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The Indigo® Mastercard® is an everyday credit card for those who are looking to rebuild their credit.
The Indigo Mastercard is one of the few credit cards that approve applicants with a bankruptcy record and other less than perfect credit history. This credit card has no annual fee. You can prequalify for the Indigo Unsecured Mastercard without affecting your credit scores. If you are looking for a credit card with no security deposit to help you rebuild your credit, consider Indigo Unsecured Mastercard.
There are no points or cashback rewards with this card. It reports on-time payments to all three of the major credit bureaus so the cardholder can build their credit history. The Indigo card is issued by Celtic Bank, which is better known for its commercial products than its consumer products.
The Indigo is not a familiar brand but consumers don’t need to worry because it is backed by a reputable bank. Mastercard is a widely received credit card brand with many protections.
- Travel Protections
- Extended Warranty Protection
- Reports to Bureaus
- Other Protections
- No 0% APR Introductory Rate
- No Rewards
- High APR
- Low Average Credit Limit
- Better Options for Building Credit
What’s the initial credit limit I'll get?
Indigo Platinum has an initial credit limit of $300, but there is no mention of when or if it is possible to get a credit limit increase. This makes this card a fairly basic option and you may need to move on to a different card once you’ve improved your credit score.
Can I add an authorized user?
Indigo allows its Platinum account holders to add an authorized user with no charge. The authorized users will get a card linked to your account but showing their name to make purchases using your credit line.
How’s Indigo customer service availability?
The Indigo customer service team is available from 6 am to 6 pm Monday through Friday, Pacific time.
Does Indigo offers a good digital experience?
Indigo has a decent website with a fairly comprehensive FAQ section, giving a good overall digital experience.
In This Review..
Let’s take a look at the benefits of the Indigo card and see if it’s the right one for your wallet or not.
Indigo Mastercard allows potential cardholders to apply for pre-approval before they do a hard pull on your credit.
They do what is called a soft pull by checking data on your credit but not actually pulling your credit history.
This pre-approval will let you know if you may qualify for the Indigo card, without affecting your credit.
Indigo Mastercard does have some protections included with using the card.
Also, they include rental car insurance, roadside assistance, and travel assistance in an emergency. These benefits are through Mastercard.
Indigo Mastercard will double the manufacturer warranty on products you purchase with the card.
Indigo Mastercard is for those with limited or poor credit. It is a benefit that it reports to all three of the major credit bureaus.
This will help cardholders build a credit history.
Indigo Mastercard also has ID theft protection and zero fraud liability, meaning you would not be responsible for unauthorized purchases.
Here are the most important cons you should consider before apply:
Indigo Mastercard does not offer an introductory rate like many cards on the market.
Therefore, if you need or are looking for an introductory rate, you will have to look at other offerings.
Many cards on the market offer rewards for spending like cashback rewards, points, or travel rewards. Also, the Indigo Mastercard does not offer any rewards.
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 Indigo Mastercard you’re going to feel the sting as you get hit with a 24.90% APR which is high compared to other secured credit cards.
Most that are approved for Indigo Mastercard start out with a low credit limit of $300. This low limit is due to the fact that many of the users have poor to no credit.
But it is very easy to go over the 30% utilization rate of the credit limit, which can lower your credit score.
There are dozens of other products and services that help borrowers build credit. Many of these options are cheaper.
Foe instance, one option potential cardholders should look into is secured credit cards. This is where you put money upfront on a credit card.
These cards are easier for consumers with poor credit because they are secured and many do not cost as much
How To Apply For Indigo® Mastercard® Card?
Visit the Indigo Platinum Mastercard homepage and click “Pre-qualify Now”.
This takes you to the next page where you fill in your names, date of birth, SSN, Email address, etc.
Next, fill in your residential address, city, and state.
Lastly, read through the policy, check the box to agree, and then click “Pre-Qualify Now.”
Is the Indigo Card Right for You?
Indigo Mastercard is best for consumers looking to build or rebuild their credit. This card is designed for those who have poor credit and borrowers who have limited options in trying to secure credit.
For those with limited credit options, this is a good product that can help build your credit due to the fact that the Indigo card reports to all three of the major credit bureaus.
However, those with limited credit options may want to look at a secure credit card before using this card with its high fees. If you do decide to use this card, use it sparingly and do not hold onto it for years. Once your credit is rebuilt, close this card and move on to better credit cards with better rewards and benefits.
Compare The Alternatives
There are many relevant cards to build credit – here are some good alternatives to the Indigo Card:
The Indigo card requirements are quite flexible, and there is no specific income required in order to get this card.
