Merrick Bank Reviews and Ratings

Merrick Bank logo

If you keep getting Merrick Bank mailers or seeing “pre-approved” offers online, it’s natural to wonder if you’re looking at a legit second-chance lender or just another high-fee trap.

Merrick Bank is a non-prime focused, FDIC-insured bank that has been around since 1997. It issues millions of credit cards, specializes in credit rebuilding, runs an RV and marine loan business and offers high-minimum CDs with competitive rates. At the same time, it charges above-average APRs, relies on annual and monthly fees, and has one of the most polarized review profiles in the credit-building space.

This merrick bank reviews guide breaks down how the cards work, what you’ll actually pay, what real customers say and who Merrick realistically makes sense for in 2026.

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TD;LR – Merrick Bank quick verdict

In a hurry? Here’s a quick rundown of Merrick Bank to help you decide if it is the right choice for you:

At-a-glance rating summary

• Overall rating: ★★★☆☆ (3.0 out of 5)
• Best for: Non-prime borrowers, thin-file consumers and recent rebuilders who have been denied by Discover, Capital One and many credit unions
• Not ideal for: Anyone who can qualify for a no-fee secured card, mainstream rewards cards or lower-APR credit union options

High-level snapshot of Merrick Bank:

• Founded: 1997
• Headquarters: South Jordan/Draper, Utah
• Parent company: CardWorks, Inc. (founded 1987)
• Scale: About 3 million cardholders, roughly $6 billion in credit extended and $5.9 billion in total assets as of December 2022
• Focus: Non-prime credit cards, high-minimum CDs, RV/marine loans and merchant services

Merrick Bank is legit and FDIC insured, but it leans heavily on high APRs, ongoing fees and conservative credit line policies.

Is Merrick Bank worth it?

Merrick Bank can be worth it if:

• You’ve been turned down elsewhere and still need a card that reports to all 3 credit bureaus
• You understand this is a credit-building tool, not a cheap way to carry balances
• You are disciplined enough to pay in full every month, keeping interest charges to a minimum

Merrick is usually not worth it if:

• You can qualify for Discover it Secured, Capital One Secured, OpenSky or a good credit union card
• You want rewards, clear upgrade paths and excellent customer service
• You are planning to carry balances or need higher limits long term

Key takeaways for busy readers

• Merrick Bank is an FDIC-insured, state-chartered bank (FDIC Certificate #34519) with deposits insured up to $250,000 per depositor.
• The bank focuses on the non-prime market, issuing secured and unsecured cards to people with bad, limited or no credit history.
• It is a top 20 U.S. credit card issuer by account count, serving around 3 million cardholders.
• Credit card APRs run around 17.70% to 35.00% variable, with a $36 first-year annual fee and a $3 per month fee starting year 2 on many secured offers.
• Secured cards require $200 to $3,000 deposits and report to Experian, Equifax and TransUnion.
• Merrick does not graduate secured cards to unsecured, and credit limits are typically capped at $3,000.
• Customer reviews are polarized: Trustpilot is largely positive, while BBB, Yelp and Reddit show heavy complaint volume, especially around fees, customer service and deposit refunds.

What is Merrick Bank?

Merrick Bank official website homepage

Before we get into details of Merrick Bank, let’s review their background:

Company background (founded 1997, Draper, Utah)

Merrick Bank Corporation launched in 1997 and has been operating for more than 25 years out of the South Jordan/Draper, Utah area. It is a subsidiary of CardWorks, Inc., a consumer finance company founded in 1987 that specializes in servicing non-prime portfolios.

By the numbers, Merrick Bank:

• Serves roughly 3 million credit card customers
• Has extended around $6 billion in credit
• Holds approximately $5.9 billion in assets as of December 2022
• Employs an estimated 600–800 people

The bank’s target audience is clear: consumers with limited, bad or no credit history who may not qualify for mainstream credit cards, plus high-balance savers and recreation loan borrowers.

FDIC insured status

Merrick Bank is a state-chartered commercial bank that is insured by the Federal Deposit Insurance Corporation (FDIC):

• FDIC Certificate: #34519
• Established: September 22, 1997
• Insurance coverage: Up to $250,000 per depositor, per ownership category

Secured card deposits and CD balances fall under this protection. The bank is not a Federal Reserve member, but it is regularly examined by the FDIC and most recently earned an “Outstanding” Community Reinvestment Act (CRA) rating, the highest grade available.

