- No security deposit
- Ability to work toward better terms
- Cash back rewards
- Low credit limit
- High annual fee
- High APR, as is typical for similar cards
What you need to know
If you’re working on building your credit history, the BrightWay credit card may help you get started.
While you won’t need to put down a security deposit, the card has a $65 annual fee.
Ability to unlock better terms
Among the BrightWay card’s drawbacks are its low initial credit limit of between $300 and $500 and high interest rate. But if you make six months of on-time payments, you may be eligible qualify for a higher credit line and lower interest fees.
And after four six-month periods of on-time payments — four “Milestone events,” in BrightWay lingo — BrightWay says you’ll get upgraded to its higher-tier card: the BrightWay+, which comes with higher credit limits and no annual fee.
Cash back rewards
The BrightWay credit card offers 1% cash back on all purchases. While this is a nice-to-have perk for a beginner card or unsecured credit card, it’s not as high as the cash-back rate you can get with some other cards.
And remember, it’s not a good idea to spend just for the sake of earning rewards.
What else you need to know
If you’re thinking about getting the BrightWay card, here’s a few more things to consider.
- APR is on the high side — At 29.74% for purchases, balance transfers and cash advances, if you don’t pay your balance in full every month, you could end up racking up extra debt just from interest charges.
- Watch out for fees — There’s a fee of up to $40 for any late payments. Setting up autopay can help you avoid this situation.
- Using the card abroad will cost you extra — A foreign transaction fee of 1% of transaction value will be applied to all transactions made outside of the United States, so it’s not the best card to use internationally.
Who this card is good for
The BrightWay credit card could be an option for people looking to establish or rebuild their credit history. Or it may make a good first credit card.
Before you decide to apply for this card though, there are other credit-builder cards that may offer better long-term value.
Not sure this is the card for you? Consider these alternatives.
- Petal® 1 Visa® Credit Card: This card may be a good fit if you’re brand new to credit and are looking for a first credit card.
- Capital One Quicksilver Secured Cash Rewards Credit Card: If you can afford a security deposit, this card offers a low-cost way to build credit and earn rewards.
- OpenSky® Secured Credit Visa® Card: People with no credit history might want to consider this card since it doesn’t require a credit check to apply.