It takes a lot of effort to rebuild credit. If you have no credit history or your credit score has dropped, you have few options because many lenders will be reluctant to provide you a credit card or personal loan.
With the Milestone® Mastercard®, you’ll be joining a select group of credit cards designed for those with less-than-perfect credit. The Milestone® Mastercard®, like many others designed for people with weak credit, has complicated terms, high-interest rates, and a range of annual fees. On the other side, because it’s an unsecured credit card, no security deposit is required, and your scores are reported to all three major credit bureaus.
Benefits of Milestone Gold Mastercard
With the Milestone® Mastercard®, individuals can establish their credit history (the card’s transactions are shared with the three credit bureaus, according to Experian, one of the three). For those who don’t want to (or are unable to) put down the needed security deposit for a secured card, the most popular option for those with no credit or damaged credit looking to rebuild their credit score, there is an option.
Other than offering a $300 initial line, Milestone® Mastercard® is less transparent about the size of your credit limit and whether or how it will rise over time compared to some competitor cards’ issuers (minus the amount of the annual fee). Milestone® Mastercard® is designed for people who wish to rebuild their credit, not for those who desire a card with a rising credit limit. The Milestone® Mastercard®, on the other hand, is devoid of travel perks and levies a fee on foreign currency transactions (although a modest 1%). Even when compared to other cards designed for people with credit concerns, it’s a bad idea to bring along on a trip.
Also, the Milestone® Mastercard® has a set annual percentage rate (APR) of 24.90 percent, which is typical of cards designed for people with bad credit. Due to the high-interest rate, this card is not recommended for consumers who intend to use it to pay off a large balance over time. For this reason (and since it uses more of your credit limit), you should avoid using your card to pay off debts that you don’t have. The lower your “credit utilization,” the better it is for you with regard to credit bureaus.
You’d anticipate some usual benefits from an unsecured card, and this one delivers:
- There is no limit to your liability.
- Replacing a lost or stolen credit card
- Advance on your next paycheck
In Missouri, the Milestone Gold Mastercard is issued by the Bank of Missouri, a small community bank with only 25 locations statewide. However, Genesis FS Card Services, the company responsible for the Milestone® Mastercard® customer care, handles cardholder difficulties. The 2020 J.D. Power Credit Card Satisfaction Study does not include Genesis F.S. Card Services, like the card issuer.
Use secure messaging or dial 1-866-453-2636 to reach customer assistance. In contrast to other major credit card issuers, however, customer care is only available during specific hours rather than 24 hours a day, seven days a week. Contact customer service seven days a week from six in the morning until six in the evening Pacific Time. As a result, if you have concerns or problems outside of the hours the issuer is open, you may find it difficult to receive assistance.
The Milestone® Mastercard® has all the security protections you’d expect from an unencrypted card of this type. If security is the feature you are looking for, go for Milestone® Mastercard®.
Mastercard ID Theft Protection is available if you have this card. Your Social Security number, email addresses, and credit card accounts are all under the watchful eye of this service. Identity-theft resolution professionals are accessible 24 hours a day, seven days a week, to assist you if your identity has been compromised.
Suggested Read: Surge Credit Card Review 2021
Pros of Milestone® Mastercard®
Requires No Security Deposit
Since persons with bad credit or no credit history can’t get standard (unsecured) credit cards, they usually resort to a secured card, which requires a security deposit that also serves as a credit limit. A security deposit is not required with the Milestone Gold Mastercard. Your creditworthiness determines how much you can borrow from the revolving line of credit or whether you’ll have to pay an annual fee. Your card activity is reported to the major credit bureaus, just like with a protected card. Providing your activity is positive, you can use the reporting to develop a credit history that will help you receive more favorable terms on other credit products in the future.
Milestone® Mastercard® Account Protection
Any unlawful purchases made with lost or stolen cards are protected from liability under standard Mastercard fraud policies. They also provide identity monitoring services to cardholders, safeguarding personal information such as Social Security numbers, email addresses, passwords, and credit and debit cards, as well as bank accounts.
Pre-qualification Is a Painless Process
You don’t have to worry about prequalifying for the Milestone® Mastercard® if your credit is less than perfect. No changes will be made to your credit score as a result of the soft pull, and there is no fee for applying for the card.
Cons of Milestone® Mastercard®
Annual fee is $35 to $99 based on credit worthiness.
Low Credit Limit
Milestone® Mastercard® has a $300 credit limit. However, you may be authorized for a credit limit as low as $100. There was no mention of the credit line’s maximum value. The maximum credit limit on some unsecured cards for people with bad credit is as high as $1,000. Milestone® Mastercard®, on the other hand, does not define whether or not the restriction can be raised after a certain period of time. However, no matter how high your credit limit is on the Milestone Gold Mastercard, you will not receive the full amount as an available credit.
There Are No Bonuses or One-Time Offers
The Milestone Gold Mastercard doesn’t offer points for purchases, and it doesn’t give new cardholders a special deal. Even while these exclusions aren’t out of the ordinary for a card aimed at those with bad credit, they are for an annual fee-based card.
Costs and Charges
Each of the Milestone® Mastercard® options carries an APR of 29.90 percent for the card’s overall balance transfer and cash advance. If you opt to use this card, keep in mind that the penalty APR is not applied even if you don’t pay your bills on time.
Annual fees range from $35 to $99, depending on your creditworthiness, for what you get. The first year’s charge is $75 if you qualify for the $99 fee. With a credit limit of only $300, the yearly charge on the Milestone® Mastercard® can significantly reduce your available credit, making it more difficult to establish credit in the future. If you go above your credit limit, you may be charged a penalty fee of up to $40 per card.
Only if you choose the issuer’s Overlimit Coverage will you be charged an over-limit fee, as transactions exceeding your limit will be denied. If you carry an over-extended balance to the following billing cycle, the Overlimit Coverage could impose up to two additional $40 penalties on top of the original over-limit price. However, the coverage’s conditions indicate that you would only pay one fee per billing cycle.
There are some positives, such as a low foreign transaction cost of 1 percent (compared to the average 3 percent) and no cash advance fee for the first year.
If you have fair or even terrible credit, you might be able to get approved for a credit card with the Milestone® Mastercard®. This alone may not be sufficient to convince you to apply for the card rather than superior alternatives that serve the same purpose. With this card, you’ll pay an annual fee of up to $99, which will be deducted from your available credit limit until you pay it back in full. If you use the card wisely, your credit limit might be as low as $300.
It’s unknown how much higher your credit limit will be if you don’t. Consider credit cards intended for those with poor credit as alternatives to this one. A fee-free Petal Visa card is available to those who qualify. Not only does it not charge an annual fee, but it also does not charge international transaction fees, late payment costs, or fees for going over your credit limit, as do the Milestone Gold Mastercard and most other cards of its type. Cashback rewards are another perk of using the Petal Visa.
FAQs related to Milestone® Mastercard®
What are the benefits of having a solid payment history?
Good payment history might help you qualify for lower interest rates on mortgages, vehicle loans, and other types of credit.
Do you think I’ll get the green light?
In spite of the fact that the credit standards are intended to assist many people with poor credit histories, acceptance is not guaranteed. In order to decide if you qualify for the Milestone® Mastercard®, your pre-qualification request and application will be scrutinized in great detail.