Chime Credit Builder Card Review: Huge Credit Score Drops | How To Fix It
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- Опубликовано: 11 сен 2024
- On today’s video I wanted to talk about a rumor that has been going around about the Chime Credit Builder Card causing huge credit score drops on people’s credit scores, how to fix it and how to prevent that from happening to you if you have the chime credit builder card or plan on getting the chime credit builder card to build credit. 💰💳
Chime credit builder card is for anyone who seeks credit cards that are:
-Best credit cards 2021
-Credit cards for building credit
-Credit cards for beginners
-No Fee credit cards
-Secured credit cards
The chime credit builder card is a great option for people who are new to credit, have no credit, or want to build credit. You DO NOT need credit or a credit history in order to get this credit card and you can build credit easily with this credit card because this credit card reports to all 3 major credit bureaus!
How does the chime credit builder card work:
The chime credit card is a secured credit card which means you need to deposit money into the card in order to use it. The money you deposit into the card will then be your credit limit, which is the amount you’ll have available to spend.
(For example, if you deposit $100 into the credit card then that $100 will be the amount you can spend or in other words your credit limit)
Chime holds the money you deposit and use it to automatically pay your monthly balance once it’s due. But you’ll need to turn on a feature called Safer credit building. This will in return help you build credit fast and increase your credit scores fast!
How to get the chime credit builder card:
In order to get the chime credit builder card you need to first sign up for chime and setup direct deposit, but chime is currently offering $100 when you open an account and set up direct deposit (USE LINK BELOW) ⬇️
Fees and APR:
- No fees
- No interest
- No minimum security deposit
Why chime credit builder card is making your score drop/how to fix it:
Chime reports Payment status, Amount past due,Account age, and Current balance of your card to the credit bureaus.
The problem is that they DON’T report your credit utilization, since the chime credit builder card does not have a set limit. The card not having a set limit, in return confuses the credit bureaus and leads to the credit bureaus reporting your cards balance incorrectly, which ends up affecting your credit utilization although chime isn’t reporting utilization.
In simpler terms, the credit bureaus will look at the money you add to your chime credit builder card as a balance on your credit report, since there’s no set limit on the card, therefore causing an increase in your credit utilization.
In other words, if you deposit $200, then your limit is $200, regardless of that being reported as a $200 credit limit to the credit bureaus. So when you use those $200 at the end of the month, you’ll have a balance of $200 that must be repaid before you can use the card again.
Basically, if you don’t transfer the same amount back into your card before chime reports your on-time payments monthly, then that amount will be shown as your balance on the card and it will affect your credit utilization.
Just to be clear, chime does automatically pay off your balance monthly, and reports your on-time payments as paid in FULL to the credit bureaus. The problem is that the credit bureaus don’t know how to report this card.
My suggestion for those using the chime credit builder card or wanting to get this card to build credit, is to transfer a small amount of money into the card, that way you’re able to maintain that amount each month on your card, setting up move my pay and safer credit building, that way your card always has enough money, gets automatically paid off monthly and you don’t run into any issues.
In conclusion, the chime credit builder card is a good card to build credit but please keep this in mind and use the card properly!
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Oh no I already signed up without this link 😒
I have used the credit builder card for a few months. All was well for the first 2 months. I had my safe builder feature on the entire time. I added more money to my pre paid card because it was the holidays. Suddenly my score dropped 77 points. Nobody at chime would even acknowledge that this was even happening & finally blamed a Experian. After talking to Experian they told me that chime was reporting a balance. The exact amount of the so called balance was the amount of money I’d put into my credit account. Chime will not help me. Experian, after me sending evidence, removed the negative remark. The points are still down, but I’m hoping after 30 days it goes back up. This is not what I signed up for. Be aware people.
When you load money onto the card you’re loading a balance on a credit card if you look at it it says “balance” on the chime app you have to spend that so it reports to the credit bureaus you’re paying off the balance with on time payments people don’t realize penny loaded onto the card is a balance you must spend that balance have safe credit builder on make sure it’s the pay after 1 day auto not 10 day auto and it will report that. You load a $500 balance onto the credit builder card it will report it if not spent as a balance on the card you spend that it will show to the bureaus as on time payments toward your cards balance and paid in full which is good
@@nicd3443 I did spend my balance. The more money I put into it & spent, resulted in a higher spending balance which made my credit score drop. Now I’m only spending like $10 a month on that card. I’m scared of it now. 😅
@@leannedozier9238 very confusing, so when I transfer money onto the credit Builder card I should spend all of it?
