Milestone Mastercard® - $1,000 Credit Limit
REVIEW

$1,000 Limit Unsecured Credit Limit

The Milestone Mastercard with $1,000 credit cards is from Concora Credit Inc and it is issued by the Bank of Missourri. Milestone also has other cards with $700 credit card and another one with a 1.5% cash back rewards but this $1,000 credit limit has the highest credit limit.

It is a strong candidate and consideration for rebuilders looking for an unsecured credit card with at least $1,000 in credit limits and/or also for those looking for credit card which allows you to pay your credit card bill with a debit card. The card also charges an annual fee and a monthly fee from the second year onwards. This should also be a consideration when you are researching this card. Based on our analysis, the Milestone Mastercard with $1,000 Credit Limit has a higher TFCL (Total Fees to Credit Limit) ratio than it's peers. This means that other cards with $1,000 credit limits have slightly lower fees than Milestone.

In this review, we will compare the Milestone Mastercard with its competition that also has $1,000 credit limits and see how it fares against them. Read on to find out how we rate this card.

Pros and Cons

Pros	Cons
$1,000 Credit Limit	Credit Limit does not increase
Consistent Credit Bureau Reporting	Fees are increased from Second Year Onwards
Mobile App and Autopay	No Pre-approval Process
Approved Those Who Have Been Discharged from Bankruptcy
Can pay with debit card, MoneyGram and PayNearMe
Low Foreign Transaction Fee

Card Details Evaluation

Annual Fee	Year 1 = $250 Year 2 = $99
Monthly Fee	None for first year, then $19.50month ($231 annually)
APR	35.9%
Late Fee	Up to $41
Cash Advance APR	35.9%
Cash Advance Fee	$0 introductory fee for first year, then either the greater of $10 or 3% of cash advance
Foreign Transaction Fee	$0 introductory fee for first year, then 3%

Fees - Both Annual Fee and Monthly Fee

Like many unsecured credit cards targeting people with bad credit, Milestone charges both an annual fee and a monthly fee from the second year onwards. During the first year, the annual fee is $250. Then it is reduced to $99 a year. However, though there is a reduction in the annual fee from the second year onwards, they do charge a $19.50 monthly fee on top of the $99 annual fee.

Fixed $1,000 Credit Limit

The starting credit limit is $1,000 and will remain at this level as long as you have the card as Milestone does not give credit limit increases.

Combined Total Fees - During the first year, you will be paying a total of $250 in fees (which comprises of just the annual fee). From the second year onwards, you will be paying both the $99 annual fee and the $234 in 12 monthly fees. This works out to $99 + $234 = $333 in total fees from the second year onwards.

See our top recommdations of credit cards with $1,000 limit

No Pre-approval Process

Unlike the previous versions, the Milestone Mastercard with $1,000 credit limit does not have a pre-approval process. That means you will face a hard inquiry on your credit report when you apply and you will know instantly whether you are approved or denied.

Low Foreign Transaction Fee

The Milestone Mastercard (in fact all Concora Credit Inc credit cards) have a very low 1% foreign transaction fee. This is in contrast to most credit cards, that charge 3% on any foreign transaction or a purchase in a foreign currency.

Has Mobile App and Autopay

Though mobile apps and autopay are common features for most prime credit cards, many subprime credit cards still do not have these features. Milestone does have a mobile app (which they did not use to have) and autopay feature.

Can pay with Moneygram and PayNearMe

Milestone is one of the rare credit cards that allow you to pay with third party digital payment systems including both MoneyGram and PayNearMe.

Mastercard Benefits: $0 Liability for Unautorized Charges

The Milestone Mastercard offers $0 liability for unauthorized charges. This is a standard feature available in all Mastercard credit cards.

Requirements: Credit Score and Others

Before we proceed with our detailed analysis of this card, let's first go through their requirements for you to get approved for this card.

Credit Score Requirements - The minimum credit score you need to apply for this card is 510. However, the vast majority of people who get approved for Milestone have an average score of between 560 and 640. If your credit scores are below 560 (ie low 500 level), we suggest that you should consider a no hard inquiry credit card like Arro Mastercard where the requirements are based on monthly income and bank balance.

