If you are searching for a way to improve your credit score with monthly payments or with a new loan or credit card, using an app can help to streamline the process. Using one of the best credit builder apps is a way to access credit-building resources while you save money as you establish good credit for future purchases and/or investments.
Because every individual’s situation is unique, finding the best credit-building app will greatly depend on your needs, your current net income, as well as your existing credit score, and your financial status. Review a few of today’s top credit-building apps before applying for a loan or a secured credit card.
Best Credit Builder Apps
- 1. MoneyLion
- 2. SeedFi
- 3. Credit Karma
- 4. Kikoff
- 5. Sable
- 6. Experian Boost
- 7. Self
- 8. myFICO
- 9. Sequin Card
What Are Credit Building Apps?
If you are looking for a new pathway towards building credit due to poor payment history or missed payments altogether, using credit-boosting apps can help to get you back on track. Whether you are in need of immediate cash or if you are interested in a secured credit card, credit-building apps provide clear routes to financial freedom and stability.
One of the most reputable credit-building apps available for credit monitoring and boosting your credit score significantly in a short period of time is MoneyLion. MoneyLion provides a service called Credit Builder Plus, which helps to guide individuals along the path of boosting their credit scores in as little time as possible.
For those who are looking to boost their credit scores fast without waiting months or even years, MoneyLion may be the answer. On average, more than half of all MoneyLion members have reported a total increase of at least 42 points on their credit score in just under 2 months.
That’s less than 60 days in total, which is no small feat. Using MoneyLion’s premium service will set members back approximately $19.99 per month for those who are interested in ongoing credit monitoring as well as the credit builder features that are offered by MoneyLion.
If the fee is a bit steep, it’s understandable. However, MoneyLion also offers a completely free loan service that only charges its fee upon repayment. For qualifying members, MoneyLion currently offers loans of up to $1000 UDD in total. The total APR for loans provided by MoneyLion ranges from 5.99% to more than 29.99%, depending on the amount that an individual is qualified for and requests.
Pros of MoneyLion
Some of the most notable advantages of using Money Lion to grow credit include:
- Accessible: An accessible UI makes accessing and using Money Lion easy, even for those who do not consider themselves to be tech-savvy.
- No hard credit inquiries: If you are looking for a way to improve your credit score without hard credit inquiries, Money Lion is one app that delivers.
- Receive a portion of your loan upfront: If you are interested in obtaining a partial loan upfront, you can do so even with poor credit via Money Lion.
Cons of MoneyLion
Unfortunately, there are a few drawbacks to using Money Lion as your chosen credit builder app, including:
- Partial loans: In some cases, members of Money Loan are only qualified to receive a partial amount of the loan they are approved for while waiting for the rest of the funds to be released.
- Membership funds: For those who are interested in the credit-building resources and services that Money Lion has to offer, the monthly membership will cost you $19.99 to get started.
One of the fastest-growing credit builder apps available completely free of charge is SeedFi. If you are looking for one of the best credit-building apps with no strings attached, using SeedFi is the best place to get started. With SeedFi, members gain immediate access to Credit Builder Prime, which is an exclusive program available for individuals who have registered as members of SeedFi themselves.
Once you begin using Credit Builder Prime, you can then begin depositing money directly into your SeedFi savings account. Not only does SeedFi help users to begin learning how to save money with each paycheck they receive, but it also delivers updates to top credit reporting bureaus to help boost the credit of members as quickly as possible.
You can get started with SeedFi by depositing as little as $10 per paycheck, making SeedFi one of the easiest and most accessible credit builder apps available to use completely free of charge today.
Pros of SeedFi
Some standout advantages of using SeedFi include:
- Cost: Using SeedFi and registering for membership is completely free of cost. Additionally, you, as a member of SeedFi, have complete control over how much you choose to deposit into your SeedFi account as you work to build your credit.
- Positive customer testimonials: For those who are skeptical of using any type of credit builder app, it is much easier to trust SeedFi with the overwhelmingly positive reviews and testimonials the service receives.
Cons of SeedFi
A few cons of using SeedFi might include:
- Unlock savings: Unfortunately, members of SeedFi will need to use the app over time in order to unlock additional savings capabilities. For those who are interested in saving and investing more, SeedFi will unlock your account in $500 increments, based on your current savings as well as your account’s overall activity.
- Higher rates: For some of the products, services, and resources offered by SeedFi, the rates are substantially higher than alternative options available on the market. Always review and compare products and loan services before choosing a credit builder app that is right for your needs.
3. Credit Karma
Credit Karma is a fairly popular tool and credit-building platform that helps individuals to discover their credit scores using newly-generated credit reports on demand. Credit Karma also provides additional methods to build credit for users who are searching for resources such as a credit builder or a secured credit card.
