Category: Rewards Credit Cards

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Are Balance Transfer Cards Better Than Rewards Credit Cards?

When people think about applying for a new credit card, they often look at the welcome offers and the types of rewards that can be earned with everyday purchases. Sometimes you might need another perk, besides rewards, to make you click the “Apply Now” button. This might apply to you if you are carrying a balance on one of your current credit cards and are looking for a hand-up to help pay off the debt.

But, is it better to choose a balance transfer card or a rewards credit card? Applying for either type of credit card will count as a hard inquiry and affect your credit score, so you will want to compare the advantages and disadvantages of each credit card to help you make the best decision.

Advantages Of Balance Transfer Cards

While rewards credit cards might offer welcome offers of frequent flyer miles or complimentary hotel stays when you meet a spending minimum, balance transfer credit cards will not charge interest on balances transferred from other credit cards for a predetermined time period (typically 12 to 18 months). Your new credit card might charge a one-time fee of 3% to 5% of the balance transferred (credit cards need to make money somehow). But it’s still cheaper than the interest you are paying on your existing credit card.

These cards can be very advantageous if you have any type of credit card debt as you can make payments interest free for several months. This can be a great alternative to debt repayment compared to a high-interest personal loan. You should view the 0% APR as a “second chance” to getting debt-free and rebuilding your credit.

Disadvantages of Balance Transfer Cards

While balance transfer credit cards offer an introductory 0% APR, there are several drawbacks to these cards. Possibly the largest drawback is the APR after the 0% introductory period ends. If you cannot pay off your balance in full (or most of it), the interest rates on these cards can be noticeably higher than other rewards credit cards with interest rates as high as 23%.

If your balance is too high, it might be better to swap your credit card debt for a personal loan with a lower interest rate. Of course, the post-introductory rate will largely depend on the credit card and your credit score. Not all credit cards or credit scores are created equally. It might pay dividends to look at the interest rates and perks of the card after the introductory period.

If you have a high credit score and a low balance, it might be more advantageous to apply for a new credit card with a short introductory balance transfer period and a low-interest rate.

Caps on Transfer Amounts

Another downside of balance transfer credit cards is that some credit cards cap transfers to a certain dollar amount. For example, the Chase Slate limits balance transfers at $15,000 regardless of your credit limit. Depending on the balance amount you want to be transferred, you will need to verify if the prospective credit card will allow you to transfer your full amount.

A final downside of balance transfer credit cards is the lack of purchase rewards. Cardholders of balance transfer credit cards normally have to trade rewards for 0% APRs on outstanding credit card balances. This isn’t always the case as some balance transfer cards do offer purchase rewards. However, they are usually not as lucrative as those offered by rewards credit cards.

Advantages of Rewards Credit Cards

Rewards credit cards “reward” users for spending and making payments on-time. They might award cardholders with points or cash rewards. Plus, their welcome offers entice new applicants to spend a specific amount of money within the first two or three months of account opening to receive an additional bonus.

In one way, rewards credit cards are the complete opposite of balance transfer cards that offer a “second chance” to pay off their balances without interest. With both types of cards, credit card issuers make their money through transaction fees and balance transfer fees (even when the transferred balance is paid in full before the introductory period ends).

As many balance transfer credit cards do not offer purchase rewards, rewards credit cards are better for those that pay their bills regularly. They might also be a better option for somebody who has a small outstanding balance and has more to gain from long-term purchase rewards, even if it means paying interest on credit card debt. Your amount of debt might determine if short or long-term rewards are better.

Disadvantages of Rewards Credit Cards

One big downside of rewards credit cards is the relatively higher fees that are incurred with balance transfers. Credit cards need to make a profit to remain in business. That means they can only offer so many perks.

This is why most credit cards charge no interest for the first 12 to 24 months of account opening or offer purchase rewards. If rewards cardholders do not meet the payment deadlines, they do not earn rewards points on the outstanding balance.

