Destiny Mastercard® Review

Obtaining an unsecured credit card is a challenge when you have poor credit. First, you have to identify cards willing to approve your application — including cards such as Destiny Mastercard® that cater to consumers with abysmal credit.

Second, you must choose a card that has something — anything — that distinguishes it from competitors. This credit card review assesses whether the Destiny Mastercard® is your best choice (spoiler alert: It’s not) and compares it to three other subprime credit cards that have higher overall ratings.

Finally, we’ll address the question of whether you’d do better with a secured credit card. You may find the answer surprising.

Key Points About the Destiny Mastercard®

The Destiny Mastercard® is a card to consider if you’ve recently emerged from bankruptcy. It helps you build credit by reporting to all three credit bureaus. It is a real Mastercard®, welcomed by merchants around the world.

The card provides Mastercard Zero Liability Protection against loss or theft. And as an unsecured card, you can obtain it without a security deposit.

Unfortunately, its APR is very high. The card imposes a costly monthly maintenance fee after the first year of ownership. In its favor, the card doesn’t charge a sign-up fee, and its foreign transaction fee is lower than most.

How to Qualify and Apply

You can qualify for the card with a credit score as low as 500. You must also earn enough income to afford the monthly minimum payment, plus:

• • Be 18 or older

• • Have a physical US address

• • Have a US email address

• • Have a valid Social Security number

• • Own a bank account

• • Not have had a Destiny account that was charged off due to delinquency

You can apply on the bank’s website and access the card’s terms and conditions below:

To apply for the card, you must provide your name, address, phone number, date of birth, SSN, and your monthly income and expenses. When you apply, you can request optional over limit coverage and/or credit protection. You should get an immediate decision, and if favorable, the card should arrive within 14 business days.

Benefits & Drawbacks to Consider

The card’s benefits are slim, but its drawbacks are significant. Consider the following before you decide to apply for this card.

Benefits

• • Building credit: The card reports your activity to the three major credit bureaus (Equifax, Experian, and TransUnion), which can help you build credit.

• • Access despite poor credit: You can qualify for the card despite low credit scores and other credit issues, including prior bankruptcies.

• • No security deposit required: The card is unsecured and available without a security deposit. It also doesn’t charge a one-time program fee, unlike some of its competitors.

• • 24/7 account access: You can manage your account online, where you can take advantage of around-the-clock access.

• • Fraud protection: As a Mastercard®, you get Identity Theft Protection and Zero Liability Protection. You’ll also receive alerts for unauthorized use of personal information.

If you want a card that doesn’t confuse you with all sorts of perks, this one fits the bill.

Drawbacks

• • Multiple fees: The card imposes various charges, such as an annual fee and a monthly fee that kicks in after the first year. There are also fees for overlimit spending, overdue payments, cash advances, and foreign transactions.

• • High interest rate: The card’s interest rate is exceptionally high. You can avoid it by paying your entire balance every month.

• • Low credit limit: The card offers a relatively small credit limit.

• • No rewards: Unlike many other credit cards, this one does not offer any rewards program. It also lacks an introductory 0% APR.

• • No balance transfers: The card does not allow balance transfers.

Few cards offer so little at such a high price. You owe it to yourself to check out the alternative cards in the following section.

Best Alternatives Worth a Look

Our editors give the following three cards a higher score than the Destiny Mastercard®. They all cater to applicants with subprime credit, and one even offers cash back rewards.

The FIT™ Platinum Mastercard® offers a lower APR, an annual fee of $99, and a higher credit limit than the Destiny Mastercard®. It also provides a path to credit limit increases.

You can use your card everywhere Mastercard is accepted. But be sure to read the card’s pricing and terms, as it’s not the cheapest option on the block, either.

The Revvi Card is unique in this group because it offers cash back rewards. Its APR matches that of the Destiny Mastercard®, but its annual fee is lower. However, it imposes a one-time program fee, and its second-year monthly maintenance fee is higher.

This Visa® credit card offers similar benefits to those of the Destiny Mastercard®, which is to say meager. You’ll have to earn a lot of cash back to offset the card’s high costs.

The Arro Card is quite different from the Destiny Mastercard®, with a much lower APR, support for balance transfers, and no hard credit checks. It has a free credit score tracker, and you don’t need a credit history to apply.

The card comes with a mobile app that lets you manage your account on the go. However, the card’s introductory credit limit is only $50 to $200, much lower than that of the Destiny Mastercard®.

Cardholder Reviews Around the Web

Looking at anecdotal evidence can help sway your decision one way or another. We sourced the web to find reviews from real cardholders, but what we found was almost uniformly critical reviews of the card’s costs.

For example, crialpaca states:

“This card has annual fees, no rewards, and scary high-interest rates (not that interest rates should come into play when deciding on a new card — you should always pay off your statement balance every month). I’d definitely say to avoid this. They don’t post their terms somewhere easily discoverable, which is a red flag.”

On the other hand, Marilyn likes the card:

“I have had this card for going on two years and have appreciated the opportunity it provided me. For me, this was an opportunity to re-educate and rebuild my credit. This was a restart, so I wasn’t thinking of this card for groceries, repairs, or travel. With a $300 limit, this card became an ‘incidentals’ card, used for small things like fast food, corner stores, small Target runs, always trying to stay below 30% ($90).”

We would be remiss if we didn’t point out that forum contributors tend to be highly opinionated. In this case, those opinions are decidedly negative.

FAQs: What Is the Card’s Credit Limit?

