Merrick Bank is a non-traditional financial institution that does not provide its customers access to checking, savings, or money market accounts. Instead, the financial institution provides services to consumers with lower credit ratings. These services include credit cards, loans, and certificates of deposit (CDs). This in-depth study may assist you in determining whether or not the products offered by Merrick Bank are suitable for your needs.
Pros
A high percentage of CDs produced
CDs may be purchased from Merrick Bank with maturities ranging from six months to two years, and annual percentage yields (APYs) can vary anywhere from 2.10% to 3.10%. The national average interest rate ranges from 0.27% for a six-month term to 0.51% for a two-year term. These rates are much higher than the national average.
Lower-than-average APR on secured credit card
The annual percentage rate (APR) for Merrick Bank's secured credit card purchases is 19.70% (as of August 15, 2022). This APR is higher than the average APR on secured credit cards across the nation, which is 15.13%. The secured credit card is the most popular product offered by Merrick Bank.
Specializes in boat and RV financing
In addition to personal loans, Merrick Bank is well-known for its ability to provide financing for recreational vehicles, horse trailers, and boats. Because of this, it is a good option for borrowers who may otherwise have difficulty finding a lender because of the specifics of their purchase or their credit history. This may be the case for a variety of reasons. The Merrick Bank team collaborates with thousands of licensed dealers throughout the United States.
Cons
$25,000 minimum CD deposit
The ordinary client wouldn't be able to afford the Merrick Bank CDs despite their outstanding rates since the bank requires a minimum deposit of $25,000 to create an account. This puts the CDs out of reach for most people.
Confusing credit card fees
It is possible to become confused about how your credit limit is affected when the costs for the secured credit card's setup and maintenance are "taken" from that limit.
Not all loan rates are shown online.
Since the interest rates for personal loans and loans for recreational vehicles are not displayed on the website of Merrick Bank, it is more difficult to do a fair comparison with the interest rates offered by other lenders.
Loan rates not listed online
Since Merrick Bank is not a conventional financial institution, it does not allow customers to establish checking accounts, savings accounts, or money market accounts. Due to this, Merrick Bank is not a good option for clients searching for a bank that can meet all of their needs.
Merrick Bank
Customers with a less than stellar credit history will have the most successful banking with Merrick Bank because of the bank's ability to approve them for credit cards and loans. Customers who fall into the following categories will like it:
- A severe penalty is assessed for early withdrawals from Merrick Bank's accounts. CDs with terms of 364 days or less will pay interest equivalent to 90 days' worth. The loss of 180 days' worth of interest is the early withdrawal penalty for certificates of deposit (CDs) with terms ranging from 365 to 1,459 days. In addition, certificates of deposit having terms of 1,460 days or greater have a penalty equal to 270 days' worth of interest.
Credit Cards
Merrick Bank customers can choose between two different credit cards: the Platinum Visa and the Secured Visa.
Platinum Visa
The Platinum Visa was developed specifically to assist individuals in establishing or rebuilding their credit histories. The fact that Merrick Bank will periodically assess your account to determine whether or not your credit limit should be increased is the card's primary selling point.
Secured Visa
The minimum deposit required for the secured card is a mere $200, which is on par with the minimum deposit requirement for other secured cards currently available on the market. You also can add to your deposit over time, up to a maximum of three thousand dollars, which will provide you with more buying power.
Merrick Bank Customer Service
The lone physical branch of Merrick Bank may be found in South Jordan, Utah, which is also the site of the bank's corporate offices. On the other hand, if you call the toll-free number 1-800-204-5936, you may speak with a customer care representative; however, it is not apparent when the phones are operated. In addition, Merrick Bank has a mobile app that allows you to make payments, check your balance, contact customer support, adjust account alerts, see your FICO score once a month, and even freeze your card if it is lost or stolen. On the other hand, the software in question has a rating that is below average on the Apple App Store, with a mean score of 2.6 stars out of 5.
