I've been searching on the board for info on Aspire Visa and it seems like it is 50-50. I got one of those "pre-qualification" applications in the mail a few days ago, applied and got a credit line for $300 (I figured on that amount!). I'm just trying to re-establish my credit after having derogs on my CRs for several years and now they are slowly but surely dropping off one by one. I plan only to use the card to pay for my internet service since I am only employed part-time and go to college full-time. Any feedback on this company's track record would be greatly appreciated.
You really have to read the fine print on that agreement. I read the Aspire Visa agreement I just got in the mail the other day it listed the APR at 19.90% with a default of 25.50% or 14% above prime which ever is greater, it also included a hefty $150 annual fee, $29 one-time setup fee, and $6.50 per month maintenance fee for cards with a maintained balance even after the account is closed. So a $300 limit card will start you off a new balance of $179 with a monthly charge adding to that balance. No credit building card is worth all that I would much rather see you put $300 down on a secured visa. Just my 2 cents...
Or try to get a student card with better terms. But I agree, you have to read the fine print very carefully.
I tried to get a student card through Citibank but my credit wasn't good enough. What student CCs are good for people like me with not so favorable credit?
I had an ASPIRE VISA about 4 years ago it had a whopping 29% interest rate. I TRIED TO get them to reduce the rate but they never would. I never used the card and closed the account. If you do a search on this board you will find the info you need. I posted some my self.
Thanks for the advice. When I receive the card, I'm not even going to use it. I'll just send it back. Or should I keep it and cut it up? Since I'm trying to rebuild my credit, I don't want to close an account and have my credit score lowered than what it already is.
I got the same offer today and it was on its way to the trash when I decided to do a search here. You said you sent the agreement back and you are expecting the card in the mail? With the $29 opening fee and the annual fee of $150, sounds like if you apply for it and get approved, you will immediately owe $179 before charging a thing. Might be some clause that you can get out of it if you decide you don't want it after sending in for it...I don't know if never using the card will get you out of paying that if you turned back in the application requesting approval. It does clearly say the $6.50 monthly "maintenance fee" won't be charged until you use the card. And I'm not the expert by any stretch of the imagination but if you immediately owe $179, I'm with whoever suggested a secured card. Would much rather put my $179 somewhere that will come back to me, than to simply blow $179 for the "privledge of having this card. And they get us when those of us in the shape of re-establishing credit don't have $179+ to put on a secured card but could pay $179 over time. :-( If you don't want to owe the $179 for the first years charges, I'd suggest calling them and see if you can cancel it before it arrives to you.
Yep I got an offer from them when I first filed BK7, I thought hey it;s better to get a secured card. So I went to orchard bank got a secured card starting with $200 and it did take them 18mth to unsecured it but now I have a limit of $500 and my $200 in the bank.
According to the paperwork sent along with the card, I am not liable for any payments or charges until I activate the card - which I haven't yet and I don't think I plan to. What was appealing to me (even though I knew better!) was that I didn't have to put any money up first because I don't have it to give. I'm a full time student and work a part time job that just covers my rent and I also happen to be a single parent of four kids so I really wanted a card around just for emergencies. With the advice given here, I'll just cut up the card and mail it back and possibly wait out another year or two and try to apply for unsecured credit cards again.
trilivonel, you might qualify for Orchard MC. they are actually pretty good, in my opinion, for rebuilding. You don't start off in the hole with this card and there is no "monthly maintenance" fee. I think the annual fee is $49. The interest is 18.9%. all in all, not a bad card for someone with less than good credit.
I believe that I may have had that card already and screwed it up when I was laid off my job a number of years ago. I had Capital One, Providian, Orchard (I believe) and First Premier at that time. I messed up on all of them because of being unemployed. I also had no business having so many cards at one time but I chuck it up to my youthful thinking in being invincible! By the time I found a job, none would work with me to start paying off the debts. I remember that First Premier were pretty good but it did the same thing that Aspire did - charged me a $149 administrative fee and an annual fee of $79 (I think) plus a monthly maintenance fee of $6.50 but I never had any problems with that card until I couldn't keep up the payments. I guess that is why Aspire was appealing also because it was the same terms as First Premier. The only difference I distinctly remember is that First Premier didn't offer a credit increase after six months while Aspire is offering a credit increase (so did Providian). Are there any other cards that I can apply for that doesn't require a security deposit? I may have burned my bridges on those kind of cards that are for rebuilding credit w/o putting a security deposit but I thought I'll ask anyway.
I messed up my first Orchard card, too, but they gave me 2 additional cards, 1 a couple years later and then another 3 yrs after they charged off the first one. They are through Household Bank, and I have also had 2 auto loans ($12k and $25k) through Household since then. I guess they figure they make more money this way in the long run. I didn't think Orchard would give me another chance after the charge off, but for some reason I thought what the heck and applied and I got approved... Good luck!
I'll certainly try. I doubt that they will but it would help to know what CRA they use. I don't want too many inquiries, you know.
