Last Updated: August 2, 2022
Foreign transaction fee:
Cash advance fee:
5% оr $5 (whichever is greater)
Bank account requirement:
Did you know that 16% of US citizens have poor credit or a FICO score between 300 and 579? If you’re one of them, you know how difficult it can be to open an account or get approved for a credit card.
That’s why second-chance credit cards like the Applied Bank Secured Visa® Gold Preferred® Card target people with bad or limited credit. What’s more, they assist them in improving their financial standing.
Read our Applied Bank secured credit card review below to find out:
- How to apply and what deposit it requires
- What fees apply
- What are its benefits and drawbacks
- How it fares against other similar products
Application Process and Requirements
The Applied Bank credit card application is quick and easy to complete. You don’t have to visit a brick-and-mortar branch to apply for this card because the whole process is online. Simply visit the company’s website and fill out your details on the application form.
The advantage is that it doesn’t involve a credit check, and there’s no credit score requirement. To apply, you must be 18 years or older and have a valid SSN (Social Security Number).
Applied Bank Secured Credit Card Review
Before you decide to apply for an Applied Bank credit card, you need to consider some factors. You must determine whether this card is worth it based on the fees it charges and the benefits it offers.
So, let’s check them out!
Security deposit and credit limit
When you’re approved for the Applied Bank Secured Visa® Gold Preferred® Card, you will need to make a security deposit of between $200 and $1,000. This deposit is refundable, so if you decide to close your account, you will get your money back.
Additionally, your deposit becomes your line of credit. Once you are a cardholder, you can increase your credit limit to $5,000 by making additional deposits to your account.
Fees and rates
The Applied Bank Visa® Gold card has several fees you have to be aware of. First, you will be charged an annual fee of $48 when you open your account. This will reduce your available credit by that amount. So, if you have an initial line of credit of $200, the total available will be $152.
One benefit is that Applied Bank doesn’t charge for credit increases. If you want a cash advance, however, you will be charged 5% or $5 on the amount. And for any foreign transaction, a 3% fee applies.
For a returned or late payment, you will be charged $38. So make sure you always make payments on time to avoid extra costs.
Other Applied Bank Visa® Gold card benefits include a low fixed APR of 9.99% and no monthly maintenance fees.
Reporting to credit bureaus
You’ll be happy to know that this card issuer doesn’t check credit history, so your approval odds are high. You just need to send through your Applied Bank secured credit card application.
Even though the card issuer doesn’t do a credit check when you apply, it does report your account activity to the three major credit card bureaus. This means that if you make payments on time every month and you’re responsible with your finances, you can improve your credit score.
Unfortunately, one of this card’s drawbacks is that it doesn’t offer any rewards or cashbacks. This is because this card is designed to help you build your credit and assist you with emergency finances, rather than incentivize you to use it for your everyday purchases.
Common complaints we’ve found from Applied Bank secured credit card reviews by users is that it has several fees on top of the annual fee. But we can say that they don’t exceed the industry average. In fact, the APR is one of the lowest, and there are no monthly maintenance and credit line increase fees.
Some cardholders also state that the company has poor customer service. They also mention the lack of an Applied Bank credit card app, which makes checking accounts online a bit of a hassle.
Our Applied Bank Secured Visa® Gold Preferred® Credit Card review wouldn’t be comprehensive without an objective comparison with some similar products.
|Applied Bank Secured Visa® Gold Preferred®||OpenSky® Secured Visa®||First Progress Platinum Elite MasterCard® Secured||FIT Mastercard®||First Access Visa® Card|
|APR||9.99% (fixed)||18.89% (variable)||21.49% (variable)||29.99% (variable)||34.99% (fixed)|
|Deposit||$200 – $1,000
|$200 – $3,000 (refundable)||$200 – $2,000 (refundable)||$89 non-refundable setup fee||$95 non-refundable setup fee|
|Type of card||Secured||Secured||Secured||Unsecured||Unsecured|
|Credit limit||$200 – $5,000||$200 – $3,000||$200 – $2,000||$400 – $2,000||$300|
|Annual fee||$48||$35||$29||$99||$75.00 for the first year. After that, $48.00 annually.|
|Foreign transaction fee||3%||3%||3%||3%||N/A|
|Cash advance fee||5% or $5 (whichever is greater)||5% or $6 (whichever is greater)||3% or $10 (whichever is greater)||5% or $5 (whichever is greater)||None for the first year. After that, 3% or $10.00 (whichever is greater).|
Let’s now compare some Applied Bank® Secured Visa® Gold Preferred® Credit Card details to that of its alternatives:
This card offers a lower annual fee ($35) than the Applied Bank Visa Gold card. On the other hand, it has a significantly higher APR of 18.89% (variable). Another benefit of the OpenSky secured Visa is that it has a mobile app.
This card has a lower annual fee compared to all the alternatives in this list. But the APR is more than double that of the Applied Bank Visa. Another downside to this card is that you can’t use it outside the US.
This card may be ideal for those who want to keep track of their credit-building efforts, as it features a free monthly credit score report. The APR for FIT Mastercard® is 29.99% which is a lot higher than the Applied Bank Visa® Gold card. But it also has a $400 line of credit, providing more spending power. In addition, the online platform is more user-friendly compared to that of Applied Bank.
If you prefer an unsecured card, the First Access Visa® is a good choice. To set up an account, you have to pay a $95 one-time fee. This is lower than the $200 deposit you have to pay to Applied Bank to activate your card, but unlike it, it’s non-refundable. One benefit of First Access is that there are no cash advance fees for the first year, which is something Applied Bank doesn’t offer. However, the annual fee is higher ($75) in this period.
Applied Bank Secured Visa® Gold Preferred® Card is an ideal choice for people with bad credit. It has an extremely low APR percentage but slightly higher annual fees.
Like most secured cards, it doesn’t offer cashback rewards. It’s simply a way to build your credit, making it a suitable option for college students who need to improve their creditworthiness while having access to emergency funds.
- $0 monthly maintenance fees
- Low fixed interest rates
- A decent line of credit
- Doesn’t check credit history
- Reports to all three major credit bureaus
- No rewards program
- No grace period for interest
What is the credit limit for Applied Bank?
For the Applied Bank Secured Visa® Gold Preferred® Card, the initial line of credit is between $200 and $1,000, depending on the size of your security deposit. With additional deposits, this can go up to $5,000.
Notably, the $48 annual fee will be deducted from your initial line of credit. So with a minimum deposit of $200, you’ll be left with $152 available to spend.
Does Applied Bank Give credit line increases?
Yes, Applied Bank allows you to increase your credit limit up to a maximum of $5,000 by making additional deposits. Unlike some of its competitors, this issuer won’t charge you for the service.
Can I use my Applied Bank card anywhere?
Yes, you can use your Applied Bank card at gas stations, grocery stores, and any other place that accepts Visa. You can also use the card outside the US, but you’ll be charged a 3% foreign transaction fee for your purchases.
How long does it take for an Applied Bank credit card to arrive?
It can take up to 14 days for your Applied Bank credit card to arrive after you’ve been approved.
Does Applied Bank Secured Credit Card report to credit bureaus?
Yes, the company reports your account activity to all three major credit card bureaus. That’s why our Applied Bank secured credit card review confirms the product could be a powerful tool for credit score improvement. Granted, you use it responsibly, making all payments on time.
How to cancel an Applied Bank credit card?
To cancel your Applied Bank card, you just need to contact the company’s customer service team and make a request.