Indigo® Mastercard® Credit Card Review

Navigating the world of credit cards can often feel like a labyrinth, especially if you have a less-than-perfect credit history. While high-reward credit cards and premium travel perks often dominate the spotlight, there are cards designed specifically for those looking to build or rebuild their credit. One such card is the Indigo® Mastercard® Credit Card. In this comprehensive review, we will delve into the features, benefits, costs, and overall value of this credit card, providing you with a detailed understanding to help you decide if it’s the right fit for your financial journey.

Indigo® Mastercard® Credit Card Key Takeaways

Before we dive into the nitty-gritty details, let’s highlight some of the key takeaways that define the Indigo® Mastercard® Credit Card:
– Annual Fee: Ranges from $0 to $99 annually.
– Interest Rate: A standard APR of 24.9%.
– Credit Requirement: Designed for individuals with no credit history to fair credit scores (0-669).
– Rewards: The card does not offer any rewards such as cash back, miles, or points.
– Fees for Cash Advances: $0 during the first year; after the first year, either $5 or 5% of the amount of each transaction, whichever is greater (not to exceed $100).
– Penalty APR: 29.9%.
– Late Payment Fee: Up to $40.
– Return Payment Fee: Up to $40.
– Foreign Transaction Fee: The card carries a foreign transaction fee.
– Pros: No security deposit required, quick and easy application process, fraud protection, Mastercard ID Theft Protection.
– Cons: No rewards or one-time offers, foreign transaction fee.

Indigo® Mastercard® Credit Card Pros and Cons

Every credit card has its strengths and weaknesses, and the Indigo® Mastercard® Credit Card is no exception. Understanding these can help you weigh your options more effectively.

Pros:

– No Security Deposit Required: Unlike many credit cards designed for those with low or no credit, the Indigo® Mastercard® Credit Card does not require a security deposit. This can be a significant advantage for individuals who may not have the extra funds to lock up in a secured card.
– Quick and Easy Application: The application process for the Indigo® Mastercard® Credit Card is straightforward and quick. You can expect to receive a decision in minutes, making it an excellent option for those needing immediate access to credit.
– Fraud Protection: The card offers robust fraud protection features, including Mastercard ID Theft Protection. This ensures that your account is monitored for suspicious activities, and you are promptly alerted if any unauthorized transactions are detected.
– Payment Flexibility: The Indigo® Mastercard® Credit Card offers flexible payment options, allowing you to manage your account in a way that best suits your financial situation.

Cons:

– No Rewards or One-Time Offers: One of the most glaring drawbacks of the Indigo® Mastercard® Credit Card is the absence of any rewards program. You won’t earn cash back, points, or miles on your purchases, which can be a significant disadvantage compared to other credit cards that offer such benefits.
– Foreign Transaction Fee: If you frequently travel abroad or make purchases from international vendors, the foreign transaction fee can add up. This fee makes the card less ideal for international use.
– High Annual Fee for Some Users: Depending on your creditworthiness, you may be charged an annual fee of up to $99. For a card that doesn’t offer rewards, this can seem steep.
– High Penalty Fees: With a penalty APR of 29.9% and late/return payment fees of up to $40, this card can become expensive if you miss payments.

Indigo® Mastercard® Credit Card Benefits

While the Indigo® Mastercard® Credit Card may not be laden with rewards, it does offer several benefits that can be particularly appealing to those looking to build or rebuild their credit.

No Annual Fee for Some Users

One of the most appealing benefits is the potential for no annual fee. Depending on your creditworthiness, you might qualify for the $0 annual fee tier, making this card a cost-effective way to manage your credit.

Payment Flexibility

The card offers flexible payment options, allowing you to pay your bill online or over the phone. This flexibility can be crucial for individuals who need to manage their finances closely and may not always have access to traditional payment methods.

Fraud Protection

Your security is a top priority with the Indigo® Mastercard® Credit Card. The card comes with Mastercard ID Theft Protection, which monitors your account for suspicious activities and provides alerts for unauthorized transactions. This feature offers peace of mind, knowing that your account is being actively monitored.

Free Credit Score

Building or rebuilding credit can be a daunting task, but the Indigo® Mastercard® Credit Card helps you stay on track by offering free access to your credit score. Regularly monitoring your credit score can provide valuable insights into your financial health and help you make informed decisions.

Purchase Protection and Extended Warranty

Another benefit that often goes overlooked is the purchase protection and extended warranty features. These protections can cover eligible purchases against damage or theft and extend the warranty period of items bought with your card, adding an extra layer of security to your purchases.

No Credit History to Fair Credit

The Indigo® Mastercard® Credit Card is designed specifically for those with no credit history or fair credit scores. This makes it an excellent option for individuals looking to establish or rebuild their credit. With responsible use, such as making on-time payments and keeping your balance low, you can improve your credit score over time.

Conclusion

In the landscape of credit cards, the Indigo® Mastercard® Credit Card occupies a unique niche. It’s not a card that will shower you with rewards or offer luxurious travel perks. Instead, it’s a straightforward, no-frills card designed to help individuals with no credit history or fair credit scores build or rebuild their credit.

Who Should Consider the Indigo® Mastercard® Credit Card?

– First-Time Credit Users: If you’re new to credit and looking for a card that doesn’t require a security deposit, the Indigo® Mastercard® Credit Card can be a good starting point.
– Credit Rebuilders: Those who have experienced financial setbacks and are in the process of rebuilding their credit will find this card beneficial due to its lenient approval criteria and credit-building features.
– Individuals Seeking Basic Credit Access: If you’re not interested in rewards and simply need a credit card for everyday purchases and credit-building, this card offers the basic functionalities you need.

Who Should Look Elsewhere?

– Reward Seekers: If you’re looking to earn cash back, points, or travel miles, this card will not meet your needs. You might want to explore other options that offer robust rewards programs.
– Frequent Travelers: The foreign transaction fee makes this card less ideal for international use. If you frequently travel abroad, consider cards that offer no foreign transaction fees and travel-related perks.

Final Thoughts

While the Indigo® Mastercard® Credit Card may not be the flashiest option on the market, it serves a critical role for those looking to establish or rebuild their credit. Its straightforward application process, lack of a security deposit, and essential protections make it a viable option for many. However, the absence of rewards, potential high annual fees, and foreign transaction fees are drawbacks that prospective users should consider.
In summary, if your primary goal is to build or rebuild your credit and you don’t mind the lack of rewards, the Indigo® Mastercard® Credit Card can be a valuable tool in your financial arsenal. As with any credit card, it’s essential to use it responsibly by making on-time payments and keeping your balance low to maximize its benefits and improve your credit score over time.