Top 20 credit card issuer

Although it is not a household name like Chase or Capital One, Merrick Bank is still a top 20 credit card issuer in the United States by number of accounts.

That position comes from:

• Aggressive non-prime marketing, including mail offers and targeted online campaigns
• A large base of secured and unsecured credit card customers
• Strategic partnerships with dealers and merchants in its recreation and merchant services lines

In other words, this is not a small startup. It is a scaled, established player in the subprime lending space.

Products overview (credit cards, CDs, recreation loans)

Merrick’s product lineup centers on four categories:

• Credit cards
  • Secured Visa cards
  • Double Your Line® secured variants
  • Unsecured Platinum Visa for fair-credit borrowers
• Certificates of deposit (CDs)
  • FDIC-insured CDs with a $25,000 minimum deposit
  • Terms from 3 months to 5 years with 3.75%–4.20% APYs, depending on term and market conditions
• Recreation loans
  • Financing for RVs, boats, marine equipment and powersports vehicles, typically through dealerships
• Merchant services
  • Credit card processing and related services for businesses

Merrick does not offer checking accounts, savings accounts, branch banking or its own ATM network. It operates as a specialized, digital-only bank accessed through its website, mobile app and phone support.

Is Merrick Bank legit and safe?

Trust is imperative if you are using a bank. Here are all the Merrick Bank metrics for safety and legitimacy:

FDIC insurance protection

From a regulatory standpoint, Merrick Bank is legitimate and insured:

• FDIC-insured under Certificate #34519
• Deposits protected up to $250,000 per depositor
• Subject to regular FDIC examinations, including CRA reviews

The bank also resolved a $16.1 million FDIC settlement in October 2014 over misrepresented credit card add-on products (payment protection and credit monitoring). Those products were offered between 2009 and 2012, have since been discontinued and the settlement did not involve current secured or unsecured card products. There have been no comparable major enforcement actions reported since.

BBB accreditation status

Merrick Bank BBB accreditation and A+ rating

Merrick Bank is accredited by the Better Business Bureau and holds an A+ rating, with accreditation active since February 27, 2012.

However:

• The BBB lists 50+ pages of complaints against the bank.
• Most complaints involve billing and collection issues, customer service problems, advertising/sales disputes and product/service delivery.
• Merrick typically responds within 7–14 days, and about two-thirds of cases are marked resolved, often by clarifying terms instead of issuing refunds.

The A+ rating reflects responsiveness, not the frequency of issues. Customers should see this as a sign that while Merrick is engaged with the BBB, problems are common.

Trustpilot rating (18,500+ reviews)

Merrick Bank Trustpilot reviews and customer rating

On Trustpilot, Merrick Bank reviews look far better:

• Overall score is around 4.7 out of 5 stars, based on thousands of reviews.
• Happy customers say Merrick approved them when others declined, clearly disclosed costs and played a key part in rebuilding their credit.
• Negative reviews mention slow response times, difficulty resolving disputes and surprise over the monthly fee structure.

Trustpilot feedback suggests that Merrick can be very effective when used correctly, but it also highlights some of the same operational issues that appear elsewhere.

Security features

Security-wise, Merrick offers standard modern protections:

• Bank-level encryption on its website and app
• Two-factor authentication (2FA) for logins
• Biometric login (fingerprint and facial recognition) on compatible devices
• Device recognition to flag unusual access
• $0 fraud liability for unauthorized transactions
• Card lock/unlock controls and customizable alerts via the mobile app

New applicants are often asked to:

• Upload a photo of a government-issued ID such as a driver’s license or passport
• Take and submit a selfie for identity verification

This process frequently triggers suspicion (“Is this a scam?”), but it is part of Merrick’s internal fraud prevention workflow rather than a third-party phishing scheme.

Merrick Bank credit cards overview

Merrick Bank credit card product overview

Interested in credit Cards? Here are all the details on Merrick Bank credit cards:

Secured vs unsecured options

Merrick’s credit cards fall into two main buckets:

• Secured cards
  • Require a refundable security deposit of $200 to $3,000
  • Initial credit limit equals your deposit
  • Designed for credit builders and rebuilders
• Unsecured cards
  • Require no deposit
  • Target consumers with fair credit
  • Often accessible through invitation-only mail offers

Both card types:

• Report to Experian, Equifax and TransUnion
• Charge above-average APRs
• Commonly include annual fees and/or monthly fees

Double your Line feature

One of Merrick’s biggest marketing hooks is its Double Your Line® feature:

• If you pay on time for 7 months, Merrick will review your account for a possible limit increase.
• Marketing emphasizes the possibility of doubling your credit line without an additional deposit.

