Capital One Guaranteed Mastercard [Details and Review]

Are your applications for a credit card being rejected because of your not-so-good credit score? There is a credit card for Canadians that are not strict in this requirement. In this Capital One Guaranteed Mastercard review, I’ll list all of its features, rewards, and requirements, so you can determine if it is the right credit card for you.

The Capital One Guaranteed Mastercard credit card is a good option if you want to improve your credit standing. Without paying a very high annual fee, you can repair your soiled credit score and credit history by getting this card and using it wisely.

A guaranteed credit card from Mastercard is not a prepaid credit card. It is your best option to access credit in your present financial condition. If you get this card, you will be able to repair or build your credit score fast.

Read on to learn more about the Capital One Guaranteed Mastercard credit card, its background, its benefits, its requirements, and its pros and cons.

About the Capital One Guaranteed Mastercard

capital one guaranteed mastercard

Issued by Capital One

Capital One issued the Capital One Guaranteed Mastercard credit card, a Capital One Financial Corporation subsidiary- a member of the Fortune 500 companies. This company provides its clients with all kinds of financial products. In some countries, its products are credit cards only.

You can choose from a dozen credit cards issued by Capital One. In the United States, this company offers investment products and bank accounts. They designed their Capital One Guaranteed Mastercard for a certain group of people – those who have bad to poor credit scores.

Fit for People with High Credit Scores

For this credit card, they also entertain people who have higher credit scores. The company will offer them an unsecured version of this credit card. And Capital One offers the Capital One Guaranteed Secured Mastercard for weak credit scores and history. But they have to provide security funds. Those who get unsecured credit cards don’t have to do so.

So, basically, the Capital One Guaranteed Mastercard is ideal for people who have poor to bad credit and soiled financial history. This card will help them improve their credit scores without paying a costly annual fee.

Not a Prepaid Credit Card

But it should be noted that a guaranteed credit card is not a prepaid credit card. It is an option that you can use to access credit. It is one of the best ways to build or repair your bad or poor credit score in the shortest time.

Gained Favorable Reviews

This credit card has been around for quite a while and has gained favorable reviews after all this time. Capital One’s official website claims that approximately 85% of almost 7,000 reviews of their clients recommend this credit card. On average, users of this credit card gave it a score of 4 out of 5 stars.

The Capital One Guaranteed Mastercard is the closest thing that you can get ‘guaranteed’ credit. Apart from that, you can also enjoy zero liability protection against unauthorized and fraudulent purchases. Those looking for their first credit card and people who need to repair their bad credit are the best customers of this credit card.

Secured Card

Capital one says that this is a standard card, which means it is a secured card. If that’s the case, you need to deposit cash in the amount of $75 to $300 into your account. This amount will be used to pay off your balance at the end of each month.

Credit Limit

You will be given a credit limit that ranges between $300 and $7000. So, those with the poorest credit rating will only have the lower end of the limit. That also means that you will have to deposit $300 into the credit card account before using the guaranteed credit card. If you opt to close your account, you will get the remaining funds after paying off your credit balance.

As you can see, this credit card is like a credit purgatory. It is your way out of credit hell. Although it really hurts to pay a fee to use it as a debit card, you need to do it if you want to get your credit standing to where you want it to be.

Everybody needs to maintain a good credit score. But if there were things beyond your control that took your financial conditions to the south, your credit score will obviously go south as well.

The Capital One Guaranteed Mastercard is one of the best ways you can get back to a solid financial standing. In repairing your bad credit reputation, you have to start somewhere. This guaranteed credit card will help you get out of your present financial hell hole fast.

Capital One Guaranteed Mastercard Benefits

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For those who need to repair their credit standing, the Capital One Guaranteed Mastercard credit card can offer many benefits. Some of these key benefits are as follows:

1. Repair or Establish Credit

Fixing your soiled credit standing is the primary benefit of the Capital One Guaranteed Mastercard credit card. Having a bad credit reputation is not the end of your financial well-being. Getting this credit will enable you to get out of the financial downspout you have gotten yourself into.

