Is the Credit One Bank® Platinum Visa® for Rebuilding Credit Worth It?
The Credit One Bank® Platinum Visa® for Rebuilding Credit isn’t your average credit card for people with troubled credit histories because it has two features that you rarely find together: rewards and an unsecured credit line (meaning no security deposit required).
Here are the key points to bear in mind:
- Rewards won’t offset the high fees: To earn enough cash back to counteract the card’s high annual fee, you’d need to spend at least $9,900 per year on eligible purchases. This would be pretty difficult to achieve, especially if you get the lowest credit limit of $300.
- You’ll get plenty of perks in exchange for your money: Credit One offers more than just the basic benefits that come with a Visa or Mastercard. You’ll get extra perks like free credit scores, optional credit protection, and flexible payment due dates.
- You can find better rewards on a secured card: Just because the Platinum Visa® for Rebuilding Credit comes with rewards doesn’t mean it’s a good rewards card. Even with severely damaged credit (or no credit score at all), you can get much better rewards on a secured credit card if you’re willing to pay a security deposit.
The bottom line is that the Credit One Bank® Platinum Visa® for Rebuilding Credit isn’t the best rewards card out there, but it does offer a good balance of benefits for borrowers who are willing to pay a little extra in annual fees in exchange for an unsecured line of credit.
Pros & Cons
Who Is the Credit One Bank® Platinum Visa® for Rebuilding Credit Best For?
If you can afford the high fees on the Credit One Bank® Platinum Visa® for Rebuilding Credit, then it may be a good option for you, especially if you fall into one of the following groups:
- Anxious borrowers: If you’re worried about an unexpected loss of income or medical expense making it difficult to pay your credit card bills, then Credit One’s optional Credit Protection Program may offer you some peace of mind.
- Strategic spenders: The main advantage that the Credit One Bank® Platinum Visa® for Rebuilding Credit has over other unsecured cards for rebuilding credit is its rewards scheme. You’ll be able to get the most benefit from this card if you make strategic purchases to maximize your Credit One rewards.
Rates & Fees
Fees
- Annual fee: $75 for the first year, $99 after that
- Cash advance fee: $5 or 8% of the cash advance amount (whichever is greater)
- Foreign transaction fee: $1 or 3% of the transaction amount (whichever is greater)
- Late payment fee: Up to $39
- Returned payment fee: Up to $39
- Authorized user card fee: $19 annually
The fees for this card are rather high, especially the annual fee of $99 after the first year. It might be worth paying a security deposit for a secured card instead since many secured cards offer lower fees and will return your security deposit to you after you upgrade or cancel your card.
Interest Rates
- Purchase APR: 26.99% (variable)
- Cash advance APR: 26.99% (variable)
- Minimum interest charge: $1.00
You’ll have to pay interest on any balance you carry over from one month to the next. Because the Credit One Bank® Platinum Visa® for Rebuilding Credit has a high APR, it’s all the more important to pay your credit card bill in full every month to avoid interest charges.
Rewards
It’s rare for credit cards aimed at credit builders or rebuilders to offer rewards programs. This card has a cashback rewards program that can help offset some living costs. However, not all purchases are eligible for cash back.
You’ll get a basic 1% cashback rate on all the following expenses charges to your Credit One Bank® Platinum Visa® for Rebuilding Credit:
- Gas
- Groceries
- Phone and internet bills
- Cable and satellite TV bills
You can also get 10% cash back on purchases from select retailers through Credit One’s More Rewards program. All rewards you earn will be added to your account as statement credit.
It’s important to note that not all grocery store purchases will qualify for rewards. Specifically, superstores, drugstores, convenience stores, bakeries, confection stores, warehouse clubs (e.g., Sam’s Club and Costco), and discount supercenters (e.g., Walmart and Target) won’t be eligible.
Credit Limit
The Credit One Bank® Platinum Visa® for Rebuilding Credit comes with an initial credit limit of at least $300. You may start off with an even higher credit limit though, depending on your creditworthiness.
After you’ve had your card for a while, Credit One may consider giving you a credit limit increase. To maximize your odds of winning a higher credit limit, make sure to pay your credit card bills on time every month.