Rewards credit card programs might also require a higher credit score than balance transfer cards. Each balance transfer and rewards program has different eligibility requirements. Some are more stringent than others. As a whole, balance transfer cards give credit card users a chance to catch up and rebuild their credit.

People with higher credit scores will qualify for rewards credit cards that offer better rewards and have lower interest rates than post-introductory APRs offered by balance transfer credit cards. If you have a history of credit card debt or low credit score, your application for a rewards credit card might not be a sure thing. The best place to get credit score information won’t hurt your credit but will also provide essential information.

Are There Credit Cards With Rewards and Introductory APRs?

Yes! There are a few credit cards that offer 0% APR on balance transfers for at least one year and rewards for everyday purchases. You may need a higher credit score to qualify for these cards, but they do exist. Our study of the best balance transfer credit cards to apply for in 2018 can be found here.

The Verdict on Balance Transfer Cards

Which type of credit card is better? It depends on your financial circumstances. If you have a manageable credit card debt of several thousand dollars that you can pay off within the 0% introductory period, a balance transfer card will be a better option. The interest-free payments will probably be a better “return on investment” than any rewards program.

Once you become debt-free, and if your credit score is high enough, you can always apply for a rewards credit card.

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The Sam’s Club MasterCard vs. Other Cash Back Cards

Everyone loves a cash back card, which is why so many banks and stores offer them to customers. It used to be just the big banks that gave cash back rewards based on spending. Now it is common for stores to get in on this market and get more customer loyalty in the quest for cash being returned to them.

Some stores have even begun to offer cards that come in MasterCard or Visa versions that they can be used for other purchases, like gas, dining, groceries, travel, and other big categories. The Sam’s Club MasterCard is one of these cards. They are offering a nice tiered cash back program to cardholders.

If you are a frequent shopper at Sam’s Club warehouse stores, this might be a good choice for you. Let’s take a look at the benefits that they are offering to customers.

New Sam’s Club MasterCard

Highlighted Cash Back Features

The Sam’s Club MasterCard offers simple yet substantial cash back rewards for their customers. First, you will earn 5% cash back for all spending at gas stations, up to $6,000 per year. After you spend the first $6,000, you will continue to earn 1% cash back on gas station purchases. Here’s one catch—you will earn 5% cash back at Sam’s Club gas stations and other major gas retailers, but there are no cash back rewards for spending at other warehouse store gas stations.

You can earn 3% cash back on all dining purchases and any travel purchases that you make, with no spending cap. Earn 1% cash back on all other purchases using the Sam’s Club MasterCard.

With the Sam’s Club MasterCard, you can earn up to $5,000 cash back per year. The cash back rewards are paid to you in the form of a check, delivered to you once per year. The only place that you can cash the check is at a Sam’s Club store (but you don’t have to spend the entire reward there).

Great Security Options

With so many credit card breaches in the news lately, people are paying more attention to getting credit cards with higher level security features. The Sam’s Club MasterCard is chip-enabled, which gives you a better layer of security. Plus, they offer quick and simple identity theft solutions through their customer service center.

Sam’s Club MasterCard is the first major retail card to offer this level of technology. Since many of the credit card breaches have come from major retailers, this is something that may make customers more comfortable and secure when using the credit card. Also, extended warranty coverage is available, so you can be more confident in protecting your purchases.

No Annual Fee

The Sam’s Club MasterCard does not have an annual fee, but you do have to be a Sam’s Club member to apply. Membership to Sam’s Club is $45 per year.

More Benefits for Sam’s Plus Members

For those cardholders who are also members of the Sam’s Plus program, you can receive several additional benefits. These include early morning admission to the store, discounts on pharmacy and optical services, and exclusive offers within the store. Sam’s Plus members will earn an additional $10 every time they spend $500 in the store on qualifying purchases and earn up to $500 cash back annually. These rewards can be combined with the other cash back rewards to boost your annual return, or used separately throughout the year.

