When you think of credit scores, what comes to mind first is that it must always be in the higher than average range, but that is not always the case.
Some unexpected circumstances may arise in your life, which will cause your credit score to fall, but don’t fret. If your credit score is low, that does not mean you have run out of options and is not a cause to despair.
Fortiva Financial is a direct lender based in Atlanta, Georgia that specializes in offering unsecured credit cards to customers with “subprime” credit scores.
This card allows you to use your credit while simultaneously improving your credit score. In our review, we will be covering everything you need to know about this card, as well as what other cardholders think.
Rates and Fees
The Annual Percentage Rate of this card is 22.74% – 36% based on your creditworthiness. If you are offered the variable APR, Favorita will calculate it by adding a margin of 17.49% to 30.75% to the Prime Rate.
If you have a fixed rate APR, it will not vary with the market. This same APR will also apply to cash advances and balance transfers. To avoid paying interest on this card, you must make sure to pay your full balance by the due date, which is at least 25 days after the closing of each billing cycle.
After this transaction date, the company will begin to charge interest on all cash advances and balance transfers. The annual fee is $49.00 – $175.00 for the first year and afterward becomes $0-$49.00 annually. There is an additional account maintenance fee, which is $60-$159.
This fee is annually billed at $5.00-$12.50 per month after the first year. You will be charged 3% of each amount you transfer after the first year. For cash advances, you must pay either $5.00 or 5.0% of the amount of the cash advance, depending on which is a higher amount.
Foreign transactions cost 3.00% of each transaction amount in U.S. dollars. You will be charged up to $39 for all late payments and returned payments.
The opportunity to add an authorized user is provided, and you will be required to pay $25 for each added user.
The most significant benefit is that the Fortiva Credit Card accepts users with poor credit. Unlike secured cards, you are not required to put down a security deposit in order to get approved. This makes it the best option for those who are looking to build credit but are not getting approved for other credit cards. You can also use this card to help rebuild your credit and be approved for better cards with more benefits.
The Fortiva Credit Card will report your monthly payments to the major credit bureaus (Transunion, Experian, and Equifax), and if you make your payments in full and on time, it can help to boost your credit score. The monthly reports will help you start building a solid payment history.
You will also get a free VantageScore 3.0 upon signing up. This is close to the score that lenders will see when you apply for a new credit card or a loan. It will give you a slight idea of where you’re at and how much you need to improve to be eligible for other applications.
You can also monitor for fraud or report errors. The fee for fraud liability is $0. So if your card is stolen and is used to make purchases, as long as your report it quickly, the lender will wipe out these purchases and restore your card balance.
The minimum amount you will have to pay is 1% of your outstanding balance at the end of a billing cycle or $25, whichever is greater.
The Fortiva card also works to prevent fraud and identity theft. It comes with an EMV chip built into the credit card. This chip is going to add an extra layer of security to every transaction you make, and you will be able to shop without worrying about any risks.
Despite the Fortiva credit card not being widely known, it is a MasterCard, so you are going to be able to use it anywhere that accepts MasterCard, which is most places. This will reduce your need to carry a backup credit.
Much like other unsecured subprime offers for those with bad credit, this is an invite-only credit card. So applying online will not be an option for you unless you have received an email with an invitation code. This invitation will also include your APR and initial credit limit. The fees are relatively high with this card.
The maintenance and annual fee together could amount to $200, and this doesn’t include other charges and payments. All these fees will always apply even when you improve your score. Fortiva Financial does not accept Credit Limit increase requests. So even if you do make your payment on time, it will not matter, you must build your credit score and get another card with a more flexible system.
The APR is also comparatively high and will depend on your credit score. This may add up fast over the span of a few months but, if you do not plan on carrying a balance on this card, this will not affect you.
As with other similar cards, there are no rewards that will justify the higher fees with this card. There are no other perks or discounts attached to this card.
The main complaint that is in almost all reviews is regarding the customer service, which some users say is the worst they have ever experienced. Apparently, customers were told they would receive a call from the manager about their problems but never did.
All reviews contain the warning of high APR rates, but that is to be expected with cards such as this. Maintenance and annual fees are also complained about. But, these complaints are accompanied by saying that their credit limit was relatively high (usually $1000-$2500), which somewhat made up for these fees. This credit limit is pretty high for a card of this type, especially if you have bad credit.
Their website also lacks at times, and sometimes it has taken users days or weeks to complete their online application. But, after the application, the approval is done very quickly and securely. The card usually arrives quickly and is easily activated online.
Messages of praise are to be seen, saying this card gave the cardholders a fresh start, and it was the boost they needed to start rebuilding their credit.
Others have reported that this is also convenient to have as a backup card in case of emergencies. Most cardholders with bad credit are satisfied with this opportunity and say that this was exactly what they needed.
Because of these significant drawbacks and this card being invite-only, we also want to offer you other options to consider if you’re struggling with a low credit score and don’t know what card to apply for.
