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Apache is functioning normally

May 9, 2023 by Brett Tams

From food and agriculture to outdoor recreation, Maine is jam-packed with industry. But all those employees need banking services. The state has everything from online banks to large, corporate lenders with branches in Maine.

If you’re interested in a community bank, you can find those as well. This list of the best banks in Maine is designed to help you find the most convenient lender for your financial needs.

12 Best Banks in Maine

There are a few things to consider when you’re choosing a new banking provider. Customers often need to find a bank that reduces fees while also offering high interest rates on balances. You may also want to look at a bank with competitive rates on personal loans or rewards for purchases. Here’s a list of the 12 best banks in Maine to help you narrow down your options.

1. Camden National Bank

With branches in Maine and New Hampshire, Camden National Bank offers great customer service and multiple checking account options. ATMs are limited to the Camden National Bank service area, but you’ll get up to $10 in out-of-network ATM fees each month. If you travel frequently, consider the Premier Checking account, which provides unlimited rebates for ATM use both in the U.S. and internationally.

Pros:

Rebates for non-Camden National Bank ATMs
Multiple checking account options, from fee-free to interest-earning
Variety of wealth management services available

Cons:

Branches and ATMs limited to New Hampshire and Maine
Low rates on savings

2. Chime

Chime is one of the many online banks that partners with a nationwide network for ATM access. You’ll be able to withdraw cash using your debit card at more than 60,000 locations nationwide. Checking accounts come with no fees or minimum balance requirements, and savings accounts offer 2.00% APY.

Pros:

Fee-free withdrawals at more than 60,000 ATMs
Secured credit card helps you build credit with no credit check
High rates on savings

Cons:

No in-person customer service
No cash deposit options

3. Bank of America

If you prefer national banks, why not go with one of the biggest? With more than 3,900 branches and 15,000 ATMs nationwide, Bank of America offers a level of convenience you won’t get with a local bank, especially if you travel outside the New England area. However, the rates on savings and interest-bearing checking aren’t competitive with some local, regional, and online banking providers.

Pros:

Nationwide network of branches and ATMs
Robust app with advanced security features
BankAmeriDeals offers cash back on select purchases

Cons:

Low rates on savings accounts
Inconsistent customer service

4. Bangor Savings Bank

One of the best banks in Maine for those who like community banks is Bangor Savings Bank, which has branches throughout Maine. In addition to checking and savings, you’ll also get mobile banking options and competitive rates on CDs.

Bangor Savings has also won J.D. Power’s award for customer satisfaction, making it one of the top banks in New England for customer service. Although Bangor Savings ATMs are limited to the area, third-party ATM fees will be reimbursed, including outside the U.S.

Pros:

Fees refunded at all ATMs worldwide
Checking account with no maintenance fees available
Award-winning customer service

Cons:

Low rates on savings and money market accounts
$25 minimum deposit to open

5. TD Bank

TD Bank is a regional bank with branches in Maine, as well as Connecticut, Delaware, Florida, Maryland, Massachusetts, New Hampshire, New Jersey, New York, North Carolina, Pennsylvania, Rhode Island, South Carolina, Vermont, Virginia, and Washington, D.C.

You’ll find 2,600 TD Bank ATMs across the region, but if you regularly travel, you’ll pay a $3 out-of-network ATM fee if you withdraw money.

Pros:

$200-$300 bonus for new checking account
Checking account has no maintenance fees with $100 minimum daily balance
Competitive rates on CDs

Cons:

Low rates on savings
Free ATMs limited to Eastern U.S.

6. GO2bank

Although there are no branches or ATMs, GO2bank has all the features to fit your banking needs, including mobile banking, withdrawals at thousands of ATMs nationwide, and cash deposits at more than 90,000 retailers. Like many online financial institutions, a bank account with GO2bank comes with competitive rates on savings. You’ll earn 4.50% APY on up to $5,000 of your balance.

Pros:

No monthly maintenance fee on checking accounts
7% cash back on gift card purchases
High rates on savings

Cons:

No in-person customer service
Direct deposit required to waive the $5 service fee

7. KeyBank

Another regional bank with branches in Maine is KeyBank. You’ll find ATMs across its 16-state coverage area, plus you’ll get the first two out-of-network transactions free each month. If you’re looking for a bank with a variety of customer service options, though, KeyBank is a great choice. Customers can choose from live chat, phone, or in-person service at a bank branch.

Pros:

Free checking account has no minimum balance requirement
Free ATM transactions, plus two free out-of-network transactions monthly
Automatic savings feature rounds up each purchase

Cons:

No branches or ATMs outside the 16-state service area
Low rates on savings

8. Northeast Bank

Northeast Bank is a community bank with branches throughout Maine. Although ATMs are limited, Northeast Bank will refund all fees at third-party ATMs. The PROPEL Free Checking account has no minimum balance requirements or monthly service charge, and CDs offer up to 4.85% APY. Although the standard savings account pays only 0.05% APY, PROPEL Plus pays 3.75% APY.

Pros:

Connect with a live banker with one click
Extended FDIC insurance available for higher balances
Competitive rates on CDs

Cons:

Limited branches
Low rates on savings

9. M&T Bank

Formerly People’s United Bank, M&T Bank has locations throughout the East Coast. You’ll find branches in 15 states, along with more than 1,600 ATMs from New York to Washington, D.C. M&T will also reimburse up to $2 in fees at any third-party ATM in the U.S.

Pros:

Variety of checking options, including a fee-free option
Fee-free access to 1,600 ATMs plus fee reimbursement at third-party locations
Competitive rates on CDs

Cons:

Overdraft fees higher than average
Low rates on savings

10. Machias Savings Bank

Machias Savings Bank is a local bank with 17 branches in Maine. Although Machias ATMs are limited, you’ll get up to $25 in third-party ATM fees refunded each month. The checking account requires $100 to open, but it comes with no monthly maintenance fees, and you’ll earn 5 cents on every debit card transaction.

Pros:

Rewards for debit card
Up to $25 in out-of-network ATM fees refunded monthly
Personalized customer service at local branches

Cons:

$100 minimum opening deposit for checking accounts
Low rates on savings, CDs, and money market accounts

11. Gorham Savings Bank

Gorham Savings Bank is one of the best banks in Maine if you like a local bank with online banking features. The checking accounts offer interest and rewards designed to motivate you to keep a higher balance. It’s not the best option if you’re looking to set money aside since the rates on its savings account and CDs are fairly low.

Pros:

Tiered checking customizes account features to your habits
Video tellers let you interact with bank representatives at ATMs
Out-of-network ATM fees reimbursed

Cons:

Limited branch distribution
Low rates on CDs and money market accounts

12. Partners Bank

Southern Maine residents looking for a small community banking experience should check out Partners Bank. The service area is limited to Southern Maine and New Hampshire, but you’ll get fee-free third-party ATM use with your Partners Bank Debit MasterCard. Small businesses also have a full suite of services, including fee-free business checking and a dedicated business MasterCard.

