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The Reflex Mastercard was made for applicants with bad, not even fair credit. If you can’t get a credit card anywhere else, you may find yourself turning to the Reflex Mastercard.
Before you do, make sure you understand how it works and, most importantly, what it costs.
Reflex Mastercard is a credit card for people with poor credit or who are trying to build up credit. It’s not a cheap credit card as it comes laden with fees and high APRs, but if you’re in a position that no other credit card company will approve your application, it may be a good temporary option.
The Reflex Mastercard has an annual fee, which we usually say to avoid unless you’re getting amazing rewards. If you have bad credit, though, a card with an annual fee may be the only option.
Besides the annual fee, Reflex charges an annual maintenance fee. However, they don’t charge it during the first year, so if you use it to build credit and then close it before you’re charged the fee, you can avoid the hefty charges.
The Reflex credit card also has low credit card limits. On the high end, you’re looking at $1,000, but since it’s for applicants with bad credit, you’ll usually see limits much lower.
To make matters worse, the annual fee and maintenance fees come right off your account limit.
If you get a $400 credit limit and have a $99 annual fee, your credit limit is already down to $301. If you follow traditional rules to improve your credit, you’re looking at spending only $120 total, or you may hurt your credit score further – that leaves you with $21 to charge without hurting your credit.
It’s normal for credit cards to have fees, especially an annual fee, but Reflex also charges a maintenance fee which makes this card very expensive.
If you don’t pay off the annual fee right away when you get the card, it will accrue interest, costing you even more money.
You must have a checking account to have a Reflex credit card. If you don’t have a checking account, you won’t get approved, no matter how good your other qualifying factors are.
The Reflex credit card doesn’t provide an option for a low APR. Right out of the gate, you’re looking at 24.99% up to 29.99%. That’s a lot of interest on a small credit limit.
Like we said before, the annual fee alone could quickly double if you don’t pay it off right away at interest rates like this.
Most applicants get a very low credit limit. It makes sense since the card is for poor credit applicants, but there are many other options for applicants with poor credit.
If you keep the Reflex card for over a year, you’re looking at another annual fee ($99) plus $10 a month for the maintenance fee. Your credit limit quickly disappears just with the fees charged.
If you have bad credit, but other areas of your financial life are ‘better,’ consider the Petal 2 Cash Back No Fees Credit Card.
The Petal card has no annual fee, offers credit limits between $500 – $10,000, and pays a 1% cash rebate on all purchases in the first 12 months and 1.5% cash back on eligible purchases after 12 months with on-time payments.
The Petal card doesn’t just look at your credit score to qualify you either – it uses other factors, including your timeliness in paying other bills and your income.
The OpenSky® Secured Credit Visa® is a secured credit card. With a secured card, you put down a deposit which becomes your credit limit.
The deposit required is between $200 – $3,000, which means that’s your credit limit too.
The OpenSky® Secured Credit Visa® has a $35 annual fee and a 17.39% APR for all applicants. It charges all the basic fees credit cards charge (foreign transaction fee, cash advance fee, etc.), but there is a $10 inactivity fee if you don’t use the card for 12 months.
It doesn’t offer rewards, but it’s a great card to help you build credit. Once you build your credit up, you can cancel the card and get an unsecured credit card.
The Discover It Secured Credit Card is another secured card option. Again, you must make a deposit that is equal to your credit line, but it offers many other benefits.
The Discover It card has no annual fee, reports your payments to all three credit bureaus, and even offers rewards for your purchases.
Right now, Discover will match all cash back earnings for the first year too. You can earn 2% cashback on gas stations and restaurants and 1% on all other purchases.
The APR isn’t very attractive, but if you only use the card for 12 months and pay the balance off in full, you won’t care about the 22.99% APR.
The Capital One Secured credit card offers another secured credit card option with no annual fee and reporting to all three credit bureaus.
All applicants get a $200 credit line to start, but you may be eligible for a higher credit limit within 6 months.
The ongoing APR is high at 26.99%, and there aren’t any rewards, but if you’re looking for a credit card to help you build credit without a large deposit, this is a good option.
Yes, the Reflex Mastercard is legit, albeit expensive, though. If you have no other options, you may consider it, but look at the fees to make sure it’s truly worth it for you.
The annual fee is $99 a year, but there is also the maintenance fee all cardholders pay after the first 12 months, which is $120.
Yes, the Reflex Mastercard may help you build credit, but there are many other cards with lower fees and APRs and rewards that may be a better option.
It’s safe to use the Reflex Mastercard just like any other card, but again, watch the fees as it’s often not worth it.
Only apply for the Reflex Mastercard if you have no other options. Other secured credit cards offer more benefits (and lower fees) that may be better.
Should you get the Reflex Mastercard? We think you should exhaust all other options first. If you can get a lower APR, higher credit limit, or even earn rewards as you try to build your credit back up, you’ll be in a better financial position.