The perks of having a solid credit history are real. The credit score is a highway to get loans from credit card companies and earns the best interest rate for every penny borrowed. In order to build a good credit score, the fastest way you can choose is by credit cards. However, if you never ever have a credit card history before, or yours is a disastrous one, it is hard to be qualified for a credit card. This way, secured credit card is the only way and there have been many companies that provide the service. One of them was Bank of America secured credit card.
With a secured credit card, you need to put up some amount of cash security deposit. This security deposit is the reason why this card is called ‘secured credit card’. When you cannot pay the bill on the time, the loaners will take the deposited cash instead and it won’t hurt your credit score. Secured credit card released by Bank of America also applies this policy.
The amount of security deposit cash will also be the credit card limit. Bank of America secured credit card have a minimum limit on $300 and a maximum credit limit of $4,900. The security deposit cash will be requested when the account is opened. The maximum credit limit depends on the amount of security cash deposit too but there are also other factors that determine the limit such as your income and if possible, your credit score.
In addition, Bank of America secured credit card strongly advises its card member to consider their ability to pay and their expense before determine the amount of the credit card limit. Unwise credit card usage and late payment will only hurt your credit card score – even on a secured credit card.
Benefits from the Card
Some people have made their reviews on Bank of America secured credit card. The card members are mostly satisfied with services and benefits they get from the card. However, if you are looking for any rewards for every purchase made using the card, it’s not a right match for you.
Periodically, Bank of America makes reports to the credit score bureaus. Every time a transaction is made using the card and the bill payment are paid on time that transaction will be recorded on a payment history. Both of negative and positive progress will be showed on the credit report. Therefore, the card is powerfully helpful for establishing a credit score or repairs the trembling one.
However, the card has a high annual fee which is $39. But the price comes with other useful benefits. All credit members get ShopSafe protection which offers a temporary credit card number during online transaction. Therefore, the real credit card number won’t be revealed. Additional chip protection is also planted on the card to protect its users from credit card fraud. With all these perks, Bank of America secured credit card is recommended for everyone who wishes to establish or repair their credit score.