Share Secured Mastercard® from SchoolsFirst Federal Credit Union Review

As a financial expert with years of experience evaluating credit cards, I understand the importance of choosing the right card to fit your financial needs. Today, I’ll be diving into the Share Secured Mastercard® from SchoolsFirst Federal Credit Union. This card offers a unique set of features and benefits tailored to individuals with no credit history or poor credit looking to build or rebuild their credit. Let’s explore this card in detail, covering its key takeaways, pros and cons, benefits, and more.

Share Secured Mastercard® Key Takeaways

Before we delve into the specifics, here are some key takeaways about the Share Secured Mastercard®:
– No Annual Fee: One of the standout features is the absence of an annual fee, making it an attractive option for those who want to avoid extra costs.
– No Rewards Program: This card does not offer cash back, miles, or points, which might be a drawback for those looking to earn rewards on their purchases.
– Fixed APR: The card offers a fixed APR of 13.90%, which is relatively low compared to other cards designed for individuals with poor or no credit history.
– No Fees for Balance Transfers or Cash Advances: Unlike many other credit cards, there are no fees for balance transfers or cash advances.
– Penalty Fees: The card imposes penalty fees, including a 17.90% penalty APR, up to $20 for a returned payment, and up to $25 for late payments if imposed 15 days after the due date.

Share Secured Mastercard® Pros and Cons

Pros:

1. No Annual Fee
– The absence of an annual fee is a significant advantage, especially for those who are budget-conscious or looking to minimize their expenses.
2. Low Fixed APR
– With a fixed APR of 13.90%, this card offers a relatively low-interest rate compared to other cards available to individuals with poor or no credit history. This can help manage debt more effectively.
3. No Fees for Balance Transfers or Cash Advances
– Many credit cards impose fees for balance transfers and cash advances, but the Share Secured Mastercard® does not, making it a cost-effective option for these transactions.
4. Credit Building Opportunity
– This card is designed for individuals with no credit history or poor credit, offering an excellent opportunity to build or rebuild credit.

Cons:

1. No Rewards Program
– The lack of a rewards program means cardholders won’t earn cash back, miles, or points on their purchases. This could be a disadvantage for those who prefer to earn rewards on their spending.
2. Foreign Transaction Fee
– While the card’s specific foreign transaction fee is not mentioned, the presence of such a fee can be a drawback for those who frequently travel or make purchases in foreign currencies.
3. Penalty Fees
– The card imposes penalty fees, including a 17.90% penalty APR, up to $20 for returned payments, and up to $25 for late payments. These fees can add up if you’re not careful with your payments.

Share Secured Mastercard® Benefits

Low Interest Rate

One of the most appealing aspects of the Share Secured Mastercard® is its low fixed APR of 13.90%. This is particularly beneficial for individuals who may carry a balance from month to month, as it can result in lower interest charges compared to other cards with higher APRs. Maintaining a lower interest rate can significantly reduce the overall cost of borrowing and help manage debt more effectively.

No Annual Fee

The absence of an annual fee makes this card an attractive option for those looking to minimize their expenses. Many credit cards, particularly those designed for individuals with poor or no credit history, come with annual fees that can add up over time. The $0 annual fee associated with the Share Secured Mastercard® means you can focus on building your credit without worrying about additional costs.

No Fees for Balance Transfers or Cash Advances

Unlike many other credit cards, the Share Secured Mastercard® does not impose fees for balance transfers or cash advances. This feature can be particularly useful if you need to consolidate debt or access cash quickly without incurring additional fees. It provides flexibility and cost savings, making the card a more versatile financial tool.

Credit Building Opportunity

The Share Secured Mastercard® is specifically designed for individuals with no credit history or poor credit. By using this card responsibly, you can build or rebuild your credit over time. Making timely payments and keeping your credit utilization low can positively impact your credit score, opening up opportunities for better credit offers in the future.

Easy Account Management

SchoolsFirst Federal Credit Union provides convenient account management options, allowing you to pay your bill online through their website. This can help you stay on top of your payments and manage your finances more effectively. Additionally, their customer service is available to assist with any questions or concerns, providing support when you need it.

Security Features

As a secured credit card, the Share Secured Mastercard® requires a security deposit, which serves as collateral for your credit line. This reduces the risk for the issuer and can increase your chances of approval if you have no credit history or a poor credit score. The card also includes standard security features such as fraud protection and zero liability for unauthorized transactions, providing peace of mind when using your card.

Conclusion

In conclusion, the Share Secured Mastercard® from SchoolsFirst Federal Credit Union is a solid option for individuals with no credit history or poor credit looking to build or rebuild their credit. With its low fixed APR, no annual fee, and absence of fees for balance transfers and cash advances, it offers a cost-effective way to establish or improve your credit profile. However, the lack of a rewards program and the presence of penalty fees are important considerations to keep in mind.
If you prioritize low costs and credit-building opportunities over earning rewards, the Share Secured Mastercard® could be a great fit for your financial needs. As always, it’s essential to use your credit card responsibly by making timely payments and keeping your credit utilization low to maximize the benefits and avoid potential pitfalls. With careful management, this card can be a valuable tool in your journey towards better credit and financial stability.