The main reason not to consider the Indigo Platinum is the very low credit limit. You’ll only be offered a $300 limit and you may attract a $75 to $99 annual fee, which will quickly eat up your available credit and show as a 25% credit utilization ratio.
You can get a pre approval decision for the Indigo Platinum in a few minutes. From the submission of your application, it will take up to two weeks for your new card to arrive in the mail.
The Indigo Platinum has a pre approval option on the official website. You can enter your basic details and get the results within a few minutes.
Where to Save Your Money?
The next question many people have is where to save their money or where to put the money that they have earmarked for saving.
If you have a high-interest debt then it’s important to pay this off before you do anything else. If you have unpaid balances on multiple credit cards, you should begin by paying off the card with the highest interest rate.
Pay as much as you can toward that debt each month until your balance is zero, while continuing to pay the minimum on your other cards. The same advice applies to any other high-interest debt (around 8% or higher) that does not provide any tax benefits.
Based on a survey by CreditCards.com, the national average credit card rate stood at 17.57%. Americans who held bad credit cards were charged the highest interest rate of 24.99%, while the credit card for low interest enjoyed lower rates at 14.61%.
You’re going to be spending a whole lot more in interest than you will earn on your savings so make sure that you put this ahead of anything else you’re doing.
Next up, you need to make sure that you’re putting some money away for your own retirement. You should save around 15% of your income, but whatever you can put away is going to be better than nothing, so put at least as much as your employer will match (and max out that match).
Remember that your goal is to get up to 20% of total savings, but that doesn’t mean all of that needs to be in the form of retirement. The rest should go to other types of savings accounts so you have some money left over if you need it.
Make sure you’re signing up for automatic contributions if your company offers them. That means you don’t have to worry about depositing the money. It gets taken out of your paycheck before you even see it. That gets you used to not having the money.
For those who don’t have retirement options at their place of work make sure you create one somewhere else and still try to set up automatic payments and transfers so you don’t have to do it manually.
You should only use your emergency fund for true emergencies, such as keeping yourself afloat between jobs, car repairs, medical expenses, or home repairs. You cannot use your emergency fund to go on a vacation, go on a shopping spree, or upgrade your perfectly good cell phone or laptop.
Having a substantial emergency fund provides you with peace of mind. Nobody wants to be one paycheck away from being unable to pay their rent or one car breakdown away from being unable to get to work.
These are crucial because in the event of an emergency you might otherwise find yourself using your credit card or borrowing against your house or retirement savings. Those are going to hurt you financially in a number of ways, so create a bit of a savings buffer in case you need it later on.
If you have children or if you’re planning to go to college you should start saving for this right away. The more you can save the better it’s going to be for the entire family. But keep in mind that saving for your own retirement is going to be even more important. You can’t borrow money for retirement, but you can for college.
Also, encourage your child to start saving for their own college education as soon as possible. Even a little bit at a time is going to make a big difference later on down the road.
Based on data from Ascensus, there is a gradual increase in the 529 Savings Account Average Balance based on age. The chart shows that people in age 25 to 34 years have the lowest average balance at $8,302, but this increases to $20,479 in ages 35 to 44 years, then to the highest average balance of $38,490 in ages 45 to 54 years.
If you really want to buy something special you should also have an account prepared for this. Make sure that you’re doing everything you can to put money toward your retirement and your savings first and then start looking at other goals that you might have and how you’re going to pay for those as well.
Prioritize the goals you have and then create a fund that will help you get there.
How Can I Save More Money?
If you’re struggling with just how you can actually save the best thing to do is take a look at some of these options and see if they can help you. You might be surprised at just what you can do with your money if you’re doing it right.
1. Put a Purpose to It
The first thing is to put a purpose to your savings. Just saving, in general, doesn’t excite most people and you find yourself struggling to keep up the motivation.
You make daily decisions that have an impact on your long-term goal. When you have a specific long-term goal in mind, you suddenly have context and can make better decisions. Better decision-making in that small decision moment over time guides you toward achieving a larger goal — specifically, what you're saving for.
When you set a savings goal, the goal itself motivates you to continue managing your money wisely, whether by saving more money or earning more money. You'll be surprised at how much of a difference the right motivation can make in your efforts to achieve financial independence.
This powerful motivator for increased savings and income can alleviate the reluctance that is often associated with changing your lifestyle in order to cut unnecessary expenses and avoid financial burnout.
If you have a goal and a plan in place it can change your mind about saving however and you might be more interested in the process. Just make sure you’re trying to put away money for your retirement and then that you’re putting it away for something fun and exciting. You’ll be more willing to make sacrifices this way.