Applied Bank Secured Visa Gold Preferred Credit Card
This article was last updated Aug 15, 2018. Terms and conditions may have changed. For the most accurate information, please consult the issuer website.
Who the card is best for
The Applied Bank® Secured Visa® Gold Preferred® Credit Card is a decent option for people with no credit or bad credit who may not qualify for secured cards from major issuers. This card doesn’t require a credit score and won’t perform a credit check, so people who lack a credit history or have a low score may be approved.
People with fair or better credit scores may want to look at other secured cards that don’t have an annual fee and provide more benefits. Also, if you’re someone with good or excellent credit, check out unsecured cards (which are regular credit cards) — they don’t require deposits like secured cards do, and many offer rewards.
Where this card stands out in its category
There is a low APR at 9.99% (Fixed). This rate is ideal for people who may carry a balance and is the lowest rate in our marketplace. And, since this rate is fixed, it won’t fluctuate like the majority of secured cards with variable APRs. There is also no penalty APR, so your interest rate won’t increase by paying late — but you will be charged a late payment fee, so make it a point to pay on time.
Where this card falls short in its category
This card has a $48 annual fee which reduces the initial available credit you have when you open your account. That means if you open your account with a $200 credit line, your initial available credit will be $152. That’s compared to some other secured cards that don’t have an annual fee and allow you to access the full $200 credit line. Another setback for this card is a lack of a grace period — you will be charged interest from the transaction date of your purchases. Typical cards give you a grace period where you won’t be charged interest until your statement due date.
Additional card benefits
The Applied Bank® Secured Visa® Gold Preferred® Credit Card does not offer any added benefits beyond reporting to the three major credit bureaus.
How to use it most effectively
You can see the most benefit with the Applied Bank® Secured Visa® Gold Preferred® Credit Card when you practice responsible credit behavior and work on building good credit. This can be done by following several credit building tips like paying each statement on time. Not only will that help you avoid late payment fees, it will help you build a good credit score, as your payment history has the greatest impact on your credit score.
Then, typically we’d say pay your statement in full when you receive it so you avoid interest, but since this card doesn’t have a grace period, we encourage you to pay off any transactions as soon as possible — even before you get your bill. This way you minimize the amount of interest you accrue. Another important practice is to keep a low utilization rate (the amount of your total available credit you use). You want to keep your utilization rate as low as possible, and a good rule of thumb is to try not to use more than 20%, so $100 of a $500 credit limit.
Compare it with the Discover it® Secured
The Applied Bank® Secured Visa® Gold Preferred® Credit Card and the Discover it® Secured are very different secured cards that target different types of people. While both cards may approve people who are new to credit, if you have a bad credit score, you may have a better chance with the Applied Bank® Secured Visa® Gold Preferred® Credit Card since it doesn’t perform a credit check. The Discover it® Secured can be good for people with Limited/Bad/Poor credit.
Looking at the features of each card, the Discover it® Secured has a wide range of benefits that include a $0 annual fee, a rewards program, access to your free credit score, a grace period and more. Meanwhile, the Applied Bank® Secured Visa® Gold Preferred® Credit Card lacks added benefits, has a $48 annual fee and no grace period. If you want a well-rounded secured card, the Discover it® Secured is a great option, but if you’ve had trouble getting approved for cards from major issuers, the Applied Bank® Secured Visa® Gold Preferred® Credit Card may be an OK choice with better approval odds.
Here’s a breakdown of the key features of each card:
| Applied Bank® Secured Visa® Gold Preferred® Credit Card | Discover it® Secured | |
|---|---|---|
| Annual Fee | $48 | $0 |
| Minimum Security Deposit | $200 | $200 |
| Purchase Intro Rate | N/A | N/A |
| Balance Transfer Intro Rate | N/A | 10.99% for 6 months |
| Balance Transfer Fee | N/A | 3% intro balance transfer fee, up to 5% fee on future balance transfers (see terms)* |
| Regular Purchase APR | 9.99% (Fixed) | 22.99% Variable |
| Rewards | None | 2% cash back at Gas Stations and Restaurants on up to $1,000 in combined purchases each quarter. 1% unlimited cash back on all other purchases - automatically |
| Sign Up Bonus | N/A | 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. |
| Foreign Transaction Fee | 3% of each transaction in U.S. dollars | None |
Bottom Line
The Applied Bank® Secured Visa® Gold Preferred® Credit Card can be a decent choice for a secured card if you don’t have credit or have bad credit — just be aware of the cost of the annual fee, how that fee limits your available credit and the lack of a grace period.
