Indigo Credit Card Review

Written by Robert Ferry on November 3, 2022
Indigo Credit Card Review

The Indigo® Mastercard® is one of the best choices for individuals who want to build good Credit or have no credit history. Whether new to the credit card world or recovering from your previous mistakes, the card is a life hack for you. The card does not require a security deposit or hard credit check for easy credit building.

The rewards structure, welcome offer, purchase intro APR, and balance transfer intro APR are unavailable as the card does not offer them. If you are worried about your credit score, there is no need to view the weaknesses. Also, you need to maintain a regular APR of 24.90%, along with your timely payments.

The card has a maximum credit limit of $300 which does not change with time and remains the same. The annual fee has three tiers of $0, $59, or $75 and $99 that apply to the customer's creditworthiness; with high-interest rates and fee structure, it is important to maintain a credit utilization ratio that highly affects your credit score.

With few benefits, Indigo MasterCard is a great option for rebuilding Credit and increasing limited credit history. You must focus on amazing features, insurance offers, and protection plans at a mature age. Rewards, sign-up bonuses, or welcome offers are important but first, build your Credit and apply for the card.

This article will help you develop a better understanding of the Indigo credit card, such as the features it offers. Moreover, we will look at the pros and cons of the card. To help you make a decision easily, we will also compare the Indigo card with some other cards. A FAQs section has been added to address some general questions about the card.

Features

  • Rewards Rate: N/A
  • Welcome Offer: N/A
  • Recommended Credit Score: Bad to Fair (300 to 670)
  • Regular APR: 24.90%
  • Purchase intro APR: N/A
  • Balance transfer intro APR: N/A
  • Annual fee: $0 to $99
  • Balance Transfer Fee: None
  • Late Payment Fee: $40
  • Foreign Transaction Fee: 1%
  • Best for building Credit.

Rates and Fees

The Indigo credit card requires users to maintain a regular APR of 24.90% with all purchases. The card can take an interest rate of 29.90% for cash advances. Be careful with your payments, as they can charge you high interest and a late payment fee of $40 or more. And with a good payment schedule, you can build good Credit.

If we talk about foreign transaction fees, the card charges a 1% fee on all transactions made outside the country. The policy of no foreign transaction fee is applicable on all travel cards. But Indigo MasterCard is neither a travel card nor a foreign transaction-free card. So It charges 1% for foreign transactions, which is low than the standard rate of 3%.

With Indigo MasterCard, you are required to pay an annual fee ranging from $0 to $99. The card has three annual fee tiers of $0, $59, or $75 and $99. Your annual fee charges will depend on your creditworthiness. But the credit card terms do not mention whether the annual fee charges will change along with the change in credit score.

The Indigo MasterCard is great for users who get approved for the card. And then, they improve their credit score through on-time payments, annual fees, foreign transaction fees, and regular APR. After that, they consider applying for other great cards with Good Credit. Eventually, they will get amazing rewards and benefits.

Rewards and Welcome Offer

Indigo credit card lacks a rewards structure and any intro bonus or welcome offer. Also, it does not offer its users cash back or points on their purchases. But the fact is, credit cards often offer rewards with the requirement of a good credit score or history. But Indigo MasterCard is designed to help low-credit holders.

The card charges cash advances of 29.40% and a foreign transaction fee of $1 to maintain the credit limit. If you are rebuilding your Credit, you must manage your budget accordingly. This will lead you to limit your credit utilization and make your credit card life easy.

Credit Score Requirement

Unlike some credit cards, Indigo MasterCard has a minimum credit score requirement of 300 to 670. Other cards offer approval to users with no credit history to build their credit score and history. Also, credit cards with great perks require a good credit score as they have a strong rewards structure.

If you are struggling to rebuild your previous credit history and apply for other cards, the Indigo credit card is one of the best choices. Remember to maintain your credit utilization ratio by limiting interest rates, so you cannot get dumped with the low credit score requirement.

Regular APR

Indigo MasterCard requires users to maintain a regular APR of 24.90% for their purchases. Some users find the APR rate a little bit high because the card does not offer any reward structure. Compared to other credit cards, a 24.90% regular APR is somehow a great option. But for some users, its rates are high.

Advantages

  • The card has multiple designs so that cardholders can choose the design according to their choice.
  • The card offers online access to your account through your mobile phone or computer.
  • Users can prequalify the card with their fair or bad credit history or credit score.
  • The card has several chips so users can make more secure transactions.
  • It has a $0 annual fee for users, depending on their creditworthiness.
  • It has the AutoPay option that ensures that payments are made on time.
  • The card has a very low foreign transaction fee of only 1 percent.
  • The card reports your credit history to all three credit bureaus, TransUnion, Equifax, and Experian.
  • The card is an unsecured credit card, so users don't need cash as a security deposit.

Best for Building Credit

Choosing Indigo MasterCard as your credit builder is a great choice. The card sends your credit payments to the three major credit bureaus: Experian, TransUnion, and Equifax. So you have a great chance to build your Credit or rebuild your previous high credit score.