Pros:

Third-party ATM fee rebates available
Cash rewards on debit card purchases
Free business checking accounts

Cons:

Limited branches in Maine
Low rates on savings and money market accounts

Bottom Line

Most banks in Maine offer a suite of services that include deposit accounts, CDs, personal loans, mortgage loans, and other options. The above list can help you get a feel for the variety, but make sure you’re aware of the amenities that matter most to you before you make a final choice.

Source: crediful.com

Apache is functioning normally

May 9, 2023 by Brett Tams

Louisiana is a unique state, packed with interesting attractions, delicious food, and beautiful landscapes. But the state is also home to millions of residents in need of banking services. The best banks in Louisiana offer plenty of amenities, including low-fee checking accounts and ATM access where you need it.

10 Best Banks in Louisiana

Whether you’re looking for a national bank or a small regional bank, the best banks depend on the features that matter most to you. Here are some of the top banks in Louisiana to help you narrow down your options.

1. Hancock Whitney Bank

Based in nearby Gulfport, Mississippi, Hancock Whitney Bank has branches in Louisiana, Mississippi, Alabama, Florida, and Texas. If you’re looking for a regional bank with plenty of physical branches, Hancock Whitney could be a great choice. The checking accounts do come with monthly maintenance fees and a minimum deposit, but you’ll get competitive rates on CDs and personalized customer service.

Fees:

$7 monthly service fee
No overdraft fees

Balance requirements:

$25 minimum opening deposit
No minimum daily balance required

ATMs:

Fee-free at Hancock Whitney ATMs from Florida to Texas
$2 per out-of-network ATM transaction

Interest on balance:

Up to 5.00% APY on CDs

Additional perks:

Great rates on small business loans
IDProtect ScoreTracker helps you track your monthly credit score

2. Chime

Chime is an online banking option that has no local branches. You’ll get a totally free checking account and an online savings account that pays 2.00% APY. As long as you have at least $200 directly deposited into your account each month, you can qualify for Spot Me, which covers you for up to $200 in overdrafts.

Fees:

No monthly service fee
No overdraft fees

Balance requirements:

No minimum opening deposit
No minimum daily balance required

ATMs:

Fee-free at more than 60,000 AllPoint and MoneyPass locations
$2.50 per out-of-network ATM transaction

Interest on balance:

Up to 2.00% APY on savings accounts

Additional perks:

3. Gulf Coast Bank

Gulf Coast Bank is a local bank with branches in Baton Rouge and New Orleans. You’ll get personalized customer service and a checking account with no monthly fees. You can get fee-free ATM access at any Gulf Coast or Community Cash ATM nationwide.

Fees:

No monthly service fee
$35 overdraft fee

Balance requirements:

$20 minimum opening deposit
No minimum daily balance required

ATMs:

Fee-free at Gulf Coast ATMs
Fee-free at Community Cash ATMs
$1.50 per out-of-network ATM transaction

Interest on balance:

Up to 0.60% APY on savings accounts

Additional perks:

Nearly Virtual Mortgage provides a mostly paperless lending process
Check your credit score at any time in the Gulf Coast Bank dashboard

4. CIT Bank

CIT Bank is a mobile and online banking option with checking and savings accounts. Although the bank has no branches or ATMs, the interest-bearing checking account offers 0.10% APY on your checking balance, which bumps up to 0.25% APY once your balance reaches $25,000. CIT’s savings accounts and CDs come with impressive rates as well.

Fees:

No monthly service fee
No overdraft fees

Balance requirements:

$100 minimum opening deposit
No minimum daily balance required ($25,000 to earn higher interest rate)

ATMs:

No ATMs provided, but no CIT Bank fees for ATM use
Up to $30 in third-party ATM fees reimbursed monthly

Interest on balance:

Up to 0.25% APY on checking
Up to 4.50% APY on savings
Up to 5.00% APY on CDs

Additional perks:

Set travel alerts to avoid issues while away from home
Award-winning customer service

5. Red River Bank

With branches and ATMs across Louisiana, Red River Bank is a great local bank. You’ll get excellent customer service and checking accounts with no monthly fees. Red River offers ATM access at its own ATMs across Louisiana. You can also withdraw cash at Hancock Whitney ATMs in Louisiana and across the U.S.

Fees:

No monthly service fee
$34 overdraft fees

Balance requirements:

$50 minimum opening deposit
No minimum daily balance is required

ATMs:

Fee-free at Red River and Hancock Whitney ATMs throughout Louisiana and the U.S.

Interest on balance:

0.10% APY on checking

Additional perks:

Penny RoundUP moves money from each debit card purchase to your savings account
Wide variety of personal loans

6. GO2bank

Another mobile banking option with competitive offerings is GO2bank. You’ll get a fee-free checking account as long as you have at least one payment directly deposited to your account each month. But the real winner is GO2bank’s savings accounts, which offer 4.50% APY. Unlike other online banks, GO2bank also allows you to deposit cash at retail locations nationwide for a small fee.

Fees:

No monthly service fee with qualifying direct deposits
$15 overdraft fee

Balance requirements:

No minimum opening deposit
No minimum daily balance required

ATMs:

Fee-free at AllPoint ATMs nationwide
$3 per out-of-network ATM transaction

Interest on balance:

4.50% APY on savings accounts

Additional perks:

Cash deposits at nearly 90,000 retail locations nationwide
Secured credit card that helps you build credit

7. First Horizon Bank

It may have started as First Tennessee Bank, but First Horizon Bank has expanded to locations across the U.S., including Louisiana. It’s one of the best banks in Louisiana for those looking for a free checking account with local branches in 12 states. The interest rates are fairly low, but there is a money market savings account that offers up to 1.75% APY.

Fees:

No monthly service fee
$35 overdraft fee

Balance requirements:

$50 minimum opening deposit
No minimum balance requirements

ATMs:

Fee-free at First Horizon ATMs
$3 per out-of-network ATM transaction

Interest on balance:

Up to 1.75% APY on money market savings accounts
0.30% APY on traditional savings accounts
Up to 0.10% APY on CDs

Additional perks:

Wealth management services available
Account recommender helps you choose between checking accounts

8. Chase Bank

There are some perks that come with a national bank, and Chase Bank is a good example of that. You’ll get a full suite of banking services, including multiple checking options and a free debit card that you can use at ATMs across the nation. If you prefer a bank with in-person service, Chase has 4,700 branches.

Fees:

$12 monthly service fee (waived with minimum deposit)
$34 overdraft fee

Balance requirements:

No minimum opening deposit
No minimum balance requirement ($1,500 or $500 direct deposits to waive $12 service fee)

ATMs:

Fee-free at more than 15,000 Chase ATMs
$3 per out-of-network ATM transaction

Interest on balance:

0.01% APY on savings accounts

Additional perks:

$200 bonus on new checking accounts
Overdraft Assist gives you extra time to repair overdrafts

9. Regions Bank

One of the best regional banks in Louisiana is Regions Bank, which has branches in Louisiana, as well as Alabama, Arkansas, Florida, Georgia, Illinois, Indiana, Iowa, Kentucky, Mississippi, Missouri, North Carolina, South Carolina, Tennessee, and Texas.