No Delinquent Accounts - Milestone is very strict about this. That means that you should not have any charge offs on your credit report that are not PAID or SETTLED. If you have a few charge offs on your account that you are still delinquent on, you will NOT be approved for the card. In fact, it is very difficult to get approved for unsecured credit cards with bad credit if you have unsettled charge offs and collections in your credit report unless you are reaching your statutes of limitation and the amounts owed are very small.

Can be approved with discharged bankruptcy - Milestone will approve those of you with discharged bankruptcy (especially chapter 7 BKs). The reason is because your debts have been wiped clean and you are starting afresh. You are a much less risky consumer despite the fact that your credit scores may be low from the bankruptcy discharge.

No more than 2 hard inquiries during last 6 months - Milestone does not want to see too many hard inquiries on your credit report. Max is 2 for the last 6 months. We suggest going on an app spree if you intend to apply for the Milestone Mastercard.

Preferably 2 tradelines - This is not a hard and fast rule. For example, many folks who have just been discharged from their bankruptcy (especially chapter 7 bankruptcy) have gotten Milestone as their first rebuilder credit cards. But you should ideally have one or two tradelines on your credit report when you apply.

Have Driver's License and Utility Bills Handy - When you apply for Milestone or any credit card for that matter, you might be asked for documents to verify your identity and address. Having a picture of your DL and utility bills in your computer harddrive and/or mobile phone will come in handy should you be asked for these.

Nice Features that Milestone Has

This version of Milestone card has some features that cardholders like:

$1,000 Credit Limit

Many cardholders or people who are thinking of apply like the fact that the credit limit is $1,000. Most unsecured credit cards for people with poor credit have low limits ranging from $300 to $500. So $1,000 is a decent limit when you have bad credit.

Allows you to pay with a debit card

Milestone has recently allowed cardholders to pay their credit card bills with a debit card. This will delight many people because very few credit card issuers allow that. Some that allow you to pay via debit card require you to pay over the phone. This is a convenient feature that many of you will love.

Has Mobile App

Admittedly, Milestone was late to the game on the mobile app front. But they now have one and it is quite good and the features are always improving.

Some ShortComings

There are some things that you have to be aware of the Milestone Mastercard - $1,000 Limit.

$1,000 Credit Limit does not increase

While you definitely get a $1,000 credit limit if you are approved for the card, the limit will stay the same as long as you have the card. Milestone does not increase credit limits for any of their cards.

Annual Fees and Monthly Fees are Higher than their peers

The annual fee and the monthly fees from the second year onwards is high and in fact, higher than most of it's peers. Let's look at the annual fee. During the first year, it is $250 and then is reduced to $99. Most other unsecured credit cards targeting people with bad credit have annual fees at $175 during the first year and then declining to $49.

From the second year onwards, Milestone charges a $19.50 monthly fee which works out to $231 annually. This is higher than the $15 a month fee that other subrpime unsecured credit cards charge.

Analysis: Total Fees to Credit Limit Ratio (TFCL)

Here at www.askmrcreditcard.com, we like to analyze subprime unsecured credit cards with the Total Fee to Credit Limit ratio. We do this by adding the fees of the credit card and dividing it by the credit limit. This gives us a sense of how much fees we are paying relative to the credit limits we get. The average TFCL ratio ranges from 25% to as high as over 40%. The better cards have TFCL ratios of 20% or less.

TFCL Ratio of the Milestone Milestone - $1,000 Limit

During the first year, you have to pay a $250 annual fee. As the credit limit is $1,000, the Total Fee to Credit Limit ratio is $250/$1,000 = 25%. From the second year onwards, the annual fee is adjusted to $99 from $250. But you have to pay an additional monthly fee of $19.50 which works out to $231 annually. Hence, the TFCL ratio from the second year onwards is ($99 + $231)/$1,000 = 33%. This is a rather high ratio and is higher than most of it's peers.

Other Milestone Credit Cards

Milestone also has other credit cards that you may also want to consider aside from this $1,000 credit limit version. They have a Milestone $700 limit version and a Milestone Mastercard with 1.5% Cashback. The table below compares all three cards.

