If you are at a point where you need to build credit or rebuild bad credit along with earning rewards while you are at it, then a US Bank LANPASS Visa Secured Card might be the right choice for you. Before you jump to any conclusions, thoroughly understand what this card has to offer. The Card type is Visa and it is issued by US Bank. A score of 680+ is required to qualify for membership of this card, as well as a history of making on time payments for other secured cards. Another thing, the rewards are good and beneficial if you are a frequent traveler especially to South America. This is one of the four secured cards offered by the US Bank.
How to Sign Up For the US Bank LANPASS Visa Secured Card?
In order to be approved for the US Bank LANPASS Visa Secured Card, a deposit is required by the card member. This deposit acts like your credit card limit and once you successfully become a card member, it is refunded with interest back to you.
Benefits of the US Bank LANPASS Visa Secured Card
You receive a bonus of 10,000 miles on your first purchase of this card. It lets you earn a LANPASS mile for each dollar spent. There is a discount of maximum $500 and a 10% discount on LAN purchases which can only be used per year.
Cardholders can find return flights to South America for as little as 20,000 miles. This means spending a minimum $10,000 on the card before you could avail a flight in miles.
The US Bank LANPASS Visa Secured Card reports to all three credit bureaus like all other secured cards and reports itself as a secured card. Card member can add a minimum of $100 at a given time.
The card can be upgraded to the LANPASS Visa Credit Card but users need to call them if they require an upgrade since it is not automatic. Cardholders who wish to upgrade will need to have used their secured card for at least 12 months to be eligible.
Fee and Penalties
The US Bank LANPASS Visa Secured Card has an annual fee worth $25, but this is waived of for the first year. There is no application fee. If you upgrade to the unsecured credit card by US Bank, the annual fee is still applicable and reaches $45.
A minimum security deposit of $300 and a maximum security deposit of $500 are required to obtain membership.
The interest rate charged is 16.24% variable which may change according to the prime rate for the current month issued in the Wall Street Journal.
A foreign transaction fee of 2% is applicable on transactions made in the US dollars. For transactions made other than US currency the fee becomes 3%.
Other features of the US Bank LANPASS Visa Secured Card
- The US Bank LANPASS Visa Secured Card offers zero fraud or liability protection which is also offered by almost all other cards. Due to this feature you are not help responsible for unauthorized purchases made through your card if you report them timely.
- A credit card powered by Visa is acceptable worldwide.
- There is no limit to the miles that you can earn
- There is an automated 24 hour account service available in both English and Spanish.
- The interest earned on security deposit is placed in FDIC insured savings account.
- Card members receive an annual account summary for their review
- Customer service is available in both English and Spanish.
- Travel Accident Insurance worth $500,000 is provided.
- There is also rental car collision damage waiver
The US Bank LANPASS Visa Secured Card is Good For You If
The US Bank LANPASS Visa Secured Card is recommended to you if you are a frequent flyer to and from South America. For people who have their business set up there the 10% discount on return tickets can provide huge savings. Also, if you have had credit difficulties in the past and you want to establish a solid credit score now, you can benefit from the card while earning some flyer miles. The same is true for those who haven’t yet had a chance to build credit score.
What is not attractive about the US Bank LANPASS Visa Secured Card?
The high interest rate compared to some other secured cards, lack of rewards for regular spending and the annual fee are some features of the LANPASS Visa Secured Card which might not be too attractive for some card users. Since it is a secured card, it will be hard to obtain if you had had a previous bankruptcy or major defaults recently. Although, many people can be accepted and qualify by the US Bank for this kind of card.
Unless you are planning to make major LANPASS purchases in the future, you can browse around a bit and find a more attractive offer with the same features. Your miles cannot be redeemed for any major rewards and the 10% discount can be availed once a year. Also, it requires major spending before you are able to redeem your miles, as much as $10,000.
How to Apply
Until now, there is no application available which can be sent online to apply for the card. You can however choose from two options if you want to apply through their website. These options are:
- Mail the cashier’s check or money order with a print of the application
- Using your checking or savings account, fund online
If the application gets approved, you will receive a US Bank LANPASS Visa Secured Card with a credit line which is the same as your deposit. This deposit is used to open your secured savings account with the US Bank to ensure that your card can be paid. The secured savings account earns interest and will remain open as long as your account remains open and stays in god standing, it is FDIC insured.
Any purchases made with the card are billed to the card holder each month. Minimum payments are required to be made by the card member each month and are not automatically deducted from the secured savings account. When US Bank LANPASS Visa Secured Card members achieve consistency in managing their credit card obligations for at least 12 months, they can move on to apply for an unsecured credit card.