Indigo Credit Card
The Indigo Mastercard is primarily aimed at individuals with poor or fair credit scores, offering an opportunity to build or rebuild credit without requiring a security deposit.
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Intro Rate: N/A – Intro (Purchases): N/A – Intro (Balance Transfers): N/A – Intro APR Period: N/A – Purchase APR Rate: 35.9% – Annual Fee: $175 – $199 – Credit Needed: Bad/Poor/Fair – Foreign Transaction Fee: 1% of each transaction in U.S. dollars |
Pros:
- No credit score requirement: This is a major advantage if you have limited credit history or past blemishes.
- Reports to all three credit bureaus: Using the card responsibly and making payments on time can help you build credit over time.
- Wide acceptance: Mastercard is accepted at millions of locations worldwide.
- No security deposit: Unlike secured cards, you don’t need to tie up cash upfront.
Cons:
- High annual fee: The annual fee can range from $175 to $199, which can be a significant cost for someone rebuilding credit.
- High interest rate: The APR is typically around 35.99%, which means you’ll accrue significant interest charges if you carry a balance.
- No rewards: You won’t earn any cashback, points, or travel miles with this card.
Alternatives to Consider:
- Capital One QuicksilverOne Cash Rewards Credit Card: Unlimited rewards – Earn 1.5% cash back on every purchase, every day. You could receive a higher credit limit in just 6 months..
- Milestone Mastercard: $700 initial starting credit limit, similar approval odds and lower fees / interest.
- Secured cards from your local bank or credit union: These may offer lower fees and interest rates, especially if you already have a banking relationship with them.
Recommendation:
If your primary goal is to build credit and you’re confident you can manage your spending responsibly and avoid carrying a balance, the Indigo Mastercard could be an option. However, the high annual fee can quickly outweigh the benefits.