Reality check:

• The 7-month review is not a guarantee of a CLI.
• Many users report no increases even after 12–24 months of perfect payments.
• Increases, when granted, tend to be $300 at a time, not always a full doubling.
• Credit limits typically cap out around $3,000 on these products.

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Merrick Bank Secured Credit Card

Read on for all the info on the Merrick Bank Secured Credit Card:

Security deposit ($200 – $3,000)

The Merrick Bank Secured Visa is built around a refundable deposit:

• Minimum deposit: $200
• Maximum deposit: $3,000
• Your initial credit limit equals the deposit you choose.

Deposits are held in an FDIC-insured account. When you close the card in good standing and pay off your balance, Merrick will refund the deposit — typically within 30–60 days, although some customers report 60–90 day waits.

APR (22.2% Variable)

The secured card’s APR is variable and risk-based, generally in the 17.70% to 35.00% range.

Compared with the rest of the field:

• National secured card APR averages often land in the low-20% range.
• Many credit union secured cards cap APRs around 18%.

That places Merrick toward the upper end of the market, especially in its non-prime tiers. The card is best used as a pay-in-full tool, not a long-term revolving balance.

Annual fee ($36 First Year, $3/Month After)

The Merrick Bank Secured Visa charges:

• Year 1: A $36 annual fee, typically billed as a lump sum.
• Year 2 and beyond: A $3 monthly fee, equal to another $36 per year.

This structure often confuses consumers who expect a single annual charge. Many modern secured cards — especially those from large banks — now charge no annual fee at all, making Merrick relatively expensive.

Credit bureau reporting (all 3 bureaus)

On the credit-building front, Merrick does what it’s supposed to do:

• Reports to Experian, Equifax and TransUnion monthly.
• Some myFICO users note that their Merrick account appeared on credit reports before the physical card arrived.
• Responsible use can lead to 100- to 150-point FICO score improvements over 12–18 months, depending on the rest of your file.

This reliable reporting is the core value of the secured card.

Eligibility requirements

Typical requirements include:

• At least 18 years old
• U.S. resident in one of 49 states plus the District of Columbia
• Wisconsin residents are not eligible due to state-specific regulations
• Valid Social Security number
• Verifiable income from employment, benefits or retirement sources
• Government-issued photo ID and an active bank account

Merrick also provides state-specific consumer rights disclosures to residents of California, Colorado, Iowa, Maryland, Massachusetts, New Jersey, New York, North Carolina, Ohio, Rhode Island, Vermont and Wisconsin, in line with state laws.

There is no stated minimum credit score, and the secured card often uses a soft pull rather than a full hard inquiry, especially when accessed through certain channels.

Pros and cons

Pros

• Approves a wide range of non-prime borrowers.
• Reports to all 3 bureaus, which is crucial for rebuilding.
• Allows higher deposit limits up to $3,000, useful if you want a larger tradeline.
• Deposit is FDIC insured and refunded when you close in good standing.

Cons

• High APR relative to many secured card alternatives.
• Annual fee plus ongoing monthly fee makes the card costly to hold long term.
• No graduation path — you must apply separately for an unsecured card.
• Credit limit capped around $3,000.
• Multiple complaints about delayed deposit refunds and frustrating customer service.

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Merrick Bank Unsecured Credit Card

Merrick Bank also has an unsecured Credit Card option:

Invitation-only application

The main unsecured product is the Merrick Bank Platinum Visa, which is typically:

• Marketed via pre-approved mail offers that include a reservation code, or
• Accessed through select online pre-screen channels.

You usually enter that code on Merrick’s website to see your specific APR and fee terms. This approach lets Merrick tightly target fair-credit consumers, especially those in the 580–669 FICO range.

Credit limits and APR (Up to 35%)

Typical terms include:

• Starting limits: Around $300 to $1,000, occasionally higher for stronger profiles.
• APR range: About 17.70% to high-20s, with some non-prime offers reported closer to 35%.

These rates are substantially higher than many fair-credit cards from major issuers. The Platinum Visa is best seen as a transition tool rather than a long-term financing solution.