The Destiny Mastercard® offers a credit limit of $700. The card does not grant or accept requests for a higher credit limit.

Usually, the card declines any transactions that would put you over your credit limit. But you can sign up for over-limit coverage that allows you to exceed your credit limit. The card charges a fee each time you spend beyond your limit.

Even if you request over-limit coverage, the issuer may decline a transaction that would cause you to go over your credit limit if you have yet to establish a payment history, are past due, or are significantly over your credit limit.

Is It Hard to Get Approved?

It’s relatively easy to get the Destiny Mastercard®, but it’s not guaranteed. The card serves consumers with very low credit, including persons who’ve emerged from bankruptcy.

The lack of a program fee is encouraging, but the annual fee is steep. The card penalizes you with a significant APR if you don’t pay your entire balance each month.

What Is the Minimum Payment?

The bank requires a monthly minimum payment of 5% of your new balance or $40, whichever is greater, rounded to the nearest dollar. If you elect not to pay your new balance in full, you must pay at least the monthly minimum payment by the payment due date shown on your statement.

The payment grace period is at least 25 days after the closing date of the billing cycle.

Your monthly minimum payment will also include any past-due amounts. Suppose your new balance is less than or equal to your monthly minimum payment. In that case, your monthly minimum payment will be similar to your new balance.

If the card charges you interest, the cost will be no less than $1.

Would a Secured Credit Card Be a Better Choice?

A secured credit card requires you to lay out a security deposit, which typically sets the card’s credit limit. This deposit acts as collateral and minimizes risk for the issuer, which makes it much easier to obtain the card even if you have a limited or poor credit history. Secured cards are helpful in building or improving credit, as they usually report your activity to each major credit bureau.

The following chart compares the Destiny Mastercard® to a typical secured card:

	Destiny Mastercard®	Typical Secured Card
Credit Check	Required	May not be required
Approval Odds	Fair to poor credit accepted; no guarantee of approval	Fairly high, especially for those with poor or no credit history
Security Deposit	None	Required; often equal to the credit limit
Credit Limit	$700	Typically equal to the security deposit
Annual Fee	See terms	Varies; often lower or $0
Monthly Fee	$0 the first year, then a monthly fee	None
APR	See terms	Varies; lower than unsecured cards
Reporting to Credit Bureaus?	Yes (all three major bureaus)	Yes (usually to all three major bureaus)
Rewards Program	None	Some offer cash back or points
Credit Line Increase	N/A	Possible over time, with additional deposits
Target Users	Individuals looking to rebuild credit without a deposit	Individuals starting or rebuilding credit with some funds for a deposit

You should consider acquiring a secured credit card rather than an unsecured card for poor credit. A typical secured card usually has lower fees and interest rates, better benefits, and sometimes cash back rewards. True, you must fork over a security deposit, but the card will refund it when you close or upgrade the account. Many secured cards automatically move you to an unsecured card after as few as six months of timely payments.

Is the Destiny Mastercard® Legitimate?

We believe it to be legitimate despite many customer comments to the contrary. The issuer designed the card for individuals with less-than-perfect credit histories, including those who have experienced bankruptcy.

The card carries the Mastercard® logo, which should prove its legitimacy. It also provides certain Mastercard® benefits, including ID Theft Protection and Zero Liability protection, and supports 24/7 account access.

For the most part, the card does not throw up most of the following red flags that indicate a low-quality card:

• • Lack of a secure website: Legitimate credit card issuers have secure, professional websites (indicated by “https://” and a security symbol in the URL bar). This is true of Concora Credit, the sponsor of the Destiny Mastercard®.

• • High fees or charges: Excessive fees, especially if demanded upfront, can be a sign of a scam. While the Destiny Mastercard® charges high fees, it does not impose a program fee. Cards that assess this fee require you to submit it before receiving the card.

• • Too-good-to-be-true promises: Illegitimate cards frequently promise guaranteed approval or unusually high credit limits, no matter your credit history. This is not the case for the Destiny Mastercard®.

• • No physical address or contact information: Legitimate issuers have verifiable physical addresses and customer service contact information. Concora Credit’s address is 14600 NW Greenbrier Pkwy, Beaverton, OR 97006-5745.

• • Better Business Bureau accreditation: Concora Credit (formerly Genesis FS Card Services) is BBB-accredited with a BBB rating of A. However, its BBB customer score is only 1.13 out of five, and the BBB received 1,939 complaints about Concora in the last three years.

• • Pressure to act quickly: Scammers often create a sense of urgency to prevent you from researching or overthinking about the offer. We don’t detect this card exerting any pressure on consumers.

• • Requests for personal information: Be cautious if asked for sensitive information, such as your Social Security number, without any security measures or application process in place. While the bank collects confidential information, there is nothing unusual about its application process.

You may have reservations about getting the Destiny Mastercard®, but legitimacy shouldn’t factor into your decision.

This Card May Be For You If You…

• • Have poor to fair credit and are looking to build or rebuild credit

• • Have experienced bankruptcy and are seeking a fresh start

• • Do not qualify for other unsecured credit cards due to your credit history

• • Are willing to pay higher fees and APRs as a trade-off for accessing an unsecured credit line

• • Are disciplined in your spending and can manage your credit responsibly to avoid accumulating high-interest debt

If you do decide to apply for this card, we advise you to use it for a year to rebuild your credit and then switch to a better credit card — one with lower costs and better benefits. By canceling before the 12-month mark, you’ll avoid the second year’s annual fee and monthly maintenance charges.