Citi Secured MasterCard Review
Like any other secured credit cards specially designed for people who have been turned down for credit card application and who are in hope of building or rebuilding their credits, the Citi Secured MasterCard offers a relatively low annual fee but charges a higher interest rate than most secured cards.
Fees
Annual fee:$29. Compared to other secured credit cards like the Orchard Bank Secured MasterCard which requires $35, the annual fee for this card is reasonable.
Balance transfer fee: 3% of transferred balance.
Late payment fee: from $15 to $39
Penalty fee for overpending: $39
APR
18.24% APR on all purchases and 25.24% on all cash advances. If you want to use this card for purchases, you’d better get another card to carry the balance for the high interest plus the annual fee will cost you dearly.
Pros
No minimum income or a co-signer is require to apply for this card.
Automatic reporting to 3 major credit bureaus. So if you demonstrate good credit behaviors and pay your bills on time at required amount for 18 months in a row, you have the option to convert to a regular Citi MasterCard with lower fees and more benefits.
Other benefits include 8-month purchase protection, car rental insurance and theft protection. etc.
Cons
High interest rate,Security deposti required, which is the most commonplace feature of all secured credit cards. You have to pay at least $200 as security deposit in a certificate of deposit(CD). The money you put in can increase to $5000 at most, so does your credit line. What’s good about this card is that you can earn a 4% worth of APR as interest, which is quite rare in the secured credit card family. Even though the money earnd is not too much , but it’s better than none.
The credit line equals the amount you deposit into an 18 month from $200 – $5,000. Yet, once you put money into a CD, it is stuck unless you are willing to pay penalties for early withdrawal. This is attractive because most other banks do not let you earn interest on your upfront collateral deposit for secured credit cards.
Not everyone qualifies
It depends on the individual’s situation.if you have a recent bankruptcy on your record,you can’t get Citi Secured MasterCard.
It’s actual simple and easy to qualify for this card. When you start to build or rebuild your credit what you are growing is account performance that will serve you well for all of the borrowing purposes you may have in the future months and years that lie ahead of you.
You can not enjoy a low annual fee and interest rate at the same time if you can only qualify for a secured credit card. The Citi Secured Master Card manages to tip a balance between high fees and high interest rates, making it a good option for people in need.
| Deposit | APR | Credit Line | Annual Fee | Pros |
|---|---|---|---|---|
| Minimum of $200 | 18.24% (V) | Depend on your deposit$200-$5000 | First year waived.After $35 | After 18 months,become eligible for an unsecured Citi cards |
[...] Orchard Bank MasterCard, which only charges $35 from the second year after opening the account.And Citi secured credit card only need [...]