Annual fee structure ($0 – $72)

Annual fees on the Platinum Visa vary by offer:

• Many cardholders report $36 to $75 annual fees.
• Some older or special offers mention higher initial fees plus a monthly component.
• A small minority of offers may have $0 to $72 annual fees, but no-fee pricing is not typical.

For fair-credit borrowers who qualify elsewhere, it is often possible to find no-fee cards with rewards, making Merrick’s unsecured card more of a last-resort option.

Credit limit increase program

Merrick extends its credit line review framework to unsecured cards:

• First review after about 7 months of on-time payments.
• Subsequent reviews every 6–7 months.
• Some users can request $300 soft-pull increases every 90 days.
• Overall credit limits tend to max out around $3,000–$4,000, depending on product and history.

User feedback is mixed — some cardholders receive periodic increases, but many report no CLI even after long stretches of perfect behavior.

Pros and cons

Pros

• Offers an unsecured credit line to fair-credit consumers who may have limited options.
• Reports to all 3 bureaus, supporting continued score growth.
• Pre-screened offers can reduce wasted hard inquiries.

Cons

• High APR relative to competitors in the same credit tier.
• Annual fees are common, despite minimal perks.
• Conservative credit line increases with low ceiling compared with mainstream issuers.
• No standout rewards or benefits beyond basic credit-building.

Merrick Bank Double Your Line Card

Another option is the Double Your Line Card:

How it works (7 months to double)

The Double Your Line® branding promises that your credit limit can double after several months of on-time payments.

Mechanics:

• Make at least minimum payments on time for 7 months.
• Merrick conducts a periodic review of your account.
• If you meet its internal criteria, your credit limit may increase, sometimes up to double the original amount.

Important nuance:

• The 7-month review does not guarantee any increase.
• Many cardholders report no CLI at 7 months or even after 2+ years.
• Increases, when granted, are often $300 increments rather than full doublings.

Starting credit limits ($300 – $1,500)

Starting limits on Double Your Line offers tend to mirror other Merrick cards:

• Secured versions: Limits from $200 to $3,000, matching the deposit.
• Unsecured DYI mailers (where available): Usually $300 to $1,500 starting limits.

Even with the Double Your Line feature, total exposure typically caps near $3,000.

Fee structure

The Double Your Line secured card shares the same costs as Merrick’s standard secured product:

• $36 annual fee in the first year.
• $3 per month from year 2 onward.
• Variable APR in the 17.70% to 35.00% range.

The branding does not change the underlying economics — it is still a high-fee, high-APR secured card.

Pros and cons

Pros

• Clear timeline for credit line reviews.
• Potential to grow your limit without adding more deposit.
• Full 3-bureau reporting helps with rebuilding.

Cons

• “Double your line” is not guaranteed, which can feel misleading.
• Credit limit caps keep the card small even after increases.
• Same high APR and fee structure as the regular secured card.
• Online user feedback frequently expresses disappointment with actual increases.

Merrick Bank CD products

Curious about CDs? Here are all of Merrick Banks CD options:

Minimum deposit ($25,000)

Merrick’s CDs are aimed squarely at high-balance savers:

• Minimum opening deposit: $25,000

This is significantly higher than the $500–$1,000 minimums common at many online banks and credit unions.

Term options (3 months – 5 years)

You can choose from nine fixed terms:

• 3, 6, 9, 12, 18, 24, 36, 48 and 60 months

Interest usually compounds quarterly, and your funds remain locked for the full term unless you pay the penalty to withdraw early.

Current APY rates

APYs vary over time with market conditions, but Merrick generally offers:

• Rates in the 3.75% to 4.20% range across its term lineup

These yields are competitive for high-minimum CDs and often beat the rates at large traditional banks, although you can find similar APYs at online institutions with lower minimums.

Early withdrawal penalties

If you withdraw before maturity, you’ll forfeit:

• 90 days of interest on 3–12 month CDs
• 180 days of interest on 18–24 month CDs
• 270 days of interest on 36–60 month CDs

On a $25,000 deposit, these penalties can add up quickly, so Merrick’s CDs are best for savers confident they won’t need the funds early.

Pros and cons

Pros

• FDIC-insured CDs with competitive APYs.
• Wide range of terms from 3 months to 5 years.
• Simple, fixed-rate structure without complex gimmicks.

Cons

• $25,000 minimum deposit prices out many savers.
• No bump-up, no-penalty or specialty CDs.
• Entire relationship is digital, with no branch support.