The basic checking account’s requirements to avoid monthly service charges include maintaining a $1,500 minimum balance or $500 in direct deposits.

Fees:

$8 monthly service fee (waived with minimum deposit)
$36 overdraft fee

Balance requirements:

$50 minimum opening deposit
No minimum balance requirement ($1,500 or $500 direct deposits to waive $12 service fee)

ATMs:

Fee-free at more than 2,000 Regions ATMs
$3 per out-of-network ATM transaction

Interest on balance:

Up to .01% APY on savings
Up to 4.75% on CDs

Additional perks:

$50 Visa Reward Card for referring new account holders
1% annual savings bonus for connected savings account

10. Ally Bank

Ally Bank’s online banking options include an interest checking account that earns 0.25% APY. You’ll also get competitive interest rates on your savings account and CDs. Although there are no physical locations, you’ll have access to ATM withdrawals at 43,000 ATMs. If you regularly need to make cash deposits, though, Ally might not be the best bank for you.

Fees:

No monthly service fee
No overdraft fee

Balance requirements:

No minimum opening deposit
No minimum balance

ATMs:

Fee-free at more than 43,000 AllPoint ATMs
Refund of up to $10 in out-of-network ATM fees per cycle

Interest on balance:

0.25% APY on checking
3.75% APY on savings
Up to 4.50% on CDs

Additional perks:

Advanced investment services including Robo Portfolios
Spending buckets help you manage your finances

Bottom Line

Whether you’re looking to avoid monthly service fees or enjoy the conveniences of an online bank, it’s important to compare multiple accounts. The best banks in Louisiana may not be the ones that have the lowest fees. Instead, you may find that the convenience of a bank with higher fees makes it worth the extra cost.

Source: crediful.com

Apache is functioning normally

May 8, 2023 by Brett Tams

Our rating

Minimum Balance/Deposit: $5
Maximum Balance: None
Monthly Fee: $0
Rewards: Varies based on prize entries
Yield: 2.70% APY on average
Additional Benefits: Early direct deposit, mobile check deposit, secured credit card
Banking Services By: Evolve Bank & Trust, member FDIC

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It’s nice to earn predictable interest on your savings account balance or rewards on your debit or credit card transactions. But it’s not as fun as doubling your paycheck or earning tens of thousands of dollars in cash prizes for everyday financial activities.

Yotta leans into the idea that money management should be fun. Rather than pay interest or rewards points at set rates, Yotta doles out daily prize entries and instant variable cash back. With Yotta, you can earn a great deal more than you would with a traditional savings or checking account on any given day, but you’ll also come up empty quite a bit.

Over time, things even out and you’ll most likely earn at a rate that’s higher than traditional banks but not quite as good as the best online and mobile alternatives. But there’s a lot you need to know before you sign up for Yotta.

What Is Yotta?

Yotta is a financial technology app backed by Evolve Bank & Trust, member FDIC. It includes a checking account with debit card, a savings account with multiple goal-based subaccounts, and a secured credit card with no interest or fees. It also has social features, including a product roadmap that incorporates user feedback into new features and capabilities.

Unlike most traditional checking and savings accounts, Yotta’s deposit accounts don’t earn interest or rewards on balances. Instead, everyday financial activities like debit card transactions and paycheck deposits earn opportunities to win cash prizes.

Actual winnings vary, but Yotta claims the average user can earn an amount equivalent to 2.70% annual interest (APY). Yotta draws prizes daily with a maximum potential daily prize of $1 million (though this is extremely rare).

What Sets Yotta Apart?

Yotta does things differently from most financial apps. It really stands out from the competition for:

Prizes on balances and transactions rather than interest or points. Yotta’s most unusual feature is its prized-based rewards program. Debit card purchases, paycheck deposits, and other activities earn you prize entries or instant cash rewards, but there’s no way to say for sure how much you’ll earn until those entries or rewards hit your account.
Social features like the Yotta Roadmap and prize pools. Yotta is more social than the typical fintech app, and certainly more so than traditional banks. Yotta Roadmap is a standout feature that gives users a peek into Yotta’s future plans and takes user feedback. Prize pools allow groups of users to pool prize entries and share the winnings, increasing their chances of winning (and overall winnings).
Secured credit card with no interest or fees. Yotta offers a secured credit card with no annual fee or interest charges. It’s secured by your Yotta account balance and uses that balance to pay off charges automatically each month. In other words, it’s a low-risk, low-cost way to build credit.

Is Yotta Legit?

Yes, Yotta is legitimate. You can safely hold as much as $250,000 in your Yotta account because Yotta offers banking services through Evolve Bank & Trust, an FDIC member institution with full FDIC insurance coverage.

You can also count on Yotta to pay out promised prizes. Yotta’s website is thick with testimonials from real users who’ve won real money through the app. While your overall odds of doubling your purchase or paycheck value are quite low, and the average return on Yotta balances is actually a bit lower than the top high-yield savings accounts, Yotta isn’t a scam.

Key Features of Yotta

Yotta works differently than a regular old checking or savings account. To make sure it suits your needs, take a few minutes to understand how its features and capabilities fit together.

Yotta Debit Card

Yotta comes with a Mastercard debit card accepted wherever other Mastercard products are. You can use this card to withdraw cash with no surcharge at about 55,000 ATMs in Yotta’s network.

Early Direct Deposit

If your employer or benefits provider qualifies, and most do, you can get your direct deposit up to two days early with Yotta. So if you normally get paid on Friday, you get your money on Wednesday.

Yotta Credit Card

Yotta offers a secured credit card that can help you build credit over time with responsible use. It’s secured by your account balance, which is also the maximum credit limit. To increase your credit limit, just deposit more cash into your Yotta account.

Unlike most credit cards, the Yotta card charges no interest or fees. At the end of each statement cycle, Yotta automatically pays off your card balance out of your cash balance, so there’s no risk of a late payment.

Yotta Boxes (Cash-Back Rewards)

Yotta’s answer to cash-back rewards is the Yotta Box.

Every time you make a debit or credit card purchase or receive a direct deposit, you get a box with a pre-assigned amount of cash in it. You don’t know the amount until it’s in your account.

Each box can have as much as 100% of the transaction or deposit amount in it — or nothing at all. Yotta isn’t totally transparent about how it sets box amounts, but it does provide app-wide data for the past 30 days.

According to the most recent figures available (as of early May 2023), about half of all debit and credit card transactions earned some amount of cash back. About 1% earned the full transaction amount, meaning the transaction cost nothing out of pocket. About 0.3% of direct deposits earned the full deposit amount, effectively doubling the winners’ paychecks.

Yotta Tickets (Prize Drawing Entries)

Tickets are the second way Yotta rewards users. Each ticket is a separate entry into Yotta’s daily prize drawing, which doles out prizes worth up to $1 million to multiple recipients.

