The 5 WORST Credit Cards in 2021: (Avoid These!)
5.2 هزار بار بازدید -
4 سال پیش
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Reviewing the absolute worst credit
Reviewing the absolute worst credit cards in 2021 with no cash back rewards, no credit card points, introductory offers or bonuses and a lot of hazards to avoid. Even with bad credit, better cards are available.
DISCLAIMER: Video is for ENTERTAINMENT PURPOSES ONLY.
These cards have a relatively high APR/interest rate on average being 30% or higher.
They also have numerous fees that don't exist on regular credit cards and while they can argue that it's a way to mitigate risk as those with lower credit scores are statistically riskier individuals, I feel like it's just a way to take advantage of people.
In fact, most of these cards start you off at a $300 credit limit and with all the fees imposed on you from the start, you can have an initial credit limit of $75.75.
These cards have a mix between having trade offs, not from pros vs cons, but rather the intensity of a con.
Here are the cards that I go over:
1. First Premier Bank Mastercard Credit Card
This is the company that got a lot of attention with their "gold" card having a 79.99% interest rate and a multitude of fees; this card is no longer available.
They now offer this new card that has reduced interest rates, but still retained its original fee system.
• 36% Interest Rate
• $55 - $95 Program Fees
• Annual Fees : $75 - $125 (first year only) $45 - $49
• Monthly Fees : $0 - $96 (first year/annual cost) $75 - $124.80
• 3% Foreign Transaction Fee
• 25% Credit Limit increase Fee
They have a fee system that changes based on how much your maximum credit limit is.
For the most part, it seems to increase as you go higher, which was different from my initial hypothesis of charging you more as you have a lower credit score.
The program fees are also called by other names such as activation fees, and these are fees that you have to pay after you get approved for the card, but before you even get the card.
They also consider increasing your credit score after 13 months, but there is a fee attached to 25% of the amount.
2. FIT Mastercard Credit Card
Finding the Terms and Conditions for this card on their website was slightly difficult, if not inconvenient, as they for some reason have a personalized login to show the agreement form, but won't show you a generalized one unless you go apply for the card.
• 29.99% Interest Rate
• $89 Processing Fee
• $99 Annual Fee
• Monthly Fee : $0 (first year) $75
• 3% Foreign Transaction Fee
• $30 Additional Cards
After 6 months, you are eligible to receive a credit limit increase, which surprisingly doesn't have a fee attached to it.
3. First Digital Mastercard Credit Card
This card's website "claims" to have 900+ reviews giving it a 5 star AVERAGE rating and I know that is scuffed because not even the best credit cards have that kind of rating.
All the reviews sound super generic with 3 words saying that 'it is good' and typically have nothing beyond that.
Therefore, I suspect that they were offered a credit reward, if they gave a positive 5 star rating on their site.
That would actually make a lot of sense, and because in a sense it is free money, most people wouldn't decline that offer.
• 35.99% Interest Rate
• $95 Program Fee
• Annual Fees : $75 (first year) $48
• Monthly Fees : $0 (first year/annual cost) $75
• Can't Use Internationally
• 25% Credit Limit Increase Fee (after 12 months)
4. Applied Bank Unsecured Classic Visa Credit Card
This card is different from the rest because this card has no grace period for the purchases that you make.
What this means is that when you make a purchase and it gets posted to your account, you are subjected to interest.
Most credit cards offer a 20+ day grace period that allow you to pay the account balance without having interest added on, unless you pay the minimum amount by the date (or if you miss the payment).
The only workaround for this is to pay the account balance immediately after you buy something and the charge gets posted to your account, but depending on whether you are using a checking or savings account, you could incur fees for too many frequent payments.
• 29.99% Interest Rate
• No Grace Period
• $89 Processing Fee
• Annual Fees : $75 (first year) $45
• Monthly Fees : $0 (first year/annual cost) $75
• $100 Flat Credit Limit Increase Fee
• $30 Card Replacement Fee
• $10 Copies of Statement
5. Total Visa Credit Card
This is pretty much a better version of the First Digital Mastercard with slightly reduced interest rates and fees.
• 34.99% Interest Rate
• $89 Program Fee
• Annual Fees : $75 (first year) $48
• Monthly Fees : $0 (first year/annual cost) $75
• 20% Credit Limit Increase Fee
These cards are really bad, just avoid them.
