Consumers with Bad Credit may consider the Orchard Bank MasterCard

Bad credit happens to good people; this is simply a fact of life. We never know when the you-know-what is going to hit the fan, and credit ratings are important to your financial future. Fortunately, there are ways to get your credit back on track while making minimal changes to your current financial budget.

If you have bad credit (or no credit) and have applied for credit cards, then you know how it feels to receive the rejection letter in the mail: “Unfortunately, we were unable to approve you for the XYZ Platinum Credit Card because of these factors…”

It’s frustrating and humiliating and it makes it nearly impossible to repair your credit.

Enter the secured Orchard Bank MasterCard from HSBC! The Orchard Bank MasterCard is a credit card for consumers with bad (or no) credit that can help consumers to lift their credit ratings and begin to establish a positive credit history.

We now recommend another unsercured card to help rebuild average credit here.

Pros of the Orchard Bank MasterCard

Although secured credit cards aren’t always the most convenient way to go, they can certainly boost your credit rating quickly and help you to get the loan or financing you need. A secured credit card like the Orchard Bank MasterCard allows you to make an initial deposit – usually around $200.00 on up to your credit limit – from your checking account to secure the line of credit.

They do this so that in the event that you do not pay at least your minimum payment, they have a guarantee for the money you spend.

Because the Orchard Bank MasterCard is geared toward helping consumers establish good credit history, HSBC reports repayment behavior to all three of the major credit bureaus – Experian, Equifax and TransUnion.

This helps consumers to be sure that their good credit is being received and reported by the credit reporting agencies. Often, a positive account is never reported, which means that your credit isn’t helped in the least.

The Orchard Bank MasterCard is accepted at over twenty-two million locations worldwide with access to more than a three-quarters of a million ATM locations in the United States. HSBC offers security protection for purchases made online as well as monthly bank statements recording your purchase history.

Cons of the Orchard Bank MasterCard

While this is one of the safest and most convenient ways of improving your credit, there are a few negative points to the Orchard Bank MasterCard.

First, it has a relatively high interest rate around 15.9%*. Typically, secured credit cards have APR’s varying from 12% to 22%, depending on the financial institution. This is something that is common for credit cards geared toward bad-credit consumers, and is not something that can be avoided.

Secondly, it can take several months before the changes begin to reflect in your credit report. Unfortunately, the credit reporting agencies do not process information very quickly, so it will be some time before you see your credit score begin to rise. Also, there have been complaints in the past about secured credit card financial institutions failing to report the accounts as promised, so it is important to routinely check your credit report to make sure that the bank is following through as they said they would.

Lastly, there are no guarantees. If you know that you have a problem with credit cards – i.e. not being able to manage them well – then a secured credit card like the Orchard Bank MasterCard might further compound your problems. Carefully analyze the reasons for your poor credit and decide whether or not you can be trusted with a credit card.

You can find out more about the Orchard Bank MasterCard by visiting orchardbank.com or clicking Apply Now. You can also reach them on the phone by calling their toll free number at 1.800.724.4964. Note: This card may not be available now that they were purchased by Capital One.