The Nitty Gritty

Again, the Sam’s Club MasterCard has no annual fee, but you must be a member of Sam’s Club to apply ($45 yearly membership fee). The APR is 14.99% or 22.90%, depending on your credit history. If you make a single purchase of $50 or more on the first day you use the card, you will get a $20 statement credit within the next two billing cycles. Foreign transaction fees are 3%.

Any Downsides?

Although the Sam’s Club MasterCard offers some great cash back options, you will only receive that cash back reward once per year. If you are the kind of person who likes to get one lump sum, this might be great for you, but the redemption options are not very flexible otherwise. Remember, you can only cash this check at Sam’s Club. If you regularly shop at the store, this may be convenient.

You must be a Sam’s Club member to cash the check, so don’t consider closing this account if you have any cash back rewards due to you. There is a small sign up bonus of $20 if you spend $50 on your first purchase. Other cards offer greater cash back rewards for sign up bonuses.

Other Options

While the Sam’s Club MasterCard can compete on some levels, especially with Sam’s Club devotees, there are other great cards out there that offer significant rewards for those who spend a lot of money on gas, dining, and travel. Other cards offer much more convenient redemption options when it comes to getting the cash back.

Barclaycard Arrival Plus

The Barclaycard Arrival Plus is a great option for those travelers who like to earn big cash back rewards on every purchase, and have flexible redemption options available to them. With the Barclaycard Arrival Plus, you will earn 2 points for every dollar spent, on all purchases. You will earn 40,000 points as a sign-up bonus when you spend $3,000 within the first three months.

Redeem your miles for travel credits or statement credits, at any time. Earn an additional 10% bonus miles when you redeem your miles for travel rewards. There is an $89 annual fee, but this is waived for the first year. Barclaycard Arrival Plus offers great security, with EMV-chip technology.

There is also a 0% introductory APR on all purchases made during the first 12 months. Frequent travelers may find this option very appealing because of the high earning power and flexible redemption opportunities.

Discover it

For those shoppers who like to earn great cash back rewards and have very flexible redemption options, the Discover it has some terrific perks. Earn 1% cash back on all purchases, in all categories. Earn 5% cash back on rotating bonus categories, which change quarterly and are generally the most popular shopping options. Currently, Discover it is offering 5% cash back on online shopping and department store purchases for this quarter.

There is no annual fee for the Discover it card, so you have nothing to lose. Redeem your cash back rewards at any time, either earning a check, using the cash at the online shopping portal, getting gift cards, or getting statement credits.

Final Thoughts

For those who really love shopping at Sam’s Club and spend most of their money at gas stations, the Sam’s Club MasterCard is a good option. But, if you want a little more flexibility in terms of cash back earnings and redemption options, you might want to consider either the Barclaycard Arrival Plus or the Discover it as alternatives.

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Cards That Earn Bonus Rewards On Every Dollar Spent

There are plenty of options for cards that earn bonus rewards for spending. These are cards that offer you either cash back or points on each purchase you make. Some of the most popular rewards credit cards will give you bonus points or bonus cash back. The Discover It, for example, offers bonus cash back on rotating categories. The idea of rotating categories is that the categories will switch quarterly. You will earn 5% cash back (or 5% points, depending on the card) for that quarter.

Popular categories for the bonus rotating categories include purchases made at gas stations, grocery stores, dining, online shopping, home improvement stores, and department stores. They can be anything that the credit card company chooses and thinks that their customers will enjoy. Typically there is a cap on the spending in the bonus categories. Going back to the Discover It example, it has a $1,500 spending cap for their rotating bonus categories.

Fixed bonus categories would refer to cards that offer bigger bonuses on certain categories all the time. For example, the Barclaycard Rewards MasterCard offers two points per dollar spent on all gas station, grocery store and utility purchases. This is offered year round with no spending cap. With no annual fee, cardholders get great rewards at a fixed rate all year long.

What if I don’t like rotating categories?

If rotating categories are not for you and you would prefer to get great rewards all year long on all purchases, you are in luck. We have put together a great list of options for you. Each of these cards offers greater than 1% cash back on all purchases. Take a look and see if any of them are right for you!