This type of credit card is also ideal for those who want to build their credit history. If you have never had any history of credit borrowing before, it will be difficult for you to borrow a substantial amount of money for a project that you want to do. This credit card will help you build that credit history and earn the trust of lenders and investors.

2. Easy Requirements

The “guaranteed” term in its name can also mean that you can easily qualify to get this Capital One Guaranteed Mastercard credit card. While there are some conditions to be met, your approval is guaranteed. Usually, you only have to satisfy a few conditions.

3. Price Protection

As a guaranteed Capital One cardholder, you will enjoy price protection. This feature gives you a 60-day time window after you have made your purchase. During this time, you will be able to request reimbursement for the difference between what you have paid for as a lower price than you see in another vendor selling the same item.

For instance, if you bought a pair of sneakers and 30 days after, you came across the same item in another vendor for $40 less. You can get a reimbursement for that $40 price difference.

You can ask for reimbursements per item difference of up to $100. The total reimbursement you are allowed to get is $500 per year. In the following year, you will get another $500 limit of price protection.

In addition, this guaranteed credit card offers other benefits such as Extended Warranties and Protection Assurance. These added features will help you extend the original manufacturer warranty for up to two years and cover your new purchases against theft and damage for 120 days.

4. Zero Liability Protection

This credit card also offers zero liability protection. It means you will not be held liable if your credit card is compromised. You will not be charged for purchases that you did not authorize.

5. Travel Benefits for Unsecured Cards

If your guaranteed card is unsecured, meaning you were not required to deposit the minimum amount of money into the credit card account, you get to enjoy the following:

  • Travel accident insurance,
  • Some travel assistance services,
  • Rental vehicle insurance, and
  • Coverage for delayed baggage.

6. Use it Anywhere

The Mastercard network spans all countries in the world. So, you can use this guaranteed credit card at places that accept Mastercard. You can even use it in ATMs.

Again, why should you get a Capital One Guaranteed Mastercard? If you want to improve your credit standing without paying an expensive annual fee, then the Capital One Guaranteed Mastercard credit card is good for you. Use it wisely so that you can repair your credit score and history.

Capital One Guaranteed Mastercard Requirements

Before you can enjoy the benefits of the Capital One Guaranteed Mastercard credit card, you have to satisfy certain requirements:

  1. You must be at the age of majority in your country of residence
  2. You should not have a Capital One account or a pending account application for one of its products.
  3. No existing application for a Capital One account or product in the 30 days before your application for the Capital One Guaranteed Mastercard credit card.
  4. Provide the security funds requirement. This is in case Capital One approved you for the secured instead of the unsecured version of the credit card.
  5. Once Capital One approved your application, you have to deposit between $75 and $300 to the credit card account.
  6. You should be willing to pay an annual fee of $59.
  7. The recommended credit score for this guaranteed credit card is bad to poor, or 0 – 579.

Interest Rates and Fee Related to the Capital One Guaranteed Mastercard

capital one unsecured credit card

You need to understand the interest rates that govern the use of this guaranteed credit card, along with the fees that you have to pay while you are using it.

Interest Rates

  • Purchase APR – 19.80% (annual percentage rate)
  • Regular balance transfer rate – 19.80%
  • Cash advance interest rate – 21.9%

Fee

  • Annual Fee – $59.00

Pros and Cons of the Capital One Guaranteed Mastercard

Knowing the pros and cons of this guaranteed credit card will also show if it is really the credit card to help you repair or build your credit score:

Pros

  • This card is for those with bad to poor credit and those who want to build their credit from scratch.
  • It offers a fast track in building or repairing credit score.
  • It has a credit limit of $7,000.

Cons

  • It requires a cash deposit ranging from $75 to $300.
  • There is an annual fee of $59.
  • The interest rates of this credit card are high.
  • Credit limit of $7,000 can be low for some consumers.

Conclusion: Capital One Guaranteed Mastercard

If your credit score and financial history need repair, your best option is to get a Capital One Guaranteed Mastercard credit card. Without paying an exorbitant annual fee, you can get back to a solid financial footing if you will get this card and use it wisely.

The word ‘guarantee’ in its name could mean you are guaranteed to be approved if you satisfy its conditions. These conditions can be easily met even by those with bad to poor credit scores.