Most winners earn far less — a few dollars at a time — but some earn hundreds, thousands, or even tens of thousands. Yotta keeps a running winners list with testimonials from actual big-money winners.

You get tickets for simple financial activities you already do regularly:

Making debit or credit card transactions
Receiving a direct deposit
Paying bills from your Yotta account
Making a one-time or recurring savings deposit

Like the contents of each Yotta Box, the number of tickets you receive for these actions varies seemingly at random. For example, you can earn up to twice the dollar value of debit and credit card transactions in tickets, but the average is lower — about 1.15 times the transaction value, according to Yotta. On a $100 purchase, that’s 115 tickets.

Prize Pools

Yotta’s prize pools feature lets users band together to combine their tickets ahead of each daily drawing. Each pool member’s prize share is proportional to the number of tickets they allocate to the pool. You can customize your allocation as you wish — reserving some tickets for yourself and the rest for the pool, or contributing them all to the pool.

Yotta allows public and private pools. Private pools are limited only to authorized participants, like members of your immediate family or a work group. Public pools are open to anyone with a unique invite code that any member is free to share.

Savings Buckets

Yotta offers savings subaccounts called buckets. You can set up as many as you wish, each with its own goal or purpose but all with the same basic features.

Transfer funds from your Yotta spending account or a linked external bank account to an individual bucket
Split inbound transfers between as many buckets as you wish
Transfer funds between buckets
Set up recurring transfers into one or more buckets
Lock individual buckets to prevent withdrawals before you reach your goal

Mobile Features

When it first came out, Yotta was only available as a mobile app, and the experience is still better on a mobile device. Notable mobile features include mobile check deposit and peer-to-peer payments using Yotta Pay.

Yotta Roadmap

The Yotta Roadmap is a social feature that takes feedback from users, incorporates that feedback into new Yotta features (or not), and provides a look ahead at new or updated Yotta capabilities. Yotta doesn’t incorporate every user suggestion it receives or provide total visibility into its operations, but it’s still far more transparent than your standard fintech app or bank account.

Advantages

Yotta is mobile-friendly and fun to use, and it offers multiple ways to earn valuable prizes for everyday financial activities.

No maintenance fee and only a token minimum balance. Yotta has no monthly maintenance fee. The only catch is that you need to keep at least $5 in your account, otherwise Yotta reserves the right to close it. That should be no sweat for most users.
Potential to win truly valuable prizes. Yotta offers the possibility, if not the guarantee, of earning far more in prizes and random cash back than you would with a traditional rewards credit card or savings account. The daily prize jackpot is $1 million, though most winners receive a small fraction of that.
Prize pools boost winning odds. Just like pooling cash to buy lottery tickets with friends, family, or colleagues, Yotta’s prize pools increase members’ odds of winning something in each drawing. Even if you don’t win, it makes the experience more fun.
Partial transparency around prizes and winners. Yotta’s ticket allocations, box amounts, and prize drawing process are proprietary. Ordinary users have no visibility into them. But to its credit, Yotta does keep a running list of prize winners, ticket allocations, and box amounts. This builds confidence and ensures you have at least some idea of what you’re getting into.
Users have a say in Yotta’s future plans. The Yotta Roadmap is another social feature that gives users the sense that they have a stake in Yotta’s future. Even if you have no big ideas for Yotta, seeing its future (and already executed) plans mapped out is super-useful (though not all are guaranteed to come to fruition).
Mobile-first approach. Yotta is a mobile-first platform. Its mobile app came out before its desktop version, and it still looks better on a small screen. That’s good news for anyone who does some or all of their banking on the go.
Secured credit card can build credit at lower cost and risk. With no interest or fees and an automatic payment process, Yotta’s secured credit card is legitimately innovative — and consumer-friendly. If your credit needs work, it’s a good place to start.

Disadvantages

Yotta has a few important disadvantages, some of which might not be obvious to would-be applicants.

Lower yields than the top savings accounts. Yotta says its average annual savings reward works out to 2.70% APY. Basically, this is what you can expect to earn, combined, from Yotta prizes and instant cash. While better than the big banks, it’s not up to par with current yields on the best high-yield savings accounts.
Earnings aren’t predictable. Because they’re random prizes and cash rewards, Yotta account earnings aren’t as predictable as fixed interest or rewards rates. There’s no reliable way to calculate your monthly earnings in advance, as is the case with a traditional bank account or credit card.
Not all debit card and credit card purchases earn rewards. Another downside to Yotta’s rewards structure is that about half of all debit and credit card purchases earn no rewards at all. If you use your account only occasionally, you could go days or weeks without earning any cash or prizes.

How Yotta Stacks Up

Yotta is markedly different from traditional bank accounts and even most new fintech apps, but it still competes against them. Before you open an account, see how it compares to another popular mobile money management platform: Current.

	Yotta	Current
Balance Requirement	$5 minimum	None
Monthly Fee	$0	$0
Yield	2.70% on average, but highly variable	4.00% APY on eligible balances
Spending Rewards	Variable, based on prize entries and instant cash	Up to 7x rewards on debit card purchases
Early Direct Deposit	Yes	Yes
Credit Card	Yes	No
Deposit Insurance	Yes, up to $250,000	Yes, up to $250,000

Final Word

Not all bank accounts are the same, but it can feel that way sometimes. That makes choosing your next bank account — or mobile money management app — a more difficult, overwhelming prospect.

Yotta is different. There’s no mistaking it for a traditional bank account, and its unusual prize-based rewards structure sets it apart from fintech apps that are otherwise quite innovative. If you’re looking for a truly novel banking experience that’s social, fun, and rewarding, it should be on your short list.

Then again, the same features that make Yotta so fun and interesting can also negatively impact your experience with it. It’s impossible to predict how much your balance or spending earns from month to month, and even by Yotta’s calculation, the expected annual return is lower than the best savings accounts. If you value predictability over serendipity, Yotta might not be right for you.

The Verdict

Our rating

Minimum Balance/Deposit: $5
Maximum Balance: None
Monthly Fee: $0
Rewards: Varies based on prize entries
Yield: 2.70% APY on average
Additional Benefits: Early direct deposit, mobile check deposit, secured credit card
Banking Services By: Evolve Bank & Trust, member FDIC

Editorial Note:
The editorial content on this page is not provided by any bank, credit card issuer, airline, or hotel chain, and has not been reviewed, approved, or otherwise endorsed by any of these entities. Opinions expressed here are the author’s alone, not those of the bank, credit card issuer, airline, or hotel chain, and have not been reviewed, approved, or otherwise endorsed by any of these entities.

Brian Martucci writes about credit cards, banking, insurance, travel, and more. When he’s not investigating time- and money-saving strategies for Money Crashers readers, you can find him exploring his favorite trails or sampling a new cuisine. Reach him on Twitter @Brian_Martucci.