Citi Double Cash

Want to earn cash back—twice? The Citi Double Cash card lets you do just that. Earn 1% cash back on every purchase, plus earn another 1% cash back for every payment that you make. In addition to the great cash back offer, the Citi Double Cash card offers a 0% introductory rate for the first 15 months that you have the card.

After that, the card offers a competitive APR of 12.99-22.99%, based on your creditworthiness. There is no annual fee for the Citi Double Cash card, so you have nothing to lose with this gem. No worries about spending in certain categories, or registering for rotating rewards. You get the same rewards year round, with no spending cap other than your credit limit. There is no limit to the cash back that you can earn with this card.

Capital One Quicksilver Card

Unlimited cash back is the name of the game with the Capital One Quicksilver Card. You will earn 1.5% cash back on every purchase you make using this card with no limit to the cash back you can earn. There are no specific spending categories or bonus categories to think about. Just use this card for any purchase and get the full reward. Capital One Quicksilver also offers you a $100 cash back reward after you spend $500 in the first three months that you have the card. This is a substantial bonus right off the bat for new cardholders, at 20% cash back!

The cash back rewards are easy and flexible to redeem. You can redeem them at any time for a check, gift card(s), statement credit, or even merchandise. There is no annual fee for this card. You can also enjoy a 0% introductory APR for a limited time on all purchases and balance transfers made using the Capital One Quicksilver card. After the introductory period, the APR will be 12.9-22.9% on purchases and all balance transfers. Another great perk is being able to track your credit score for free so that you can stay on top of any changes right as they occur.

Capital One BuyPower Card

Are you in the market for a new vehicle? The Capital One BuyPower Card might be just the answer. This card offers you 5% cash back rewards on the first $5,000 you spend each year, and 2% on all purchases you make after that. This is a huge reward. You can use the cash back rewards toward the purchase of a new Chevrolet, Buick, GMC, or Cadillac.

The earnings never expire, as long as you have the card. You can really rack up a lot of cash back toward your next vehicle with this card. Because there are no rotating categories, you can use this card for any and all purchases, and watch your cash back rewards add up. Also, Capital One BuyPower card offers an introductory 0% APR for the first 12 months that you have the card, for all purchases and balance transfers. When the introductory period ends, you will pay 11.90, 15.90, or 19.90% variable APR, depending on your creditworthiness.

Looking For Travel Rewards?

Rewards cards come in many shapes and forms. Some offer cash back or credit toward a new vehicle, like the cards listed above. Others will offer some pretty tremendous travel rewards for those who really want to maximize their rewards. Travel rewards are some of the best in the credit card world, since you can often get more than $1 for each point or mile earned. Here are a few of the best ones we can find for you.

Barclaycard Arrival Plus

Super value can be found for travelers when they have the Barclaycard Arrival Plus card. You can earn 40,000 bonus points after spending $3,000 in the first 90 days that you have the card. Earn 2 points for every dollar spent on travel purchases or earn one point for every dollar spent on every other purchase. One of the biggest perks of this card is that cardholders get an extra 10% rewards when booking their travel through Barclaycard or anytime they redeem their miles for statement credits.

The Barclaycard Arrival Plus also offers a 0% introductory APR for the first 12 months on purchases and balance transfers. After that, the APR will be either 14.99% or 18.99%, depending on your creditworthiness. There is an $89 annual fee for this card, but that is waived for the first year.

Capital One Venture Rewards Card

Earn travel rewards fast at a rate of 2 points per dollar spent on every purchase you make with the Capital One Venture Rewards Card. Earn an additional 40,000 points when you spend $3,000 in the first three months of having the card. Cardholders will get a 0% introductory APR rate for the first 12 months after approval on purchases and balance transfers, with a 13.9-20.9% APR after that period ends.

The miles that you earn using the Capital One Venture Rewards card can be flexibly redeemed for flights, hotel, rental cars, and other travel benefits. There are no blackout dates or restrictions on airlines if you book through Capital One. If you prefer to book through your travel agent, the Purchase Eraser feature will allow you to redeem your miles and get credit within 90 days of making a travel purchase using your Capital One Venture Rewards card. Track your credit simply, with your credit score being available every month on your statement or through the online access. There is a $59 annual fee, which is waived for the first year.

