The New Millennium Bank card is a secured card. This means that after you apply you will be required to open a savings account.
Then your credit card limit will be equal to the deposit you make in this new savings account. The deposit will earn interest and is fully refundable.
It just secures that New Millennium will get their money even if you default on your payments.
Frequently this card is used to re-establish a damaged credit report. That is because just by paying your monthly bill on time you will be able to create a record of positive payments on your credit report.
You are guaranteed to be approved for this card and there is no credit check, employment verification, or minimum income requirements.
It can be issued as a Secured Visa or MasterCard. You choose during the application process. If you want you can get both the Visa and MasterCard and have two separate accounts reporting positive payments to the credit bureaus.
There is a $59 annual fee and a 19.5% APR. Unfortunately this APR is standard in bad credit lending and only having a one time annual fee of $59 is low comparative to other bad credit secured cards. The minimum deposit is a low $300 and you can deposit up to $10,000.
- Monthly Reporting to Three Major Credit Bureaus
- 100% Approval
- No Credit Check
- Low Annual Fee
- No Minimum Income
- No Employment Verification
New Millennium Bank Suggest
Yes, we do suggest the secured New Millennium Bank Visa and MasterCard. It gives you a method to build some positive marks on your credit report and at a reasonable price.
Opening new positive reporting accounts has been shown to be a very effective method for raising your credit score.
One last drawback to this credit card for a bad credit rating is there is no grace period thus interest will be applied to your purchases immediately. However with sub prime lending and the disappearance of many lenders this is OK.
In addition to paying your bill on time another helpful tip to build credit is to keep your balance at 20% or less of your available credit.
For example if your credit line is $500 then you should try to keep your balance at $100 or less. This helps because it shows the bureaus that
- You use your credit
- You use it responsibly
It also will help with your credit to debt or utilization ratio. This is how much debt you have compared to available credit. The bureaus like to see that you have available credit when they calculate your score.
This is because it appears less likely that you are in over your head and instead shows responsibility and financial wisdom. However due to the new credit legislation and the recent economic trouble in our country the New Millennium Bank Credit Card is no longer being offered.