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This article was last updated Sep 10, 2018, but some terms and conditions may have changed or are no longer available. For the most accurate and up to date information please consult the terms and conditions found on the issuer website.
If you’re someone with bad credit looking to open a credit card that doesn’t require the security deposit of a secured card, you may come across the First PREMIER® Bank Credit Card. This is an unsecured card — meaning no deposit is required to access your credit limit.
While the lack of a security deposit may seem like a win, it’s far from a safe bet. The First PREMIER® Bank Credit Card has numerous fees that should make you seriously consider other cards, including secured cards. After all, with a secured card, your security deposit is fully refundable if you pay your bill in full and close your account.
The First PREMIER® Bank Credit Card may be marketed toward people with less-than-perfect credit, but there are better options available that can help you build credit without incurring high fees.
The cost of the First PREMIER® Bank Credit Card
This card can cost you up to $220 in fees after opening an account. That’s a jaw-dropping amount that should be for a card that provides a wide range of benefits and rewards. But don’t get your hopes up — the First PREMIER® Bank Credit Card is a bare-bones, subpar credit card for people with bad credit.
Many credit cards for bad credit are laden with numerous fees that you typically won’t see with cards designed for good or excellent credit such as program fees, and monthly fees. The First PREMIER® Bank Credit Card has all of these fees and more. Before you can even access your credit limit, you need to pay a $95 one-time program fee, then annual and monthly fees that vary by your credit limit. That’s a steep fee to pay besides the annual and monthly fees associated with a First PREMIER® Bank Credit Card. Program fees (aka processing or account opening fees) are often characteristic of credit cards for bad credit, but just because you have bad credit doesn’t mean you need to settle for a bad credit card. You have other options, including secured cards or other cards for people with bad credit, that may not have fees as high. We discuss these alternatives at the end of this review.
Here are the many fees you will be charged and how they reduce your initial available credit limit:
|Credit Limit||Annual Fee||Monthly Fee||Initial Available Credit Limit|
|$300||$75 first year, after $45 annually||$0 first year, after $75 annually (billed $6.25 per month)||$225|
|$400||$100 first year, after $45 annually||$0 first year, after $75 annually (billed $6.25 per month)||$300|
|$500||$125 first year, after $49 annually||$0 first year, after $124.80 annually (billed $10.40 per month)||$375|
Do not carry a balance with this high-interest card. This is one of the highest APRs for a credit card — 36% fixed APR — effective when you carry a balance from month to month. That’s compared with other credit cards that have APRs maxing out in the mid-20s. As a result, you should pay every bill on time and in full so you avoid high-interest charges.
Watch out for the automatic credit limit increase fee. Once your account has been open for 13 months, First PREMIER Bank may check if you’re eligible for a credit limit increase. If you are, they’ll charge you a fee that’s 25% of the amount of the credit limit increase. For example, if approved for a $100 credit limit increase, you’ll incur a $25 credit limit increase fee, which will result in an additional available credit of $75. If you don’t want a credit limit increase and are given one (therefore incurring a fee), you can request a refund of the fee within 30 days after the date of the billing statement on which the fee is billed.
Depending on what actions you request with your card, you may incur these fees:
- $38 late payment fee
- $29 additional card fee
- $35 express delivery fee for lost, stolen or replacement cards
- $5 wire transfer fee
- $3 copying fee for each statement, sales draft or other document copy
- 3% foreign transaction fee
Alternatives to the First PREMIER® Bank Credit Card
2% cash back at gas stations and restaurants on up to $1,000 in combined purchases every quarter, automatically. 1% unlimited cash back on all other purchases.
Credit line will equal your security deposit of $200 or more*
No annual fee, no late fee on your first late payment. No penalty APR*
- No Annual Fee, earn cash back, and build your credit with responsible use.
- It’s a real credit card. You can build a credit history with the three major credit bureaus. Generally, debit and prepaid cards can't help you build a credit history.
- Establish your credit line by providing a refundable security deposit from $200-$2500 after being approved. Bank information must be provided when submitting your deposit.
- Automatic reviews starting at 8 months to see if we can transition you to an unsecured line of credit and return your deposit.
- 2% cash back at gas stations and restaurants on up to $1,000 in combined purchases every quarter, automatically. Plus, earn unlimited 1% cash back on all other purchases.
- Get 100% U.S. based customer service & get your free Credit Scorecard with your FICO® Credit Score
- We automatically match all the cash back you’ve earned at the end of your first year.
- Receive FREE Social Security number alerts-Discover will monitor thousands of risky websites when you sign up.
- See Rates & Fees
See additional details for Discover it® Secured
The Discover it® Secured is our top pick for a secured card and can provide you with the opportunity to rebuild credit if you’re someone with poor/new to credit credit. The minimum security deposit is $200. There’s a great $0 annual fee and even a cashback program, which is uncommon of secured cards. You can earn 2% cash back at gas stations and restaurants on up to $1,000 in combined purchases every quarter, automatically. 1% unlimited cash back on all other purchases. Plus, for new cardmembers, Discover will automatically match all the cash back you earn at the end of your first year.
Build Credit When Used Responsibly
$49, $99, or $200
- No annual fee, and all the credit building benefits with responsible card use
- Unlike a prepaid card, it builds credit when used responsibly, with regular reporting to the 3 major credit bureaus
- You will get an initial $200 credit line after making a security deposit of $49, $99, or $200, determined based on your creditworthiness
- Get access to a higher credit line after making your first 5 monthly payments on time with no additional deposit needed
- Easily manage your account 24/7 with online access, by phone or using our mobile app
- It's a credit card accepted at millions of locations worldwide
See additional details for Capital One® Secured Mastercard®
The Capital One® Secured Mastercard® has minimum security deposits of $49, $99 or $200 depending on creditworthiness. Even if you qualify for the $49 or $99 deposit, you will still receive a $200 credit limit. Plus, this card has a $0 annual fee and is ideal for limited/bad credit.
Reports to the Three Major Credit Bureaus
No Penalty Rate or Application Fees*
- Credit lines available from $200 to $5,000! Super Low Fixed 9.99% interest rate on purchases - with no penalty rate!
- No minimum credit score requirements! We invite all credit types to apply! No processing or application fees!
- Helps strengthen your credit with responsible card use. Reports to three national bureaus
- Fast, easy application process. Choose your credit line and open your Personal Savings Deposit Account to secure your line.
- See additional Green Dot primor® Visa® Gold Secured Credit Card details
See additional details for Green Dot primor® Visa® Gold Secured Credit Card
The Green Dot primor® Visa® Gold Secured Credit Card requires a minimum $200 security deposit and has a lower $49 annual fee compared with the First PREMIER® Bank Credit Card’s range of annual fees. And the APR is significantly lower at 9.99% (F), versus 36% fixed for the First PREMIER® Bank Credit Card. The lower APR is ideal if you may carry a balance month to month. This card is has no minimum credit score requirements.