BankAmericard Travel Rewards Card

With the BankAmericard Travel Rewards Card, you will earn 1.5 points per dollar spent on all purchases made with the card. There is no limit to the number of points that you can earn. Apply online and earn an additional 10,000 points by spending $500 within the first three months. This adds up to a $100 statement credit when you book any travel rewards.

Conveniently, there are no blackout dates and no restrictions on your travel rewards. There is no annual fee for the BankAmericard Travel Rewards card. Cardholders will enjoy a 0% introductory APR for the first 12 months on purchases and balance transfers when they are approved for the card. After that, an APR of 14.99-22.99% will apply. There are no foreign transaction fees for this card.

Wyndham Rewards Visa

The Wyndham Rewards Visa is a great card for those who love to travel and want to earn free nights at Wyndham hotels and participating partners. Earn 5 points for every dollar spent on participating hotel stays, and earn 2 points for every dollar spent on all other purchases.

You can earn an additional 30,000 points after making your first purchase using the Wyndham Reward Visa card, and another 5,500 bonus points each year. That is enough for a one night stay at any participating hotel. This card has a $69 annual fee, which is not waived for the first year. The APR is 15.24% or 19.99%, depending on your credit history.

Citi Hilton HHonors Reserve

With the Citi Hilton HHonors Reserve card, you will quickly build up plenty of points toward your next vacation at any Hilton hotel or participating partner. You can earn 10 HHonors points for every dollar spent on hotel stays at participating hotels. Or earn 5 HHonors points for other travel purchases, including flights and rental cars. Earn 3 HHonors points on all other purchases made using the card.

Cardholders will enjoy Gold Elite status with HHonors, which will be upgraded to Platinum status if you spend $40,000 in one calendar year. Spend $10,000 per year and earn a free weekend night each year on your anniversary. Earn two free weekend night certificates after spending $2,500 within the first 4 months after being approved for the card. This card has a $95 annual fee. There is a variable 15.24% APR for this card.

Final Thoughts

As you can see, there are a variety of rewards cards available right now, with more being added frequently. One of them is right for you. Some people prefer rewards cards with straight cash back rewards options, but if you are not a fan of rotating categories and just want to earn tons of points, or you are a frequent traveler (or want to become one), then choosing one of the awesome travel rewards cards that are available will help you quickly earn points toward your next travel adventure!

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The Chase Sapphire Preferred vs. Citi ThankYou Premier Card

Citi ThankYou Premier Card

Having a credit card that rewards purchases related to airfare, hotel stays, rental cars, and other transportation can be a method to save a substantial amount of cash each year. Travel rewards points or miles translate quickly into dollars. But not every travel rewards program is equal. Two of the top-rated travel rewards credit cards, the Chase Sapphire Preferred and the Citi ThankYou Premier, each offer strong earning potential to card members. However, the credit cards vary in how miles are earned, how they can be redeemed, card member benefits, and cost. Let’s take a closer look at both travel rewards credit card options.

Citi-Premier-Chase-Sapphire-Preferred-604x270

Rewards Program Breakdown

The Chase Sapphire Preferred credit card has one of the strongest rewards programs for travelers. Each dollar spent on dining at restaurants and travel, including airfare, taxis, hotels, and trains, earns card members two rewards points. All other purchases earn a single point for each dollar spent. There are no caps on earnings. New card members can maximize earnings by taking advantage of the promotional offer of 50,000 bonus points earned when $4,000 is spent on the card within the first three months after account opening. Adding authorized users adds an additional 5,000 bonus rewards points when a purchase is made within the same time frame.

