EarnedCard Customer Case Study

■ Crystal works at a retail store, earning $15/hr, with bi-monthly, after tax paychecks of $900.

■ She has her eye on a used VW Beetle Convertible, but Crystal does not have a FICO score, because she has never had a credit card, installment loan, or mortgage.

■ Buying a $10,000 car today with no credit, her interest rate would be 16% on an $8000 loan for 48 months, with $2883 in interest over the loan period.

■ Her rent is $700/month, and she currently uses her debit card to buy $350/month for food, $100/month for clothes (she gets great deals with her employee discount), and $50/month for her cell phone.

■ By transferring her food, clothing and cell phone bill payments to her EarnedCard, Crystal starts building a positive credit history.

■ After 6 months, purchasing the same car with a 660 FICO score, Crystal would qualify for an 8% interest rate. For the same monthly payment Crystal could pay off the loan 7 months earlier, paying only $1170 in interest and saving $1713. Or, she could reduce her monthly payments from $227 to $195 per month, paying for a tank of gas every month for the term of her loan.

This is a picture of red convertible VW.