Avant Credit Card Review 2020

Rating:
4/5
4 stars out of 5

The Smart Investor has collected card information independently. Issuers did not provide the details, nor are they responsible for their accuracy. The review is not a recommendation, the actual rates/fees may be different.

The AvantCard Credit Card is a great starting place for anyone who is looking to build a line of credit, or has limited credit options due to past credit encounters. 

Despite the fact that the Avant Card has limited bonus options and perks when compared to other credit cards, it does give a lot of love for people who are looking for a card that can help boost their credit score quickly, especially when it comes to people who are applying for a first credit card.

The AvantCard Credit Card offers an alternative route when it comes to building a credit history, unless you live in Colorado, Iowa, Vermont, West Virginia or Wisconsin. AvantCard Credit Card isn’t available in these states. AvantCard Credit Card is offered through Avant, which is based out of Chicago, Illinois. 

While there isn’t a security deposit required, AvantCard does has an annual fee. This fee is disclosed to applicants during the pre-qualification process, and while this is generally $29 annually, Avant does state that this can vary depending on market tests.

Avant Credit Card

On Avant Secure Website

Our Bottom Line

  • Good For Build Your Credit

Credit Rating Requirements

  • Poor – Average

PROS

  • No Security Deposit
  • Reports to Three Credit Bureaus

CONS

  • Annual Fee
  • No Rewards

Highlights

  • The AvantCard is an unsecured credit card, which means that it does not require a security deposit as collateral like many other cards that are like this.
  • Because this card is designed for people with limited credit, having a card that reports to at least one of the three major credit bureaus is extremly important for long term credit success
  • The issuer of the AvantCard Credit Card reviews each account periodically to potentially increase your credit limit
  • The card doesn’t charge a foreign transaction fee, which can potentially be a money-saver for any card holder that does travel often.

Here’s a summary of the main pros & cons (click to see explanation or scroll down):

Pros

Cons

Avant Credit Card – Benefits

The miles that a cardholder accumulates can be redeemed in a number of ways, which include using miles for travel to over 1,000 worldwide destinations on both one-way and round trips. 

These miles can also be redeemed to upgrade seats to business and first class on flights, car rentals, hotel stays, and vacation packages. 

Since there is no limit to the number of miles that a person can accumulate, the trip possibilities are rather endless.

  • No Security Deposit

The AvantCard is an unsecured credit card, which means that it does not require a security deposit as collateral like many other cards that are like this. 

As previously mentioned, however, there is an annual fee of $29 for some cardholders.

  • Reports to Three Credit Bureaus

Because this card is designed for people with limited credit, having a card that reports to at least one of the three major credit bureaus is extremely important for long term credit success. 

The AvantCard Credit Card reports to all three (TransUnion, Equifax, and Experian), which will record payment history. As long as the card holder makes their payments on time, this can help build a better credit score.

  • Pre-Qualification Process

Before an applicant would officially apply for this card, Avant requires the user go through a pre-qualification process that doesn’t impact your credit score. This process gives a closer insight to see the likelihood of getting approved, and states the terms that the card holder would have if they decided to move forward. 

Although this insight is given, it is not a 100% guarantee of approval. If the applicant likes these terms, then they can move forward and actually have the hard inquiry to get approved for the AvantCard.

  • Travel Friendly Benefits

The AvantCard Credit Card is a Mastercard, which means that it will be accepted worldwide. On top of this, it doesn’t charge a foreign transaction fee, which can potentially be a money-saver for any card holder that does travel often.

  • Periodic Account Review

The issuer of the AvantCard Credit Card reviews each account periodically to potentially increase your credit limit. This can play a key factor in establishing credit, just so long as the card holder doesn’t use too much of their credit.

Avant Credit Card – Drawbacks

  • $29 Annual Fee

While for some AvantCard Credit Card holders the annual fee may be $29, the company does state that this is subject to change based on market testing. 

Even within credit building credit cards, there are other options, such as the Petal Visa credit card, that serve as a great credit building tool while not charging an annual fee or security deposit. 

Along with the 23.99% variable APR, there certainly are some other things to consider.

  • No Rewards

Because the AvantCard Credit Card’s main purpose is to act as a credit builder, it isn’t a big surprise that there are no types of cash back or travel rewards that come with using this card. Despite the fact that rewards aren’t largely important, there are other starter cards that do offer them. 

Cards like the Deserve Pro MasterCard offer a 3% cash back on travel and entertainment, 2% cash back at restaurants, and 1% cash back on all other purchases, while offering a $0 annual fee.

  • Hard set Payment Date

Unlike other cards, the card holder can’t switch their “payment due” date to a more convenient payday. 

While this isn’t a dealbreaker with the AvantCard Credit Card, it certainly can be an inconvenience having to plan out how to make the payments if they don’t like up with other bills that you pay.

  • Lower Credit Limit

The credit limit range for the AvantCard Credit Card is a bit low for a starter card – up to $1,000. With this being said, there are other alternatives like the Deserve Pro MasterCard and the Petal Visa that offer higher credit limits that can go as high as $10,000. 

If a person is looking for more flexibility with their spending limits, these are possible alternatives to consider.

  • High APR Rate

With any credit card, the goal is to pay off your balance every month. However, life happens and sometimes you may not be able to pay off your statement balance in full. 

If this happens with the AvantCard you’re going to feel the sting as you get hit with a 23.99% APR which is high compared to other secured credit cards.

Alternatives to Avant Credit Card

There are several other secured credit card options that will help you establish credit history and fix your credit score. Let’s take a look at a few alternative options:

The Deserve Pro MasterCard is a card that, like the AvantCard Credit Card, is designed for people who are looking to build credit.

Unlike the AvantCard, however, the Deserve Pro MasterCard does offer a considerable amount of extra rewards that the AvantCard does not. This includes as much as 3% cash back on certain purchases. The Deserve Pro MasterCard also doesn’t charge an annual fee, but it does recommend that you have at least a 650 credit score before applying for this card.

  • Read Review

The Capital One Platinum credit card is an ideal option for those with average credit who need to take some time to build credit before they can qualify for a better rewards credit card. 

You can apply with average credit score, not paying usual fees such as balance transfer or annual fee and get a credit limit raise after you make on-time payments for the first 5 months. 

However, you won’t be able to participate in any rewards program and get the usual benefits as well any sign-up bonus.

Green Dot Primor Visa Gold Secured Credit Card is a secured credit card for those looking to build or repair their credit history. Green Dot Primor Visa Gold Secured Credit card is issued by First Choice Bank, which is a newer regional bank founded in 2007. 

The card can be used by anyone in the US, but potential cardholders will need to make a savings deposit with First Choice Bank to open the Green Dot Primor Visa Gold Secured Credit card. The minimum is $200 and maximum is $5,000. 

This card does have an annual fee of $49, which is high for a secured card.

Is the Avant Credit Card Right for You?

The AvantCard Credit Card is a great card for people who are looking for a way to get back to the basics and build a solid line of credit. 

One of the best things about this card is that it looks past just credit history to determine if the applicant would be eligible for the AvantCard. 

This, along with the travel-friendly features, no security deposit needed, and the fact that AvantCard reports to all three credit bureaus, makes the AvantCard Credit Card a great stepping stone to better credit.