Once you have registered as a member of Credit Karma, you can begin scanning your credit scores immediately, typically rendering results and insights within just under a minute. Credit Karma has access to both Equifax and TransUnion, providing users with accurate information on-demand.
Pros of Credit Karma
- Trustworthy: Credit Karma is one of the top credit builder apps available for those who are interested in their credit report or building their credit scores.
- Resources: Credit Karma provides users access to a wide range of resources such as secured credit cards and savings accounts to help with, repair, and build credit over time.
- Guidance: Credit Karma provides in-depth guidance that is personalized for individuals based on their spending habits and current credit scores.
- Free: Getting started with a Credit Karma account is completely free and only requires a few minutes to set up.
Cons of Credit Karma
- Third-party products: Credit Karma receives affiliate revenue from the services and third-party credit-building solutions they provide for users.
- Limited options: For some users, Credit Karma may feel more restrictive and limiting in terms of the type of credit builder loans and solutions that are offered or available to them.
A truly unique experience for those who are looking for credit building apps that are simple to use and easy to access is Kikoff. With Kikoff, all members can register to begin using the credit building service free of charge. However, Kikoff’s business model is a bit different than offering a standard credit builder loan or a secured card to help users boost their credit score.
Kikoff offers all registered users a $500 line of credit, even if they have not yet purchased a service from Kikoff itself. However, in order to use the $500 line of credit, members of Kikoff must spend the $500 inside the official Kikoff store, following the purchase with payments that are made regularly and on time.
Pros of Kikoff
- Incentives: Using Kikoff is perfect for those who are interested in building credit to achieve a good credit score without all of the hoops, fees, and surcharges.
- Ease of access: With Kikoff, just about anyone can get started without a hassle and without extensive credit checks or credit reports.
Cons of Kikoff
- Only reports to two major credit bureaus: Rather than reporting to all three major credit bureaus, Kikoff only submits reports to Experian and Equifax, not to TransUnion.
- Monthly fee: While it is free to open a standard Kikoff credit account, you will need to pay a flat-fee of $5 per month in order to use all of the services that Kikoff has to offer, including the $500 line of credit.
- Lack of spending options: For those looking for a Kikoff credit account to begin spending their credit line, you may need to look elsewhere. All users of Kikoff are required to spend their $500 credit line exclusively in the official Kikoff store.
If you are tired of the revolving line of various credit building apps and want to find a secured credit card to help you save money and work harder towards building good credit, Sable offers a secured credit card that can be obtained in less than 5 minutes (for qualifying users). With Sable, you can apply for a secured credit card while earning cashback on a variety of purchases, ranging from Amazon and Netflix to your favorite local shops.
Using Sable is optimal for those who want to establish good credit history with methods that are secured and guaranteed. Additionally, getting started with Sable is easy and free to do.
Pros of Sable
- Free to get started: Getting started with Sable is free for all users, even those who are seeking credit building solutions due to current bad credit.
- No monthly or annual fees: Unlike alternative solutions, Sable does not charge monthly or annual fees for any of the services it provides, regardless of a user’s specific needs.
- Earn rewards and cashback opportunities: One of the most notable advantages of Sable is the incentives the service provides to all of its members. Those who use Sable will have the opportunity to take advantage of both cashback opportunities as well as the ability to generate and earn rewards by using your secured card.
Cons of Sable
- Deposit required to get started: Anyone who is thinking of a secured credit card to help with their credit building attempts should be aware that most secured cards require a hefty deposit. Some secured cards may require anywhere from $100 to more than $1000 upfront, depending on the cards you qualify for and the spending limit(s) you are seeking. With Sable, you will need to put a decent amount of money down as a security deposit in order to receive and use your card.
6. Experian Boost
When you think of the three credit bureaus that are most known, Experian should ring a bell. Next to Equifax and TransUnion, Experian is another of the top three credit bureaus that manage and maintain credit scores in the United States. If you are struggling to manage subscriptions or the timing of your monthly bills, Experian Boost may just be the solution you need.
Experian Boost is designed to assist individuals with the process of managing and condensing bills in order to ensure timely payments. Additionally, Experian Boost also uses a standard FICO score to determine which services a member may need based on their spending habits and their own personal credit history.
Pros of Experian Boost
- Secure and trustworthy: Working with any of the major credit bureaus is highly recommended for those interested in peeking into their credit history or building their credit over time. Experian Boost is a trusted and reputable solution.
- Free: Using Experian Boost is most suitable for those seeking free credit improving solutions, as it is free for all users to register and use the resources that are provided.
