IIf you are one of the millions of Americans who have poor credit and cannot get a traditional credit card, you might be interested in the Milestone® Gold Mastercard®. It is an alternative credit card designed specifically for those looking to build or restore credit. Although it comes with a very small credit limit, it has some of the benefits of traditional credit cards and will allow you to build a good credit reference with on-time monthly payments.
Please note that the rating metrics used for this card are different from those used in our more traditional credit card reviews. Milestone® Gold Mastercard® is specially designed for consumers who need to create or restore credit, so the criteria are completely different. Our scoring methodology is based on cards similar in credit cards for bad credit space.
Related: Best Credit Cards For Bad Credit
Milestone® Gold Mastercard® is issued by The Bank of Missouri, a bank with 35 branches and over $ 1.7 billion in assets that was founded in 1891. They issue the card through a partnership with Genesis FS Card Services, a financial services company dedicated to providing financial products to unprivileged consumers.
The main benefit of the Milestone® Gold Mastercard® is to help you create or restore credit. And if you don’t have a traditional credit card, the Milestone® Gold Mastercard® may be available for those times when you absolutely need to make a purchase with a credit card.
For this reason, the card does not offer the perks you typically find with traditional credit cards, such as cash backs, signup bonuses, or 0% APR balance transfers.
But Milestone® Gold Mastercard® offers the following advantages:
- Credit limit: $ 300
- Choose your own custom card design: You can choose from one of four different card designs.
- Mastercard advantages: Theft resolution services, extended warranty coverage and price protection.
- Cash advances: The card can be used for cash advances at various financial institutions. However, you must be specifically approved for cash advances.
- Operations abroad: The card can only be used outside of the United States if you contact the issuer and set a travel alert before using the card. Otherwise, it cannot be used internationally.
- Possibility of balance transfer: Not offered.
- Customer service: Available online, 24 hours a day, seven days a week. Phone support is available seven days a week from 6:00 a.m. to 6:00 p.m. PT.
- Credit Required: Fair / mediocre
If you have a low credit score and couldn’t get a traditional credit card, you must apply for a Milestone Gold Mastercard. The card accepts most credit profiles and will report your payment history to the three major credit bureaus – Equifax, Experian, and TransUnion.
This will give you the opportunity to build up credit if you’ve never had one before. And if you already have bad credit, a positive Milestone® Gold Mastercard® credit score will help you add new good credit, to make up for bad credit from other creditors.
The credit limit on the card is admittedly low, barely $ 300. But it’s also an unsecured card, so you won’t need to pledge any collateral to get the credit limit.
Since the card bears the Mastercard® logo, it can be used for both purchases and cash advances anywhere Mastercard® is accepted. This includes more than 33 million sites in 210 countries around the world.
You must register for the card using the online application. There is no possibility to apply by phone. You must be at least 18 years old (19 in Alabama) to apply for the card. To be eligible, you must meet the following conditions:
- You must have an email address in the United States
- Meet creditworthiness requirements, including a review of your income and debts
- Meet identity verification requirements
- Not have been past due with a creditor in the last 60 days
- Do not have an existing Milestone® Gold Mastercard® account
- You must not have applied for a Milestone® Gold Mastercard® within the last 60 days
You can complete the prequalification request online. Prequalification will not affect your credit score. If your prequalification fails, you may have the option to apply for a credit card with another bank.
Prequalification will require providing your full name, email address, physical address, social security number, date of birth, and primary phone number. Once screening is complete, approval is not guaranteed. You still need to submit a complete application which will be subject to review and approval. Prequalification simply takes you to the full application process.
The annual fee will be determined by your approval. There are currently three annual fee structures, and each will be determined based on your credit profile:
- $ 35, the first year and subsequent years
- $ 59, the first year and subsequent years
- $ 75 the first year, then $ 99 per year thereafter
The annual fee is deducted from your credit limit when you open your card. For example, if you qualify for an annual fee of $ 35, your remaining line of credit will be $ 265. If you qualify for an annual fee of $ 59, your line of credit will be $ 241. At $ 75, your credit limit will be $ 225 the first year and $ 201 each year thereafter.
- Annual percentage rate (APR): 24.9% variable APR
- APR penalty: 29.9% APR applies when you make a late payment and may apply indefinitely
- APR cash advance: 29.49% APR
- Cash advance fees: The greater of $ 5 or 5% of the amount transferred
- 0% introductory APR: Not offered
- Penalty fees: $ 39 for late payments, over limit fees or refunds
- Foreign transaction fees: 1% of the amount of each transaction
- Minimum monthly payment: You must pay the greater of 7% of your balance or $ 35