Getting a good credit score is a tough challenge for anyone who owns a credit card. It takes a lot of time to increase your score and make you more trustworthy to credit card issuers.
If you want to build your credit score as quickly as possible, check out the Chime Credit Builder Visa credit card and learn how to apply with the guide down below.
The Chime Credit Builder Visa Credit Card
There are a lot of things to know about the Chime Credit Builder Visa credit card, especially if you are looking to build your credit score.
First, it is a Visa card so you can always use it where Visa is accepted to purchase your groceries and gas. There are no annual fees or interest rates with this credit card which is quite surprising for someone who is looking to improve their credit score.
Cardholders won't also be charged a foreign transaction fee if they use the card on purchases with foreign currency. You are also not required to have a minimum security deposit so the money that you transfer to your Credit Builder Visa card is how much you can spend.
It is a very easy and secure way to get your credit score up in no time.
How It Works
Using the Chime Credit Builder Visa credit card is easy but takes time to set up before you can use it to its full extent. First, you need to have a Chime Spending account and have at least $200 in direct deposits made into the account within the past year.
You can then make a transfer to a Chime credit card which will become your credit limit. Yes, you read that right - Chime doesn't give you a credit limit. Instead, you decide your own credit limit with the amount of money that you transfer to the card.
You can make the transfer using the Chime app if you need quick access to your money or you can return the money to your Chime Spending account if you need the money to your main account. It's really that simple and convenient which is why it is one of the best credit-building credit cards out there.
Benefits of the Chime Credit Builder Visa Credit Card
Aside from the main purpose of the credit card, which is to build your credit score, there are a lot of other benefits that you can take advantage of with the Chime Credit Builder Visa credit card.
Most credit cards often require you to have at least a good credit score before you can apply, this credit card will never ask you to submit any requirements about your credit score. They won't even ask you what your credit score is which makes the application process a lot simpler and faster.
The main reason for getting the card is to build your credit score no matter how low or high it is. Maxing out your card's credit limit won't affect your credit score so you don't have to worry about spending a certain percentage of your money.
Another great benefit you get from this card is that you have an adjustable credit limit and you don't have to worry about any interest fees since you won't spend more than what you have on the card. Lastly, payments are made effortless now that you can automatically pay and prevent accidental missed payments.
Some Drawback When Using the Chime Builder Credit Card
While there are a lot of benefits to using this credit card, there are also drawbacks depending on your card needs. One thing that many people might not be fond of this card is that you need to have a Chime Spending account set up first before you can start using this card.
It can be quite tedious to have two accounts to manage. Another downside of the card is that it does not offer a rewards program or sign-up bonus like many other credit cards.
There is also no upgrade path for the card, as it is made purely to build your credit. If you find these drawbacks to be a huge factor when considering this card, it is best that you rather check out other credit cards.
Who Is the Chime Credit Builder Visa For?
If your ultimate goal is to build your credit score, then the Chime Credit Builder Visa credit card is the perfect credit card for you. Cardholders who do not want to pay extra fees like interest charges, annual fees, or foreign transaction fees should look into this card as well.
But the card does come with a catch – you must always have the money every month in your Chime Credit Builder account so you are assured you have a credit line to use.
This will help keep increasing your credit score every month. In fact, you can earn as much as a 30 point credit score increase every month if you are diligent enough to use this credit card and if you pay your dues on time.
Comparing Chime Credit Builder Visa Credit Card
When compared with other credit building cards or secured credit cards, the Chime Credit Builder Visa credit card still comes out on top.
Other cards like the Capital One Platinum Secured credit card have a variable regular APR of 29.74% whereas the Chime Credit Builder card doesn't even have one.
This alone makes the Chime credit card more appealing to those who want to start their credit-building journey.
How to Apply
Applying for the Chime Credit Builder Visa credit card is very easy.
As mentioned above, one of the requirements for the card is to have a Chime Spending account that shows at least a $200 direct deposit for a few months before setting up the credit card.
You also don't need to go through any credit score or eligibility check as the card is available regardless of your credit score.
Do Your Research
The first step to applying for the card is to do your research first. Find out if the Chime Credit Builder Visa credit card is right for you.
There are a lot of factors that you need to consider first before you apply. Ask yourself if you can sustain the monthly deposits to the card so you can gradually build your credit score. If not, you'll need to search for another card to use.
Start Your Application
Once you have decided to choose the credit card, apply through the official Chime website. Click on the Get Started option to start the application process.
If you already have a Chime account, log in to your account. Otherwise, you will need to register an account first before you can continue with the application. Applying online is the quickest and most convenient way to apply.
Gather Your Information
Gather the necessary information required to complete the application form. Make sure that you enter your full legal name, Social Security Number or individual taxpayer identification number. You will also need to include your US address, date of birth, and annual income.
The issuer might ask for further information during the application so you should prepare other documents to back your claim. Don't forget to review the information you have entered as well as read the terms and conditions thoroughly.
Submit Your Application
Once you're done, submit your application and wait for the results. Depending on your application, you may need to wait only a couple of hours or up to a few business days before you are notified of the results of your application.
Once you receive the approval, you will receive your credit card within 7 to 10 business days after approval. You can also call them at 844-244-6363 or visit their main office at 77 Maiden Lane, San Francisco.
Building your credit score from the ground up is an uphill climb. This is why you need to explore and let Chime Credit Builder Visa credit card help you with your options. With most of its perks centered around providing you with meaningful ways to increase your credit score as fast as possible, it's no wonder why this credit card is becoming one of the more popular credit-building credit cards out there.
Note: There are risks involved when applying for and using credit. Consult the bank’s terms and conditions page for more information.