Amazon targets unbanked with ‘Credit Builder’ card
Amazon has teamed up with Synchrony Financial to launch a secured credit card targeted at Americans with no credit history or bad credit.
However, cardholders have to make a refundable security deposit of between $100 and $1000. This deposit then determines the credit limit.
Approved cardholders then use the card on Amazon, make payments and build up their credit before, if they choose to, upgrading to an unsecured card.
Cardholders also have access to a credit education page and can track their score through access to a dashboard and simulator from TransUnion.
The card could bring millions of people into Amazon’s orbit. According to a Fico survey, 11% of Americans has a credit score below 550.