- Encryption: Included with the use of Experian Boost is 256-Bit SSL encryption, allowing all users to maintain their peace of mind whenever they are using the service.
Cons of Experian Boost
- Must authorize bank access: In order to access all that Experian Boost has to offer, members must authorize banking access to the app in order for the service to properly identify utility and other bills.
- No guarantees: Unfortunately, there is no guarantee that you will turn your bad credit into good credit while using Experian Boost. Much of the work necessary that is pointed out by Experian Boost must be completed by the user themselves.
Self is another solution that is optimal for individuals who are interested in saving money as they work towards building a positive payment history. With Self, members have the ability to open their own Self savings account that can receive deposits regularly. Over time, deposits are reported as payments to the three major credit bureaus, which helps to boost an individual’s score.
However, it is important to note that those interested in building credit will be doing so with a different method via Self. With Self, while all payments are reported to the three major credit bureaus members who have accounts, Self sets up individual loan programs that provide users with CDs once their set period of time is up.
Pros of Self
- Easy and accessible: Using Self is much easier for those who do not have a good credit score but want to work towards building and obtaining one. With Self, it is easy to get started even if you do not have an excess of funds available to help build credit.
- Build savings: For those who want to build credit while saving money, Self is one solution not to overlook. Using Self can help you to better manage your money with CD savings solutions.
- Multiple loan options: When using Self, you will be granted 4 CD/loan amounts to choose ($525, $545, $1000, and $1,700).
Cons of Self
- Fees and higher APR: With Self, expect to pay an activation fee as well as administrative fees for loans you are thinking of applying for and taking out. Oftentimes, these fees are minimal, but range between $9 and $15. It is also important to keep in mind that when using Self in order to build credit, you should expect your interest rates/APR to range from 12.03% to more than 15.65%, depending on the current market and economy.
- No easy way to stop service: Unfortunately, one of the drawbacks of using Self is the inability to pause or suspend the services you are receiving. This can be a hassle for those who do not currently have a steady or reliable income.
- Withdrawal penalties: Depending on the type of services you choose to use from Self, you may be liable for any early withdrawals you make, subjecting you to penalties depending on the loan amount on your account.
MyFICO, also known as The Fair Isaac Company, is a reputable and top-tier credit score monitoring and credit building apps available to date. For those who prefer premium credit monitoring solutions and white glove customer service, myFICO may be the best choice for you.
MyFICO is a premium service used for building credit and monitoring credit reports over any period of time. Members of myFICO can instantly review current credit scores while also managing potential car and home loans from one centralized dashboard. With myFICO, members can also receive identity theft insurance and in-depth monitoring to protect themselves and their assets at all times.
Pros of myFICO
- Ongoing monitoring: Using myFICO is a great way to gain peace of mind knowing that your identity and credit scores are being monitored 24/7 with today’s top technologies and financial resources.
- FICO scores: If your FICO scores are a priority for you, myFICO is an optimal credit building app solution that may deliver exactly what you need.
- Identity theft insurance and protection: For those who are concerned about potential identity theft, using myFICO is highly recommended. MyFICO is one of the only top credit building solutions today that also includes additional identify theft monitoring and protection.
Cons of myFICO
- Membership cost: Unfortunately, to begin using myFICO, all members must pay a minimum of $19.99. And, to make it more complicated, the base membership to myFICO does not include reporting from all three major credit bureaus but is instead limited to two. Those who wish to gain ongoing access to all FICO scores will need to pay $39.95 per month.
9. Sequin Card
For women who are looking to grow credit with a positive payment history, Sequin Card makes it easier than ever. Sequin Card is a secured card that works to help boost the credit of women through various debit card purchases.
Using Sequin is simple and only requires a connection to an existing bank account to get started. Sequin provides funds to users in order to complete transactions, while collecting the funds on a set due date, thus helping individuals to stay on track with their financial goals as well as any budget they have set in place. Each month, some of the actions and transactions you have completed using Sequin Card will be reported directly to Experian.
Pros of Sequin Card
- No fees: No fees to get started with Sequin Card, making this solution extremely accessible.
- No interest: Steer clear of interest and additional fees from alternative credit building apps.
Cons of Sequin Card
- Not available everywhere: Currently, Sequin Card is only available in 36 states throughout the US.
- Deposit required: Members are required to make a deposit to gain access to Sequin Card.
- Does not report to all major credit bureaus: Unfortunately, Sequin Card only reports to Experian, not to TransUnion or Equifax.
Building credit does not have to take all of your time and financial resources. With the right credit building app, keep track of your credit reports while learning how to boost your credit score over time with ongoing credit monitoring and by making on time payments. The right credit builder app can provide you with a clear pathway towards the financial freedom you deserve.