If you are in a situation where you have damaged credit, you can progress further with a secured credit card from a reputable credit card network (think popular) that won't accumulate unreasonable fees over time, but also give you cash back bonuses while increasing your credit score.
DISCLAIMER: Video is for ENTERTAINMENT PURPOSES ONLY.
These cards have a relatively high APR/interest rate on average being 30% or higher.
They also have numerous fees that don't exist on regular credit cards and while they can argue that it's a way to mitigate risk as those with lower credit scores are statistically riskier individuals, I feel like it's just a way to take advantage of people.
In fact, most of these cards start you off at a $300 credit limit and with all the fees imposed on you from the start, you can have an initial credit limit of $75.75.
These cards have a mix between having trade offs, not from pros vs cons, but rather the intensity of a con.
Here are the cards that I go over:
1. First Premier Bank Mastercard Credit Card
This is the company that got a lot of attention with their "gold" card having a 79.99% interest rate and a multitude of fees; this card is no longer available.
They now offer this new card that has reduced interest rates, but still retained its original fee system.
• 36% Interest Rate
• $55 - $95 Program Fees
• Annual Fees : $75 - $125 (first year only) $45 - $49
• Monthly Fees : $0 - $96 (first year/annual cost) $75 - $124.80
• 3% Foreign Transaction Fee
• 25% Credit Limit increase Fee
They have a fee system that changes based on how much your maximum credit limit is.
For the most part, it seems to increase as you go higher, which was different from my initial hypothesis of charging you more as you have a lower credit score.
The program fees are also called by other names such as activation fees, and these are fees that you have to pay after you get approved for the card, but before you even get the card.
They also consider increasing your credit score after 13 months, but there is a fee attached to 25% of the amount.
2. FIT Mastercard Credit Card
Finding the Terms and Conditions for this card on their website was slightly difficult, if not inconvenient, as they for some reason have a personalized login to show the agreement form, but won't show you a generalized one unless you go apply for the card.
• 29.99% Interest Rate
• $89 Processing Fee
• $99 Annual Fee
• Monthly Fee : $0 (first year) $75
• 3% Foreign Transaction Fee
• $30 Additional Cards
After 6 months, you are eligible to receive a credit limit increase, which surprisingly doesn't have a fee attached to it.
3. First Digital Mastercard Credit Card
This card's website "claims" to have 900+ reviews giving it a 5 star AVERAGE rating and I know that is scuffed because not even the best credit cards have that kind of rating.
All the reviews sound super generic with 3 words saying that 'it is good' and typically have nothing beyond that.
Therefore, I suspect that they were offered a credit reward, if they gave a positive 5 star rating on their site.
That would actually make a lot of sense, and because in a sense it is free money, most people wouldn't decline that offer.
• 35.99% Interest Rate
• $95 Program Fee
• Annual Fees : $75 (first year) $48
• Monthly Fees : $0 (first year/annual cost) $75
• Can't Use Internationally
• 25% Credit Limit Increase Fee (after 12 months)
4. Applied Bank Unsecured Classic Visa Credit Card
This card is different from the rest because this card has no grace period for the purchases that you make.
What this means is that when you make a purchase and it gets posted to your account, you are subjected to interest.
Most credit cards offer a 20+ day grace period that allow you to pay the account balance without having interest added on, unless you pay the minimum amount by the date (or if you miss the payment).
The only workaround for this is to pay the account balance immediately after you buy something and the charge gets posted to your account, but depending on whether you are using a checking or savings account, you could incur fees for too many frequent payments.
• 29.99% Interest Rate
• No Grace Period
• $89 Processing Fee
• Annual Fees : $75 (first year) $45
• Monthly Fees : $0 (first year/annual cost) $75
• $100 Flat Credit Limit Increase Fee
• $30 Card Replacement Fee
• $10 Copies of Statement
5. Total Visa Credit Card
This is pretty much a better version of the First Digital Mastercard with slightly reduced interest rates and fees.
• 34.99% Interest Rate
• $89 Program Fee
• Annual Fees : $75 (first year) $48
• Monthly Fees : $0 (first year/annual cost) $75
• 20% Credit Limit Increase Fee
These cards are really bad, just avoid them.
If you are in a situation where you have damaged credit, you can progress further with a secured credit card from a reputable credit card network (think popular) that won't accumulate unreasonable fees over time, but also give you cash back bonuses while increasing your credit score.
4 سال پیش
در تاریخ 1399/11/03 منتشر شده
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