Source: moneycrashers.com

Apache is functioning normally

May 5, 2023 by Brett Tams

Our rating

Bilt Mastercard

Regular Rewards Rate: 1x points on most eligible purchases (including rent)
Bonus Rewards Rate: 2x points on travel purchases and 3x points on dining purchases
Annual Fee: $0
Ongoing APR: 20.99%, 23.99%, or 28.99%, based on your creditworthiness
Credit Needed: Average or better

You can pay rent with any credit card and earn rewards on the entire payment. But even if your credit limit can accommodate the transaction, there’s a catch: You generally have to use a payment portal that tacks 2% to 4% onto the transaction. That’s more than enough to offset any rewards you’d earn.

Bilt Mastercard offers a way around that. It has a built-in rent payment portal that lets you pay your rent without the transaction fee. You earn a 1% return on those rent payments too.

Transaction-fee-free rent payments with rewards is Bilt Mastercard’s biggest selling point, but it’s not the card’s only notable feature. Bilt Mastercard has some additional upsides — and downsides — to consider before you apply.

What Is Bilt Mastercard?

Bilt Mastercard is a rewards credit card with no annual fee. It’s one of the few credit cards that waives transaction fees on rent payments, significantly reducing the cost of paying rent with a credit card.

Bilt Mastercard has an above-average rewards program that earns points on everything you buy — double and triple points on common purchases like travel and dining. Heavy spenders can move up the Bilt Rewards hierarchy, earning points toward travel, experiences, or even a down payment on a house.

What Sets Bilt Mastercard Apart?

Bilt Mastercard has a few unusual features that set it apart from most rewards credit cards.

No transaction fee on rent payments. When you pay your rent with Bilt Mastercard, you don’t pay a transaction fee. That’s a big advantage over other rent payment portals, which charge at least 2% for rent payments.
The opportunity to build credit through rent payments. If you live at any of the more than 1 million units in the Bilt Rewards Alliance, a group of 20-plus property management companies, you can opt into a credit reporting program that alerts the major credit bureaus to your rent payments. That can become part of your strategy to build or rebuild credit faster.
Double points on the first day of the month. Bilt Mastercard doubles your point earnings on all purchases you make on the first of the month — Rent Day. That’s 6x points on dining purchases, 4x points on travel purchases, and 2x points on everything else. Plan your spending accordingly, especially big-ticket purchases.

Is Bilt Mastercard Legit?

Yes, Bilt Mastercard is legitimate. While Bilt itself isn’t very well known, this credit card is backed by Wells Fargo, one of the biggest banks in the United States (and world).

Funds held with Wells Fargo are FDIC-insured, and it’s one of the few banks qualifying as “too big to fail,” so it’s not going anywhere. If it does, we all have bigger problems than whether this one credit card is a scam.

Key Features of Bilt Mastercard

Bilt Mastercard touts its transaction fee-free rent rewards. But that’s just one feature on a much bigger menu.

Earning Bilt Rewards

Bilt Mastercard has a tiered rewards program. The rewards you earn depend on what category your purchase falls into. But overall, it’s a generous rewards program.

Unlimited 3x rewards on dining: Earn 3 points per $1 spent on eligible dining purchases, including takeout and delivery.
Unlimited 2x rewards on travel: Earn 2 points per $1 spent on travel booked directly with the provider, including airfare, hotels, rental cars, and cruises. Purchases through third-party booking engines like Expedia may not qualify.
1x rewards on rent payments: Earn 1 point per $1 spent on rent payments, even if your unit isn’t part of the Bilt Rewards Alliance. Bilt caps rent rewards at 100,000 points each year, high enough for most cardholders.
Unlimited 1x rewards on everything else: Earn 1 point per $1 spent on all other eligible purchases.

You have to make at least five transactions in a statement period to earn rewards for that period. That rules out using Bilt Mastercard for rent payments only.

Redeeming Bilt Rewards

You can redeem Bilt rewards for:

Direct travel purchases with over 100 airline and hotel partners
Transfers to more than a dozen airline and hotel partners, generally at a 1-to-1 ratio
Rent payments
Credit toward a down payment on a home
Experiences and merchandise, including classes with fitness partners like SoulCycle and home decor and apparel brands in the Bilt Collection

Redemption minimums and values vary, but if you travel regularly, the most reliable value comes from transfers to airline and hotel partners. Otherwise, rent payments are your best bet.

Bilt Rewards Status Levels

Bilt’s rewards program has four tiers based on your annual point earnings. Each tier unlocks new benefits:

Blue: Everyone starts as a Blue member.
Silver: Unlocks when you earn 25,000 points in a calendar year. Perks include a 10% bonus on Bilt points when you begin or renew an apartment lease with a Bilt Rewards Alliance members. So if your first month’s rent on a qualifying lease is $2,000, you earn 200 bonus points.
Gold: Unlocks with 50,000 points earned in a calendar year. With Gold, the points bonus for a new or renewed lease jumps to 25%. Plus, you get access to Bilt’s Homeownership Concierge, a homebuying consulting service.
Platinum: Unlocks with 100,000 points earned in a calendar year. The lease incentive bonus increases to 50% and you get an exclusive gift from the Bilt Collection — typically some sort of home decor item.

Building Credit With Rent Payments

If you wish, you can allow Bilt to report your rent payments to the three major credit bureaus (Experian, Equifax, and TransUnion). That may help you build credit faster, especially if you don’t have many other credit accounts. But it can also hurt you if you stop paying rent for any reason or you’re late on rent payments.

Travel Benefits

Bilt Mastercard has some potentially valuable non-rewards travel benefits too.

Trip cancellation and interruption coverage reimburses nonrefundable prepaid reservations you have to cancel so long as you have a valid reason, such as illness
Trip delay reimbursement covers nonrefundable prepaid reservations you can’t honor due to covered flight or other transport delays
Car rental insurance covers costs related to collision damage to your rental car when you pay for the rental in full with your Bilt card and decline the rental company’s offer of coverage

Additional Benefits

Bilt Mastercard has some other complimentary benefits:

$5 Lyft credit per statement period when you complete at least three rides
$5 credit off your first DoorDash order each month
Three-month complimentary DoorDash DashPass subscription, which waives the delivery fee on eligible orders
Cellphone protection, which covers damage and theft up to $800 per claim (less a $25 deductible)

Ongoing APR

From day one, Bilt Mastercard’s APR is 20.99%, 23.99%, or 28.99%, based on your creditworthiness. There’s no introductory APR promotion for purchases or balance transfers.

Important Fees

Bilt Mastercard has no annual fee or foreign transaction fees. Other fees may apply, including balance transfer and cash advance fees.

Credit Required

Bilt Mastercard has relatively laid-back standards. It’s not for people with bad credit, but your application may be approved, even if your FICO credit score is below 700. For more information, see our article about good versus bad credit scores.

Advantages

Bilt Mastercard has an above-average rewards program, multiple perks and benefits for renters, and some potentially valuable benefits for cardholders who use rideshare and restaurant delivery services.

