This card can help you build your credit reputation even if your credit score right now is terrible. In this Applied Bank Unsecured Classic Visa Card review, I’ll list all its features and specs so that you will know if it’s the right one for you.
The Applied Bank Unsecured Classic Visa Card is ideal for those whose credit scores are poor. It is also designed for people who don’t want to deposit their money to get a secured credit card. While this type of credit card offers certain advantages, they also have certain downsides.
The starting credit limit of this unsecured Classic Visa Card is $300. But it does not mean that you’ll get to spend the full amount of $300 right away. The initial annual fee is deducted from that amount as soon as you open an account.
Read on to learn more about the Applied Bank Unsecured Classic Visa, its features, benefits, requirements, and other things you need to determine if it will satisfy your needs.
About the Applied Bank Unsecured Classic Visa Card
Useful to Those With Poor Credit Scores
The Applied Bank Unsecured Classic Visa Card is the type of credit card that will be most useful if you have poor credit scores. Visa is the issuer of this credit card. This card is also geared towards people who don’t want to deposit to get a secured credit card.
While these may be some of its advantages, there are also some disadvantages to using this unsecured credit card. For instance, it does not provide a grace period, has a high annual percentage rate, and charges different fees.
Credit Limit
The credit limit of an Applied Bank Unsecured Classic Visa Card is only $300 at the start. But it doesn’t mean that you get to spend the whole $300 right away. Your initial annual fee will be charged to you as soon as you open your account.
Safe and Secure Transactions
One advantage of this unsecured credit card is that you get to use it in scores of places. Visa allows you to use this card and access cash from approximately 1.9 million ATMs all over the world. Additionally, you know that your transaction is safe and secure when you are using a Visa card.
Unsecured Credit Card vs Standard Credit Cards
It’ll interest you to know that most credit cards are unsecured. A vast majority of credit card holders do not know that. This means you are not required to give any collateral when you borrow money from the issuer or the bank.
In other words, an unsecured credit card and the standard credit card are no different from each other – except when there is a need to distinguish the unsecured credit cards from the secured credit cards. The word “unsecured” only means that the debt on the credit card is not secured or backed by any collateral.
So, the card’s issuer allows you to use their card, and they only take your word for it that you will pay the amount you borrowed from them. There’s nothing more that they require. But it being ‘unsecured’ also means that the ‘unsecured’ card is only attractive to those who have bad credit histories.
Credit History Is Important
In the credit card business, your credit history is essential. It shows if you are good at paying your debt or not. If you don’t have a good credit track record, no lender will lend you their money.
Again, the Applied Bank Unsecured Classic Visa Card is ideal for those with poor credit and those who don’t want to pay a deposit to get a secured credit card. And if you can get by with just a $300 credit limit, this is the card for you.
Quick Approval
It may be tough to get an unsecured credit card from other card issuers. But with the Applied Bank, there is no problem. This bank offers quick approval for unsecured credit card applications.
Applied Bank Unsecured Classic Visa Card Does Not Offer Rewards
So, you can use this card to build a good credit track record. But take note that this card does not offer any rewards. It also does not offer the benefits that other credit cards offer. You will also have to pay several fees for using this card. But that is also true with other regular secured credit cards.
Some Applied Bank Unsecured Classic Visa Card Fees
In using this card, you may be charged with certain fees. The fees can include the following:
- Processing fee – to open your account
- Annual fee
- Card replacement fee – should you lose your original credit card
- Monthly fee – after your first year
- Reinstatement fee – should your account become invalid and you want to re-apply
Additionally, the Applied Bank Unsecured Classic Visa Card does not offer any grace period for your purchases. They will charge interest right after you use the card for your purchases. Regular credit cards normally offer grace periods after each billing cycle closes before they charge interest.
Again, what does the Applied Bank Unsecured Classic Visa Card offer? If you have poor credit scores, then the Applied Bank Unsecured Classic Visa Card is ideal for you. It’s also a good fit for people who don’t want to get a secured credit card by making an initial deposit. Explore this card’s advantages and disadvantages.
Key Benefits of the Applied Bank Unsecured Classic Visa Card
When you look at it superficially, it may seem that using an unsecured credit card does not offer many benefits. That it doesn’t make sense, it seems. But there are certain benefits to using the Applied Bank Unsecured Classic Visa Card.
Here are some of these benefits:
1. Quick Approval
Applying for and getting approved for this credit card is fast and easy. You can apply for this card online. The application and the approval process are fast and easy. This means you can start building a good credit reputation right away with this unsecured credit card.