@@FauciGroyper you’d think you could spend it all since it’s prepaid, but when it reports to the credit bureaus it’ll show that you spent more than 30% that month so it’ll have a negative impact. If you spend 30% or less each month it has a positive impact. My dropped points recovered eventually(I think it took 60 days), but I use that card sparingly now.
@@FauciGroyper I would spend 30% of it ($60) at the most until the next billing cycle & then only spend 30% of that. Or if you need to spend more than $60 try to put it back on there before the next billing cycle so it can’t report that you spent more than 30% of your limit. I used to put money on there all the time though. I didn’t wait a month to put more money on it. What messed me up is that I put like $1500 on there because it was Christmas and then I spent most of it and it reported to the credit card agencies that I spent my entire credit limit.
You want to treat it like a traditional cc. You only spend 30% or less of your limit for your score to increase. So if you want to spend $150 per month. It would be wise to set your limit at around $600. So put $600 in the account and only spend $150 each month. After that month, replace the $150. And continue this each month.
You even do this with a regular secured cc. You NEVER spend your entire balance unless you want to look irresponsible to the bureaus which will cause your score to decrease. This card should only be used to build. So in reality, you can put $100 there and spend $25-$30 from it per month and it will be the same outcome. An increased score. 🌸
So that’s what you have do? So just put $100 and just spend $25-$35? And then each month you paid what you spend?
@@bryangomez3839 yup.
@@melaniek.breatherelaxmedit2271 around how many points will it increase by doing that I’m 19 and just now want to start building my credit I’ve never done it or anything this would be my very first time doing something with my credit score which is most likely 0 lol
Since the credit limit is not reported this won’t work that way. All you have to do is add exact amount spent minus about $20 in past month back in to the credit builder before chime does. Then it report balance as $20 and pays as agreed. This gets you the maximum benefit.
Not true at all read what chime reports on before you misinform people in the comments
Listen and listen closely, My score drop 80 points because I didn’t replace the money that I’ve spend with the credit card . So basically i spent over $600 which was my limit because the amount you put in is your limit after spending that you have to replace that ! Yes replace it even if you put $300 and use $50 put that $50 back in that account ! Your credit score will go up my wife only been using this card for a year she’s at 750 right now and this her only line of credit . So I hope you don’t make it difficult like I did and just replace whatever you spend / and you can do like me and add up the transaction of what I spent and I literally just put it back #simple
Clear as day, if you spend 500 dollars on cb card before the statement add another 500 dollars so it shows as your balance zero,then you can take it back off,just make sure you whatever you spend in the month on cb just put that amount back before your statement date, it’ll show in settings, I never had a drop 4 months now.
Your a genius, I don’t know why people
Make it seem so difficult lol
You just load a balance and spend the balance with safe builder on and it pays the balance as you spend that’s a lot of extra stuff not needed if you load money on the credit card you load a balance you must spend it because spending it is paying the balance you loaded it’s a weird system and very unique but it is literally meant to be used as spending that’s why chime says use all of your spending on that card it’s meant to be spent not saved
How do you know when your statement date is?
That’s how it works but then it’s not if you add more money the the previous month your credit will also go down
3:30 I’m putting this time because this is not how it works with safer credit building if they pay off your balance that’s just adding money to your credit builder you won’t have to add money again and Chime reports your balance and it shows as a negative balance if your balance drops your credit will drop if you add more money from the previous month then it will show a higher amount you owe and then your credit will drop again you have to keep the Same balance in your card as when you originally added when you first got the card
Thank you for putting this information out!!! Very transparent and useful info for everyone with this card to make the best decisions with it. You’re the best!!! 👏👏👏
Thank you 😊 You're the BESTEST (lol)💜
I will say they👆credit master fix👆best repair credit.
Just treat it as a secured card. Basically the only difference between this card and a regular secured card is chime doesn’t make you pay the deposit up front. So, order your card, when the card comes in, load as much money on it as you want. So say that you want to put $600 on it, load $600 on it and then from there treat it as a regular credit card. Pay it off before chime reports it to the 3 bureaus, simple.
Yes, that way it wont effect your credit utilization, correct??
That’s the part I’m confused about because if you don’t spend all of a $100 but have that being automatically put into your chime account from your check every week that you are paid. Does that not mean your credit limit would change and be the left over money that isn’t utilized.
