What First Premier Bank's Card Actually Is
First Premier Bank issues a credit card marketed to people with poor credit or no credit history. The card reports to all three major credit bureaus, which means on-time payments can help rebuild a credit score. However, the card comes with an annual fee, a high interest rate, and a required deposit that becomes your credit limit — you put money down upfront, and that money sits in a bank account while you borrow against it.
This is a secured credit card, not a traditional credit card. The bank holds your deposit as collateral. If you stop paying, they take the deposit. This structure exists because traditional lenders see your credit history as too risky. First Premier Bank profits from the annual fee and the interest you pay on balances you carry month to month.
Key Takeaways
- You must deposit money upfront — typically $200 to $2,500 — which becomes your credit limit and stays frozen in a bank account.
- The card charges an annual fee (currently $95 for the standard version) whether you use it or not, which is higher than most competing secured cards.
- Interest rates run 19.9% APR or higher, meaning carrying a balance costs significantly more than unsecured cards.
- On-time payments report to credit bureaus and can help rebuild credit, but only if you actually use the card and pay the full statement balance or make regular payments.
- After 18 to 24 months of on-time payments, you may be able to move to an unsecured card or get your deposit back, though this is not may provide.
How the Deposit and Credit Limit Work
When you open a First Premier Bank secured card, you choose a deposit amount between $200 and $2,500. That deposit becomes your credit limit. If you deposit $500, you can charge up to $500 on the card. The bank holds your deposit in a savings account and earns interest on it — interest that goes to the bank, not to you.
Your deposit is not a down payment. It does not reduce what you owe when you use the card. If you charge $300 and pay $100, you still owe $200 plus interest. The deposit straightforward sits there, untouched, as long as you keep the account open and in good standing. If you miss payments or default, the bank can use your deposit to cover what you owe.
The deposit does not come back automatically after a set time. You have to request it. Some cardholders report that First Premier Bank has converted secured accounts to unsecured accounts after 18 to 24 months of on-time payments, at which point the deposit becomes available for withdrawal. Others have had to call and ask. There is no published timeline, so you should contact the bank directly if you reach that milestone.
Annual Fees and Interest Rates
First Premier Bank charges a $95 annual fee on its standard secured card. This fee hits your account once per year, whether you use the card or not. Some months, you might charge $50 and pay it off in full, but the $95 fee still appears. Over five years, that is $475 in fees alone.
The interest rate is 19.9% APR (annual percentage rate). If you carry a balance of $300 for one month, you will pay roughly $5 in interest. If you carry $300 for a full year without paying it down, you will pay about $60 in interest. Combined with the annual fee, the cost of using this card adds up quickly if you are not paying the full balance each month.
Other secured card issuers, such as Capital One and Discover, offer cards with lower annual fees ($0 to $35) and lower interest rates (typically 18% to 19% APR). If you are comparing options, the difference in fees and rates matters over time. A card with no annual fee and a 1% lower interest rate will cost you significantly less.
How Payments and Credit Reporting Work
When you make a payment on your First Premier Bank card, the payment goes toward your balance. If your statement balance is $250 and you pay $100, your new balance is $150. Interest accrues on the remaining $150 until you pay it off. The annual fee is separate — it does not reduce when you make a payment.
First Premier Bank reports your account activity to Equifax, Experian, and TransUnion — the three major credit bureaus. This means on-time payments show up on your credit report. A history of on-time payments can raise a low credit score over time. However, the high interest rate and annual fee mean you are paying a premium for this reporting. You could get the same reporting benefit from a Capital One Secured Card or a Discover Secured Card at a lower cost.
Late payments also report to the bureaus and damage your score. A payment 30 days late stays on your report for seven years. If you are considering this card, you need a realistic plan to pay at least the minimum on time every month. If you cannot do that, the card will hurt your credit rather than help it.
When This Card Makes Sense and When It Does Not
A First Premier Bank card makes sense if you have been turned down for every other secured card option and you have a specific, short-term goal: rebuild credit enough to move to an unsecured card within 18 to 24 months. If you can afford the $95 annual fee and the interest charges, and you are disciplined about paying on time, the reporting to credit bureaus will work in your favor.
