Fingerhut Credit Review: Easy approval retail account to build credit

Fingerhut® credit is a good way to build credit. The online/catalog retailer has been around since 1948, servicing customers with a wide selection of brand-name products.

Fingerhut® credit is designed for consumers with recent or past credit issues. Fingerhut gives you a chance to restore a positive credit history with payments reported to the major credit bureaus.

If you have shaky credit, you may have a better chance of being approved for this credit account than an unsecured card.

Who Can Qualify for Fingerhut® credit

Fingerhut® credit makes it clear that consumers with bad credit as well as consumers working on building better credit are welcome to apply. Consumers with FICO scores in the 300s have an opportunity to get approved for Fingerhut® credit.

Keep in mind the opening credit limit may be lower than someone with average credit. But Fingerhut regularly reviews cardholder accounts which means consistent and sustained on-time payments may qualify you for regular credit limit increases.

Why Fingerhut® credit

There are no down payments, no layaway, no annual fees, and the monthly payments are affordable. The Fingerhut Credit Account website also features credit education resources. Consumers experience an increase in credit scores once their Fingerhut Credit Account is initially reported to the credit bureaus.

The Fingerhut Credit Account can be applied for online with a decision in as little as 5 seconds. Are you pre-approved for Fingerhut Credit Account. Enter your name and address and find out now.

Fingerhut® credit rates

The annual percentage rate (APR) for purchases is a very high 29.99% but you can avoid paying interest if you pay your entire balance by the due date each month. Your due date is at least 24 days after the close of each billing cycle.

How Fingerhut credit works

Fingerhut offers two types of credit accounts:

1. WebBank/Fingerhut Advantage Credit Account is an unsecured account that can only be used to shop with Fingerhut. Its main purpose is to help people establish and improve their credit. There’s no annual fee and no membership fee.

Key features include:

  • Easy application! Get a credit decision in seconds.
  • Build your credit history – Fingerhut reports to all 3 major credit bureaus
  • Fingerhut offers more than 500,000 items including the brand names you want like Samsung, KitchenAid, and DeWalt
  • Not an access card

2. Fingerhut FreshStart® Credit Account is an installment loan used to make Fingerhut purchases. You can’t apply for the Fingerhut FreshStart® Credit Account directly. If you apply for the Advantage Credit Account but don’t qualify, you’ll automatically be considered for the FreshStart Credit Account.

Here is how the Fingerhut FreshStart® Credit Account works:

  • Make a one-time purchase of at least $50.
  • Then, make a minimum of a $30 down payment and your order is shipped after payment is received. Credit cards are not accepted for down payments, so you’ll have to use another option, including a debit card, an ACH payment, a paper check or a money order.
  • Pay off the balance in monthly payments split into either six or eight payments.

If you pay off your purchase in that time frame or earlier (without any late payments), you can upgrade to a revolving Fingerhut Advantage Credit Account. Note that if you decide to pay your entire balance owed when you make your down payment, you won’t qualify for the loan or for potential upgrading.

Why we like the Fingerhut credit account

While Fingerhut charges higher prices for its merchandise than other retailers, it’s easier for people with bad credit to open a credit account at Fingerhut than elsewhere.

This is why we like the account:

  • High likelihood of getting approved.
  • No annual fee.
  • Fingerhut credit can be used at select partnerships with other retailers, like florists and insurance companies.
  • Monthly credit bureau reporting which means timely payments can help your credit scores.
  • There’s no penalty on the WebBank Fingerhut Advantage Credit Account for paying off your balance ahead of schedule.
  • If you pay off your first purchase within six payments — with no late or incomplete payments — you could qualify for the WebBank/Fingerhut Advantage Credit Account. You may also receive a higher credit line.

Apply online for the Fingerhut Credit Account

The Fingerhut Advantage Credit Account is a good pick if you’ve had trouble being approved for credit cards, but there are more options that have lower rates. Check out some other credit cards for bad credit.

 

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