Comparison Site for Great Credit Card Offers

June 10, 2005 05:29 PM

The card does require a banking account to be opened when applying online or a security deposit to be made through the mail as well as payments in advance, which is then used to offset future purchases made with the card.

Advance payments can be funded directly from the cardholder’s paycheck and is automatically loaded to the card every pay period. The card can also be loaded with another credit card, by sending a cashiers check or money order via mail, or by making a cash deposit using the approved deposit slip. Each time the card is loaded, a fee is applied to the account.

It is important to note that there are some fees associated with this card, such as an application fee of $149.95 (if paid online) and a monthly participation fee of $4.95, which amounts to $59.40 annually. So in the first year alone, a cardholder can expect to pay a total of $209.35 in fees. However, if the cardholder activates the card within 30 days of it being issued, a special bonus rebate of $10.00 will be credited to the cardholder’s account.

There are fewer qualifications required compared to other unsecured credit cards, such as a no credit check policy and no bank account required. The only requirement is a verifiable address in the United States.

This card does not report cardholder transactions to the credit bureaus, which may be considered a major drawback for those who are trying to establish credit. Nevertheless, one benefit of this card is the optional AmeriDollars reward program, where the cardholder can earn cash back for shopping at participating merchants and retailers.

Therefore, those who are looking for a stored value card where they can pay in advance for purchases, do not mind paying upfront fees, and do not need to build credit, may find the Secure Deposit MasterCard® to be a beneficial option.