Finding a credit card scorer to boost your credit history? Well, Credit history plays an important role if you use your credit card, most of the time. This is basically a record noticed/analyzed by credit card companies before allowing you to spend money. There could be many credit boosters but Chime is something different here. You will be getting a wholesome Chime Credit Builder Card Review in order to get an idea of how it works.
Are you someone ever heard About Chime Credit Builder Card, but had no idea how it works? Don’t panic as we will be guiding you with the same throughout the post!
Before getting into the depth, let me get you involved with the idea of Credit Scores first!
A credit card is a normal card that you use to pay for your outstanding bills, payments for goods you purchased, and others. When you pay using a credit card, you don’t possess funds on your card; however, you are granted permission to spend for certain limits and for a certain time period. This, you can pay later at the end of the month or whatsoever the duration is.
Then, what is this Credit Score?
A credit score is the performance of your credit card that you have accumulated using your credit card for making rightful repayments on time. It includes how much money you spent in what time period. Also, it is mainly focused on the time amount paid back to the credit card companies. The more your credit score would be; you will have higher the chances of getting used the credit card and getting permission for a new credit card as well.
In other words, it’s a kind of goodwill that you earn throughout the time with your accurate repayment strategy.
About Chime Credit Builder Card (Review)
Chime Credit Builder Card is a popular one that is mostly used by people who either are just starting their credit card journey or want to fix their poor credit card history: suitable for both. There is no credit limit for the Chime credit card and also it’s free from annual fees, of any kind.
Also, Chime Credit Card requires automatic payments which help complete the payment on time, without delay. And, being within a limit, you cannot spend more than the decided amount.
It is necessary to have a Chime spending account in order to receive payments on this account. Also, it helps in scheduling payments on time.
What Are The Benefits Of Chime Credit Builder?
The list of benefits is provided here:
- No minimum deposit required
- Automatic payments: pay on time to score more.
- For building your credit score with the protection of future finances.
- Helps beginners establish credit responsibly
- No annual fees
- No overdraft option
Pros & Cons
Pros:
- Automatic payment settings
- No interest or monthly fees
- No minimum security deposit
- No credit check
- The credit reports show payment and balance but not card usage.
- Other features for credit building
Cons:
- You will get no reward program like other credit card companies.
- It might be less effective for you in terms of credit cards in the future.
- Users should have a spending account with at least a deposit of $200 before opening a credit card
How To Sign Up For Chime Credit Builder Card
Signing up takes place on the Chime website, so you need to visit that from your browser first. Then after, the most necessary thing that is needed to be done is to create your Chime Spending Account. These are direct funds that your credit card uses to fund your purchases.
After you visit the website of Chime, all you need is to put the information there and add your credit card to your spending account. Then, wait for some time for the card and activate it. Finally, you can start making purchases.
Features:
Let us have a look at the features of the Chime Credit Builder Card.
No Interest required
On a Chime credit card, you don’t require to pay any interest. It means you can only spend the amount with you, in your spending account.
Also, there is no overdraft option that you can use to spend extra than you have.
No Credit Limit
Here on Chime Credit Card, users are allowed to transfer as many funds as they want in their Spending account. Then after, they can spend as per the choice from the funds they have. Unlike other credit cards, Chime allows spending as per the amount you have in your Chime spending account.
It is something you should be well aware of before using Chime’s card.
Credit Builder VS Chime Debit Card
Chime, along with Credit cards, offers a debit card to its users to experience some of the features which are non-accessible through Credit cards. Although the Chime Credit card works well for the users and works as a prepaid debit card, Debit card has its own advantages and therefore it is necessary to have it.
For an instance, with the help of a Chime Debit card, you can withdraw money from ATMs. It is also helpful in using SpotMe; a standard feature on Debit Card.
Credit Builder Metal Card
A Metal Card is the attraction of Chime, nowadays. It is the best effort to remove plastic use and make users more into the usage of Credit cards.
Additionally, in order to promote Metal Card, users need to make 40 purchases on the credit card worth $1 within 2 months. And, those who succeed in the challenge receive a new metal card.
The intention of credit cards is to make small purchases and then paid off quickly.
How Do I Build My Credit Score With a Chime Card?
First of all, you should move your funds to a credit builder account (Make sure you are aware of your spending to avoid chaos at the end of the month). After that whenever you make purchases, it will initiate automatic payments from your credit account and the payment of your purchase will be settled automatically.
This way, you will find an improvement in your credit score every time you make a payment on time.
Talking about Chime Credit Card more specifically, it is best for foolproof payment plans compared to the other credit cards. It is therefore very much popular among the users, as it helps in improving the score of a credit card with its automatic payment plans.
Alternatives
Those who think Chime would not be best for fulfilling their needs should not be worried at all. There are other alternatives that might be useful with different features they have. Have a look.
Experian Boost Credit Card
Experian Boost Credit Card is a credit booster that works immensely with or without even credit cards and supports in building scores. So every time you pay bills or make payments, it will help in increasing your score.
Milestone Gold Mastercard
Milestone Gold Mastercard is a chargeable option to increase the score of your credit card. It, unlike Chime, charges an APR of 23.90 percent.
Milestone Gold has credit limits of $300, which is like most credit cards. However, it might or might not be useful for some people. It is especially ideal for those having small expenses.
The bottom line:
To help you know better about Chime Credit Card, we did Chime Credit Builder Card Review, which is a burning flame, nowadays.
If you look up to credit score every time you use your credit card, Chime could be worth using then. Yes, it is helpful planned payments, which necessarily will allow you to spend the amount which is being transferred to your spending credit account.
In order to use a Chime credit card, you need to have a Chime spending account because you first need to transfer funds to your account, and then you can use it for your expenses.
That’s the end! Hope it helped…