Card	Annual Fee	Monthly Fee	Credit Limit	Fees/Credit Limit Ratio
Milestone $1,000	Year 1 = $250 Then $99	Year 1 = $0, Then $19.50/month ($231/year)	$1,000	Y1 = $250/$1,000 = 25% Y2 = ($99 + $231 = $330)/$1000 = 33%
Milestone $700	Year 1 = $175, Then $49	Year 1 = $0, then $12.50/month ($150/year)	$700	Year 1 = $175/$700 = 25% Then ($49 + $150)/$700 = 28.43%
Milestone 1.5% Cash Back	Year 1 = $175, Then $49	Year 1 = $0, then $12.50/month ($150/year)	$700	Year 1 = $175/$700 = 25% Then ($49 + $150)/$700 = 28.43%

The main offering from Milestone is the Milestone $700 limit version. While it has a lower credit limit compared to the $1,000 version, it also has lower fees and a lower TFCL ratio. The Milestone with 1.5% cash back has identical fees as the $700 version but offers 1.5% cash back on all purchases.

If you are concerned about the fees you have to pay for the Milestone with $1,000 limit version, then the two other Milestone cards are great altervatives (especially the one with cash back).

Competition

The key feature of the Milestone Mastercard with $1,000 limit version is that you will definitely get a starting credit limit of $1,000 IF you are approved. Hence, I will first compare it with other credit cards that also offer $1,000 starting limits.

Card	Annual Fee	Monthly Fee	Credit Limit	Fees/Credit Limit Ratio
Milestone $1,000	Year 1 = $250 Then $99	Year 1 = $0, Then $19.50/month ($231/year)	$1,000	Y1 = $250/$1,000 = 25% Y2 = ($99 + $231 = $330)/$1000 = 33%
Reflex $1,000	$125	$0	$1,000	$125/$1,000 = 12.5%
Surge $1,000	$125	$0	$1,000	$125/$1,000 = 12.5%
Imagine Visa $1,000	Y1 = $175, then $49	Y1=$0, then $15/month ($180/year)	$1,000	Y1 = $175/$1,000 = 17.5% Y2 = ($49 + $180)/$1,000 = 22.9%
Fortiva Mastercard $1,000	Y1 = $175, then $49	Y1=$0, then $15/month ($180/year)	$1,000	Y1 = $175/$1,000 = 17.5% Y2 = ($49 + $180)/$1,000 = 22.9%

The table above shows other credit cards that also offer you $1,000 starting credit limits. Both the Reflex Mastercard and the Surge Mastercard from Continental Finance offer up to a $1,000 starting credit limit. Unlike Milestone, Reflex and Surge make you go through a pre-approval process whereby if you pre-qualify, you may be offered a version with either a $300, $500, $750 or $1,000 starting credit limit. The $1,000 starting credit limit version of Reflex and Surge have a $125 annual fee and no monthly fee. Reflex and Surge maximum credit limit is $4,000 so you could get a credit limit increases in the future whereas the Milestone card does not increase your credit limit. From a fee and credit limit perspective, Reflex and Surge are better than Milestone.

Other cards that have $1,000 starting credit limits include Imagine Visa and the Fortiva Mastercard from Atlanticus. Both these cards require you to go through a pre-approval process as well and you may be offered a card within a range of credit limits of which the highest is $1,000. As you can see from the table above, both the Imagine Visa and Fortiva Mastercard have lower fees than the Milestone Mastercard.

Our Take: Rare Bad Credit Card with $1,000 Credit Limit

The Milestone Mastercard with $1,000 credit limit is one of the few unsecured credit cards for bad credit that gives you a starting credit limit of $1,000 right off the bat if you are approved. Milestone has also recently allowed cardholders to pay by debit card and they now also have a mobile app (which they did not used to have). Many will be attracted to the $1,000 credit limit and the ability to pay via debit card.

However, you have to be aware that Milestone has higher fees compared to their peers which also have $1,000 starting credit limits (see comparison table above). The $1,000 credit limit is also fixed and does not increase. There is also no pre-approval process and you will face a hard inquiry immeidately when you apply.

Based on our evaluationa and review of the Milestone Mastercard - $1,000 Credit Limit version, we give it a 3.8 stars out of 5 for it's decent credit limit, the ability to pay via debit card, accepting applicants who have just gotten discharged from bankruptcy and it's mobile app. The lack of credit limit increases, high fees (compared to it's peers) and no pre-approval process prevents us from giving it a higher rating.

If you are adamant about getting an unsecured credit card with at least a $1,000 credit limit and you have bad credit, I guess the Milestone Mastercard - $1,000 Credit Limit is one of the choices that you have. However, I would consider other cards like Reflex Mastercard or Surge Mastercard first because their $1,000 limit versions have lower fees than Milestone.

