May 5th, 2009
Public Savings Bank Secured Visa Review
The Public Savings Bank Visa is a secured credit card that offers 0% interest on purchases for 6 months. Secured credit cards are different than typical credit cards; they require an upfront deposit in order to buy items on credit. These cards are generally appropriate for consumers who would likely be denied a credit card because of lack of credit or simply having a low credit score. For those who have a limited credit history or past derogatory credit, a secured credit card can be one of the best ways to rebuild your credit and proactively manage your credit score.
The Public Savings Bank Secured Visa has no credit check. Simply deposit funds from $300 up to $2,000 and you’ll be able to purchase any item interest free for the first six months. Make sure that you’ll be able to pay off these purchases in six months, or you’ll be charged interest on your remaining balance. Also, stay up to date on your payments, missing the minimum payment could harm your credit and cost you money.
One big benefit of the Public Savings Bank Secured Visa for consumers looking to build or rebuild their credit score is that the card reports usage and payments to all three credit bureaus each month. There are no annual fees, and the late penalties are not as harsh as other secured credit cards; only $20 for a late payment or $25 for having a payment returned. While Public Savings Bank doesn’t have the common annual fee other secured cards generally requires, it does have a one-time activation fee of $75.
Being able to use a credit card instead of cash or checks is valuable for everyone, not just those who have good credit. The Public Savings Bank Secured Visa provides a much needed service for those with little or bad credit, while also providing a great perk by offering interest free purchases for the first 6 months. If you are having trouble getting credit in today’s shrinking market, it’s the only secured card out there we know of that offers interest free purchases for 6 months.
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Here is my advice. You either have no credit or damaged credit. Secured credit cards are exactly for people who have no credit or bad credit. There are also unsecured credit cards out there for people with no credit or bad credit. As long as you are at least the age of 18, you can apply for one of these cards and even though they have higher interest rates, so do the secured cards. You can get a small unsecured credit card with a $300 limit. You will have hefty annual fees (which you pay monthly) to pay but you will still have about $150 of that unsecured to use as soon as you recieve your card in the mail. That $300 dollars that you were going to give towards that secured card at Bank of America, you can keep that in your own savings account so you can pull it out any time you want (so its not locked away at Bank of America). You can also use that $300 to pay your credit card payments on the unsecured credit card. If you are still having trouble deciding which direction to head, check out this website that will let you compare all different types of cards for people with bad credit.
Now if someone has low credit score then why will he go for a credit card as he will have to pay more.
HEY THIS THE CARD IS THE ONE TO GET IF YOU WANT TO IMPROVE YOUR CREDIT.
Will I be elligible for secured credit card if I’m in a Checks System?
thanks for the nice information .
I have no credit history so far and the mortgage company told me to purchase a credit card. She made one good point “You can’t pay interest on a $0 balance”. She advised me to purchase something small and pay it off within 30 days at least once a month even if it’s only something for $10. Hope this helps!!
Will I have to deposit any money to recieve a credit card. So If I wanted a card with the balance of $3000 would I have to pay $3000 to recieve the card.
That is correct. The minimum for this card is $200. Keep in mind this card is intended for people with poor credit.
i have payed for this card, with a $200 setup credit line and the $79 fee to get started. THey drafted my account thursday so i guess we will see how long it takes for me to get the card. I will also, use this card to pay for say $100 on another credit card that does have a higher intrust rate. So, lets see how it goes.
Is this a credit or debit card and can this
card be used globally?
will this report as a normal card or as a secured card?
It will report as a normal card.
Exactly how do these cards work? Lets say i deposit the initial $200, if I wanted to increase my balance could I make a large payment to increase the limit?
In a nutshell yes. We have an in-depth set of reviews and comments:
http://www.creditkarma.com/creditcard/publicsbsc01
What happens to the deposit if you decide you no longer want the card sometime down the line? is it refunded to you as long as you are in good standing. Also, how long does it take for the card to start reporting to the credit.
It is refunded assuming you paid any balances you owed.
I just spoke to the issuer and was pleased with the info I received. In comparison to most other secured cards, This card has no monthly or annual fees other than the one-time setup fee of $79. The fee is due up-front, along with the security deposit, so the initial credit limit is equal to the security deposit…not depleted by the usual initial fees. Some “fee harvesting” cards use up 75% of the security deposit with the initial charges. Also, the Public SB card has a surprisingly low rate (presently about 11.25%) and no higher penalty rate if a payment is ever late. The card reports to all 3 bureaus and does not identify the card as secured. You can increase the credit limit, dollar for dollar, with an additional security deposit…but there is a $25 service fee (again, due up-front) for doing that. There are a few down-sides, but they are offset by the previously-mentioned benefits: Public SB does not offer unsecured cards and this card will never, at this time, become unsecured. Thus, your security deposit is retained as long as the card is open. (You can pay off any balances, close the card and get your money back at any time.) There is no interest paid on the security deposit, but the low interest rate is way better than other card which charge high interest rates, and then give back a small amount of interest on the security deposit.