How do you know when they will report???
@@missblackhearts QTNA
@@missblackhearts beginning of every month!
So basically when you deposit $500 it will show as a balance with the 3 agencies and your score will take a hit the first month. The credit agencies now will have $500 balance as a metric to measure your "credit limit". So now the consumer needs to pay off that so called balance of $500 in full by the end of the month 28th or 29th and then to reflect positively when Chime reports it in the beginning of the month 1st, which you the consumer will see your credit score increase by the 5th or 6th day of the month.
For everyone confused how it works: You transfer the money from your chime checking account into your chime credit account and that’s your spending limit which is automatically paid because it came out of your checking account your credit amount is the amount transferred from your checking account you can’t overspend or go into debt and it’s automatically paid off it’s not like a regular credit card because you’re using your own money and not the banks
The reason why people are confused is because they have never had a credit card before.
With Chime you have to deposit funds say $500 if you spend 10% of that $500 which is $100 you make sure that $100 dollars is replaced by the time chime reports your balance. And repeat every month. Don’t lower the amount of your deposit because your Fico score will drop. So I would advise you to deposit an amount that you are not going to need for at least 6 months to a year or until you qualify for a unsecured credit card. Chime does not report utilization but as long as you can maintain that set deposit amount every month for about 6 months you are golden.
? They don’t report credit card utilisation. You can max it out as long as you pay it off.
10% of $500 is $50 mate
This increased my score a lot the first month. Then the second and third months it made it drop quite a bit to lower than before I got the card. I think what happens is my second payday lands after they report so I'm not able to replace the balance so they take it as my balance increased. So, you essentially deposit the money, use the money, and then have to be sure you replace whatever you spent before the start of the month or it will hurt your credit. :/
So in simplest simplest term. I put $100 in, use between $90-100, but must put back $100 before the automatic chime transfer
@@vilkensaintfar load the card with ANY amount you want! Before you spend make sure the “safer credit building” feature is turned on. After that you can spend whatever amount you want and chime will take care of the rest
@@vilkensaintfar yeah I’m confused. I thought you spend what you put in there. Once it’s spent it’s spent and you don’t need to add more money in there unless you wanted to spend it there
@@digitalbandzz I’ve had the safer credit builder on and it first showed as a balance of 555 on credit karma and now it’s saying it’s at 2300, I’ve never put more than 1600 on the credit builder card and my credit score dropped 78 points
@@Brock67 Same I'm pissed mine says on Experian +$2800 in debt which is what I added to it and spent it all. I switched my "Move my pay" from my full pay check to only $200 and have the rest going to my debt card and I'm just gonna leave it alone hope this fixes it.
I can't believe chime doesn't even advise their users about this and we're all out here just getting rekt. My score dropped 43 points and I only spent 10 of $20..so if I only spend $2.25 then I have to deposit another 2.25 into the account like a week before they make my payment to keep the limit at $20? That's absolute horseshit
I would deposit100-200 and use $20. You can up to 30% but the sweet spot apparently is 9% I jus wondered what she meant by the automatically pay it off at the end but she also said they report it at the end so I was confused as to how to replace the money spent
You have to spend it all
To put it simply if you already have established credit stay away from this card. No matter what all they report is a balance.
😂😂😂 This is for peopl with struggling credit such as myself.
Hi All,
I was also not able to get a clear answer regarding the Balance that chime reports.
However i did my own digging and calculations and have a theory, that this balance is a sum of transactions made very close to the statement closing date (I am assuming those are pending and did not get the chance to post before the chime makes the auto payment) .
Chime does not show the status of thetransactions pending or posted. But since I opened a Discover card which does, I can see that some transactions may take 2 to 5 days to be posted.
So since they are pending and not posted they show as balance, cuz chime auto payment is not able to process them as they are not yet posted.
So my advice if you do not want the balance reported do not use the card during 5-7 days before the statment date.
Chime credit builder card no longer reports to the credit bureaus, it only worked for a few months, it's trash. It's better to use a credit card from a bank, no issues. .
I saw this drop after the first month then when safe credit was paid each month it it jumped back up alot and remained to go up a few points each month after. It's been really good. The first month will be a shock but it will stabilize and improve over time
I don’t understand what this means… can you clarify
Awesome video on Chime! and that $100 sign up is not bad either 😎
It sure isn't haha thank you for love Wagner 💜😊
I will say they👆credit master fix👆best repair credit.
