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The Destiny Mastercard is a credit builder, which means it’s for consumers with low FICO® scores or thin credit history.
What we think: The Destiny Mastercard comes with a considerable annual fee and high interest rates. However, we do like that there isn’t a security deposit required with this card. It could be a good fit if you’re looking to rebuild credit or have no credit history.
One main advantage of this credit card is that it doesn’t require a security deposit.
Drawbacks of the Destiny Mastercard include high fees and rates.
The Destiny card is worth it if you need to improve your credit or want to build up your credit profile before you apply for a car loan, mortgage or rewards card.
SUMMARY
The Destiny® Mastercard® is designed to help you develop good financial habits while you’re rebuilding your credit. It may be a good fit if you have negative items on your credit report, such as late payments or delinquent accounts, and need help getting back on track. It’s a good credit card for people with bad credit that are looking to raise their score.
You may also benefit from getting the Destiny card if you have no credit history and need a way to prove that you’re financially responsible.
This Destiny card review will help you determine if it’s the right choice for you.
No rewards Unsecured card with a set $700 credit limit. Up to $175 annual fee, depending on the version you are approved for.
Is the Destiny credit card worth it?
Generally, the Destiny Mastercard is only worth it if you have bad credit or no credit at all.
If you have a positive credit history, you’d benefit from getting a credit card with lower fees and additional benefits. That said, the Destiny Mastercard is worth it for people who need a little help building credit or learning how to manage their finances.
The Destiny Mastercard is worth it if any of these circumstances apply to you:
You have bad credit and need a second chance.
You want an unsecured credit card with a low limit to help you learn to manage credit responsibly.
You need a starter credit card to build your credit profile before you apply for a loan or an unsecured credit card with a higher limit.
Destiny Mastercard Benefits
The Destiny Mastercard is an unsecured credit card, so you don’t have to pay a security deposit to open an account.
This Mastercard is for people with imperfect credit, so you don’t need a high credit score to qualify.
The issuing bank reports to Equifax, Experian and TransUnion, giving you a chance to improve your credit if you use the card responsibly.
The Destiny card is a Mastercard, so you can use it online or in millions of retail stores.
You may qualify for the Destiny Mastercard even if your credit history includes a bankruptcy or multiple charge-offs.
Destiny Mastercard Drawbacks
The Destiny Mastercard has an annual fee of $175 for the first year and $49 for each subsequent year of membership.
You don’t earn cash back, bonus miles or other rewards on your purchases.
The Destiny Mastercard comes with a 35.9% variable purchase APR, one of the highest in the industry.
This credit card doesn’t come with a welcome offer.
The Destiny card has a monthly fee of $12.50 after your first year of membership.
The Destiny card comes with services and benefits that help you manage your finances and build your credit.
Credit bureau reporting
The Destiny Mastercard reports to all three major credit bureaus. If you’re approved for this credit card, your account will show up on the credit reports produced by the “big three” credit bureaus: Equifax, Experian and TransUnion. Over time, this can help you increase your credit score or qualify for a broader range of credit products.
Standard Mastercard benefits
The Destiny credit card has the Mastercard logo, so you have access to a wide range of benefits. For example, each card comes with $0 liability fraud protection. If someone steals your credit card number and uses it to make fraudulent purchases, you won’t owe a penny. Mastercard also offers identity theft protection. In addition to monitoring your account for signs of fraud, the company alerts you any time there’s a potential threat.
Autopay
With autopay, you don’t have to worry about remembering your payment due date. Once you set up automatic payments, the credit card issuer will deduct your minimum payment from your bank account each month. This set-it-and-forget-it approach makes it easier to avoid late fees and keep your credit card account in good standing.
Prequalification tool
Before you apply for the Destiny credit card, you can use the prequalification tool to determine if you’re likely to be approved. When you prequalify, you have a chance to find out your approval odds without a hard inquiry on your credit report. Therefore, this process has no impact on your credit score.
Destiny card fees, rates & limit
One of the biggest drawbacks we found while reviewing the Destiny card was the high fees and interest rates that come with it. It’s important to understand all of the fees associated with the card before deciding to apply. You also need to know your credit limit before you make any transactions.
Destiny Mastercard fees
This credit card doesn’t require a security deposit, but it does have an annual fee of up to $175 for your first year of membership. If you keep the card longer than one year, you’ll pay an annual fee of up to $49.
If you’re approved for the Destiny card, you’ll pay the following fees:
Balance transfer fee: N/A (This credit card doesn’t allow balance transfers. If you’re looking to consolidate debt, consider a balance transfer credit card with an intro APR offer.)
Cash advance fee: $5 or 5% of the purchase amount, whichever is greater
Foreign transaction fee: 1% of the transaction amount
Monthly fee: $0 for the first year; $12.50 per month for each additional year ($150 per year total)
Here are a few examples to help you understand how these fees are likely to affect your finances.
Assume you take out a cash advance of $500. In this scenario, 5% of $500 works out to be $25. This is greater than the $5 minimum fee, so you’d pay $25 to complete the cash advance.
When you use your card overseas, the issuer converts all purchase amounts to U.S. dollars before assessing a foreign transaction fee. If you spend $200 USD on souvenirs, you’ll pay a fee of $2 (1% of your purchase amount).