2. Poor Credit Record Does Not Matter
The issuer of this unsecured credit card does not require you to show a good credit score to get approved. They only require a credit score of 300 for those applying for this card. You don’t even need to have a credit history before applying.
3. Access Additional Credit
If you can prove that you are using this unsecured credit card responsibly and paying your dues on time, they will allow you to access additional credit lines. This means they will increase your credit limit.
4. Manageable Monthly Payments
Since you are only allowed a relatively small credit limit, your monthly dues will also be relatively small. With a fixed APR, you will be able to manage your monthly payments easily. This means you’ll be able to build a good credit score and build a good credit track record. You can then apply for a regular credit card that offers better terms with good rewards.
5. Accessible by the the Major Credit Bureaus
Your credit history with the Applied Bank Unsecured Classic Visa Card is accessible to the three major credit bureaus in the United States. This means that as you use this unsecured credit card for your purchases and you keep up with your payments, you will be building a good credit history.
When you apply for increased credit limits or other types of credit cards, your credit score and track record will be vouched by these reputable organizations. So, your credit card applications will be quickly approved. Just make sure that you are always paying your dues on time.
Fees and Charges of the Applied Bank Unsecured Classic Visa Card
Unsecured credit cards typically charge more fees than other cards. This is mainly due to its primary purpose of building or rebuilding credit for those with bad credit records and histories. So, here are the fees that you can expect while using this credit card:
Fees
- Processing Fee – $89, for opening your account
- Annual Fee – $75 for the first year, and $45 thereafter
- Late Payment Fee – $38 (maximum)
- Returned Payment Fee – $38 (maximum)
- Monthly Maintenance Fee – $0 for the first year, and $6.25 per month
- Card Replacement Fee – an additional of $30 for the replacement of lost credit card
- Stop Payment Fee – $30
- Optional Payment Fee – $12.95 per payment
- Reinstatement Fee – $50
- Credit Limit Increase Fee – $100 (unless you make another agreement)
- Foreign Transaction Fee – 3% of the amount
- Cash Advance Fee – $10 or 5% of the amount or whichever is higher
- Automate Account Information Fee – $0.50 for every inquiry made through the automated account information system
APR
- Purchase APR – 29.99% (fixed rate)
- Balance Transfer APR – None
- Cash Advance Rate – 29.99%
- Minimum Interest – $0.50
Who Will Benefit in Using the Applied Bank Unsecured Classic Visa Card?
This unsecured credit card primarily targets those who want to build or rebuild their credit record or history. The three major credit bureaus in the United States access the Applied Bank Unsecured Classic Visa Card records. These three are:
- Equifax,
- Experian, and
- TransUnion.
So, you can quickly build a good credit track record if you will use the Applied Bank Unsecured Classic Visa Card responsibly. But take note that you can also do this with other secured credit cards, with their respective requirements, of course.
How to Apply for an Applied Bank Unsecured Classic Visa Card
It is relatively easy to apply for an Applied Bank Unsecured Classic Visa Card. There are only a few steps you need to take:
- Visit the official website of Applied Bank Unsecured Visa Card
- On the landing page, you will see a section where “Apply Now” is indicated. Click on that link.
- Fill out the online application form.
- Check if all the information you’ve typed in are correct.
- Submit the application form.
- Wait for the notice of approval from Applied Bank and go from there.
Requirements
Aside from the standard requirements, the only requirement you need to be concerned about is your credit score. Even with a poor credit score of just 300, you can be approved. They don’t even require you to supply your credit history.
Pros and Cons of the Applied Bank Unsecured Classic Visa Card
Looking at the pros and cons of this unsecured credit card will also tell you if it is the right card for you:
Pros
- Good for those with bad credit scores
- Accessible to all credit bureaus
- Easy process of application and approval
Cons
- Charges a processing fee
- You have to pay for an initial fee and then annual fees after that
- Charges several fees as you use the credit card
- No grace period
Conclusion: Applied Bank Unsecured Classic Visa Card
The Applied Bank Unsecured Classic Visa Card is the best credit card for people who have poor credit scores. If you don’t want to deposit to get a secured credit card, this is the best card for you. So, if you are in any of these situations, this card is for you.
While this unsecured credit card has some advantages, it also has certain disadvantages. For this reason, you need to assess your situation before making your decision. Ask yourself this question: If I apply for this credit card, will the advantages outweigh its disadvantages? Your answer to this question will significantly influence your decision.