I really believe you explain things alot better than other videos I've seen hope you keep making videos I my need more information thanks
Gotta pay off your card and have money on the card before it gets reported for statements
Do you need to have money in both the secured account and the checking account at the same time or do you just need to make sure your available balance in the credit card is the same as the credit limit i initially set
😮 Great question
I was thinking about using this card to start rebuilding score after bankruptcy but this was supremely confusing & I no longer feel confident at all in how to use this card to build. I’m wondering if it can be plainly stated WHEN & what needs to be moved to where so that it doesn’t just report & huge balance & not on time payments? I see people commenting saying you NEED to spend your entire balance to build the credit? That makes no sense to me. That would be a horrible habit to form with any card. 🤔 Probably just going to steer clear. The reason I was considering this card was convenience & ease of use but it now appears to be more complicated than any card I’ve seen in the past.
Because your technically only putting money on the credit builder that you know you can spend, which is actually a good habit necause why would you put more than what you can spend, for instance a real credit card you ask for a 500 dllr credit limit, but why if you know you cant pay 500 back? Thats why chime you set your own safe limit that you know you can pay, so starting out with 50 or 100 would be good so once you spend it, you know you can put it back before the new cycle, its mean to be a SPENDING CARD, thats how credit works by spending it, so only add what you can spend so you can again refill it every month with no issue. I havent used it but i am doing extensive research before i do, it is a simple concept but some poeple make it difficult or dont esucate themselves thoroughly before using it, do your own research and then go from there.
Ok just to make sure!! I just got my card I put $175 on it.. now I need to spend all of it to prevent it from reporting from the credit bureaus as 100% of utilization.. and then put more money on and repeat
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Hey Shelly, you don't need to spend all of it. The only thing you need to do is make sure that by the time Chime reports to the credit bureaus that you have the same amount you originally deposited BACK in your account.
For example if you deposit $175 and you spend $175 then you need to make sure those $175 are back in your account before chime reports that information to the credit bureaus.
Hope this helps 😊🧡
@@DayanaPlays SO WHAT DATE DOES CHIME REPORT TO THE CREDIT BUREAUS?
@@tracyreadytv 28-29th (based on chimes FAQs)
@@DayanaPlays and by doing this it keeps the utilization low??
Very good information Very helpful as always thkyou very much 👍good job keep moving forward you the best 👌
Thanks Chino 😊
I will say they👆credit master fix👆best repair credit.
Awesome explanation! I had to do the same thing
I will say they👆credit master fix👆best repair credit.
So just put in like 200 bucks to credit builder, use it and make sure there's still 200 in there before next month. Wouldn't be a problem if you'll always have funds in the checking right? But using the auto feature?
@carlisle vanstory So let's say you move $1,000 into your credit builder and pay it off at the end of the month, will it report to the credit bureaus the "available credit" as $1,000 or is it just showing the amount you pay off each month? Thanks.
What if you wake up at the first of the month and your credit builder card is 92 cents in the negative 😬
Using "move my pay" is hurting people, because payday doesn't always fall before the end of the billing statement, so it'll be considered a late payment. So u need to make sure you're paying the balance bank yourself on time if you know your check is going to be coming just after the end of the billing cycle.
WTF are u talking about, it's a SECURED CREDIT CARD
SO WHAT YOU'RE SAYING MAKES NO SENSE
That doesnt sound like a good credit builder if it works to lower your score lol. Isnt the whole purpose to only use the amount you secure in the credit line? They say they dont report credit limit yet report credit balance? Makes no sense its same thing it will show you have no credit yet somehow using credit? Something dont sound right. I guess what also could may be affecting the score is that its a credit builder so people with high or good scores it may not look good on their credit history using a credit builder it can be seen as cheating but for no credit people it can start a credit history and maybe get non secured small credit later the higher the score. Credit buroues arent dumb they have standards and know what to look for a i doubt a small line of 50 dollar will get you 800 plus credit score atleast in short time. Thats my guess for those that may need to research more. Maybe also taking in and out the money in credit line looks bad with chime also its probably better to do as intended put money in and use it dont take it out the purpose is to build credit history and build a relationship maybe even repair slightly bad credit. All that being said im thinking of trying it i have zero credit history hopefully it opens some doors for me.
no one is gonna read allat bro
@@xCAxALLDAY i know i didnt i reas the first 3 words
@@giovannirojo28 thats why yall dont know anything, he said good things there
They don't report your credit utilization. So no; you're not using 100% credit utilization. They're not including it in the score.