Merrick Bank recreation loans

Merrick Bank can be a good choice for loans as well:

Loan Types (RV, Marine, Powersports)

Beyond credit cards and CDs, Merrick offers recreation loans for:

• RVs and motorhomes
• Boats and marine equipment
• Powersports vehicles, such as ATVs and similar units

These loans are generally secured installment contracts with the vehicle as collateral.

Dealer network

Merrick works through dealers, not as a direct consumer lender:

• When you shop for an RV, boat or powersports vehicle, the dealer may present Merrick Bank as a financing option.
• Merrick underwrites and services the loan, while the dealer remains your sales contact.

Basic terms

Public, rate-by-rate details are limited, but borrowers can expect:

• Terms and APRs that reflect Merrick’s non-prime orientation, often higher than credit union offers.
• Standard installment structures with fixed monthly payments over a set term.

If you have strong credit, it is often worth checking credit union and specialized RV/marine lenders before accepting a dealer-arranged Merrick loan.

How much will Merrick Bank cost to use?

Knowing what fees to expect from using Merrick Bank is important. Here’s the full breakdown:

Credit card fees (annual, late payment)

Most of the friction with Merrick Bank comes from costs. For credit cards, key fees include:

• Annual fees
  • Secured cards: $36 in year 1, then $3 per month from year 2 onward
  • Unsecured cards: Commonly $36–$75, depending on the specific offer
• APR
  • Approximately 17.70% to 35.00% variable
  • Often 8–10 percentage points higher than some big-bank secured card options
• Late payment fee
  • Around $40, at the high end of standard late fee ranges
• Returned payment fee
  • Not always clearly disclosed in public marketing but often falls between $25 and $40 based on industry norms
• Phone payment fee
  • Many customers report about $10 to pay via phone with a live representative

Merrick secured cards typically downplay balance transfers and cash advances, and foreign transaction fees are not prominent in public-facing materials.

CD early withdrawal penalties

For CDs, penalties are:

• 3–12 month terms: 90 days of interest
• 18–24 month terms: 180 days of interest
• 36–60 month terms: 270 days of interest

Given the large $25,000 minimum, early withdrawal can significantly cut into your yield.

For many consumers, Merrick’s total cost of ownership is noticeably higher than what they would pay with top-tier secured card alternatives.

Can Merrick Bank help me build credit?

Here are all the ways that Merrick Bank can help raise your credit score:

Reports to all 3 credit bureaus

Merrick’s main value proposition is credit building:

• All cards report to Experian, Equifax and TransUnion.
• In some cases, the new account appears on credit reports before the physical card arrives.
• Cardholders who pay on time and keep utilization low often report triple-digit score gains over 12–18 months.

If your primary goal is to establish or rebuild history, this consistent reporting is crucial.

Credit limit increase program

Merrick’s credit limit policies are structured but conservative:

• First review: Around 7 months after account opening.
• Subsequent reviews: Roughly every 6–7 months.
• Some customers are eligible for $300 CLIs via soft pulls every 90 days.
• Most accounts top out near $3,000 in total credit limit, even after multiple reviews.

Forum estimates suggest that:

• Roughly 40–50% of users report at least one CLI in the first year.
• The remaining 50–60% report no meaningful increases despite perfect payment histories.

Credit utilization tips

To get the most out of Merrick as a credit-building tool:

• Keep balances at under 30% of your limit, and ideally under 10%.
• Set up autopay for at least the statement minimum to avoid late fees and credit damage.
• Use the card for small recurring bills (like streaming services) and pay them off each month.
• Once your score improves enough to qualify for better products, consider shifting everyday spending to cards with lower costs and higher rewards.

What do customers say about Merrick Bank?

Knowing customer sentiment is important. Here’s a full spectrum breakdown of what customers say about Merrick Bank, from multiple platforms:

Trustpilot reviews (4.0+/5)

On Trustpilot, Merrick Bank scores roughly 4.7 out of 5 stars, making it look like a strong performer:

Common positive themes:

• Approvals after repeated denials at other banks
• Clear expectations around credit building for non-prime borrowers
• Reports of score increases when the card is managed responsibly

Negative themes:

• Slow customer service, particularly around disputes and fraud.
• Confusion over the annual fee vs monthly fee structure.
• Frustration with limited credit limit growth.

