No Deposit Required
- No deposit required
- Can help build credit history since it reports to all three major credit bureaus
- Fraud protection
- Use anywhere Mastercard is accepted
- Maximum credit limit is only $300
- Annual fees can be as high as $99 depending on credit score
- High APR can mean steep payments
- No rewards programs or features to help people better manage their money
Milestone Gold Mastercard Overview
The Milestone Gold Mastercard is an unsecured credit card offered through The Bank of Missouri. It is meant to help borrowers build their credit from scratch or give it a boost if they have a low score. Like any other credit card, it can help build someone’s credit history if used carefully. This card reports activity to all three major credit bureaus — Experian, Equifax and TransUnion.
This card does not require a deposit to open it, which could be a plus for those with no credit or bad credit. However, the card carries a high APR of 24.90% and has an annual fee of $35.
The card does not offer a welcome bonus or introductory rate when opening the account for the first time either.
According to the website, this card is supposed to be a tool to help people with poor credit improve their scores. The credit limit of only $300 doesn’t offer much wiggle room, however. It is not specified whether cardholders can qualify for a higher line of credit in the future.
Features of the Milestone Gold Mastercard
The Milestone Gold Mastercard comes with standard protections that one can expect to see in a credit card, including fraud protection and $0 liability for unauthorized purchases.
Cardholders can also quickly get their card replaced if needed, a feature dubbed “emergency card replacement.” Emergency cash advances are also available.
Mastercard’s ID Theft Protection monitors a user’s social security number, connected email accounts and credit card accounts for suspicious activity. However, users of this card can’t access their credit score to keep track of their progress.
Here’s a closer look at some of the other features this card offers.
No Deposit Required
For many people with no credit or damaged credit scores, coming up with a minimum deposit to open a credit card isn’t possible. Minimum deposits are usually steep, around $200, and the Milestone Mastercard doesn’t require any money upfront which is an excellent perk.
Mastercard offers a credit line of at least $300 with this card, minus the annual fee amount. The annual fee for the Milestone Gold card is $35 for the first year and $35 thereafter.
Good To Know
Credit cards that require a deposit will often refund that money once the cardholder improves their score and graduates to a regular card with a higher credit line. Unsecured credit cards will often have high APR, so be sure to watch for accumulating interest and make payments on time.
The APR on purchases made with this card is high — fixed at 24.90%. This could cause trouble if charges aren’t paid off in full every month, as a revolving balance on this card would rack up interest quickly. Everyone who uses this card pays that rate, regardless of their credit score.
Cash advance and foreign purchase fees also apply, though they aren’t outlined on the website right away. Applicants have to visit the pre-qualification page and click the terms and conditions link to see them. Cash advances are $5 or 5% of the amount of each transaction, whichever is greater — not to exceed $100. Foreign transactions are 1% of the purchase amount in U.S. dollars.
This card has a late payment, returned payment and over-limit penalty fees. Each of these penalties can be up to $40.
A great benefit of the Milestone Mastercard is that it offers fraud protection to help cardholders keep their cards secure.
If a user loses their card or has it stolen, they can call the customer service hotline at 1-800-304-3096 for help. If a card is used without the cardholder’s permission — whether it’s lost or stolen — cardholders may not be responsible for charges.
The Milestone Mastercard is also a chip card, which provides another level of fraud security.
The initial credit limit on the Milestone Mastercard is $300, minus some setup and annual fees. So for someone charged a $35 annual fee to use the card, they’d have $265 available to use. The ratio of credit used to the total credit line is a big part of how credit scores are calculated — the less of a cardholder’s total credit limit is used, the better it looks. A very low credit limit like the one offered here can actually make it harder for someone with a low score to improve.
However, to ensure that the temptation to rack up a high debt on a credit card is minimized, this low limit could be a positive.
How the Milestone Mastercard Stands Out
The Milestone Gold Mastercard stands out because of its ease of entry. With no deposit to open an account and easy application process, there are no hoops to jump through to get started. Milestone Gold also reports all card activity to the three major credit bureaus. If you keep your account in good standing, this card could help you on your credit improvement journey.
Comparable Card Options for People With Low or No Credit
Because of this card’s shortcomings, it may be best for those looking to improve their score to look elsewhere. Other cards on the market offer better rates, cash-back programs and no annual fees while helping to rebuild credit. Here are a couple of alternatives to the Milestone Mastercard:
Capital One Platinum Secured Credit Card
Capital One’s Platinum Secured card has no annual fee and a flexible deposit. Deposits range from $49 for the minimum $200 line of credit to a higher deposit for a maximum credit line of $1,000. The APR is a bit high at a rate of , and the card doesn’t offer rewards. However, with responsible use, cardholders can earn back their deposit.
After improving their credit, people can also choose to graduate up to a regular Platinum card with Capital One and have their initial deposit refunded.
Petal 1 Visa Credit Card
The Petal 1 Visa is an unsecured card with no annual fee that has credit limits of $300 to $5,000 and offers cash back of 2%-10% from select merchants. It doesn’t require a deposit, nor does it charge foreign transaction fees. APRs range from .
This card is also packaged with an app that includes credit-building tools that help cardholders improve their credit score. Petal 1 is a much better option for those looking to lay a more stable foundation for their credit.
How To Apply for the Milestone Gold Mastercard
Applying for the Milestone Gold Mastercard is simple:
- Go to the Milestone Gold Mastercard website.
- Click “Get Started” or “Pre-Qualify Today.”
- Fill out the quick online form.
- The card issuer will then contact applicants with more information.
Who Is the Milestone Gold Mastercard Best For?
The Milestone Gold Mastercard is best for those looking to build their credit who don’t have access to more conventional credit cards.
Easy Entry, But Is Milestone Gold Mastercard for You?
The absence of a rewards program, inability to track one’s credit score, high annual fee and low credit line all add up to a card that makes it difficult to actually build good credit. While the Milestone Gold Card technically provides an easy entry point to the world of credit for those with a lower score, better options are available.
However, for those who are concerned about budgeting on a credit card with a higher limit, this card could be good for helping learn how to manage a credit card.
This card could be good for building credit if the purchases made are very small amounts, but other options are ultimately better for substantially improving credit.
- Is Milestone a real credit card?
- Yes, the Milestone Gold Mastercard is a real unsecured credit card.
- What is the credit limit for Milestone credit card?
- The credit limit for the Milestone Mastercard is only $300. It is not specified whether cardholders can qualify for a higher line of credit in the future.
- What is the annual fee for milestone Mastercard?
- The annual fee for the Milestone Gold card is $35 for the first year and $35 thereafter.
- What bank issues milestone Mastercard?
- The Milestone Gold Mastercard is offered through The Bank of Missouri.
Cynthia Measom contributed to the reporting for this article.
Information is accurate as of Nov. 16, 2022.
Editorial Note: This content is not provided by any entity covered in this article. Any opinions, analyses, reviews, ratings or recommendations expressed in this article are those of the author alone and have not been reviewed, approved or otherwise endorsed by any entity named in this article.
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