@ William Scott you absolutely right the fico8 calculates it right but the vanish score doesn't so when people go on credit karma they think there score drop but on fico it didn't
@@davidhale2124 So does this card make your score goes up on Fico?
@@cristianharris544 yes it will.... I started with that card to get my FICO up that was 2years ago now I got American Express, but to answer your question yes it raise you Fico up!
@@davidhale2124 ok I’m going to try it. I been having Chime for years. Just never did the credit card, only checking
So what do u need to do to not get points dropped
Looking for clarity here. If I put $1500 on my card each month from my paycheck that is my limit correct? So in that case, if I have safer credit building feature on and I spend $500 will I need to replace that $500 to bring my balance back up to $1500 by the end of the month? I just don't see why you need to replace when safer credit builder automatically deducts any sort of transaction
So basically if I put $200 into my Chime Credit Builder card and use that $200, I need to put another $200 in before the month ends/the due date to "balance it out?"
So basically if I want to spend $200 a month on credit purchases I have to basically deposit another $200 for a TOTAL of $400 (that includes the previous $200 I spent which essentially set my "credit limit" for that month) into my credit builder card that month.
In other words, whatever you plan to initially put in to spend for credit purchases for that month, be prepared to deposit double that. One part to actually use to buy things, the other part to balance it out and cover what you spent.
Am I understanding this correctly? That seems like such a hassle to manage and keep track of. Too bad they don't do it like the Extra card.
No. They take the money as you spend it, but put it in a separate holding account to pay your statement at the end of the month. When you spend the money it's gone like a debit card. If you want 200 again, then you put in 200 again. Chime and extra do essentially the same thing but chime is monthly, and extra is daily.
I’ve been using this for years. I didn’t know I needed to move extra money
Great Video ‼️🔥🔥🔥
Thanks Jimmy 🧡
I will say they👆credit master fix👆best repair credit.
I think I’ll use it on small payments like gym membership.
Mine went down -80 points
Now own them 2.36 because of fees I want in to bank told them take out 45$ which was in my account that's bs
Thanks for the information! I watched another video about 'EXTRA'. Which one do you recommend to build up credit score faster and to use it easier?
Same thing but I've seen extra cards like that which have a fee building your credit is free so don't pay any fees
Hey, I would go with Chime since it's FREE! 🧡
@@danielwilson3976 how is Extra card working? Do u think it's good?
So if I have the safe credit building mode on, I can spend all I want without having to worry about putting the same amount into the credit builder account that I spent on it in the month? Or do I still have to put that amount back into the credit building account before the end of the month
Sounds like got put the money back
You are awesome!!!! Ive subscribed
I will say they👆credit master fix👆best repair credit.
Hey Joy, thanks for the kind words means a lot 😊🧡
They need to remove the "Move my pay" option or at least take off the option to move "All of my pay" to this account. My credit is showing a balance of 2k with Safe credit builder enabled and dropped my score 70 points because of this. I'm now only moving over $200 hopefully this fixes my credit score.
thanks, had to rewatch a couple of times but think i got it lol
Glad you did 😊 Thanks for stopping by Khris 💜
Has anyone stopped using it and left the balance at 0? Im curious to know if your score drops once you stop using it.
Same
Also I'd like to say I'd had my cards for over a year and my credit score had increased 100+ points BEFORE I ran into this issue of another check being deposited for my son raising the amount there by reporting as negative score and owing instead of having that money
Thank you for a terrific explanation!
Dayana, does having $500 in credit builder improve credit score more than let’s say having $100 in there? Trying to find out if that means anything to the credit bureaus.
So if I put 200 on the card I just spend 10 dollars every month and then add the 10 dollars back to the credit limit immediately I should be okay?
It dropped my score by about 70 points even when it says balance is decreased
My friend experienced the same thing while changing absolutely nothing about his spending habits (he's fiscally responsible). I don't trust it.
Me to 72 points
Great info finally. Thx!
So basically if I moved $50 from my spending account to my credit building account I can use all $50 but I just need to add another $50 for the next month before the info is sent to credit bureau?
Also what if I don’t use all of the money on my credit building card?
So if I deposit $200 and spend $200.. I still owe Chime $200? I'm a little confused.. I just added $200 to my Chime credit card today. Once I spend it, I have to pay it back out of my next direct deposit even tho Its my $200 that I just spent?