Overall, Trustpilot shows Merrick as a helpful partner for rebuilders who understand the costs and play by the rules.

BBB reviews

The BBB picture is more complicated:

• A+ rating with long-standing accreditation.
• Dozens of pages of complaints covering multiple years.

Complaint hotspots include:

• Account freezes for suspected fraud, followed by difficulty reaching the fraud department.
• Delayed security deposit refunds (sometimes 60+ days).
• Disputes about unexpected fees and unclear communications.

Merrick does respond and often resolves complaints on paper, but the volume and similarity of issues suggest ongoing operational pain points.

Reddit and myFICO reviews

On Reddit, Merrick Bank reviews are often blunt:

• Advice such as “avoid at all costs” and “just get Discover or Capital One instead” is common.
• Users complain about account suppression on credit reports, no CLIs after years and a general feeling that Merrick is a “fee-harvesting company.”

On myFICO forums, sentiment is more mixed:

• Several rebuilders credit Merrick with helping them move from the 500s into the 600s or 700s.
• They appreciate fast reporting but criticize stingy CLIs and ongoing monthly fees.

Together, these communities highlight both sides: Merrick can work, but it often feels subpar compared with alternatives.

Common praise and complaints

Common praise

• “Approved me when no one else would.”
• “Helped rebuild my credit after bankruptcy or charge-offs.”
• “Reported quickly to all three bureaus.”

Common complaints

• “Customer service hold times are 30–45 minutes or more.”
• “My account was frozen and it took multiple calls to fix.”
• “Security deposit took months to be refunded after closing.”
• “Fee structure is confusing and more expensive than expected.”

This split is why Merrick is best viewed as a niche tool rather than a one-size-fits-all solution.

Merrick Bank customer experience

Read on to find what your options for using  Merrick Bank will be:

Mobile app review (iOS and Android)

Merrick’s mobile app is available on iOS and Android and supports:

• Checking balances and transactions
• Making and scheduling payments
• Locking and unlocking cards
• Enabling alerts and biometric login

Reviews suggest that the app functions well for routine tasks, but that more complex issues — disputes, freezes, deposit questions — still require phone calls.

Online account management

With no branches or ATM network, Merrick’s customers interact primarily through:

• The online account portal
• The mobile app
• Telephone support

You can activate cards, manage CDs, view statements, update personal information and adjust security settings online. For many customers, the digital tools work as expected until something goes wrong, at which point the experience shifts to the phone channel.

Customer service contact info

Merrick provides dedicated numbers for customer service, fraud and recreation loans. Third-party sites that track hold times often note:

• Extended waits, especially for fraud or dispute lines.
• Occasional call drops, requiring customers to start the process again.
• Mixed satisfaction with how representatives handle disputes, refunds and account closures.

If fast, proactive customer support is a top priority, this is an area where Merrick often lags competitors.

Merrick Bank pros and cons

Just like any business, Merrick Bank is not perfect. Here is a breakdown of their strong points and weak points:

Advantages

• Legitimate, FDIC-insured bank operating since 1997.
• Top 20 U.S. credit card issuer, serving around 3 million cardholders.
• Specializes in non-prime borrowers, including those with bad or thin credit.
• Secured and unsecured cards report to all 3 credit bureaus, enabling meaningful score improvement for disciplined users.
• CDs offer competitive APYs for those able to meet the $25,000 minimum.
• Strong security features, including 2FA, biometric logins and card-lock controls.
• Holds an Outstanding CRA rating and has had no major regulatory actions since resolving its 2014 FDIC settlement.

Disadvantages

• High APRs and fee-heavy structures compared with many secured and fair-credit cards.
• No graduation path from secured to unsecured products.
• Credit limit caps around $3,000 limit long-term usefulness.
• Customer service complaints are common, especially around hold times and account freezes.
• Security deposit refunds can be slow to process after closure.
• CD minimum deposit of $25,000 excludes many everyday savers.
• Mandatory arbitration agreements (with a limited opt-out window) can restrict legal options, and some customers report aggressive debt collection efforts when they fall behind.

Who should use Merrick Bank?

Merrick Bank isn’t for everyone. Here is a breakdown of what the ideal candidate looks like, and who would be best served to steer clear:

Ideal candidates (credit builders, CD investors)

Merrick Bank can be a strong fit for:

• Credit rebuilders who have already been rejected by Discover, Capital One and credit unions and still need a reporting tradeline.
• Thin-file borrowers who understand the costs and plan to use the card sparingly and pay in full.
• Savers who have at least $25,000 in cash they are comfortable locking into a FDIC-insured CD to earn a competitive rate.

