Milestone Mastercard Review 2022: Is This Credit Booster Right for You?

GOBankingRates score

Fast recording: The Milestone Gold Mastercard is aimed at people with poor or no credit history who need to build up their score. The fine print shows they’re better off looking elsewhere. While the Milestone Mastercard is an unsecured card, meaning no deposit is required to open one, the annual fees and interest rates can leave people in worse shape than when they started if they’re not careful. To find this information, applicants must visit the pre-qualification page and click on “Terms and Conditions”. However, for those who don’t want to succumb to the temptation of a high credit card limit, this card could be a good option to learn how to manage a credit card balance.
  • No deposit required
  • fees
  • fraud protection
  • credit limit

How did we calculate that?

advantages

  • No deposit required
  • Can help build credit history as it reports to all three major credit bureaus
  • fraud protection
  • Use it anywhere Mastercard is accepted

Disadvantages

  • The maximum credit limit is only $300
  • Annual fees can be as high as $99 depending on credit history
  • A high APR can mean high payments
  • No rewards programs or features to help people better manage their money

Overview of the Milestone Gold Mastercard

The Milestone Gold Mastercard is an unsecured credit card offered by the Bank of Missouri. It is designed to help borrowers build their credit from scratch or give it a boost when they have a low score. Like any other credit card, it can help build a person’s credit history if used carefully. This card reports activity to all three major credit reporting agencies – Experian, Equifax and TransUnion.

This card does not require a deposit to open it, which is usually reserved for those with credit ratings in the “good” range or higher. That can be a plus for those with no or bad credit, but it also has a high APR of 24.90%. The card also has an annual fee — something not everyone who uses this card can afford — ranging from $35 to $99 depending on the cardholder’s credit history.

Unlike other annual fee cards, the Milestone Gold Mastercard does not have a rewards program. It also doesn’t offer cashback for purchases. While it’s not necessarily common for cards aimed at those with lower credit histories to have a rewards program, some do, and a good card that charges an annual fee would.

It doesn’t offer many bonuses or other perks when the card is first opened, such as: B. 0% introductory APR. Genesis FS Card Services is the company that provides the customer service for this card as it is the card issuer.

According to the website, this card aims to be a tool to help people with bad credit improve their score. However, the credit limit of just $300 doesn’t give you much wiggle room. Whether cardholders can qualify for a higher credit line in the future has not been determined.

standard services

The Milestone Gold Mastercard comes with standard protections one would expect from a credit card, including fraud protection and a $0 liability for unauthorized purchases.

Cardholders can also have their card replaced quickly if needed, a feature known as “emergency card replacement.” Emergency cash advances are also available.

Mastercard’s ID Theft Protection monitors a user’s social security number, connected email accounts, and credit card accounts for suspicious activity. However, users of this card cannot access their credit score to track their progress.

Features of the Milestone Gold Mastercard

Here’s a closer look at some of the features this card offers.

No deposit required

For many people with no credit or a damaged credit history, it is not possible to make a minimum deposit to open a credit card. Minimum deposits are usually high, around $200, and the Milestone Mastercard doesn’t require any money up front.

Mastercard offers a minimum credit line of $300 less the annual fee with this card. The annual fee for the Milestone Gold Card starts at $35 and goes up to $99. The amount of the fee will only be communicated after the application has been submitted.

Good to know

Credit cards that require a deposit often refund that money once the cardholder improves their score and switches to a regular card with a higher credit limit. Unsecured credit cards often have a high APR, so be aware of accrued interest and make payments on time.

fees

The APR on purchases made with this card is high – fixed at 24.90%. This could cause problems if fees are not paid in full each month, as a revolving balance on this card would quickly drive up interest. Everyone who uses this card pays this tariff, regardless of their creditworthiness.

Cash advance and overseas purchase fees also apply, but these are not immediately listed on the site. Applicants must visit the pre-qualification page and click on the Terms and Conditions link to view them. Cash advances are $5 or 5% of the amount of each transaction, whichever is greater (maximum $100). Foreign transactions are 1% of the purchase amount in US dollars.

This card has late payment, refund and over limit penalties. Each of these penalties can be up to $40.

fraud protection

The Milestone Mastercard offers fraud protection to help cardholders keep their cards safe.

If a user loses their card or it is stolen, they can call a customer service hotline at 1-800-304-3096 for assistance. If a card is used without the cardholder’s permission – whether lost or stolen – cardholders may not be responsible for any charges.

The Milestone Mastercard is also a chip card that offers another level of fraud protection.

credit limit

The initial credit limit on the Milestone Mastercard is $300, minus some setup and annual fees. So if someone charges an annual fee of $35 to use the card, they’ll have $265 to spend. The ratio of credit used to total credit line plays a big part in calculating creditworthiness – the less of a cardholder’s total credit line that’s used, the better off they look. A very low credit limit like the one offered here can actually make it difficult for someone with a low score to improve.

However, to ensure that the temptation to accumulate large amounts of debt on a credit card is minimized, this low limit could be a positive.

Who is the Milestone Gold Mastercard best for?

The Milestone Gold Mastercard is best suited for those looking to build their credit and don’t have access to more traditional credit cards.

Comparable card options for those with little or no credit

Due to this map’s shortcomings, it might be best to look elsewhere for those looking to improve their score. Other cards on the market offer better rates, cash back programs, no annual fees, and help rebuild credit. Here are a few alternatives to the Milestone Mastercard:

Capital One Platinum secured credit card

Capital One’s Platinum Secured card has no annual fee and flexible deposit. Deposits range from $49 for the $200 minimum line of credit to a higher deposit for a $1,000 maximum line of credit. The APR is a bit steep at a floating rate of 26.49%, and the card doesn’t offer any rewards. However, with responsible use, cardholders can get their deposit back.

After improving their credit score, they can also choose to upgrade to a regular Platinum card at Capital One and have their initial deposit refunded.

Petal 1 Visa credit card “no annual fee”.

The Petal 1 visa has no annual fee, requires no deposit and has no foreign transaction fees.

This card also comes with an app that includes credit building tools that cardholders can use to improve their credit score. The creditworthiness of applicants is determined by other factors such as savings behavior and creditworthiness. There are late and refunded payment fees to make users make their payments on time to avoid them. Petal 1 is a much better option for those looking to create a more stable foundation for their credit.

How to apply for the Milestone Gold Mastercard

Applying for the Milestone Gold Mastercard is easy:

  1. Go to the Milestone Gold Mastercard website.
  2. Click Get Started or Pre-Qualify Today.
  3. Fill out the quick online form.
  4. The card issuer will then contact applicants with further information.

Easy entry, but is Milestone Gold Mastercard for you?

The lack of a rewards program, inability to track one’s credit score, high annual fee, and low credit limit all add up to a card that makes it difficult to actually build good credit. While the Milestone Gold Card technically offers an easy entry into the world of credit for those with lower scores, better options are available.

However, for those worried about budgeting on a higher limit credit card, this card could be good for learning how to manage a credit card.

Final recording

This card could be good for credit building when making very small purchases, but other options are ultimately better for significantly improving credit scores.

Information is correct as of May 12, 2022.

Editor’s note: This content is not provided by Milestone. Any opinion, analysis, review, rating, or recommendation expressed in this article is solely that of the author and has not been reviewed, approved, or otherwise endorsed by Milestone.

About the author

John Bogna is a freelance writer and photographer based in Houston, Texas. His background spans topics from technology to culture and includes work for the Seattle Times, the Houston Press, WebMD and Mailchimp. Before moving to Bayou City, John earned a BA in Journalism from CSU Long Beach.

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