Thank you, very helpful.
Glad you found value in the video 😊🧡
Your beautiful by the way ❤ love the way you explain everything step by step thank you.
Aw thank you! 😊🧡
So basically... they are trapping whatever amount you deposit into the credit account and holding it hostage. lol After you replace the credit limit with the initial deposit, then they report it to the credit bureaus, are you allowed to take the money back out of from the credit account? Or are you just stuck in the never ending cycle of having to use that money on the credit account and replace it every single time?
BTW... I REALLY appreciate the information. That was really helpful... unfortunately I already signed up before catching this video and am already in the process of my first deposit lol Kinda feel trapped tho...
@@drew9453 my guess would be leave the initial deposit and stop using the card until you close the account if you can
@@juanaraujo4852 it just sucks cuz they basically just took that money from me, and the only way to get it back really is to take a hit on my credit score...the whole idea was to build my score... but I'm going to have to take that hit at some point regardless.
Just don't use the card for a month and chime wont report anything since it wasnt used that month which then u can withdraw that money out without takeing a hit
@@drew9453 best way to use it is to use a small amount since it doesnt reported amount so used 10$ and then replace the 10$ befor the end of the month chime doesnt report amount so to them they well see he used 10 he payed off 10
Can someone explain this to me it says “get $100 when you receive your qualifying direct deposit of $200+”
Hey, so in order to get the $100 you need to set up direct deposit and receive $200 or more in direct deposits within the last 365 days of applying.
For example if you have a job who pays you through direct deposit' and you want this card, you can tell them to make your direct deposit go in through your chime account.
(The direct deposit must be made by your employer, payroll provider , or benefits payer by (ACH) deposit which is simply a bank-to-bank money transfer)
Hope this helps if not please let me know and I'll further explain 😊
@@DayanaPlays I used your link to sign up but it didn’t let me make an account and says “we’re sorry” and that something is wrong.
@@asaad3022 Hi Assad, first off thank you for using my link to sign up for a Chime account 💜 I just checked the link and it’s working just fine. You can try signing up again to see if it now lets you sign up without error 😊
It does work! I got the 100 added to my next check deposit
So you transfer money to the credit building card let's say 200$ you spend the 200$ it goes back to 0 so before the automatic payment kicks in put 400$ on the credit builder card so it pays 200$ on time and reports the 200$ you have left to report to the credit burial?
What if you deposit $200 at 1st then $300 & back to $200 the next month?
Just making sure I get this. If I transfer $200 and use $150, I have to pay back that $150 before the end of the month. If it's still at $50 when the next month comes then it will report negatively and your score will drop...correct?. Will chime tell us the date so we could put the money back in time?.
I’m needing help with this … so if I transfer 570$ onto my secured card and use it to pay a recurring bill , is that 100% utilization … and therefore I have no debt? I would appreciate a response …
Okay, I think I'm understanding after watching your explanation. I know normally you're suppose to keep your credit utilization under 30%. However, I've read and you've stated that they don't report your credit utilization. With that said, I get paid every 2 weeks and I'm considering using it for a recurrent monthly bill; which is $550.
Let's say I get the card, deposit $550 and turn on the safer credit building & move my pay options. Thereafter, I then use the total $550 to pay that recurring bill...
Will I still need to pay the $550 (again) before the month is out or does the safer credit building and the move my pay option save me from this?
I just want to make sure I'm understanding correctly because I don't want it dropping my score...
ruclips.net/video/Dmkv4ZYlPNE/видео.html
I would also like to know
Did you find out the answer
@@oshynclair7592 No, I never got a response and I have yet to use it. I didn't quite understand it so I opted for a regular credit card.
@@sashaspry5712 congrats on getting a regular credit card..Lucky you!!! My credit is low..I'll look elsewhere..Secured credit card
Ok, so let me get this straight.
If I send $200 to my credit builder card that’s my limit to spend? Right?
Also, if I’m sending money over from my checking account how am I supposed to pay it off I’m sending money there? Really confused on that
That’s what I’m confused about!
Hey Michael, so whatever amount you transfer into your credit builder card will become your credit limit (which is the total amount you have available to spend on your card monthly)
For Example:
Deposit = $200
Credit limit/Available to spend = $200
Now on your Chime account you'll see (Available to Spend) which is the amount you can spend and you'll also see (Balance) which is the total amount you’ve spent on your card since your last statement.