For these groups, Merrick can function as a useful stepping-stone or a high-balance savings vehicle.

Who should look elsewhere

You should probably skip Merrick if you:

• Qualify for no-fee secured or unsecured cards from major issuers.
• Want rewards, grace, perks and strong customer service out of the gate.
• Need higher credit limits for long-term usage.
• Don’t have $25,000 to commit to a CD or prefer more flexible savings products.

In those cases, Discover it Secured, Capital One Secured, OpenSky, credit union cards and online bank CDs will usually deliver more value with fewer headaches.

Merrick Bank vs competitors

Here is how Merrick Bank stacks up in the crowded online banking field:

Merrick Bank vs Capital One Secured

Capital One Secured is one of Merrick’s most relevant competitors for rebuilders:

• Often no annual fee, versus Merrick’s $36 + $3/month structure.
• Lower APRs in many cases.
• Strong graduation path to unsecured products.
• Potential for higher credit limits over time.

Merrick’s only real edge is in reaching some borrowers that Capital One might decline. For most who can qualify for both, Capital One is usually the better deal.

Merrick Bank vs Discover it Secured

Discover it Secured is widely seen as a best-in-class secured card:

• $0 annual fee.
• Cash back rewards on everyday purchases.
• Clear graduation path to an unsecured Discover card.
• Strong customer service and digital tools.

Side by side, Merrick looks like a fallback option when Discover is out of reach. If you can get Discover it Secured, there is rarely a reason to choose Merrick instead.

Merrick Bank vs OpenSky Secured

OpenSky Secured is another popular non-prime option:

• Requires no traditional credit check.
• Charges a modest annual fee lower than Merrick’s effective yearly cost in many cases.
• Reports to all 3 bureaus, just like Merrick.

Merrick adds the Double Your Line branding and an unsecured card path, but at generally higher APRs and more complex fee structures. OpenSky is often preferred by those who want simple, predictable costs and no credit pull.

In most cost and feature comparisons, Merrick trails these competitors and is best seen as a backup plan rather than a preferred option.

Best Merrick Bank Alternatives

Before committing to Merrick Bank, consider these alternatives: 

Secured card alternatives

If your main goal is to rebuild credit, consider:

• Discover it Secured for no annual fee, cash back and a straightforward graduation path.
• Capital One Secured for widespread availability and relatively generous upgrade potential.
• Credit union secured cards for lower APRs and fewer fees, especially if you can join a well-rated local or national credit union.

These options often give you better economics and long-term upside than Merrick.

Unsecured card alternatives

Once your score improves, you may qualify for:

• Fair-credit cards from Discover, Capital One, Chase, Citi and others with rewards and no annual fee.
• Store or co-branded cards that can help you build history while offering discounts and perks.

At that stage, Merrick’s high APRs and low limits become harder to justify.

CD alternatives

If you don’t have $25,000 ready for a CD, or you prefer more flexibility:

• Online banks and credit unions offer similar or better APYs with minimums as low as $500–$1,000.
• High-yield savings accounts provide liquidity plus yields that may rival shorter-term CDs, with no early withdrawal penalties.

These alternatives can offer comparable earnings with lower barriers to entry.

How to apply for Merrick Bank

Use this guide to make applying to Merrick Bank as frictionless as possible:

Secured card (online application)

To apply for a Merrick Bank Secured Visa:

1. Visit Merrick’s secured card application portal online.
2. Enter your name, address, date of birth, Social Security number, income and housing details.
3. Complete the identity verification step by uploading a photo of your driver’s license or passport and a selfie.
4. Receive an instant decision or a decision within 2–7 business days if manual review is needed.
5. If approved, fund your security deposit of $200–$3,000 within 20 days via ACH transfer, check or money order.
6. Once the deposit clears, Merrick mails your card, which usually arrives in 7–10 business days and begins reporting to the credit bureaus after activation.

Unsecured card (invitation only)

For the Merrick Bank Platinum Visa:

1. Receive a pre-approved offer by mail with a unique reservation code.
2. Go to the mail offer site listed in the letter.
3. Enter the code and your personal and financial information.
4. Review the disclosed APR, fees and terms, then submit the application.
5. If approved, expect your card in about 7–10 business days.

