Milestone credit card review: A bad choice for a credit-building card
Milestone Mastercard overview
Building credit can be a challenge. The Bank of Missouri's Milestone Mastercard® is one of many credit-building cards available on the market. The card doesn't require a security deposit and has a solid minimum credit limit for a beginner card, but its first-year annual fee is outrageous for a card of its type. Card rating*: ⭐
*Card rating is based on the opinion of TPG's editors and is not influenced by the card issuer.
At first glance, some of the Milestone Mastercard's credit-building perks may seem appealing. However, this card quickly drops to the bottom of the list once you factor in the $175 first-year annual fee.
While the Milestone Mastercard's annual fee does drop to $49 in subsequent years, this doesn't mean you'll save any money. Starting in the second cardholder year, you'll need to pay an additional $12.50 monthly maintenance fee. Combining the two costs means you'll pay a whopping $199 per year to hold this card.
With fees like that, this card must have some fantastic benefits to be even remotely worth considering. Still, one significant benefit is that no minimum credit score is required to get approved.
Let's examine this card more closely to see if it offers anything in exchange for these exorbitant fees.
The information for the Milestone Mastercard has been collected independently by The Points Guy. The card details on this page have not been reviewed or provided by the card issuer.
Milestone Mastercard pros and cons
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Milestone Mastercard benefits
The Milestone Mastercard doesn't have any kind of welcome offer. This isn't unusual for a credit-building card, but it is uncommon for a card with such a high annual fee.
The card has two noteworthy benefits: No security deposit is required, and there's a minimum $700 starting credit limit.
Many credit-building cards require a security deposit to get approved and use the deposit as your starting credit line. Since the Milestone Mastercard doesn't require a deposit, you don't need to have any money ready upfront when you apply (aside from the $175 for the annual fee).
This card's $700 credit line isn't great, but it's better than the initial credit limits on many starter cards, which are sometimes as low as $200.
Depending on your financial situation, the Milestone Mastercard may offer an even higher starting line. Additionally, this card reports to all three credit bureaus and comes with fraud protection and the ability to use the card wherever Mastercard is accepted.
While these are decent benefits for a credit-building card, they're incredibly lackluster for a card that charges as much as the Milestone Mastercard.
Related: Best secured credit cards
Earning and redeeming rewards on the Milestone Mastercard
The Milestone Mastercard doesn't earn any rewards, so you won't get any points, miles or cash back from your spending. We generally expect this from basic credit-building cards, but since this one costs so much to own, it's disappointing that it doesn't have anything to offer here.
If you want a starter card that earns rewards, you'll want to go with one of our recommendations below instead of the Milestone Mastercard.
Related: 6 easy strategies I use to earn over 500,000 points and miles a year
Which cards compete with the Milestone Mastercard?
It isn't hard to find competitors for this card; virtually any other card on the market surpasses the Milestone Mastercard. Here are three options to consider:
- If you want to earn rewards while building credit: The Capital One Quicksilver Secured Cash Rewards Credit Card has no annual fee and earns 1.5% cash back on all purchases. However, it does require a minimum $200 security deposit upon account opening. For more details, check out our full review of the Capital One Quicksilver Secured.
- If you like Chase: The Chase Freedom Rise® is a great option for those with poor or no credit. A Chase checking or savings account with at least $250 is highly recommended but not explicitly required. With this card, you'll earn 1.5% back on all purchases. Plus, you'll begin to build a relationship with Chase, which can make it easier to get approved for their other cards.
- If you're a student: The Capital One Savor Student Cash Rewards Credit Card is perfect for a college student looking to improve or establish their credit. This card has an impressive earning rate, earning 3% cash back on dining, entertainment, popular streaming services and purchases at grocery stores (excluding superstores like Walmart® and Target®). Like the other cards featured here, you won't have to pay an annual fee.
For additional options, check out our picks for the best beginner credit cards.
The information for the Chase Freedom Rise has been collected independently by The Points Guy. The card details on this page have not been reviewed or provided by the card issuer.
Related: My first-year journey into the world of cards and points: From baby steps to maximizing rewards
Is the Milestone Mastercard worth it?
I have never been more confident in recommending against a credit card. With minimal benefits and excessively high fees, the Milestone Mastercard is one of the worst on the market. Skip this one and opt instead for a card with lower fees and better benefits.
Related: Why I closed my first credit card, and what I'd do differently if I could go back
Bottom line
The Milestone Mastercard is a credit-building card that doesn't require a credit score or security deposit. Still, this card's high fees and lack of reward-earning opportunities make it one of the worst beginner cards available. Almost everyone is better off going with a card like the Capital One Quicksilver Secured or the Freedom Rise.
TPG featured card
Rewards
| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 3X | Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com. |
| 2X | Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com. |
| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
Intro offer
Annual Fee
Recommended Credit
Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits.Pros
- 4 points per dollar spent on dining at restaurants worldwide and U.S. supermarkets (on the first $50,000 in purchases per calendar year; then 1 point per dollar spent thereafter and $25,000 in purchases per calendar year; then 1 point per dollar spent thereafter, respectively)
- 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
- Packed with credits foodies will enjoy
- Solid welcome bonus
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
- $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.
Rewards Rate
| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 3X | Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com. |
| 2X | Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com. |
| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
Intro Offer
You may be eligible for as high as 100,000 Membership Rewards® Points after spending $6,000 in eligible purchases on your new Card in your first 6 months of Membership. Welcome offers vary and you may not be eligible for an offer.As High As 100,000 points. Find Out Your Offer.Annual Fee
$325Recommended Credit
Credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.Excellent to Good
Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits.Pros
- 4 points per dollar spent on dining at restaurants worldwide and U.S. supermarkets (on the first $50,000 in purchases per calendar year; then 1 point per dollar spent thereafter and $25,000 in purchases per calendar year; then 1 point per dollar spent thereafter, respectively)
- 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
- Packed with credits foodies will enjoy
- Solid welcome bonus
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
- $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.