Now although you deposited $200 that doesn't mean your card is paid off. It simply means there’s a hold on that money, until it's time for you to pay your card (Balance).
In other words you'll be able to use the money you initially deposited to pay your balance when it's due.
You can pay that balance manually on the Chime app or you can set up Safer Credit Building (BEST OPTION) and your Balance will automatically get paid off using the $200 you initially deposited.
Hope this helps 😊
@@DayanaPlays that makes totally sense i just be spending crazy 😂💯💯
What if I added more money to my credit builder before the due date
@@DayanaPlays then I need to replace that money safer credit building used to pay balance?
What if I don’t wanna use direct deposit will I be able to apply chime credit card?
It did report as a hard inquiry on Transunion which hard inquiries are only short term. It brought it down -37 but it will go back up in a month or so.
So if I upload 100$ to my card and spend it make sure the 100$ is back on the credit builder card untouched until they report at the end of the month to not get drops?.
I think that's how it works that's my question too
So how do we fix them after the drop happens?
Main reason why your credit score gets dropped is because of the new account your setting up with your credit agency… Your credit age actually averages out if you open a new account… so if you have a account with 1 year of credit history and open another line of credit… your age history averages out which then lowers your credit score… (I’d still follow the utilization as well even though chime states no utilization is reported)
So I have my checks deposited into my chime checking and a large amount automatically get transferred to my credit builder card. I don't know what to do or what to change because my credit score went way down like u said showing I owe$4k+ when I actually HAVE that amount but OWE that amount! What did I do to fix this and make my credit go back up!? I was trying to reach 700 to get a house asap! Now it's back down to 645! And won't increase for ANYTHING! IM STUCK! Should I just pull a large amount back out and out it in a real bank?
Does this card work if your deposits come from Mercari, poshmark, market place ? Does anyone use this as a business account as a seller? Thanks for any advice !
Yes I'm wondering the same.
I sell through Mercari and it does work. It goes to my checking/spending account and I then transfer money into the credit builder
I just got the card but haven't loaded any money yet. Will it affect my score negatively by not using it?
Mine didn't, I had it for about 3 years and never once used it bc it took me a good while to fully understand it. I'm just now learning a little about how it works but I still haven't used it although it is activated
When does chime report to the credit bureau? So we know when to have the money transferred so we do not run into this?
I don’t transfer money from my chime checking. What I do is go to Walgreens and add the money to my secured credit card.does that affect me? I’m asking because my score dropped 11 points. I’m puzzled.
Gm does chime do a hard pull when u sign up with them. Thanks explaining how chime works, i have other credit cards,trying to build up my credit points.
Hey Tasha, Chime does NOT check your credit score at all. Hope this helps!!! 😊💚
Direct Deposit Is Required For This...I'll Just Stick With The Chime Debit Card Card Account I've Had For 2 Years...
I get it but so frustrating. What happens if I just turn my credit builder off or close/delete the credit builder option? Does my account then go to 0 balance?
Bruh I'm still confused 😕
I put 500 dollars on the card at first when I got it , then I week later I got paid you 50 percent of my paycheck was transferred from my spending to my credit builder 1,500 I didn’t know the “move my paid “ feature was on I transferred it back to my spending account do I have to put back the 500 i initially put on or 1,500
THANK YOU! you explained everything great!
That means a lot thanks so much! 😊💚
I’m still confused
Thanks for the video🤟🙂
My pleasure 😊
I have the checking account and it offers to do secure thing
They don't never ask for there payments
I can’t unlock the credit builder because I can’t get a direct deposit of $200 because I work as a server and almost all the money I make is in cash.. I have direct deposit set up with chime but my income from direct deposits is very little.. I feel stuck because I have no credit and I want to build credit with chime but I can’t…
So if I put a $1000 on it and don’t spend any of it, it will hurt my credit?
So let me see if I follow:
-add $50 to account
-spend $50
-add $50 back to account BEFORE chime pays balance and reports (now showing $100)
-balance shows $50 when they report??
So is the best practice to keep the card around the same balance at all times?
So are u saying don’t pay it on time or do pay it on it? and another question u saying don’t add more then 200 if I got a 200 balance? And another question do I pay it before the month over with before they report it?