Benefits
Credit One offers several benefits for the Platinum Visa® for Rebuilding Credit that you won’t find with just any card.
| Benefit | What It Means |
|---|---|
| Experian credit monitoring | Optional free Experian IdentityWorks membership, allowing you to monitor your Experian credit score online and view a summary of your credit report each month. |
| Zero fraud liability | You won’t be responsible for paying any unauthorized transactions that are charged to your account. |
| Customizable payment due date | Freedom to choose your own payment due date after the first billing period, as long as your chosen due date is within 6 days before or after your assigned due date. |
| Credit Protection Program | Optional protection (costing $0.96 for every $100 of your credit card balance) that covers some of your minimum payments if you face financial hardship due to unforeseen circumstances like a job loss or hospitalization. |
The credit monitoring benefit can be particularly useful if you’re trying to build or rebuild your credit, so you can track your progress and
How to Get the Credit One Bank® Platinum Visa® for Rebuilding Credit
Credit Score Required
Credit One doesn’t explicitly state on their website what credit score you need for the Platinum Visa® for Rebuilding Credit. However, they do say the card is suitable for rebuilding credit or building credit for the first time, meaning it’s safe to assume that even borrowers with bad credit (scores between 300–580) or no credit history can qualify.
Other Application Requirements
It’s important to bear in mind that your credit profile isn’t the only factor that Credit One will consider when reviewing your application for the Platinum Visa® for Rebuilding Credit. They’ll also take into account other factors, such as your income and debt level.
To avoid getting a hard inquiry on your credit report and hurting your credit unnecessarily, consider applying for prequalification before submitting a formal card application. Prequalifying involves a soft credit check instead, which won’t hurt your credit score.
How to Apply
You can apply for the Credit One Bank® Platinum Visa® for Rebuilding Credit online. You’ll need to fill out the online prequalification form first, and then you’ll see which cards you’re eligible for. After that, you can fill out a formal application.
Building Credit With the Credit One Bank® Platinum Visa® for Rebuilding Credit
As the name implies, the Credit One Bank® Platinum Visa® for Rebuilding Credit is geared toward borrowers with a less-than-perfect credit history. As such, it has a few features that can help you on our credit repair journey.
Credit Reporting
Credit One will report your account details on the Platinum Visa® for Rebuilding Credit to all three of the major credit reporting agencies: Experian, TransUnion, and Equifax. This means that the account will affect all three of your credit reports.
Tips for Building Credit
Your Credit One card can either hurt or help your credit, depending on how well you manage your account. For the best results, follow these tips:
- Never skip a credit card payment: Always make at least the minimum payment on your account by the payment due date each month to establish a positive payment history. Failing to do so can cause late payments to appear on your credit report and bring your score down.
- Enroll in Credit One’s Credit Protection Program: At only $0.96 per month for every $100 of your credit card balance (or free if you don’t have a balance), Credit Credit Protection Program is a bargain. Hopefully you won’t need it, but if you fall on hard times financially, it could protect your credit from serious damage caused by delinquencies.
- Keep your balance as low as possible: Maintaining a balance as close to $0 as possible won’t just benefit your finances—it’ll also help your credit utilization rate (the amount of your total available credit you’re using), which is one of the main credit scoring factors.
Comparable Cards
If you’re not totally set on the Credit One Bank® Platinum Visa® for Rebuilding Credit or you want to feel confident that you’re choosing the right card, take a moment to see how this card compares to similar cards on the market.
Credit One Bank® Platinum Visa® for Rebuilding Credit FAQs
Does the Credit One Bank® Platinum Visa® for Rebuilding Credit allow cash advances?
You can get a credit card cash advance with the Credit One Bank® Platinum Visa® for Rebuilding Credit, but you’ll be charged a cash advance fee of $5 or 8% of the cash advance amount, whichever is greater. There’s also a cash advance APR of 26.99% (variable), ultimately making cash advances very expensive.
Does the Credit One Bank® Platinum Visa® for Rebuilding Credit allow balance transfers?
Credit One Bank allows balance transfers on some of their cards, but whether or not you’ll be able to get a balance transfer depends on the card offer you get.
Even if you are allowed to perform balance transfers on your Credit One Bank® Platinum Visa®, some limitations will apply. For example, you can only transfer a balance from a card that lists you as a cardholder, and you can’t transfer balances between different Credit One credit card accounts.
What’s the grace period on the Credit One Bank® Platinum Visa® for Rebuilding Credit?
The Credit One Bank® Platinum Visa® for Rebuilding Credit has a grace period of 24 days. A credit card grace period allows you a certain amount of time to pay off your credit card balance before interest begins accruing.
As long as you pay your full credit card balance before the payment due date, you won’t need to pay any interest charges on the Credit One Bank® Platinum Visa® for Rebuilding Credit.
What credit report does the Credit One Bank® Platinum Visa® check?
Credit One doesn’t explicitly state on their website which credit reports they’ll pull when they run a credit check on you. What they do say is that they’ll pull one or more of your credit reports during the prequalification process.
