The article is about capitalone activate. There is a new credit card on the block which is called a low card issued by Mid-America Bank, we can see more details about the credit card, mentioning two kinds including platinum and rewards as well as some other mixed reviews about the card.
It is credit shrivel here and there is a new credit card on the block, it’s called a low card, it’s issued by Mid-America bank and serviced by fair square financial under the name all over financial services fair square, CEO Rob who had previously held senior positions at Capital One said in an interview with the Delaware Business Times, we believe there is an opportunity to better meet the credit needs of hardworking Americans while helping them achieve their financial goals, so it’s a credit builder or credit rebuild a card which makes sense, because credit building was Capital One’s thing, although card also has quite a nice credit education section on their website with beginner intermediate level and advanced level articles.
The card currently only has one review on Credit Karma, five stars rewards card for Fair Credit, this is a good card for your second stage of credit building, the Ala team is new and hungry and it seems that they will issue cards to those that are a year or two past a disaster, I want to assign from the olo team that wrote that on other websites.
The card has more mixed reviews, one person says that his bank doesn’t recognize all those, so it’s hard for him to pay the bill online, in another more positive review, someone said that they have a credit score of 650 and a chapter 7 bankruptcy on their credit report from back in 2014 and they were approved for the Ala card which defends the car’s reputation as a credit builder card.
Let’s take a look at a few more details of the card, there are two cards, platinum and rewards, the Platinum one has no annual fee, I think the person writing this review doesn’t know what an annual fee is, they list no annual fee as a con, there are also rewards card which earns two percent cashback on everyday purchases like grocery and drugstores.
It’s $39 per year, the major selling point of these cards is the fact that they don’t have much fee, there is no foreign transaction fee, no returned payment fee and no over-limit fee and while there is a late payment fee of $38, they won’t hit you with a higher penalty, you miss a payment, they also start charging interest only after your due date.
This is the thing you should be careful to check with these relatively unknown credit building tarts credit 1 is the main offender with this, in their Terms & Conditions, they say if your account has a grace period, interest will not be charged on your purchases, if the entire balance is paid in full by your due date each month for accounts with no grace period, interest is charged from the posting date.
If you don’t have that grace period, it means that you’ll start paying interest after you have made a purchase and there are posts on your account normally one or two days after the purchase, how do you find out which credit one cards have a grace period? That information isn’t publicly available, I guess you’d have to call credit one and ask, but in reality, a lot of people don’t read through the terms and conditions properly and then find out that they’re paying interest with no grace period.
After they’ve already opened the account and paid the annual fee, it’s nice to see that olá card is not trying sneaky tricks like that, so that’s definitely a plus point I called up although to ask about credit reporting, because it’s not clear on their website, they said that the card does report to all three credit bureaus each month which is important for a credit building card people on my FICO forum have also said that the card gives you a hard pull on the Experian credit bureau when you apply.
However, the AA low cards APR is the thing that gets criticized the most in online reviews, it is on the high side at twenty four point nine nine percent and although they say it’s variable, they don’t give a range, so it’s currently set at twenty four point nine nine, but you do get a grace period.
So if you always pay in full, you won’t pay any interest now, I would say these cards look reasonably good for people who are building credit, obviously, the drawbacks are the high APR the problems with paying online that people have reported and there’s also no smart phone app for the card or that’s something that could change in the future.
One more thing, it’s invitation only you heard me correctly invitation only like the Amex Centurion card, it’s an exclusive club baby, I phoned them up and asked them a few questions and one of the things I asked was is its invitation.
On the other end of the phone confirmed, invitation is by solicitation only, so you can’t phone up and say whether I could be considered to apply it, it is invitation, you have to receive the invitation through the mail, so I guess they’re targeting people with a certain level of credit score that are obviously building or rebuilding credit.
I don’t see why it has to be invitation-only personally, but that could change in the future, so if you have received the invitation I’ve basically outlined, most of the key details of the card in this video, there’s no real hidden nastiness in this one, you do have a grace period, it’s not like credit 1 or whatever.
The APR is a little bit on the high side, but obviously, if you always pay on time, you are fine, so there’s not that huge amount of information to go on with this one, because obviously, not that many people have got it yet, because it’s invitation only, so I’ve gone on the information I had from various reviews and forums online.
If you know anything else about this card, you can leave it in the comments below, I would be very pleased to hear more information about it especially if you have any inside information on it or whatever, let me know, please subscribe and give this video like and we will see you next time.