Up to 3x points on eligible purchases. Bilt Mastercard earns 3 points per $1 spent on dining purchases, on par with premium dining credit cards like Chase Sapphire Reserve.
Earn rewards on rent payments without the transaction fee. Bilt Mastercard earns 1 point per $1 spent on rent payments. That’s nice, but the real value is in the transaction fee waiver, which can save you 2% to 4% when compared to other rent payment portals.
Earn double points on Rent Day. Bilt Mastercard doubles rewards on all purchases made on the first of the month. That boosts the maximum return to a very generous 6x.
More points as you ascend status levels. Earn at least 25,000 points in a year to unlock higher status levels, with benefits like bonus points on new and renewed leases at Bilt Alliance properties.
No annual fee. Bilt Mastercard has no annual fee, so you won’t pay anything to keep it around. This is a welcome contrast with some other premium dining and travel credit cards.
DoorDash and Lyft perks. They won’t make you rich, but Bilt Mastercard offers perks for regular DoorDash and Lyft users (or users willing to switch). Both are worth at least $5 per month if you meet the qualifications.
Relaxed standards. Bilt Mastercard has looser standards than many competing cards, which require FICO scores above 700 to qualify (and sometimes well above).
Opportunity to build credit with rent payments. If you live in a unit managed by a member of the Bilt Rewards Alliance, you can agree to have your rent payments reported to the major credit bureaus. That can build your credit faster than simply using your credit card, though it can also hurt your credit if you stop paying rent.

Disadvantages

Bilt Mastercard is missing some common rewards card features and falls flat on purchases outside the dining and travel categories, among other disadvantages.

Minimum transaction requirement to earn rewards. You must make at least five transactions in a statement period to earn rewards for that period.
Low rewards rate on most purchases. Even if you clear the transaction threshold, you earn just 1 point per $1 on most purchases. That’s lower than competing credit cards like Chase Freedom Unlimited (1.5% back on most purchases) and Citi Double Cash (2% back on all purchases when you pay in full).
No sign-up bonus. Bilt Mastercard has no spend-based sign-up bonus. Many other no-annual-fee rewards cards do, so that’s a notable absence.
No 0% APR introductory offer. Bilt Mastercard also has no 0% APR introductory offer, which is a big downside for new cardholders looking to finance big purchases or pay off high-interest balances from another card.

How Bilt Mastercard Stacks Up

Bilt Mastercard really leans into its rent payment benefits, but if you zoom out, it looks like a fairly typical travel and dining credit card. So before you apply, see how it stacks up against another popular credit card that rewards dining and travel: the Chase Sapphire Preferred Card.

	Bilt Mastercard	Chase Sapphire Preferred
Dining Rewards	Unlimited 3x	Unlimited 3x
Travel Rewards	Unlimited 2x	Unlimited 2x or 5x
Base Rewards	1x (limited only on rent)	Unlimited 1x
Double Points Day	Yes	No
Travel Credit	None	$50 on eligible hotels
Sign-Up Bonus	None	Yes
Rent Transaction Fee	None	Yes
Annual Fee	$0	$95

Final Word

Bilt Mastercard is the best credit card to use for rent payments because it waives the customary transaction fee, which can add 2% to 4% to the cost, depending on which payment portal you use. It has some other benefits too, including unlimited 3x rewards on dining purchases and unlimited 2x rewards on travel purchases. And it has no annual fee.

But Bilt Mastercard has some meaningful drawbacks. It lacks a sign-up bonus or 0% APR introductory promotion, and its baseline rewards rate is low. Most important, you have to make at least five transactions in a statement period to earn rewards for that period, which rules out getting it just to use on rent payments or infrequent use in general.

Still, Bilt Mastercard is a contender if you’re a renter in the market for an entry-level rewards credit card.

The Verdict

Our rating

Bilt Mastercard

Regular Rewards Rate: 1x points on most eligible purchases (including rent)
Bonus Rewards Rate: 2x points on travel purchases and 3x points on dining purchases
Annual Fee: $0
Ongoing APR: 20.99%, 23.99%, or 28.99%, based on your creditworthiness
Credit Needed: Average or better

Source: moneycrashers.com

Apache is functioning normally

May 3, 2023 by Brett Tams

Our rating

Petal® 2 “Cash Back, No Fees” Visa® Credit Card

Regular Cash-Back Rate: Up to 1.5%
Bonus Cash-Back Rate: 2% to 10% with participating merchants
Annual Fee: $0
Ongoing APR: 17.74% to 31.74% APR
Credit Needed: Limited credit is OK
Initial Credit Limit: Up to $10,000

Many aspiring credit card users face a chicken-and-egg problem. You need a credit score, and a decent credit score in most cases, to qualify for most credit cards. But it’s hard to establish and build credit without a credit card.

The Petal® 2 “Cash Back, No Fees” Visa® Credit Card offers a way around that. It’s an unsecured cash-back credit card that doesn’t require a FICO score as a condition of approval. That means it’s an ideal first credit card for applicants who don’t want to tie up their money in a secured credit card.

The Petal 2 card isn’t right for everyone, though. Consider the whole package before you apply.

What Is the Petal 2 Card?

The Petal 2 “Cash Back, No Fees” Visa Credit Card is a rewards credit card designed for first-time credit card users and others who’ve had difficulty qualifying for unsecured credit cards in the recent past. If you’re new to credit or your credit history is limited enough that you don’t yet have a FICO score, you may still qualify for this card based on income and other noncredit factors.

Petal 2 has a straightforward cash-back rewards program that earns up to 1.5% back on everyday purchases and up to 10% back on purchases with select merchants. It has no annual fee and very few other fees.

Petal 2 does have a high regular APR and no 0% intro APR promotion, so it’s important to pay off purchases in full each month.

What Sets the Petal 2 Card Apart?

It should already be clear that Petal 2 is not your typical credit card. It stands out from most others in several key ways:

Doesn’t require a FICO score for approval. If you have a credit score, Petal considers it when you apply. But if you don’t, that’s not a deal-breaker. Petal simply uses noncredit factors to assess your application, like your income and employment status.
Up to 10% back on eligible purchases. Petal 2 caps cash-back earnings at 1.5% on most purchases, but it partners with select merchants (and more all the time) that offer 2% to as much as 10% back on eligible purchases.
Potential for a high credit limit. For an entry-level credit card, Petal 2 has an unusually high maximum credit limit — up to $10,000. Your specific credit limit depends on your income and employment status, but if you earn good money, you have a lot more leeway with this card than with most of its close competitors.
Regular cash-back earnings based on payment history. You earn 1% cash back on most purchases to start. As you build up a history of timely payments and responsible use, your regular cash-back rate increases to 1.5%. That’s a clear incentive to use this card wisely.

Is the Petal 2 Card Legit?

Yes, the Petal 2 Card is legitimate. Though most people aren’t familiar with the Petal name, Petal 2 is backed by WebBank, an FDIC-insured U.S. financial institution that has been in business for years. The card works like any other credit card backed by a U.S.-based bank.