Question, It seems like if i put $100 into the credit builder account, 100 will be my spending limit, I use all 100 and have the safer credit builder thing turn on, so they take out 100 from the credit builder account, I have to put back 100 in order for it not to take a hit to my credit score. the question I have is how do i lower my credit spending limit from 100 to say 50 with out taking a hit to my credit score?
because it sems like you have to put back the amount you initially put in at the end of each month
This is exactly what I am trying to figure out!
I was a newbie I put $500 into my account and now after fully understanding this card … I totally regret it . I’d rather have $100-50
@@KarlaFlores-lo3gl thank you for your reply, I looked everywhere for a clear cut answer but i kept ending up with more questions, I put off the card for now until i can fully understand it.
I’m still kind of confused on how this card works as far the balance and the monthly payments. Like am I paying what I spent or am I paying what I spent plus the credit limit?
Can I increase my limit every month without that affecting my credit?
@DayanaPlays when you said they automatically pay it by the end of the month what did u mean? U also said that we have to replace the money by the end of the month so if I deposited 200$ and used $20 you say they will automatically pay it back at the end but how they pay and report at the same time listening and knowing we have to pay the balance before it reports. I wonder when peoples score drop is because of this? Thinking chime will automatically pay it off but also reporting it so we’d have to go in and pay the balance before the due date before chime does?
I'm totally not doing this anymore. Too many ppl have had dropped scores
@@kierralowe44 yeah I don’t want the same to happen to me I desperately need my credit higher I can’t have it dropping so my guess is to use it manually Yk. So using a certain limit then finding out when they report it then pay the balance before then is what shall be done instead of then automatically taking out then the payment process can be bs. Def have to be responsible but I’ve heard chime taking a couple hundreds of dollars from people so I’m sketchy on getting it
@@kierralowe44 dropping 40 points is huge man cause it’s so easy to gain points I’m gonna try get it awhile later and do it the way I think it’s gonna be best if I see a drop in my score I’m done with it
I have all of my money go into my credit builder so simply put all the money I spend I should replace before Chime does the reporting?
Clicked just cause your pretty 😊
Aw, thanks! 😊
I get everything as far as $200 = $200 use 10% ($20) COOL
BUT, I get lost when I have auto transfer from “Direct Deposit” so my balance increases gradually.
Q: I should replace what I spent before due date? Even though I’m making transfers, & with “safer credit builder” on?
Q:is the point -replace what you spent before due. Keeping spending at 10-15% ??
Could you help me with some questions I have? I’m still a little confused
can. do a step by step video on how to apply
So loading money back in before they report is “paying off the balance”? Then repeat each month
Yes!
So then, what date does chime report to the bureaus?
Usually the 28th - 29th of the month (based in chimes FAQs)
Safer credit building has two options should I choose the 1 day or 10 days?
Hey Sade, if you choose 1 day then Chime will make your automatic payment as soon as possible within one day of letting you know your payment amount.
And if you choose 10 days, that just simply means they'll pay off your balance 10 days after you receive notice.
I would go with 1 day, that way you don't run the risk of any late payments! (But it's up to your specific financial situation/preference)
Hope this helps 😊💜
@@DayanaPlays thank you :)!!
I will say they👆credit master fix👆best repair credit.
okay so say I put $100 in the credit builder card, but dont use the full $100 what will happen to the remaining balance? or do I have to use the full $100? and if I dont use the full amount and say i use only $50 when the monthly limit gets set and i put the money back will i then have $150 for my spending limit or will it just reload another $50 onto my account to make it an even $100 lol? if that's confusing i'm sorry
Second this
So the first deposit you made to your credit builder card from your spending account becomes your credit limit?
Yes
Yes. The amount you deposit into your credit builder card will be your credit limit.
@@anthonytavera8576 ❤️ very helpful.. thank you 👍🏾
@@DayanaPlays Is that credit limit reported to the credit bureaus? Or just payments made each month? Thanks.
I’m thinking about opening an account with chime for the APR on savings, but my credit is pretty good and I’m waiting for release from 5/24 jail so I’ll probably skip credit builder card.
Hey Jason, Chime offers a pretty competitive APY on their savings account so great choice 🧡
current card has 4% on savings
4:09 Is there a respawning it zeros out when it’s due? So for example if I had $100 on my credit builder car and I used that money from the car to pay a bill, I would have to come up with another $100 just to pay off the credit builder even though I put the first $100 on the credit builder card
I’m used to having the money on the card on the due date and it still being there, still accessible to use cause it’s my money