When I got married, I appreciated the existence of credit cards. Having a family means more expenses and ATM machines are not so available all the time, even EPS system is not so common. But my credit card owner wannabe phase started in the middle of my college years. My husband has an extension credit card from his father that started when we were around 3rd year college students. I sort of envied how he got good freebies from Jollibee and ever since I was a child, I fancied myself having my own cards. I used to play with my father's expired cards and swipe them in our divider cabinets' slits. My parents did not give me an extension, because even my mom hasn't so why should I? They weren't really the ones to teach me about financial management. It was actually my in-laws who did it.
However, I haven't graduated in the university when I started my own family and I didn't have a stable job--just my part time at RareJob. I tried applying at the biggest credit card companies, but they denied me of course. They needed an applicant with a job and an ITR to prove it. I have an ITR due to my job as an Independent contractor for RareJob around 2010, but it wasn't enough. So what I did was to try and search for alternatives. One of the first alternatives was the EON Card from Unionbank.
I needed a credit card for an online purchase, and that's when I created my EON account. Later on, I learned that Smart Money has this feature to be like a credit card for online purchases, too. So that was my second alternative. I just have to transfer money from my BPI Savings account to the Smart Money account and then activate it through my mobile phone. The downside is, I am not really a Smart subscriber and just had this free extra SIM card from my Smart Bro Plug-it. I only used it twice.
Not until I browsed a certain blog and PinoyExchange for answers to my problem. I found out about the wonders of a Secured Credit Card. I kept on reading threads about it and learned so much from PExers. Late in 2010, I applied in BPI but was denied and received a letter about BPI Express Start-- that's their secured credit card program. I looked up about BPI and this Express Start and learned that:
1. They need a collateral--money in a TD (time deposit) account or Savings account
2. The credit limit you will get is 80% of your total collateral
3. The secured credit card has the same freebies as the regular credit card (aka preapproved? Idk the correct term)
4. Raising your credit limit means raising your TD amount, could be done only after one year
I have a savings account at Meralco's MESALA c/o my dad that yields higher than usual interests (since it's a cooperative sort of bank). I had around 30 thou there, and I withdrew 26000 from it for my collateral at BPI. What I did next was the application. I went to the nearest branch, which was BPI C. Raymundo branch. They were very helpful and assistive, and in a few minutes by just showing my ID and proof of billing, I was able to create my first TD account with the secured credit card. The card though, was delivered 2 weeks from the day of my account creation.
I was satisfied with the 20thou limit given to me, and the fact that my money will still earn as it is in the TD mode. Although as our needs changed, I felt the need for another credit card. That's when I made another TD c/o Metrobank. I loved Metrobank's service, since it's one of my dad's credit cards. My father actually had 3 credit cards before he died: Citibank, Metrobank and BDO. The worst customer service was BDO. When he died, I had to cut all the cards and process everything through phone and fax. Metrobank has the fastest process and friendliest customer service reps. And that made me choose that for my next secured credit card.
With Metrobank, there are of course, similarities with the process and a bit of a difference:
1. You can open an ATM account or TD for the collateral. With the TD, you can choose the period where the TD earns interest (very flexible)
2. The credit limit is 90 % of your collateral (which makes it less money for deposit)
3. Credit limit is increasable within the first 6 months (or during the first interest is due)
There also is a Metrobank branch in my barangay (and only recently, the C. Raymundo branch also opened!). That's where I opened my account. I also heard that in Metrobank, it's easier to waive the annual fee (although I could also do that to BPI easier because of connections haha). I got my husband an extension, because there are times I'm not available to go in the grocery or other stuff. Surprisingly, the delivery of the Metrobank cards are faster.
It's been almost 2 years since I had my BPI and 1 year for my Metrobank. Payment is easy for both banks in my case. The nearest branch to my house is walking distance for Metrobank, and for BPI, I have to be forever grateful for BPI Express Online. Payments whenever, wherever using my mobile phone with the app or a browser. I'm not yet getting a regular credit card because I won't be working fulltime yet. I'm just happy with my choice of banks :)
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