The Citi ThankYou Premier credit card also offers a strong rewards program. Cardmembers earn three points for each dollar spent on travel-related expenses. Unlike the Chase Sapphire Preferred card, the Citi ThankYou Premier card offers the enhanced points potential on gas purchases as well. Cardmembers earn two points for each dollar spent on dining and entertainment purchases too. All other purchases made with the Citi card earn one point per dollar spent, with no cap on earnings. Currently, Citi ThankYou Premier card members do not have the chance to earn a one-time rewards bonus as an introductory offer. This makes the Chase Sapphire Preferred card a better choice for those who want an upfront perk.

Redeeming Points

Chase Sapphire Preferred credit card members have the option to redeem points for travel on air, land, or sea directly through the Chase Ultimate Rewards site. Cardmembers can receive as much as 20% off travel purchases through the redemption site. There are no blackout dates or restrictions imposed. Citi ThankYou Premier cardmembers can utilize points to redeem gift cards, shopping through select partner retailers, cash, and even charitable donations. ThankYou points may also be used to purchase travel through Citi’s Travel Center. Points are worth 25% more when redeemed for hotel stays, cruises, car rentals, and airfare purchases. The redemption options through Citi are far more robust than through Chase. They are especially attractive to those who want flexibility above and beyond travel-related purchases.

Additional Benefits

Both cards allow cardmembers to transfer accumulated rewards points to partner loyalty programs at a 1:1 ratio. Citi does not specifically list the transfer partners eligible under the ThankYou points program, but Chase includes the following:

  • Ritz-Carlton Rewards
  • Marriott Rewards
  • IHG Rewards Club
  • Hyatt Gold Passport
  • Virgin Atlantic Flying Club
  • United MileagePlus
  • Southwest Airlines Rapid Rewards
  • Singapore Airlines KrisFlyer
  • Korean Air SkyPass
  • British Airways Executive Club

In addition to transfer potential, each travel rewards credit card offers supplemental benefits to cardmembers. Chase Sapphire Preferred and Citi ThankYou Premier account holders have access to chip-enabled card technology. This allows for wider acceptance around the world. Chase customers have a variety of travel and purchase protection benefits, including trip interruption, cancellation insurance, and extended warranty protection. Citi customers can access a personal concierge service anytime, day or night. Purchases are covered with damage and theft protection up to certain limits. Both Citi and Chase cardmembers have $0 liability for fraudulent or unauthorized charges.

Card Member Costs

Chase Sapphire Preferred cardmembers and Citi ThankYou Premier account holders won’t have additional fees for transactions made outside the United States. However, both travel credit cards come with an annual fee of $95. Currently, both card providers waive the annual fee for the first year. Neither Chase Sapphire Preferred nor Citi ThankYou Premier applicants are offered a low introductory interest rate on purchases or a promotional rate on balance transfers at this time.

The Chase Sapphire Preferred credit card has a variable interest rate that fluctuates with the broad market. This typically ranges from 16.24% up to 23.24%, depending on the creditworthiness of the applicant. Balance transfer interest rates are the same as purchase rates. A fee of $5 or 5% (whichever is greater), is applied to all balances transferred to the card. The cash advance APR for Chase Sapphire Preferred customers is 25.24%, and a fee of $10 or 5% (whichever is greater) applies.

The Citi ThankYou Premier credit card also has a variable interest rate for purchases, depending on credit history and score. Similar to the Chase option, balance transfer made to the Citi card receive the same APR as purchases, and a $5 or 3% (whichever is greater) applies. Cash advance interest rates are a standard 25.49% with a $10 or 5% fee (whichever is greater).

The Verdict

The Chase Sapphire Preferred and the Citi ThankYou Premier credit cards are great options for individuals who are on the go. For those interested in an upfront bonus, the Chase Sapphire Preferred card is a smarter option. Those looking for higher rewards potential on travel purchases should look at the Citi card. Both travel credit cards offer substantial discounts on trips arranged through their travel sites. The absence of foreign transactions fees for either card make them both appropriate for overseas travelers. The other fees are comparable. Neither card is great for someone looking for an introductory 0% offer on purchases or balance transfers. Prospective card members should consider the total cost of each card and the corresponding benefits prior to applying.

