Imagine® Visa® Credit Card Review: 3% Back on Everyday Spending, but With High Fees

The Imagine^® Visa^® Credit Card, issued by WebBank, is designed to help you build credit without making a security deposit, while earning up to 3% cash back in a handful of useful spending categories. However, it comes with several drawbacks, including a high fixed APR, an annual fee that varies based on your initial credit limit, and account maintenance fees billed after the first year.

That mix of pros and cons might leave you wondering who this card is really for. Let’s take a closer look at the Imagine Visa Card to see if you’re part of its target market.

Imagine Visa Card Pros

• No credit score impact during pre-qualification. If you accept the offer, you will be subject to a hard credit inquiry, which can affect your score
• Earns 3% cash back on essentials like gas, groceries, and utility bills
• Build your credit without making a security deposit

Imagine Visa Card Cons

• High annual fee compared to similar credit repair cards, plus account maintenance fees billed after the first year
• Maximum credit limit of $1,000
• Earns only 1% cash back on all other eligible purchases
• Extremely high fixed APR of 36%

Imagine Visa Card Welcome Offer

The Imagine Visa Card does not currently offer a publicly available welcome bonus. If you’re looking for a new card with a welcome offer, check out our continuously updated list of this month’s best credit card offers — or our list of favorite cards with $0 introductory annual fees.

Credit: Tima Miroshnichenko/Pexels

Imagine Visa Card Benefits

If you’re working on repairing your credit, you shouldn’t expect many perks with your credit card. Even so, the Imagine Visa Card does include a few benefits.

Pre-qualify without affecting your credit score

The Imagine Visa Card lets you check for approval without affecting your credit score via “soft inquiry.” If you accept the offer, you'll be subject to a “hard inquiry,” which can affect your score. Final approval isn’t guaranteed, and income verification through access to your bank account information may be required.

Variable annual fee

One notable aspect of the Imagine Visa Card is that its annual fee varies based on your initial credit limit. Depending on your perspective, this could be a positive or a drawback. Upon approval, cardmembers pay a variable annual fee for the first year, followed by a reduced ongoing fee from the second year onward.

• $1,000 initial credit line: $175 in the first year, $49 from the second year on
• $700 initial credit line: $175 in the first year, $49 from the second year on
• $500 initial credit line: $125 in the first year, $49 from the second year on
• $400 initial credit line: $99 in the first year, $49 from the second year on

In addition, cardmembers are subject to account maintenance fees starting in the second year. This fee is the same for all credit lines, totaling $180 annually or $15 per month, and does not apply during the first 12 months your account is open.

Build your credit

The Imagine Visa Card can help repair credit that has been damaged by past financial missteps. It reports your payment history to all three major credit bureaus each month, so responsible use can improve your credit over time.

Cardholders also receive free access to their VantageScore 4.0 credit score.

Credit: Mikhail Nilov/Pexels

No security deposit

Many credit repair cards require a security deposit to cover some or all of the credit line, reducing the issuer’s risk. The Imagine Visa Card does not require a deposit, but it does charge a $15 monthly account maintenance fee, as noted above. It also has a variable annual fee based on your credit line, meaning higher borrowing power comes with higher fees.

Zero-liability fraud protection

Like many credit cards, the Imagine Visa Card includes zero-liability fraud protection in case of unauthorized purchases. You have coverage if your Visa credit card is lost, stolen, or experiences fraudulent activity, whether online or offline. This protection is subject to Visa’s fraud protection rules.

Imagine Visa Card Earning Rates

The Imagine Visa Card structures its cash back to reward common everyday spending. Cardholders earn:

• 3% cash back on gas, groceries, and utility bills
• 1% cash back on all other eligible purchases

Rewards are credited when the transaction posts to your account and remain as long as the purchases or bill payments aren’t returned or credited. Purchases do not include fees, interest charges, balance transfers, cash advances, or cash-equivalent transactions.

Related: Best Credit Cards for Everyday Purchases: Maximize Your Non-Bonus Spending

Redeeming Cash Back With the Imagine Visa Card

Although the card advertises cash back earnings, rewards are actually issued as an annual statement credit. All cash back is automatically redeemed in your account anniversary month, provided your account is in good standing. Rewards cannot be redeemed for cash, applied toward your minimum payment, or used for your monthly payment.

This setup can be limiting, as you must keep the Imagine Visa Card open through your anniversary date to receive your rewards. Closing the account before that date could mean forfeiting any earned rewards.

Credit: Sora Shimazaki/Pexels

Application Restrictions

There are no traditional restrictions on applicants for the Imagine Visa Card, though residents of Delaware and Maryland may have different fees due to state laws. Residents of Wisconsin will have to provide the name and address of their spouse, if applicable.

You can receive pre-approval for the card without impacting your credit score. However, if you choose to accept the card, you'll be subject to a hard inquiry, which may affect your score.

Related: Understanding Rewards Credit Card Application Rules and Restrictions

Alternatives to the Imagine Visa Card

Several secured credit cards compete with the Imagine Visa Card. If you’re repairing your credit, you may want to review these options before applying:

• If you’re looking for a low-annual-fee option for building your credit, consider the Discover it^® Secured Credit Card. It has no annual fee but requires a refundable security deposit starting at $200 to open the account. The deposit is fully refundable after six months of on-time payments.
• If you’re looking for higher rewards, consider the Capital One Quicksilver Secured Cash Rewards Credit Card. It earns 1.5% Cash Back on every purchase, every day, and 5% Cash Back on hotels, vacation rentals and rental cars booked through Capital One Travel. It has no annual fee, and requires a $200 minimum (but refundable) security deposit.
• If you’re looking for a unique rewards structure, consider the Amazon Secured Card. It offers 2% back on Amazon purchases for Prime members, increasing to 5% after 12 months of responsible use. You can make a security deposit in $50 increments, ranging from $100 up to your approved credit limit, with a maximum of $1,000.

Bottom Line

Overall, the Imagine Visa Card carries higher fees than many competing products. While it doesn’t require a security deposit like a secured card, it charges both a steep annual fee and a monthly maintenance fee. And you'll have to earn a lot of rewards from spending to offset the burden of these fees.

Plus, other cards on the market offer better rewards for everyday spending. And when it comes time to redeem, the requirement to wait until your account anniversary can feel inconvenient and may not make sense for most cardholders.

In sum, the combination of inconvenience and high fees may make you wonder just which kind of consumer it’s actually for. It’s likely aimed at individuals with severely limited credit options who still want an unsecured card, even if that means paying significantly more for the opportunity to rebuild their credit. If that’s you, it could be worth a look. Otherwise, you’ll likely find better options elsewhere.