If you make your payments on time, you have a great opportunity to build good credit history. After achieving that, you can easily apply for other credit cards to get amazing benefits and rewards programs. On the other hand, with an unmaintained credit habit, you will fail to establish a good credit history.

Fast & Feasible Application Process

Unlike many credit cards, Indigo MasterCard has an easy and fast application process. Although many cards have some rewards or welcome offers, you will get a quick application process with the Indigo MasterCard. Applying for or getting the Indigo MasterCard is not a hectic task.

With all your basic information prepared, you can complete the application process and other requirements within a minute or two. Your age must not be less than 18 years, and you should have your SSN, residence address, and IP address to apply for the card.

Soft Credit Pull

Users must go through a soft credit check or hard credit inquiry with every credit card. The credit check affects your credit score with 10% effectiveness for about two years. Many credit cards do a hard credit check, but Indigo Master Card offers an easy pre-qualification option. A soft credit check will save your Credit for future use.

High Approval Rate

The Indigo credit card is specially designed for individuals with a bad credit history or credit score. The card reports to major credit bureaus, so the chances to improve your credit score are 100%. As the card builds your credit history, many people apply for the card and get approved. It's a great benefit to apply for the card easily, get approval, and improve your low Credit.

No Security Deposit

Indigo MasterCard is an unsecured credit card without any cash security deposit. You can get the Indigo MasterCard with its high and low credit limits without paying any security deposit. You don't need to worry about collateral payments with your Indigo MasterCard.

AutoPay

The Indigo MasterCard offers users the availability of online management of customer accounts, so you can easily maintain your balance, transactions, and credit limits. Also, users were constantly tense to keep track of their payments to avoid a late payment penalty. With AutoPay, the card will make your monthly payments on time and save you from a late payment fee of $40 or above.

Disadvantages

  • The card requires users to maintain a high regular APR of 24.90 percent.
  • Users must pay an annual fee between $0 to $99, depending on their creditworthiness. The fee applies to pay for the first year only from the application submission date.
  • The card offers a low maximum credit limit of $300, affecting your credit score and history.
  • It does not offer any low intro APR.
  • The card does not offer any reward structure.
  • The fee structure is high for low credit scores compared to other cards.

High Annual Fee

Indigo MasterCard divides its annual fee into three tiers according to the user's creditworthiness. Some users are charged $75 or $99 as the annual fee for the first year of their application. Also, some get no annual fee based on their credit value.

Suppose you are trying to build your credit score and are charged a high annual fee; it will mess up your payments. So one of the major drawbacks of the card is that it charges a high annual fee without any rewards rate.

No Rewards Structure

The Indigo MasterCard does not offer any reward structure, including a welcome offer or intro bonus. Users are required to focus on their credit building rather than getting side profits. Because with a low credit score, you can't apply for other great credit cards. So be focused on the card's features and basic security offers rather than considering perks like travel insurance and protection of purchases.

Unlike other credit cards, it has no welcome offers or rewards. The card is specially designed for users with bad or fair Credit, but rewards and intro bonus offers to cheer up the customer.

High Regular APR

Another disadvantage of the Indigo MasterCard includes a regular APR of 24.90%, which is high compared to other cards. Also, users are not getting rewards or welcome offers equivalent to the standard APR. Users are required to maintain the fixed APR, so their payment schedule remains up to date.

If your payments are on time, you will manage to pay the APR percentage. But with late payments, you will get a late payment penalty of $40, a bad credit score, and an annual fee. The card also has the option of cash advances with a charge of 29.40%.

How the Indigo® Mastercard® Compares to Other Cards

With several competitors, Indigo MasterCard has some alternatives that offer similar benefits. You can consider Discover it® Secured Credit Card and Capital One Platinum Secured Credit Card as alternatives to Indigo MasterCard.

Indigo® Mastercard® VS Discover it® Secured Credit Card

Discover it® Secured Credit Card holds a great position in the market. Users are required to provide a minimum security deposit of $200 with their Discover credit card. On the other hand, Indigo MasterCard is an unsecured credit card, so it does not have any security deposit.

The Discover it® credit card is considered one of the best-secured credit cards for earning rewards. It offers 2% cash back on purchases at gas stations and restaurants. Also, you can get 1% cash back on all other eligible purchases. But Indigo MasterCard does not offer any reward structure. So, you can choose Discover it® Secured Card over Indigo MasterCard due to its security deposit.

Whether you choose rewards and security deposit of Discover it® Secured Card, you still first focus on your credit score and credit history. The card qualifies customers without any credit history, whereas Indigo MasterCard requires a minimum of a 300 credit score. Also, there is no annual fee with the Discover it® Secured card, and you can choose the card for multiple perks.

Indigo® Mastercard® VS Capital One Platinum Secured Credit Card

Another alternative for Indigo MasterCard is Capital One Platinum Secured Credit Card. The card does not charge any annual fee compared to the three tiers of $0, $59, $75, and $99 by Indigo MasterCard.

