Credit Aroma: A Good Idea Or Not?

Credit Aroma is a company that allows users to compare credit cards for free. It helps users with poor credit find a match and establish or rebuild their credit. The company offers prepaid and debit cards, unsecured credit cards, and secured credit cards. Credit Aroma provides a three-step process for users to find their perfect card offer. While there are limited options for those with poor credit, Credit Aroma helps users find the best card offer for their needs.

CreditAroma's services for those with poor credit

Credit Karma is a free service that provides users with their credit scores and credit reports. It also offers a range of other financial products and services, including a security monitoring service and alerts for significant changes to credit reports.

While Credit Karma is not a bank, it does offer banking services through its partnerships with Cross River Bank and MVB Bank, Inc. These include savings and checking accounts, as well as a Credit Builder service. Credit Builder is designed to help users improve their credit scores while saving money. It is available to members with a TransUnion credit score of 619 or below, and it can increase a low credit score by an average of 21 points in 3 days.

Credit Karma also provides users with Approval Odds, which show their likelihood of being approved for financial products without impacting their credit scores. The service also offers insights and recommendations on how to improve credit scores and make better financial decisions.

In addition, Credit Karma has a bill-tracking and payment feature, allowing users to see upcoming payments, due dates, amounts due, and recent payments. Users can choose to have funds withdrawn by billers or pay directly from a Credit Karma spending account.

Credit Karma's services are safe to use, employing 128-bit or higher encryption to protect data transmission. The company also does not sell user information to third parties.

Prepaid and debit card options

Credit Karma offers two bank accounts: a savings account (Credit Karma Money Save) and a checking account (Credit Karma Money Spend) through MVB Bank, Inc. These accounts have no fees or minimums and can be funded through an external bank account. If you opt to have your paychecks deposited into the Money Spend account via direct deposit, you can get paid up to two days early. A Visa debit card is included with these accounts.

Credit Karma also offers a financial product called Credit Builder, designed to help people improve their credit score while saving money. To be eligible, you need a TransUnion credit score of 619 or lower and a Credit Karma Money Spend account. Credit Builder shows up as a line of credit on your credit report and serves as a savings plan. Your dollars go into a locked savings account that you make contributions to until you reach a $500 savings goal. Your payments are reported to the credit bureaus, and once you reach the $500 threshold, the money is transferred out of the locked savings account and deposited into your Spend account. These services are provided by Credit Karma's banking partner, Cross River Bank. There are no added fees.

Unsecured credit cards

However, because unsecured cards tend to have higher credit limits, there is a risk of racking up higher balances. It is important to use unsecured credit cards responsibly and to make a plan for how you will pay off your card each month.

Secured credit cards

A secured credit card is a great option for those who need to build their credit score. This type of credit card requires a security deposit, which then becomes your credit limit. For example, if you put down a $200 deposit, your credit limit will be $200. This means that you can spend up to $200, but you need to make regular payments each month to build your credit score.

The benefit of a secured credit card is that it gives those with a poor credit score or no credit score at all, access to credit. This can be especially useful for young people or those who have recently moved to a new country and are trying to obtain credit. It is also a good option for those who cannot get approved for an unsecured credit card.

There are some drawbacks to secured credit cards, such as the requirement of a security deposit. Not everyone is willing to pay a security deposit just for access to credit. However, if you can afford the deposit, these cards can be a valuable tool to help you build your credit score. It is important to choose a card with a minimum security deposit that you can afford and that offers benefits for on-time payments, such as the opportunity to raise your credit limit or graduate to an unsecured card.

Some recommended secured credit cards include the Discover it® Secured Credit Card, the OpenSky® Secured Credit Visa® Card, and the Capital One Quicksilver Secured Cash Rewards Credit Card. These cards offer features such as no annual fee, cash back rewards, and the ability to get your deposit back after a certain period.

Overall, secured credit cards can be a great way to build or rebuild your credit score if used responsibly. By making on-time payments and keeping your balances low, you can improve your credit utilization ratio and increase your credit score over time.

CreditAroma's customer service

CreditAroma is a free credit card comparison service that helps users find the best card offer for their needs. The service is especially aimed at those with poor credit, helping them to find a credit card to help establish or rebuild their credit.

CreditAroma's website outlines the different types of credit cards available, including prepaid and debit cards, unsecured credit cards, and secured credit cards. The website also provides a three-step process for users to find their perfect card offer:

• Get started to see if they qualify
• CreditAroma will find the best card offer for their needs
• Review and apply for the card offer

While there are no direct reviews of CreditAroma's customer service, the website provides a detailed and transparent outline of the service and how it works. The website also includes a range of educational content about credit cards and credit scores, which can help users make informed decisions about their financial choices.

In terms of privacy and security, the CreditAroma website states that they use secure encryption to protect users' personal information. They also provide a detailed privacy policy that outlines how user data is collected, used, and shared. The policy states that CreditAroma may share user information with third-party service providers and business partners, but only to the extent necessary to provide their services.

Overall, CreditAroma appears to offer a comprehensive and user-friendly service for those looking to compare and apply for credit cards, particularly those with poor credit histories. The website provides a range of educational resources and appears to prioritise user privacy and security. While there are no direct reviews of their customer service, the detailed information provided on their website suggests a professional and reliable service.

Frequently asked questions