Destiny Mastercard interest rates
Here are the interest rates you can expect to pay if you’re approved for this credit card:
Regular APR: Up to 35.9% variable
Purchase intro APR: N/A
Balance transfer intro APR: N/A
Destiny Mastercard credit limit
The Destiny Mastercard is a starter card, also known as a credit builder, so it comes with a low limit. Your exact limit depends on your creditworthiness, but you won’t be able to spend more than $700.
Destiny card rewards
One of the drawbacks of having bad credit is that you may not qualify for a credit card with generous rewards.
In fact, it’s common for credit cards for people with no credit or bad credit to have no rewards at all. That’s the case with the Destiny Mastercard. Although you’ll be able to use your Destiny credit card for purchases, you won’t earn any cash back, points or miles. If you use your new credit card responsibly, however, you may be able to qualify for a rewards credit card in the future.
The Destiny card has an advantage over similar credit cards: You don’t have to pay a security deposit.
That’s because the Destiny Mastercard is an unsecured credit card. This means you can start building credit right away instead of waiting until you have enough money to open an account.
Although this credit card comes with high fees and rates, that’s not unusual for a credit-building product. However, there are unsecured cards available with lower annual fees and better rates. If your scores are high enough, you may be able to qualify for one of those cards.
Destiny card vs Secured credit cards
For people with bad credit, another alternative to the Destiny card would be a secured credit card. While a secured card would require a security deposit, some of the best secured credit cards have lower fees and rates than the Destiny Mastercard.
If the annual fee has you looking for a different option, consider the Chime® Secured Credit Builder Visa®. It’s a credit card with no annual fee, but it does require a security deposit. Chime bases your spending limit on how much money you deposit when you open your account.
Capital One® also offers two secured credit cards for consumers with limited experience managing credit. Quicksilver® Secured has no annual fee and offers 1.5% cash back on every purchase. The Capital One Platinum Secured has no annual fee, but it doesn’t come with any rewards. Both cards require a security deposit.
Earn 1.5% cash back on all purchases and 5% back on travel booked through the Capital One Travel platform. Minimum $200 deposit. No annual fee.
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Alternatives to the Destiny Card
If you’re unsure about the Destiny credit card, check out these reviews to see if another card may be a better fit for helping you build or establish credit:
You should consider getting the Destiny credit card if you're in one of these situations:
Low credit score
You have low credit scores due to a history of late payments, missed payments, charge-offs or other negative events.
No credit history
You have no experience handling credit and don’t qualify for a credit card with higher score requirements.
Note that this card is only for rebuilding credit. It also has a high annual fee, so you’ll probably want to cancel once you raise your credit score high enough to qualify for a card with better terms.
The issuing bank doesn’t list a minimum score on its website, but this card is designed for consumers with fair to poor credit, so it’s not hard to get approved. Under the FICO scoring model, poor credit scores range from 350 to 579, while fair scores range from 580 to 669.
To fill out the application form, you’ll have to provide information about your income, identity and monthly expenses. The issuing bank offers two optional services: over-limit protection and credit protection. As part of the application process, you’ll have to accept or decline each one. Before you submit the form, read the terms and conditions to ensure you understand them.
Yes, the Destiny Mastercard is a real credit card with the Mastercard logo on it. You can use it anywhere Mastercard is accepted, from your favorite ice cream parlor to a local antique shop. It also comes with $0 fraud liability protection and other helpful features, just like many of the best credit cards.
What is the highest credit limit for the Destiny Mastercard?
The highest credit limit for this card is $700. Your exact limit will depend on your credit scores, income and other factors. For example, if you have a bankruptcy on your record, you may be approved for a lower limit.
Is it hard to get approved for the Destiny Mastercard?
This credit card is for people who need to rebuild their credit or build credit for the first time. Therefore, it’s fairly easy to get approved. The issuing bank is willing to work with consumers who have low credit scores, previous bankruptcies and other negative items on their credit reports.
Does the Destiny Mastercard charge a monthly fee?
Yes. There’s no monthly fee for the first year, but if you keep the card longer than that, you’ll pay $12.50 per month just to keep your account open. This is why we suggest using the card to rebuild your credit and then closing your account once your scores are high enough to qualify for a card with better terms. Otherwise, you’ll end up paying just under $200 per year — $49 for the annual fee and $150 for the monthly fees — to keep your account open.
Will I earn rewards with the Destiny credit card?
No, the Destiny Mastercard does not have a rewards program.
Higher-end cards from large issuers tend to come with the best rewards. If your goal is to get one of the best American Express credit cards or a travel card that earns miles, your credit score will need to be in the good-excellent range. The Destiny Mastercard can help you rebuild your credit so you will qualify for a high-end card in the future.
Leigh Morgan is a seasoned personal finance contributor with over 15 years of experience writing on a diverse range of professional legal and financial topics. She specializes in subjects like navigating the complexities of insurance, savings, zero-based budgeting and emergency fund development.
In the last 5 years, she’s authored over 300 articles for credit unions, digital banks, and financial professionals. Morgan is also the author of “77 Tips for Preventing Elder Financial Abuse,” a book focused on helping caregivers protect the elderly from financial scams.
In addition to her writing skills, she brings real-world financial acumen thanks to her previous experience managing rental properties as part of a $34 million real estate portfolio.
* Opinions expressed here are those of the LA Times Compare Cards Team and have not been reviewed or approved by any advertiser or entities included within this content. See our editorial policy for more details.
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