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The Merrick Bank Secured Credit Card is a secured card, requiring a deposit that will serve as your credit line. Secured cards are aimed at those looking to build or rebuild their credit history, and the Merrick Bank Secured Credit Card is marketed to consumers with poor/limited credit.
What sets this secured card apart is that while it does require a typical $200 minimum security deposit, cardholders have the ability to submit deposits up to $3,000. Plus, applicants don’t need to have a bank account to apply.
However, there is an annual fee of $36 for the first year. Billed $3 per month thereafter. But the regular APR is fairly reasonable at 19.70% variable and account activity is reported to all three credit bureaus.
Intro Purchase APR
N/A
Regular Purchase APR
19.70% Variable
Intro BT APR
N/A
Regular BT APR
N/A
Annual Fee
$36 for the first year. Billed $3 per month thereafter.
Cash Advance Fee
4% Min: $10
Foreign Transaction Fee
2%
Balance Transfer Fee
N/A
No bank account required
Unlike many secured cards that require applicants to link a checking or savings account to their card, the Merrick Bank Secured Credit Card does not have that requirement.
However, in order to be approved, you must meet the following qualifications:
Potential for credit limit increases
If you start out with a low credit limit (based on your initial deposit), know that Merrick Bank will review your account periodically after the first year to determine if you’re eligible for a credit limit increase without the need for an additional deposit. Customers most likely to qualify for credit limit increases are those who pay on time every time.
Ability to deposit up to $3,000
One of the benefits of having a credit card is being able to use it for products and services that don’t take cash, such as airfare and rental cars. However, with just a $200 credit line, that won’t get you far. The Merrick Bank Secured Credit Card allows cardholders to deposit up to $3,000, which can allow you to use the card for more expensive purchases.
Annual fee
Not all secured cards charge an annual fee. The Merrick Bank Secured Credit Card‘s annual fee is $36 for the first year. Billed $3 per month thereafter.
Foreign transaction fee
If traveling abroad, know that the Merrick Bank Secured Credit Card charges a foreign transaction fee of 2% for purchases made outside the U.S.
No rewards program
Some secured cards, like the Discover it® Secured Credit Card, offer cardholders a cashback rewards program, however, the Merrick Bank Secured Credit Card does not.
The Discover it® Secured Credit Card is one of the most fee-free secured cards available to those with poor/limited credit.
What sets it apart from standard secured cards is that is has a $0 annual fee and a rewards program: 2% cash back at gas stations and restaurants on up to $1,000 in combined purchases each quarter. 1% unlimited cash back on all other purchases - automatically.
Plus, after seven months of using the card responsibly, Discover will conduct periodic account reviews to determine if you qualify for an unsecured Discover card, allowing you to get your security deposit back without having to close the account.
In addition, there is no late fee assessed for the first late payment, and there is no penalty APR if you pay late. There is also no overlimit fee and foreign transaction fees of none.
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| Merrick Bank Secured Credit Card | Discover it® Secured Credit Card | OpenSky® Secured Visa® Credit Card | Petal® 2 Cash Back, No Fees Visa® Credit Card |
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Apply Now on Merrick Bank's secure site
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Apply Now on Discover's secure site
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Apply Now on OpenSky's secure site
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Apply Now on Petal's secure site
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| Annual Fee | |||
| $36 for the first year. Billed $3 per month thereafter. | $0 | $35 | $0 |
| Regular APR | |||
| 19.70% Variable | 24.49% Variable APR | 18.89% (variable) | Variable APR between 15.24% - 29.24% |
| Welcome Offer | |||
| N/A | Discover will match all the cash back you’ve earned at the end of your first year. | N/A | N/A |
| Rewards Rate | |||
| N/A | 2% cash back at Gas Stations and Restaurants on up to $1,000 in combined purchases each quarter. 1% unlimited cash back on all other purchases - automatically | None | Earn 1% cash back on eligible purchases right away, and 2% to 10% cash back at select merchants |
| Recommended Credit | |||
| Poor/Limited | Poor/Limited | Poor/Limited | N/A |
| Card Details | |||
| Merrick Bank Secured Credit Card | Discover it® Secured Credit Card | OpenSky® Secured Visa® Credit Card | Petal® 2 Cash Back, No Fees Visa® Credit Card |
As far as secured cards go, the Merrick Bank Secured Credit Card is not a bad deal. The annual fee and APR are reasonable, plus you can secure a larger credit line, which can allow you to use the card for more expensive purchases.
It does report activity to all three credit bureaus, which is very important when trying to build or rebuild your credit profile. Just be sure to keep your balances low and pay on time every time to add positive information to your credit reports.
Know that your security deposit is refundable once you close the card, minus any fees or balance owed.