The card does not make sense if you are comparing it to other secured cards without checking their terms first. Capital One Secured MasterCard has no annual fee and a similar interest rate. Discover Secured Card has no annual fee and reports to all three bureaus. If you have been rejected by those cards specifically, then First Premier Bank is a fallback option — but check the rejection reason first. Many people assume they have been rejected when they have not actually applied.
The card also does not make sense if you plan to carry a balance long-term. The combination of the $95 annual fee and 19.9% interest makes this an expensive way to borrow. If you need to borrow money, a personal loan from a credit union or an online lender will often cost less, even with poor credit. If you need a credit card for emergencies only, a card with no annual fee is a better choice.
What Happens After You Build Credit
First Premier Bank does not automatically convert your secured card to an unsecured card or return your deposit. You have to monitor your account and reach out to the bank. Some cardholders report that after 18 to 24 months of on-time payments, the bank has offered to convert the account. Others have had to call customer service and request it. There is no may provide this will happen, and the bank does not publish clear criteria for when it occurs.
When your account is converted, your deposit is released. You can withdraw it or leave it in the savings account. At that point, your credit limit may increase, and your annual fee may change — though the bank does not may provide either. You should ask about the new terms before accepting a conversion.
If conversion does not happen after two years of on-time payments, you have other options. You can explore for an unsecured card from another issuer — your improved credit score may now may have access to you. You can also close the First Premier Bank account and move your deposit to a different secured card with lower fees. Closing the account will not hurt your score as much as it would have before you built a payment history.
Alternatives to Consider First
Before opening a First Premier Bank card, check whether you may have access to for a Capital One Secured MasterCard or a Discover Secured Card. Both report to all three bureaus, both have no annual fee, and both have interest rates in the same range. The only reason to choose First Premier Bank over these options is if you have been rejected by both of them.
If you have been rejected by secured cards across the board, a credit-builder loan from a credit union may be a better path. You borrow a small amount (usually $500 to $1,000), the credit union holds the money in a savings account, and you make monthly payments. The loan reports to credit bureaus just like a credit card does, but the interest rate is often lower, and there is no annual fee. After you repay the loan, you get the money back and your credit score has improved.
If you need a credit card for specific purchases and you cannot may have access to for any secured card, a prepaid card is not a credit-building tool — it does not report to credit bureaus — but it can help you manage spending without going into debt. A secured card is only worth the cost if your goal is actually to rebuild credit.
Frequently Asked Questions
Can I get my deposit back before 18 months?
Not automatically. Your deposit stays frozen as long as the account is open. You can close the account and withdraw your deposit at any time, but closing the account will stop the credit reporting that is helping your score. If you need the money urgently, closing the account is an option — but it defeats the purpose of using the card to rebuild credit.
What if I miss a payment?
A missed payment reports to the credit bureaus and damages your score. If you are 30 days late, the bank may freeze your account or close it. If you are significantly past due, the bank can use your deposit to cover what you owe. Once the deposit is used, you no longer have a credit limit. You should contact the bank when ready if you cannot make a payment and ask about hardship options.
Does First Premier Bank charge fees other than the annual fee?
Yes. The card charges a late fee (typically $25 to $35), a returned payment fee, and an over-limit fee if you exceed your credit limit. These fees add to your balance and accrue interest. Read the full fee schedule before opening the account so you know what to expect.
How long does it take to rebuild credit with this card?
Credit scores move slowly. You may see a small improvement within three to six months of on-time payments. Larger improvements typically take 12 to 24 months. The exact timeline depends on your starting score, how much you charge, and whether you have other negative items on your report. A single card is one tool — it is not a quick fix.
What is the difference between this card and a regular credit card?
A regular credit card is unsecured — the lender trusts you based on your credit history and income. A secured card requires a deposit because the lender does not trust your history yet. Once your deposit is released and your account converts to unsecured, the card works like any other credit card. Until then, you are paying for the privilege of proving you can handle credit responsibly.