Indigo Mastercard does not require a security deposit as it is an unsecured credit card. But Capital One's credit card has a security deposit of $49, $99, or $200, depending on the customer's creditworthiness. You can pay your security deposit in easy installments of a minimum of $20 within the first thirty-five days after applying for the card.

Like the Indigo credit card, Capital One Platinum Secured Credit Card does not offer a rewards structure, any welcome offer, or an intro bonus. The credit card requirement by the Indigo MasterCard is a minimum of a 300 credit score, whereas Capital One's credit card offers approval to users without a credit history.

Indigo® Mastercard® VS Bank of America® Customized Cash Rewards Secured Credit Card

Bank of America's credit card is another good option for getting multiple perks and rebuilding your credit history. The card offers 3% cash back for purchases such as dining, home improvements, travel, online shopping, and gas. Also, you can get 2% cash back on your purchases at wholesale clubs and grocery stores.

Moreover, offering unlimited cash back on all purchases is a good perk. You can earn 2% and 3% cash back on your first purchase of $2,500 of mixed categories, including wholesale club and grocery store. The card does not charge any annual fee, just like the Indigo credit card, but its strong rewards structure covers the need for an annual fee.

The Bank of America® Customized Cash Rewards Secured Credit Card is one of the good choices for users with a low credit score or credit history. The card reports your payment schedule to the three credit bureaus so users can rebuild their credit history. Along with a high rewards rate and security deposit, the card is best for improving a bad or fair credit score.

Conclusion

Indigo Credit Card is a great option for users who are going to start their credit card journey. Also, users with bad credit history have the chance to get back on track by correcting their mistakes. With benefits like an easy and fast application process, a high approval rate, no security deposit, and AutoPay, Indigo MasterCard helps as a good credit builder.

The card has annual fees in three tiers $0, $59, $75, and $99. You will be charged an annual fee according to your creditworthiness. According to your credit card type, it offers no rewards, no low intro APR, and a credit limit between $300 to $1,000. The card's appearance is attractive with multiple designs, but it is not worth buying unless you are in great trouble.

The Indigo MasterCard is designed to help individuals with bad credit history. With pre-qualification, users can easily qualify and be approved for the card, improve their credit score with on-time monthly payments, and make more secure payments with the chip cards of Indigo MasterCard. Try the card and build your credit score and history.

FAQs

Some frequently asked questions about Indigo Credit Card are as follows:

What is the Credit Limit for the Indigo® MasterCard®?

The Indigo MasterCard requires cardholders to maintain a credit limit of $300. The card does not have a competitive credit limit. Also, it is fixed and cannot be increased to more than $300. Unlike other building credit cards, Indigo MasterCard has a fixed credit limit that is good for improving your credit score.

What is the Credit Score Requirement of Indigo MasterCard?

The credit score requirement of Indigo MasterCard is feasible with a FICO score of 300 to 670. The card is specially designed for those who have bad or fair Credit. Also, people with bankruptcy can apply for the card and get qualified for it. So if you have bad or fair Credit, Indigo MasterCard will help you build good Credit.

Who Can Apply for the Indigo® MasterCard®?

Every individual who wants to start his credit card journey or rebuild his bad or fair credit history can apply for the Indigo MasterCard. The card has some feasible requirements that you need to know before applying for the card. The requirements include an individual's age of 18 years or more, a valid social security number (SSN), an IP address, and a residence address. Other than these, you don't need to provide something to apply for Indigo MasterCard.

How Will the Indigo MasterCard Help Me Build Good Credit?

Indigo MasterCard is the best option to build or regroup your bad or fair history. The card does not require a cash deposit, so if you are struggling with your bad Credit, the card is a great choice. You can easily build good Credit with good credit habits, such as paying your debts on time and making on-time payments.

The card reports your payment schedule to the three credit bureaus, so if your payments are good, you will build good Credit with Indigo MasterCard. Otherwise, your fair or bad credit score will continue, and the chances of debt will get high.

Does Indigo MasterCard Make a Hard Inquiry?

A hard inquiry related to credit cards means that the insurer reports your payment schedule to credit bureaus. Many card insurers send customers' credit reports to credit bureaus and make hard inquiries. Indigo MasterCard is an unsecured credit card that does a hard inquiry and reports to the three credit bureaus, including Experian, TransUnion, and Equifax. So if you are an Indigo MasterCard holder, your monthly credit report will highly affect your credit score.

Can I Apply and Manage Indigo Mastercard Over My Phone?

Indigo Mastercard offers online access to the application and qualification process. You can apply for the pre-qualification process for the Indigo MasterCard, but that does not affect your credit score. You can easily manage your account and credit card with your mobile phone, computer, or another device. It helps you track your credit limit and creditworthiness, make transactions, deposit cash, and pay your bill and fees.

A physical visit is the best way to solve the inquiry if you get into any trouble regarding your credit card or any other bank-related issue. But if you can manage online, you can contact the customer service number.

Article written by Robert Ferry
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