I use the card myself. It is a really great thing that they report every month. It is really the only way I was able to raise my score. There was however one problem with this. My husband and I both got one and it took us a really long time to get everything squared away with them to receive the cards. We had to keep faxing information to them and they need more people answering the phone because I played phone tag with them for about a month prior to getting the card. And had to submit 6 applications before one went through. It was a problem with their website. Hope they have gotten that fixed. So, if you are going to apply, send proof of residence, solid proof of phone #, and copy of dr license and social sec card with your application. The more you send the less time it will take.
I was wondering how long it would take for my creditkarma score to reflect this new account and credit limit. My deposit cleared my bank on 3/29. They said they held my check for another week after that 4/5. Today is 4/16 and I still haven’t received my card and my credit has not been updated. Anyone know how long until it shows up in my score?
Generally 30-60 days.
I dont’ understand this. I have a credit score of 620. I got a credit card from Orchard bank with a $300.00 limit after I filed banckruptcy 3 years ago, in which there has been no change to my score. So anyways. I fill out an application, send them $200 and the $79.00 for the activation or whatever. So does that mean I have $200 on the card when I get it? Or is that held on to if I don’t pay? So I will assume it’s held as a in case I don’t pay for a purchase. Example: I go get a tank of gas for $30.00 I pay for it with the secured card, the bill comes I pay for it just like a normal card. If the bill comes for the $30 and I don’t pay for it then that comes off my $200 deposit?? Am I understanding this correctly? Also, lets say I use it once a week to pay for my gas we will say $25.00 a week about how long before I can expect to have a good credit score?
If you don’t pay the bill you will be delinquent and it will hurt your credit score. This is very important. With secured credit cards, you need to make the payments. You will get your security deposit back when you cancel the cards but this is not a pre-paid card.
So the card is a credit card secured by whatever amount you send in along with your activation fee. Then you can charge up to your secured amount, then what ever charges you make on the card you have to send a payment for those charges…correct?
Correct.
It reports the whole balance? So if I put $2000 on the card it will report to all 3 bureaus that I have a credit card with a $2000 limit?
I am confused between a prepaid debit card with visa/mc insignia and a guaranteed credit card. I am about to go bankrupt and be foreclosed upon due to disability. I am better but not out of the disability insurance for some time or ever. I need to be able to rent a car from time to time. The NOW card I obtained as a pre-paid debit card would not be accepted by Hertz. My former bank debit card was accepted, however, I have been declined a bank debit card due to credit rating. So, if I apply and am accepted by the Public Bank, for example, is this a bonified credit card that would be accepted by a major rental car agency. Hertz said they no longer accept pre-paid debit cards. Thank you.
What about bankruptcy?
If you’ve suffered a bankruptcy, a secured card like Public Savings Bank Secured Visa is typically the only type of credit you will be approved of and one of the best ways to rebuild your credit.
For more information on how a secured card can help you after filing bankruptcy, check out Fixing Credit After A Bankruptcy. Hope this was helpful!
helen..That is ciorrect..you can rent cars hotels rtc…ITSN JUST LIKE A NORMAL CC>>>i have it and it reported to all 3 credit bureaus immediately…very good experience so far..
Mt TU is 8.25 now experian 6.56
I’ve had this card for a only a few months and already I am completely frustrated. If you get this card, DO NOT PAY YOUR BILL ONLINE! It doesn’t work. It’ll cause you to have late payments (even if you’ve already paid weeks before the due date) and it lowers your credit. It’s a nasty bit of business, and no one at the customer service is ever really willing to help. I’ll give them one last chance with snail mail payments, if that doesn’t work, I’m done.
I just found out that I am listed in Chexsystems for an old debt. Can I still get this credit card?
First of all, this card is known for having no credit check required for approval. And anyways, the Chexsystem is used primarily for checking your history regarding any negative actions–like overdrafts or bounced checks– in your *banking* history, not credit history.
Banks will typically look at your Chexsystem report when opening your account, but lenders don’t typically look into Chexsystem. You don’t have anything to worry about and I’m almost certain you can get this credit card.
Good luck!
Public Savings Bank is awful and their customer service is rude. I used to be able to pay my payment online, but they removed that service with no notice. You can’t pay by phone either, so the only way you can pay now is by mail. I’ll make a payment when they bring back the online pay.
@Chip Maybe you’ve delt with a different Public Savings Bank. I’ve had a Public Savings secured Visa for almost a year now with no problems. I will say their customer service, it’s hard to get them to answer the phone. I guess that’s because PS is a small bank. Other than that I’ve done everything with them online. From setting up the my card/account to monthly payments. I’ve never sent anything to them in the mail, nothing. You can make payments with them online or by phone.
If you decide to get a secure credit card Public Saviings is probably gonna be one of the better choices. One thing to keep in mind when you close your account with them the small prints says it may take up to 10 weeks to get your deposit back. Which to me is a pretty long time to get your money back.