With the Citi Double Cash Credit Card, you can earn cashback twice. You will immediately receive a 1% cashback right when you make a purchase, and an additional 1% will be earned once you pay off your debt on time. There is an introductory 0% APR period for the first 18 months, after which it is 15.74-25.74% depending on your credit score. You are not required to pay any annual or maintenance fees. You will also get perks such as fraud protection and identity theft protection, so your spending will be worry-free.
The Capital One Quicksilver One Credit Card is a viable option to check out if you’re looking to boost your credit limit and also enjoy some rewards. There is an annual fee of $39 and a variable APR of 26.49%. You are given the opportunity to earn unlimited cash back rewards of 1.5% on every purchase. If you continue to pay all your dues on time for the first five months, it will be easy to increase your credit limit. You can check out other Capital One credit card options here.
The Horizon Gold Card is not your typical credit card because it is similar to a store card. It is designed with owners of bad credit in mind. But you must also understand that your purchases will be limited with this card because you buy items from Horizon online outlet. Even with bad credit, you will still be eligible for this card and will have an APR of 0%.
The annual fee is pretty high and comes to around $300 a year, but you will only be billed $24.95 monthly.
This is the ideal opportunity to rebuild your credit in order to move on to bigger and better cards.
Secured Card Options
If none ofthese unsecured options suit you, you may want to consider a secured credit card. To get a secured card, you must set down an initial deposit. With secured credit cards, you usually get lower APR and lower fees.
The Total Visa Card is for people with bad credit history and will help them build up their credit score. The application is very easy, and all of it is done online. You get a response to your application within one minute of signing up. Upon being approved, you must pay a one-time fee of $89 for this account. The annual will be $75 for the first year and then will become $48 after that. The Annual Fee is going to be taken out of your initial credit before you begin using the card.
If your initial credit limit is $300.00, you will start off with only $225.00 of credit. Your monthly payments will be monitored and reported to all the major credit bureaus, and if you’re responsible, this will be the perfect opportunity to improve your credit score. The APR on this card is 34.99%, and the minimum interest charge is $0.50.
Capital One Secured Credit Card. This is a Capital One offer for those with bad credit along with a range of other cards. There is no annual fee, and it has all the credit building benefits with responsible card use. Capital One also regularly reports to the three major credit bureaus for a credit increase, so if all your payments are made right on time, this will benefit you greatly. There is a 26.49% variable APR based according to the Prime Rate.
You must make a $49, $99, or $200 refundable deposit, and this will qualify you for an initial credit line of $200. But if you deposit more money into your account before the opening of the account, you will get a higher credit line.
Additionally, if you make your first five monthly payments on time, you will get access to an even higher credit line. You can also easily manage your account 24/7 with their online platform, on the phone, or using their mobile app.
Discover It Secured. With this card, you can earn cashback and build your credit with responsible use without paying any annual or maintenance fees. They also report your payments to all three major credit bureaus hence the credit building. You must provide a refundable security deposit of at least $200 after being approved, and then your credit line will be established.
After eight months of using the card, the reviews will start to become automatic, and you can transition into an unsecured credit line. This transition will also qualify you for refunding of your security deposit. The APR for the first six months is only 10.99%. After this introductory period is over, the variable APR will become 24.74%.
With the reward system, they provide on purchases at restaurants and gas stations on up to $1,000; you will be able to collect 2% cashback combined during every quarter. You will also earn an unlimited 1% cashback on all other purchases made with this card. As a bonus for the first year, the bank will match all the cash back you’ve made by the end of the first year.
Green Dot Secured Credit Card. This credit card will grant you complete control over your credit limit, and it will not matter whether you put down $200 or $5000, your limit will be equal to the amount of the refundable security deposit. But the minimum refundable deposit and credit limit is equal to $200.
This is a real credit card, not a prepaid or debit card, so as usual, you can spend within your credit limit and then pay your balance monthly. This card will cost you $39 annually. The variable APR on all purchases and cash advances is 19.99%, which is not very high.
The whole application process is all done online with their website and will not require you to have a good credit score. Once you have been approved, make the security deposit of your choice online from a debit card. If you do not like this option, you also have the choice of waiting for your card to arrive in the mail and making a security deposit with cash at any participating retail store for only $4.95.
Because there is no credit check, this will not affect your credit when you apply. If you continue to make your payments on time and keep your card balance low, this usage history will be reported to the major credit bureaus will positively impact your credit score over time.
As you can tell, there are a lot of options for you, even when you have terrible credit. But, it is essential that you start to fix your score as soon as you can. These rates and fees will seem high, but you must remember that they are only temporary and are there to help you.
Once you fix your credit score and get it to average or high, you will have the opportunity to apply for other cards. Credit cards that do a hard credit check also provide better discounts, rates, perks, and many options.
If you have received the Fortiva sign up link and are still thinking about what to do, we recommend you take the offer. The sooner you start boosting your credit score, the sooner you can begin to qualify for other cards.