Credit cards are among my favorite financial tools; however, they come with a bright side and one dark side. Suppose you properly make use of credit cards and pay on time. In that case, they can aid in building an impressive credit score, provide an extra layer of security between the transactions you make and the bank account you have, and earn you benefits like cash back and travel points.
The dark aspect of their business, in turn, is one that of us are acquainted with. The excessive use of credit cards can result in a pile of debt that grows higher as the interest rates increase. In the event of late or missed payments, they can affect your credit score and the consequences.
Suppose you’ve experienced an experience similar to the one above. In that case, You might be hesitant about re-entering that world of financial credit. It could be difficult to find credit cards that accept you despite a low credit score (or a bit of credit background). This is why secured credit cards such as those with the Self Visa credit card come into play.
This article will examine how secured cards function with specific information about this Self Visa credit card, those who could benefit from a card similar to this, its pros and cons, and how to apply for it.
How is work the Self Visa Credit Card work?
The Self Visa Credit Card is a secured credit card; therefore, let’s look at the details of these cards and what they are different from conventional cards.
Secured credit cards work similarly to debit cards because the credit line is secured by funds that you transfer into a linked account. Even though you are not a credit-worthy person and you’re not a risk to the lender, there’s still an avenue to collect their cash when you don’t make a payment. (But do not use this as a reason not to pay your bills, as this can result in the loss of credit benefits you receive! )
As opposed to debit cards, secured credit cards are reported to credit bureaus. This is why they’re an excellent tool for rebuilding your credit. When you use a secured card and make your payments punctually, you have the opportunity to show ethical credit use and improve your credit score with time.
Secured cards can be helpful if you’ve not previously had credit cards and you’re starting from scratch. They’re more attainable to qualify for and help you learn to use credit cards.
Opening a Self Visa Credit Card
To be eligible for the Self Visa secured credit card first, you must be a Self credit builder loan account member.
It’s similar to the credit card because it’s a personal loan that can help build credit. Still, the distinction is that you won’t get the loan amount until you’ve completed your payments. The loan account is applied for history and then makes the payments.
Similar to credit card secured, this one removes the risk for the lender while also allowing you to show the responsibility and consistency of the loan repayments.
Steps to obtaining the Self Visa Credit Card
- Go to this webpage to Self’s Self site.
- Apply for a Self Credit Builder Account.
- If they decide to approve the account, you’ll be required to make three monthly on-time payments and earn the savings goal of $100 to be eligible to apply for this card. Self Visa Credit Card.
- If you meet the eligibility criteria, you’ll receive an invitation to apply for a credit card.
- Credit Builder account. Follow the steps below to buy your credit card and select the credit limit you want to use. Your credit limit is up to the value of savings you have in the account.
Cardholder benefits
Certain credit cards offer extra benefits, such as cashback and travel rewards. While these cards are an excellent addition to your credit plan for the future, they are generally more challenging.
Credit cards that are secured, such as Self Visa and Self Visa, are like rungs on the credit score ladder that assist you in reaching the point that better cards are available.
This credit card has its primary benefit. When combined with credit builders like the Credit Building Loan, it is a practical, targeted method to improve your credit score. It is reported to the three main credit bureaus – Transunion, Equifax, and Experian, which can help you build credit.
Another benefit is that once you’ve confirmed that you’re qualified for the credit card, There’s no credit check or lengthy application procedure. So you’ll get approved immediately. You do not even need to create a new security deposit because the money will protect the card in your current Credit Builder account.
Additionally, even though the benefit doesn’t require a card, the Self Credit Builder Account is forced savings. When you make a payment on your loan, the cash is put into a certificate of Deposit (CD). You will receive the entire amount (minus charges) after the expiration of your period.
Suppose you’ve had a hard time saving previously. In that case, this could help you start an emergency fund or even money to begin investing in accounts.
Fees & costs
Since they require Self Credit Builder Account before obtaining the card, let’s look at both charges.
Self Credit Builder Account loan fees
- One-time, non-refundable administrative fee: $9
- Finance cost Between $89 and $146, based on the monthly loan commitment
- Yearly interest rates: between 14.14 percent and 14.87 percent, depending on the loan you choose
- Late charges amount to 5% of your monthly installment; that is, the amount is between $1.25 and $7.50 according to the terms of your loan.
The loan terms range from 12-24 months. You can repay them early; however, you might not wish to, as the goal of the loan will be to build a repayment record. Also, you’ll need to be prepared to cover an early withdrawal cost that is less than $5.
Self Visa Credit Card fees
- Annual fee: $25
- APR: 23.99% variable (meaning it can vary between months)
- Late fee: The initial price is no cost; the later payments are $15.
- There’s no need for a security deposit. Since this card is linked with credit in your Credit Builder account, your security deposit comes directly from the cash you’re saving in the statement.
In contrast to the credit card, you do not wish to keep an eternal account balance with your credit card. Make sure you pay your entire balance each month, not just the minimum amount.
For instance, if you make a purchase of $50 on your card in one month, you must be able to pay off the whole $50 when the statement is due. If you follow this procedure, you’ll be building your credit score and not have to pay charges for late fees or any interest.
Self Financial uses the following security measures:
- Your Credit Builder loan savings are put into an FDIC-insured CD. (See FDIC disclosures below)
- The information is secured. They also have backup security systems put in place.
Customer service
Do you have a concern or concern? Here’s how you can reach out to Self Financial customer service:
- Go to the page for contact, then select the appropriate category for your query.
- If the automatically generated answer does not answer your concern, click “I’d like to speak with the support team.”
- Please send us a message with your email address and phone number and a brief description of your issue, or click to join Live chat.
Pros and pros and Self Visa Credit Card
Here are a few quick tips for the Self Visa Credit Card review in the spirit of the lessons we’ve learned.
Pros
- If you have an existing Self-Credit Builder account, This card is easy to get and does not require deposit or credit checks.
- It’s reported to the three credit bureaus. So it could help you improve your credit when you pay your bills in time.
Cons
- If you don’t have a self-credit Builder account, then the procedure to obtain this card can be more challenging. You’ll need to open an account with a lender and keep it for a minimum of three months before being qualified to apply for the card.
- The card comes with an annual charge of $225, unlike other secured cards, free of yearly fees.
- There are no rewards that are unique to this card. It’s not unusual for a credit card that is secured. However, other options can give you cashback.
Who’s a suitable person to apply for The Self Visa Credit Card?
If you’re seeking an unsecured credit card, it is essential to look into the many options available. In the end, I’d suggest using the Self Visa Credit Card for those who fall in one of the categories below:
- You’re on a quest to repair your credit using several ways (secured credit card).
- You could be denied secured cards with more favorable conditions.
- You’re sure that you will be able to make your payments in time to stay clear of interest and fees for late payments.
