path, meaning you will need to apply for a separate unsecured credit card when your credit improves.
What Are the Requirements to Apply for the Applied Bank Secured Visa® Card?
Applying for the Applied Bank Secured Visa® Card is relatively simple, but you must meet the following requirements:
- Be at least 18 years old (19 in some states).
- Provide a valid U.S. address (P.O. Boxes are not allowed).
- Have a valid Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN).
- Have a checking account to make the required security deposit.
- Be able to fund a minimum deposit of $200, which serves as your initial credit limit.
Fees and Costs
Before applying, it’s essential to be aware of the fees and costs associated with this card:
- Annual Fee: $48.
- APR for Purchases: 9.99% fixed APR.
- Balance Transfer Fee: Not applicable (this card does not allow balance transfers).
- Cash Advance Fee: 5% of the amount or $5 (whichever is greater).
- Foreign Transaction Fee: 3% per transaction.
- Late Payment Fee: Up to $38.
Frequently Asked Questions about the Applied Bank Secured Visa® Card
1. How Can I Increase My Credit Limit?
To increase your credit limit, you must deposit additional funds into your security account. The maximum limit for this card is $5,000.
2. Does This Card Require a Credit Check?
No, the Applied Bank Secured Visa® Card does not require a credit check, making it accessible to people with bad credit or no credit history.
3. Can I Upgrade to an Unsecured Credit Card?
No, this card does not offer an upgrade to an unsecured card. If you want an unsecured card, you will need to apply for a different credit card once your credit score improves.
4. How Long Does It Take to Receive the Card?
Once your security deposit is processed, you can expect to receive your card within 7 to 10 business days.
5. Will My Payments Be Reported to Credit Bureaus?
Yes, Applied Bank reports to all three major credit bureaus (Experian, Equifax, and TransUnion), which helps you build credit over time if you make on-time payments.
Conclusion
The Applied Bank Secured Visa® Card is a solid choice for individuals looking to build or rebuild their credit.
With no credit check required, a fixed APR of 9.99%, and reporting to all three major credit bureaus, it provides a pathway to improving your credit score.
However, the annual fee, lack of rewards, and inability to upgrade to an unsecured card may be disadvantages for some users.
If you need a simple secured card with predictable costs, this may be a great option.
But if you’re looking for a card that offers cash back, no fees, or an upgrade path, you might want to consider other alternatives.
Would you consider applying for this card? Let us know your thoughts!