Milestone also has other credit cards like the Milestone Mastercard with 1.5% Cash Back, which has a lower credit limit ($700) but also lower fees and offers a 1.5% flat rate cash back on all purchases. Those who baulk at the fees of the Milestone $1,000 version may want to consider the cash back version instead. Milestone, Indigo and Destiny credit cards are all part of the Concora Credit Inc and you can get more than one Concora credit cards and be able to manage them from teh same app.

Lower Fee Alternatives

If your credit score is less than 550

If your FICO score is less than 550 or if you get denied for the Milestone Mastercard, then you might want to consider the Arro Mastercard. Unlike the Milestone Mastercard, Arro does not perform any hard inquiry. Arro also has much lower fees. They charge only $3/month (which is $36 annually). Arro's interest rate of 16% is also lower than the 35.9% of Milestone. Though there is no credit check, you would need a minimum monthly income of $1,800 and at least a $50 positive balance in your bank account. Tough Arro may start you off with a low credit limit, the maximum credit limit you can get on the card is $2,500. This is higher than the $1,000 credit limit you can get on the Milestone Mastercard.

If you have at least a 580 credit score

If you have at least a 580 credit score, you might want to consider the Upgrade Select Visa. Upgrade Select Card has a 39 annual fee and no monthly fee (much lower fees than Milestone). The credit limit ranges from $500 to $2,500 so you stand a chance of getting a credit card with higher limits and much lower fees. Upgrade also allows you to go through a pre-approval process whereas you face an immediate hard pull with Milestone.

If your score is around 620

If your score is around 620 or above, the Reflex Mastercard from Continental Finance is another alternative. Their $1,000 credit limit version has a $125 annual fee only and the card also allows you to go through a pre-qualifying process first with no impact on your credit score.

Some Customer Reviews

I got the offer in the mail with the $1,000 credit limit offer. Fees were high with $250 annual fee during the first year. But I decided to go for it because of the credit limit. My Capital One appears to have capped out at $300. We'll see what happens after a year. But I will definitely keep it for a year and hope I get higher limit cards with lower fees.

I had them for a year. Then they started charging me a $19.50 monthly feef. I just cancelled it.

I have both the Milestone and Indigo Mastercard which are both from Concora Credit. You can manage both cards from the same app and make payments for both cards from the same app. I find that my payments clear the next business day and is reflected in my credit limit the next business day.

I have this card and did not realized that they started charging me a $19.50 monthly fee until I checked my statement. I autopay my bills so I do not check my statements often (as I should). Am definitely cancelling this card.

I am in my second year on this card and yes, they do starting charging $19.50 a month from the second year onwards. I still have a balance on the card and as soon as I pay it off, I will cancel it. I think this is an ok card to have for one year. But the monthly fee really makes it expensive from the second year onwards.

I got this card and it is legit. But the annual fee is high and the main problem I have is that my app keeps going down. So I end up paying through the website portal.

I got the Milestone with $1,000 limit and it does have a $250 annual fee. But I just cancelled it because I got the Apple Card with $3,500 limit. So bye bye to all my high fee cards.

I pay by debit card and it takes a few days for payment to clear and be reflected in my credit limit. I do not understand why there is a hold if I pay via debit card.

I have 3 cards with them (Indigo, Milestone and Destiny). Indigo has a low limit so I cancelled the card. I one I like the best is Milestone cos I have a high limit. I can manage all three cards on the same app with the same login. Concora has definitely improved their app over time.

FREQUENTLY ASKED QUESTIONS

Can I open more than one account?

Can I open more than one account?

Does Milestone have a pre-approval process with soft pull?

Does Milestone have a pre-approval process with soft pull?

Can I apply over the phone?

Can I apply over the phone?

Can I transfer a balance to Milestone Mastercard?

Can I transfer a balance to Milestone Mastercard?

Can I pay my Milestone card with a debit card?

Can I pay my Milestone card with a debit card?

Customer Service Information

Mail

Genesis Card Services
P.O. Box 4477
Beaverton, OR 97076-4477

Toll-Free Customer Service Number

1-866-453-2636

Milestone Mastercard Payment

Genesis FS Card Services
PO Box 84059
Columbus, GA 31908-4059

Milesstone Credit Card Fax Number

Fax: (888)325-4717