Update: Orchard Bank credit cards have been discontinued. Find credit cards to help you rebuild your credit here.
Capital One’s acquisition of HSBC’s U.S. credit card unit was completed last week. HSBC was the issuer of the Orchard Bank credit cards, but now, Capital One is the official issuer of these cards.
This move has been on my mind because I frequently recommend the Orchard Bank cards for anyone who’s trying to establish or rebuild credit. It’s one of the easiest unsecured credit cards to get. But even if you don’t qualify for an unsecured card, you might be offered a secured credit card, which gives you an opportunity to improve your credit history.
The Orchard Bank cards have also been one of the best deals in the subprime market. Both the unsecured and the secured versions of this card offer a decent interest rate and terms for those who don’t have a lot of good choices to begin with.
I checked in with Pam Girardo, spokeswoman for Capital One, to ask her what this means for cardholders. For now, there’s good news. There are no plans to change account terms or disrupt service to cardholders.
This doesn’t mean things won’t change in the future, of course. So it’s important to read any mail you receive from Capital One about your account. ”We’re committed to providing a smooth transition for all of our customers and keeping them up to date with everything they need to know,” says Girardo.
So, at least for now, it’s business as usual for Orchard Bank cardholders. But there is one added bonus that makes this card even more appealing than before. Since Orchard Bank is now issued by Capital One, you no longer have to pay foreign transaction fees.