The Credit One Platinum Visa Credit Card is one option among the many for those whose credit scores range from good to suboptimal. It comes with similar thorny fees as its competitors—but it’s got one thing that very few unsecured subprime cards offer: A rewards program.
Here’s everything you need to know about the Credit One Platinum Visa.
Card overview
Credit One Bank Platinum Visa
Credit One Bank Platinum Visa
Pros and cons
The Credit One Platinum Visa has few advantages. The card does earn rewards on common purchases, which is more than can be said for many credit cards designed for low-level credit scores.
Fees are the big pain point with this card. You’ll pay a $39 annual fee with practically no perks in return, a cash advance fee of up to 8% or $5, whichever is greater, and foreign transaction fees of 3% or $1, whichever is greater.
You’re also likely to get a low initial credit limit, although Credit One may review your account activity to boost your limit. The card’s minimum credit line is $300. A credit limit that low means you’d have to keep your balance under $90 to avoid breaching the 30% credit utilization.
Who the card is for
If you’ve got a credit score in the low 600s or below, you already know that securing an approval for a decent credit card can be difficult. There aren’t many appealing offers for someone with a messy (or thin) credit history. In this case, the Credit One Platinum Visa could be for you.
Until your credit score improves, you won’t have the luxury of choice. With loose approval standards, this is a card that you can leverage as a tool to increase your credit score by exhibiting good credit behavior.
The card comes with a $39 annual fee, as do most unsecured credit cards for those with bad credit. It’s worth taking it on the chin until you remedy the issues that are dinging your credit.
Premium perks
You won’t find many noteworthy ongoing perks with the Credit One Platinum Visa. Don’t worry about that; you’re not opening the card for a wealth of fancy benefits. You’re opening it as a stepping stone to better cards in the future.
Still, here are a few things you’ll get with the Credit One Platinum Visa.
Free credit score
This card will give you monthly access to your credit score after you register. This can help you to keep tabs on your progress to ensure your credit habits are taking you in the right direction. And you’ll be able to detect any activity (including fraud) that is damaging your profile.
Visa zero fraud liability
If your card is lost or stolen, you won’t be responsible for any fraudulent charges that are made. However, you’ll need to notify the bank immediately of your missing card.
Authorized user card
An authorized user is essentially an additional cardholder. They get their own card with their name on it, but the charges they make appear on your account. It’s a way of sharing your credit line with others.
The Credit One Platinum Visa allows you to add an authorized user for free. You can even add someone as young as age 15. Just note that the account information may not report to their credit report, as Credit One intimates that only authorized spouses will receive this benefit: “If you advise us that the Authorized User is your spouse, then Account information will be reported to credit bureaus in both your name and in the name of the Authorized User.”
Rewards
The Credit One Platinum Visa doesn’t come with any introductory offer after meeting minimum spending requirements, but it does earn rewards for specific spending categories. You’ll get 1% back when you use the card for:
- Grocery purchases
- Gas
- Mobile phone/internet/cable/satellite TV services
These are common purchases that capture the majority of monthly expenses for most folks. Additionally, you’ll get up to 10% back from participating merchants; Credit One says these are “some of the nation’s top retailers” but does not disclose which companies participate.
How to get the most out of the card
The Credit One Platinum Visa charges an annual fee you are unlikely to recoup from the card’s suite of benefits. Therefore, you shouldn’t hold onto it any longer than you have to. Keep the purpose of this card at the front of your mind: to overcome bad credit.
To that end, you should do two things: Pay bills on time and keep your card balance below 30%.
On-time payments are the weightiest factor of your credit, making up 35% of your score. As long as you make your payments by the due date each month, your credit report will benefit. You don’t even have to pay in full. At the very least, make the minimum payment to keep your account from becoming delinquent.
Accounting for 30% of your overall credit score, credit utilization is the second weightiest factor of your credit. This represents the percentage of your credit line you currently use. Experts advise using no more than 30% of your available credit. For example, if you’ve got a $400 credit line, you shouldn’t have a balance above $120. This will likely mean you’ll have to pay down your balance multiple times each month.
Of course, you should also never carry a balance on your card month to month. If you do, you’ll incur APR which can easily take a bite out of any rewards you’ll earn with the card. You could quickly find yourself in a hole of debt that’s difficult to eliminate due to mounting interest payments.
Alternatives
Instead of using an unsecured credit card to help you improve your credit profile, you might do better with a secured credit card. The only catch is that you must submit a refundable security deposit before you open one. The card issuer will extend a credit limit equal to your security deposit—generally between $200 and $5,000. If you default on your loan, the issuer will simply use your money to zero out your credit card balance.
Capital One Quicksilver Secured Cash Rewards Credit Card
Capital One Quicksilver Secured Cash Rewards Credit Card
Capital One Quicksilver Secured Cash Rewards Credit Card
Credit score
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Annual fees
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Welcome bonus
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If you’re looking for something a bit less complicated, the card_name earns 5% back on rental cars and hotel stays booked through Capital One Travel, and 1.5% back on everything else. That’s a significantly higher rewards rate than the Credit One Platinum Visa—and with no annual fee.
U.S. Bank Altitude® Go Visa® Secured Card
U.S. Bank Altitude® Go Visa® Secured Card
U.S. Bank Altitude® Go Visa® Secured Card
Regular APR
29.99% variable
Annual fees
$0
Credit score needed
None
Welcome Bonus
One of the leaders in the secured credit card market is the no annual fee U.S. Bank Altitude® Go Visa® Secured Card. You’ll earn:
- 4 points per dollar for dining (including takeout and delivery)
- 2 points per dollar at grocery stores and for grocery delivery
- 2 points per dollar at gas/EV charging stations
- 2 points per dollar for streaming services
- 1 point per dollar for all other eligible purchases
These points can be redeemed for cash back at a rate of 1 cent each. Interestingly, you’ll also get a $15 statement credit every 12 months in which you pay for eligible streaming services for 11 consecutive months.
This story was written by NJ Personal Finance, a partner of NJ.com. The information presented here is created independently from the NJ.com editorial staff, and purchases made through links in this article may result in NJ.com earning a commission.
