MAGNUM – Credit Builder Account® Credit Card
A large-installment credit builder loan from Austin Capital Bank that reports to all three bureaus and is designed to maximize the size and length of credit history. No hard credit pull, cancel anytime, and your principal is returned when you close the account—though interest and a small admin fee apply
Card Details
- Product Type: Secured installment credit-builder account, (funds are locked and released when the account is closed in good standing).
- Issuer/Bank: Austin Capital Bank, Member FDIC (CreditStrong/MAGNUM brand).
- Credit Reporting: Reports to Experian, Equifax, and TransUnion; due to size, reporting may begin after 90 days and 3 on‑time payments.
- Application: No hard credit pull; identity and consumer report review required.
- Setup Fee: $25 non‑refundable administrative fee at account opening.
- Plan Options & Minimum Payments (choose one): $30/mo builds $2,000; $60/mo builds $5,000; $125/mo builds $10,000; XL plans: $175/mo builds $15,000; $350/mo builds $30,000.
- Term Length: Up to 120 months (10 years). No prepayment penalty; you can pay more than the minimum or cancel anytime.
- Savings: Not optimized for savings, but principal paid is returned when the account is closed, less any interest/fees.
- Eligibility: U.S. resident, 18+, valid SSN; requires a U.S. bank account or debit card for payments.
About The Card
MAGNUM is CreditStrong’s high‑impact credit builder designed to add a large, long‑term installment tradeline to your credit report. You choose a monthly payment (from $30 up), and CreditStrong opens a cash‑secured loan that’s held in a locked deposit account. You don’t get the funds upfront; instead, you make monthly payments, and the principal you’ve paid is returned when you close the account in good standing.
Because MAGNUM focuses on building substantial credit history, it isn’t meant to grow savings. There’s a small non‑refundable $25 admin fee, and you’ll pay interest over the life of the account; in return you get reporting to all three bureaus, free monthly FICO® Score updates, and the flexibility to pay extra, prepay, or cancel without penalty. Most plans run up to 120 months, maximizing the ‘length of credit history’ factor while you build a track record of on‑time payments.
Pros
- Big credit line reported: Build $2,000–$30,000 of installment credit, which can support higher future credit limits.
- Reports to all 3 bureaus: Positive payment history can help scores over time; free monthly FICO® Score included.
- No hard credit pull: Applying won’t ding your score; approval focuses on ID and ability to pay.
- Flexible & cancellable: Pay more than the minimum, prepay anytime, or cancel with no early‑termination penalty.
- Long history potential: Up to 10 years of payments reported, strengthening the ‘length of credit history’ factor.
Cons
- Interest cost: You’ll pay interest every month (APR varies by plan; e.g., 13.44% on the $30/$2,000 plan).
- Not savings‑focused: While principal is returned at closure, MAGNUM is optimized for credit building, not nest‑egg growth.
- Long commitment: Benefits come from sustained on‑time payments; missing payments can hurt credit.
- Small upfront fee: $25 admin fee is non‑refundable.
- Reporting delay possible: Because of large account size, reporting may begin after 90 days and three payments.
Is this card for me?
Choose MAGNUM if your top goal is maximizing the size and length of an installment tradeline—and you can comfortably make the required monthly payments for at least several months. It’s a strong fit for rebuilding or thin files that need a large, long‑duration account reported to all bureaus. If you’d rather build savings quickly or want a short commitment, consider a smaller CreditStrong ‘Instal’ plan instead.
