Besides gettn' preapproved for merrick bank for $1000 with $95 AF i think a few months ago and a few auto loan preapps from cap one.... i finally got one from First Premier!!!!! with a limit of $700 - $175 AF = $525 initial avail credit! ...... it's sad to say that I probably would've applied if I never found this forum.... lol....just wanna say thanks everyone!!!!! I made so much progress and still hoping my credit will be super clean in the next few years.... 
Starting Score: MYFICO 12/30/15 -TU: 481, EQ:561, EX:532 - BK7 DISCHARGED 12/2015 - Current: 09/01/2016 TU:642 EQ: 651 EX: 646
BEWARE of First Premier !!!!!!!!!!
The two credit cards come with an astronomical interest rate: 49.9% the first year, with the possibility of a minor reduction to 39.9% thereafter. For comparison, the industry average for those with poor credit is 23.95% – less than half of the Aventium/Centennial’s. First Premier is notorious for its high interest rates: previous iterations of the Aventium and Centennial came with 79.9% and 59.9% APR’s, but were yanked after public pressure.
First Premier vs. the Fed: a cat-and-mouse game
Before the Credit CARD Act, First Premier’s terms were even more egregious. An unsecured Visa with a $250 credit limit included:
- • A $35 processing fee
- • A $119 acceptance fee
- • A $6 monthly fee ($72 a year)
That adds up to $276 in fees – more than the credit limit. The CARD Act stipulated that the first year’s fees can be, at most, 25% of the card’s credit limit, prohibiting this practice. The Visa could cost, at most, $62.50 in the first year.
Not to be deterred, First Premier issued a set of $300 credit limit cards with a $75 annual fee: identical triplets Aventium, Centennial and Classic. In addition, 1st Premier began charging $95 in processing fees, which were assessed before the card was approved and therefore technically did not count towards the first year limit.
“Nice try,” said the Fed, which clarified earlier this year that all processing fees are indeed part of first year’s costs. First Premier moved on to Plan B: the $95 processing fee took on its current incarnation, a security deposit.
What’s more, the Credit CARD Act regulates how much issuers can levy in fees for the card’s first year: 25% of the initial credit limit. After Year One, however, all bets are off. Because 1st Premier charges the maximum allowed fee upfront, the bank is barred from levying further charges the first year. However, as soon as the CARD Act’s protection expires, a number of fees and charges crop up:
- • A 3% foreign transaction and cash advance fee, which are industry standard but are notable because they only take effect the second year, after the fee cap expires
- • A $3.95 one-time fee to access online banking, whereas most banks actually reward e-statements
- • A $6.50 monthly fee, which doesn’t seem like much but adds up to $78 a year
The cards also have a $75 annual fee the first year – 25% of the cards’ credit limit, the maximum first-year fee allowed by the Credit CARD Act of 2009. Essentially, the card only has a $225 credit line, after fees. That fee is lowered to $45 a year after that, but is supplemented by a $6.50 monthly fee, for a total of $123 a year – more than one-third of the credit limit.
These unsecured cards come with a secret: they’re actually secured credit cards. In the cards’ very, very fine print is a requirement that account holders make a “security deposit” of $95, which will be refunded when the account is closed. This makes the cards almost like secured credit cards, but with even higher fees and interest rates!
By default, the credit limit is set at $300 the first year. After that, customers have the option to increase their credit limit – for a fee of 25% of the increase. To increase the credit limit by $400, then, a customer must shell out $100. This is essentially punishment for good behavior: only those who spend responsibly will qualify for a higher credit limit increase, but they will pay the highest fees.
Credit limit increase fees, combined with cash advance, foreign transaction and monthly fees, mean that you can easily pay 70% more each year you hold the card. As time goes on, First Premier really starts making the money that it couldn’t make from you the first year, and therefore destroys the Credit CARD Act’s intent to protect vulnerable consumers.
Now you just need credit one to complete the trifecta.....
@JonStur wrote:Now you just need credit one to complete the trifecta.....
lol.... credit one gave me my first preapproval in 6 yrs last yr before I started rebuildin..... I did apply but closed the account a few days after I got preapproved for Cap one.... lol
@kobe2012 wrote:
@JonStur wrote:Now you just need credit one to complete the trifecta.....
lol.... credit one gave me my first preapproval in 6 yrs last yr before I started rebuildin..... I did apply but closed the account a few days after I got preapproved for Cap one.... lol
Ohh..didn't know that, you really are a hot commodity!!!! Lol.....
@JonStur wrote:
@kobe2012 wrote:
@JonStur wrote:Now you just need credit one to complete the trifecta.....
lol.... credit one gave me my first preapproval in 6 yrs last yr before I started rebuildin..... I did apply but closed the account a few days after I got preapproved for Cap one.... lol
Ohh..didn't know that, you really are a hot commodity!!!! Lol.....