Required information

For both secured and unsecured applications, be prepared to provide:

• Full legal name and date of birth
• Social Security number
• Current address and housing status
• Employment information and income
• Bank account details (for deposit transfer, in the case of secured cards)

Applications may be denied if Merrick cannot verify your identity, suspects fraud, sees recent bankruptcy outside its internal tolerances, notes excessive recent credit applications or encounters state-based restrictions such as Wisconsin residency.

Merrick Bank frequently asked questions

Is Merrick Bank legit?

Yes. Merrick Bank is a legitimate, FDIC-insured bank founded in 1997 and owned by CardWorks, Inc. It holds FDIC Certificate #34519, maintains an Outstanding CRA rating and operates under state and federal regulation.

It did pay $16.1 million in 2014 to settle FDIC allegations related to misrepresented credit card add-on products, but those products were discontinued and there have been no similar major enforcement actions since.

What credit score do I need?

There is no published minimum score for Merrick’s secured card, and many applicants with damaged or thin credit receive approvals as long as identity and income can be verified.

For the unsecured Platinum Visa, Merrick generally targets fair-credit borrowers, often in the 580–669 FICO range, through pre-screened mail offers. Your exact terms and eligibility will depend on your full credit profile.

Does Merrick Bank report to credit bureaus?

Yes. Merrick Bank reports card activity to all three major credit bureaus:

• Experian
• Equifax
• TransUnion

Reporting typically begins within the first statement cycle, and some users see the account appear before the physical card arrives. This consistent reporting is what makes Merrick useful as a credit-building tool.

How do I get a credit limit increase?

Credit limit increases can come in two ways:

• Automatic reviews, usually after 7 months of on-time payments and then roughly every 6–7 months.
• Customer requests for $300 soft-pull increases every 90 days, where eligible.

However:

• Many cardholders report no CLIs despite extended periods of perfect payment history.
• Most accounts cap out around $3,000, so even successful increases may feel modest.

Is there an annual fee?

Most Merrick cards do charge annual or ongoing fees:

• Secured cards: $36 in year 1, then $3 per month starting in year 2.
• Unsecured cards: Typically $36–$75, depending on the offer.

These fees are one of the main reasons Merrick is more expensive than many other credit-building options.

Does Merrick Bank offer rewards?

Generally, no.

Merrick’s credit cards are credit-building tools, not rewards products. You will not find:

• Cash back on everyday purchases
• Travel rewards or points programs
• Introductory bonus offers

If you want rewards while rebuilding, Discover it Secured and certain other cards may offer cash back with no annual fee.

What is the minimum CD deposit?

The minimum deposit for a Merrick Bank CD is $25,000.

That high threshold makes Merrick CDs appropriate for established savers with larger balances rather than beginners or everyday households.

Final Verdict: Is Merrick Bank worth it?

Let’s answer the million-dollar question: Is Merrick Bank actually worth it?

Overall rating

Taking into account fees, APRs, customer sentiment, regulatory record and credit-building effectiveness, Merrick Bank earns an overall 3.0 out of 5:

• + Legit, FDIC-insured and experienced in the non-prime space
• + Effective for credit building when used carefully
• – High APRs and ongoing fees compared with many alternatives
• – No graduation path from secured to unsecured
• – Polarizing customer service and complaint profile

Best use cases

Merrick Bank makes the most sense if you:

• Are in rebuild mode, have been declined by other major issuers and need a card that reports to all 3 bureaus
• Plan to never carry a balance, but simply want a tradeline you can manage responsibly
• Have $25,000 or more and want to park it in a FDIC-insured CD at a competitive rate, and you are comfortable with online-only banking

In these scenarios, Merrick can be a useful, if imperfect, tool in your broader credit and savings strategy.

Bottom-line recommendation

For many consumers, Merrick Bank should be viewed as a backup option, not a first pick.

If you can qualify for no-fee secured cards, lower-APR credit union products or entry-level rewards cards, you will usually save money, earn benefits and enjoy better service elsewhere. But if Merrick is one of the few approvals you can secure right now, go in with clear expectations:

• Use the card to build positive payment history
• Keep utilization low and avoid carrying balances
• Monitor your credit, then graduate to a better product as soon as your profile allows

Handled this way, Merrick Bank can be a temporary stepping-stone on your credit rebuilding journey, rather than a long-term, high-cost relationship.