U.S. Bank on Tuesday (Oct. 12) rolled out two new secured credit cards, according to a CNBC report, giving consumers the ability to get a credit card without a high credit score.
The U.S. Bank Altitude Go Visa Secured Card and U.S. Bank Cash+ Visa Secured Card offer returns on every dollar spent by the cardholder after an upfront deposit of $300 to $5,000, which serves as the cardholder’s spending limit and bank collateral.
The Altitude Go Visa Secured Card features 4X points per dollar spent on dining, 2X points per dollar spent at grocery stores, gas stations and streaming services, and 1X points per dollar spent on all other eligible purchases. Users can redeem points for travel, gift cards, cash back and other purchases.
All cardmembers are eligible for $15 credit for annual streaming service purchases, and the card features no annual fee or foreign transaction fees, plus the cardholder’s choice of billing due date.
The Cash+ Visa Secured Card is a cash-back credit card that earns 5% cash back on the user’s first $2,000 in combined eligible purchases each quarter in two categories, including TV, internet and streaming, home utilities, cell phone providers, fast food restaurants and movie theaters; 2% cash back on eligible purchases in one category (including gas stations, grocery stores and restaurants); and 1% cash back on all other eligible purchases.
Users can redeem cash back on the Cash+ Visa Secured Card as a statement credit; direct deposit to their U.S. Bank checking, savings or money market account; or a U.S. Bank rewards card. The card has no annual fee and users choose the due dates of their bills.
Analysts of the banking industry expect financial institutions’ earnings to be helped by fees from wealth management, a record number of deals and credit card fees that had been postponed due to the COVID-19 pandemic.
Some banks, including J.P. Morgan, have closed branches and let go of some staff, but banks will likely see their costs rise more than their revenues because they’re giving higher pay to employees and investing in technology upgrades.
Read More:US Bank Debuts Two Secured Credit Cards