Key Features of the Petal 2 Card

Petal 2 has a lot in common with other rewards credit cards: a cash-back program with rules it pays to learn, a credit limit based on users’ capacity to repay purchases, and a simple fee schedule. Its application standards throw some curveballs, but they’re easy enough to understand.

Cash-Back Rewards

Petal 2 earns 1% back on all eligible purchases. After 12 months of timely payments and responsible credit use, meaning you stay within your credit limit, the rate bumps up to 1.5%. There’s also bonus cash back on purchases with select participating merchants. The bonus rate ranges from 2% up to 10%, depending on the merchant. The lineup is always changing, but some very popular brands participate, including Costco and Adidas.

After each statement closing date, Petal automatically redeems your cash-back rewards to your connected bank account. You don’t have to initiate the redemption process.

Ongoing APR

From the day you open your account, all purchases you don’t pay off by the due date accrue interest at 17.74% to 31.74% (variable) APR. That’s a higher ongoing APR than most competing credit cards, so it’s even more important that you pay off your Petal balance in full each month.

Important Fees

Petal 2 has no annual fee, late fee, returned payment fee, or foreign transaction fee. Other fees may apply for specific actions like balance transfers, but there’s no ongoing cost to use this card.

Credit Limit & Increase

Petal 2 bases your initial credit limit on your credit score (if you have one) and your ability to pay your statement balance, which depends on your income. Initial limits range as high as $10,000, though most new cardholders get approved at much lower limits — a few hundred to a couple thousand dollars.

If your initial limit is low, Petal 2 offers a clear path to a higher credit limit through its Leap program. The deal is simple: You earn a credit line increase after six months of qualifying on-time payments.

Credit Required

Petal’s underwriting standards are relaxed. If you have a FICO score, you’ll likely qualify with a score as low as 600.

If you don’t have a FICO score, Petal doesn’t consider your credit history at all, instead using noncredit factors like income and employment status. The higher your income and the longer your employment history, the better your chances of qualifying without a credit score.

Advantages

Petal 2’s biggest advantages flow from its appeal to rookie applicants and its relatively generous rewards program. For example, it:

Requires no credit score to get approved. Petal 2 is one of the few unsecured credit cards that requires no credit score to get approved. In fact, all else being equal, it’s easier to qualify for this card if you have a steady job and no credit score than if you have a steady job and a very low credit score.
Requires no security deposit. As an unsecured credit card, Petal 2 requires no security deposit as a condition of account opening. If you’re still living paycheck to paycheck or close to it, this undoubtedly heightens Petal 2’s appeal.
Has potential for a high initial credit limit. Petal 2 is unusual among credit cards marketed to first-time users for offering high initial credit limits to qualified applicants. If your income and employment status allow, you could qualify for a credit limit as high as $10,000 right out of the gate with Petal 2.
No annual fee. Petal 2 has no annual fee. It costs nothing to keep this card in your wallet, no matter how infrequently you use it.
Up to 10% cash back with select merchants. Petal partners with select merchants to offer up to 10% cash back on Petal 2 purchases. Some partners are quite popular, among them Costco and Sam’s Club.
No late or returned payment fee. Petal 2 charges no fees for late or returned payments, though repeatedly missing or bouncing payments could lead to account closure.
No foreign transaction fees. Petal 2 charges no fees for international transactions. That’s good news for users who travel outside the United States regularly.

Disadvantages

Petal 2’s downsides include its high cost to carry balances and a lack of any promotions for new cardholders.

High ongoing APR. Petal 2’s variable APR (currently 17.74% to 31.74%) is higher than most competing cards. If you plan to carry a balance from month to month, look for a low-APR credit card instead.
No sign-up bonus. Petal 2 has no sign-up bonus for new cardholders. There are plenty of entry-level credit cards that do, so that’s a notable downside.
No 0% intro APR promotion. Petal 2 also has no 0% intro APR promotion for purchases or balance transfers. Combined with the high ongoing APR, that makes Petal 2 appropriate only for people who plan to pay off their balances every month, beginning in month one.
Low baseline cash-back rate. Petal 2’s baseline cash-back rate tops out at 1.5%, and only reaches that threshold after a year of responsible use. The Citi Double Cash Card, another no-annual-fee cash-back card, has a flat 2% return on spending.

How the Petal 2 Card Stacks Up

Your powers of deduction have no doubt led you to conclude that Petal 2 is not the only card in the Petal family. And you’re correct — there’s also a Petal 1, known officially as the Petal 1 “No Annual Fee” Visa Credit Card.

Petal 1 has a fair amount in common with Petal 2, and both are appropriate for people with limited credit histories. But they’re different enough to warrant a detailed head-to-head comparison.

	Petal 1	Petal 2
Ongoing Rewards	None	Up to 1.5%
Bonus Rewards	Up to 10%	Up to 10%
Credit Limit	Up to $5,000	Up to $10,000
Annual Fee	$0	$0
Secured	No	No
Requires FICO Score	No	No

Final Word

The Petal 2 Card is one of the best entry-level cash-back credit cards on the market. Notable benefits include the opportunity to earn up to 10% back on select purchases, a nontraditional framework that requires no FICO score, and the potential for high initial credit limits.

Petal 2 isn’t perfect, though. It has no sign-up bonus or 0% intro APR promotion for new cardholders, mediocre-at-best 1.5% base cash back, and a high ongoing APR. If you’re looking for an above-average return on everyday spending or a generous incentive to make big purchases during your first months as a cardholder, you can do better elsewhere — if you can qualify for a more generous card. If not, Petal 2 is your stepping stone to get it.

The Verdict

Our rating

Petal® 2 “Cash Back, No Fees” Visa® Credit Card

Regular Cash-Back Rate: Up to 1.5%
Bonus Cash-Back Rate: 2% to 10% with participating merchants
Annual Fee: $0
Ongoing APR: 17.74% to 31.74% APR
Credit Needed: Limited credit is OK
Initial Credit Limit: Up to $10,000

Source: moneycrashers.com

Apache is functioning normally

May 2, 2023 by Brett Tams

The First Access Visa® Credit Card is an option for those who are looking to build credit but would prefer an unsecured credit card without a security deposit. The card, issued by The Bank of Missouri, is widely accepted at retailers.

However, there are some serious drawbacks that make other cards for bad credit or no credit more appealing options. The First Access Visa® Credit Card piles on a laundry list of fees, and should you get into debt, it charges an astronomical interest rate. Though you can earn cash back on your spending, it’s a pittance compared with the annual cost of carrying this card.

Here are five things to know about the First Access Visa® Credit Card.

1. It’s an unsecured card for credit building …

For the most part, credit cards for those with bad or no credit are secured cards, which require a security deposit upfront. That deposit becomes your credit limit, and it’s eventually refunded to you when you establish or shore up your credit scores and graduate to an unsecured card.

But that security deposit can set you back the moment you get a secured card, sometimes by $200 or more. The First Access Visa® Credit Card doesn’t require a security deposit, but other costs associated with carrying this card might make a security deposit seem more palatable, especially if you can qualify for a card with a relatively modest deposit requirement. With the Capital One Platinum Secured Credit Card, for instance, you may be eligible for a $200 credit limit with a security deposit as low as $49.

The First Access Visa® Credit Card does report your payment activity to the three main credit bureaus — Experian, Equifax and TransUnion — which can help you build credit over the long term with careful use, such as paying your card bill in full and on time every month.

2. … But it charges a flurry of fees

The First Access Visa® Credit Card charges a surprising amount of pricey fees, while other credit-building options cost substantially less. Here’s what you’ll pay as a cardholder:

Program fee: You must pay this one-time $95 fee within 60 days of your application getting approved. Once you do, you can activate and begin using your card.
Annual fee: $75 for first year, then $48.
Monthly servicing fee: This fee is waived for the first year but then costs $8.25 per month, or $99 per year.
Additional card fee: Adding cards for authorized users will cost $29 per card, per year.
Credit limit increase fee: You must have the First Access Visa® Credit Card for a year before you can potentially qualify for a credit limit increase. If you do, you’ll pay a fee of 20% of the credit limit increase, which eats into your overall credit limit. So if you’re granted an increase of $100, you pay a $20 fee and get an actual increase of only $80.
Premium plastic card design fee: Pay up to $10 for a “premium” card design.

If you just pay those first three fees and skip adding cards, requesting a credit limit increase or opting for a snazzier card design, the First Access Visa® Credit Card will cost you $170 in the first year and $147 per year after that. Unlike a security deposit for a secured card, that’s money you won’t get back.

3. You can earn cash back, but with caveats

Rewards aren’t a main priority when you’re building credit, but the First Access Visa® Credit Card does earn 1% cash back. Still, there are several things to note about the card’s rewards program.

First, unlike with most other rewards cards, you earn cash back not by making purchases with the card but rather by making payments on your card bill. Second, you have to wait six months before you can redeem any rewards for a statement credit. And finally, you must redeem in increments of 500 points, or $5.

If you’re open to a secured card, some no-annual-fee options also earn cash-back rewards that are much more straightforward. The Discover it® Secured Credit Card earns 2% cash back at gas stations and restaurants on up to $1,000 in combined spending each quarter and 1% cash back on all other purchases. There’s no waiting period to redeem, either. You can redeem your rewards at any time, in any amount. New cardholders can qualify for a sign-up bonus, which Discover phrases like this: INTRO OFFER: Unlimited Cashback Match – only from Discover. Discover will automatically match all the cash back you’ve earned at the end of your first year! There’s no minimum spending or maximum rewards. Just a dollar-for-dollar match.

If you’re seeking rewards but want to avoid an upfront security deposit and an annual fee, some “alternative” credit cards can tick all those boxes. These types of cards consider financial factors beyond credit scores, like your income, when you apply.

4. Beware of the sky-high interest rate

The ongoing APR is 35.99% Fixed APR, which is staggeringly high, even compared with other cards for bad credit. Making on-time payments of at least the minimum amount due will help you establish credit, but if you don’t pay your bill in full, it can lock you into a cycle of expensive debt that can take years to get out of.

5. A checking account is required

You must have a checking account to qualify for the First Access Visa® Credit Card, which can present a challenge to anyone who wants to build credit but is unbanked.

An alternative is the OpenSky® Secured Visa® Credit Card, a secured card with a $35 annual fee. You can fund your security deposit with a check if you’re able, but you can also do so with a Western Union transfer or money order.

Source: nerdwallet.com

Apache is functioning normally

April 29, 2023 by Brett Tams

Should You Become an Authorized User? – MintLife Blog

establish credit history, consider becoming an authorized user and building your credit in other ways, like getting a secured credit card.

What Is an Authorized User?

An authorized user is someone who can make purchases on your credit card but isn’t legally obligated to pay the balance. It’s easy to sign someone up as an authorized user online or over the phone with a few pieces of information like their address, name, and birth date. You can order a separate card or have them use your credit card. You can have several authorized users on a single credit card, usually up to five. If the person is under 18, they can still usually be an authorized user on a parent or guardian’s account.

You get some privileges as an authorized user, but not the same ones as the cardholder. You can make purchases, find the available balance, and make payments. You can also report a missing card and dispute a fraudulent charge. Authorized users aren’t able to make changes to the account, though. For instance, they can’t close the account, add another user, or change the address.

Authorized Users and Credit

Becoming an authorized user could improve your credit score, but not always, and typically not in a drastic way. Check to see if the creditor sends authorized users’ activity to the major credit bureaus. Most do, but not all. If you’re trying to build your credit, you want to make sure being an authorized user will count toward your history.

When you’re a user on someone’s account who has a solid history of on-time payments and low credit utilization, it can help your credit. On the flip side, if you’re connected to someone with a lower credit score or a spotty payment history, your credit might suffer. For instance, if the cardholder misses a payment, your score could be affected, because it will also be reported on your history. That’s why it’s important to select someone you trust. Choose someone who you know will pay on time and not let their balance lapse. You can even have an upfront conversation about credit history and payments before being added as an authorized user to their credit card.

Just because you won’t be legally responsible for your charges, you may have a different arrangement with family. For example, Asher is an authorized user on his mom’s credit card. She pays for his groceries and utilities, but he is responsible for discretionary spending like going to the movies. Still, if the authorized user like Asher refuses to pay their portion, the cardholder remains responsible for covering it. If the cardholder doesn’t pay or can’t pay the balance, it could harm you more than help you.

Ways to Build Credit

Besides becoming an authorized user, there are other ways to build your credit. Try a combination of different approaches to build your history and show that you’re a responsible borrower.

Try a rent reporting service: Put your monthly payments toward your credit history by signing up for a rent reporting service. Proof of your payments is sent to the major credit bureaus. You’ll have to pay a small fee for the service, but it’s a low-risk way to create a credit history for payments you already make.
Apply for a secured credit card: Most credit cards are unsecured but require an established credit history. Secured credit cards allow you to put down collateral, such as a $500 cash deposit, in case you don’t pay your bills. These cards are for those without much credit history because the deposit guarantees payment to the lender if you don’t make payments. In most cases, secured credit cards carry higher fees and interest rates than normal unsecured cards.
Have someone cosign on a loan: Whether you’re purchasing a vehicle or need more funds for college, having someone cosign on a loan can help build your credit. Banks and lenders will often give out small loans to those without much credit history, as long as they have a solid cosigner backing them.
Choose a student credit card: If you’re in college, build credit with a student card. You may be approved even with no credit history. You might have a lower credit limit, such as $500 or $1,000, but the card allows you to spend on credit and build trust with creditors.

Practicing smart financial habits, like building your credit or having a personal budget, reaps rewards both now and in the future. Being an authorized user is one practical way to go about improving your overall financial health when done correctly. With a higher credit score and stronger finances, you can achieve bigger goals, like buying a home or saving for early retirement.

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