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The Best Walmart Credit Card

As the world’s largest retailer, you might visit Walmart for your everyday shopping and groceries. If that’s the case, each shopping trip can be even more rewarding with the best Walmart credit card. Whether you shop online or in-person, find out which credit card is the best for you.

When you shop at Walmart, be sure your credit card or rewards debit card always earns at least 1% (1 point) per dollar spent. All the cards on this list earn at least 1% on each Walmart purchase, and you can qualify for at least one of these cards when your credit score is higher than 550.

Walmart Credit Card vs Walmart Mastercard

Let’s start with Walmart’s own two credit cards.

Walmart offers two co-branded consumer credit cards through Synchrony Bank:

  • Walmart Credit Card
  • Walmart Mastercard

You can apply for either card online or at any Walmart store.  Both cards have the same 3-2-1 purchase rewards program, but the Walmart Credit Credit only works at Walmart stores; it’s a store charge card.

Best Walmart credit card

Between these two cards, Walletpath recommends the Walmart Mastercard because it is a full-fledged credit card that is accepted by any merchant in the world that accepts Mastercard. However, you generally need a credit score of 660 or higher to be approved. If your score is between 550 or the mid-600s, you may have to apply for the Walmart Credit Card instead.

Neither card charges an annual fee. Both cards will improve your credit score with on-time payments.

Earn Up to 3% on All Walmart Purchases

No matter which co-brand Walmart credit card you go with, you will enjoy the 3-2-1 rewards program that is rewarded with a cash statement credit:

  • 3% back on all Walmart.com purchases (includes Walmart Pickup and Site-to-Store)
  • 2% back on Murphy USA & Walmart gas purchases
  • 1% back for in-store Walmart purchases and anywhere else

Remember, only the Walmart Mastercard can be used for non-Walmart purchases.

The Walmart credit cards earn the highest rewards for online purchases. This higher reward rate is most likely Walmart’s way of taking the online retail fight to Amazon. Since Walmart now lets you buy your groceries and non-groceries online, you can get 3% back by shopping ahead of time and then driving to Walmart to pick it up.

Citi Double Cash

If you want a flat rate cash rewards card that earns 2% on every single purchase, regardless of where you shop, the Citi Double Cash is one of the best. The reason why is because most cash back credit cards only earn 1% or 1.5%; you get an extra 1% on every dollar by paying your bill on-time.

Citi Double Cash

If you shop online at Walmart.com, the co-brand Walmart credit cards will still earn an extra 1%. Otherwise, the Double Cash pays the same on Walmart gas purchases and an extra 1% on in-store purchases.

When you primarily shop in-store, the Double Cash is a better option if you qualify. Online forums indicate you typically need “excellent” credit of 700 or above to qualify for the Citi Double Cash. You can usually qualify for the Walmart Mastercard with “good” credit (660 or above) and the Walmart Credit Card (Walmart purchases only) is issued to applicants with a credit score of 550 or higher.

Chase Freedom

If you want a card with more flexibility but can still earn bonus points at Walmart, take a look at the Chase Freedom.

The Freedom is a cash back rewards card that earns 1% on all purchases but has a 5% rotating bonus category. In 2017, consumers earned 5% on the first $1,500 spent at Walmart in the 4th quarter.

Chase Freedom

The 2018 Chase Freedom bonus categories make it even better to earn bonus rewards at Walmart. In the first quarter 2018, you can get 5% cash back when you pay with a digital wallet (i.e. Chase Pay, Apple Pay, Samsung Pay).

If Chase offers 5% back at Walmart to close 2018, that’s two-quarters of 5% cash back at Walmart! No other credit card can make the same claim.

Two Reasons to Consider the Chase Freedom

There are two reasons the Chase Freedom can be the best Walmart credit card for you.

Firstly, you can redeem your rewards points for statement credits (like the Walmart co-brand credit cards) or you can also redeem them for gift cards or even award travel. As a part of the Chase Trifecta, it’s even possible to transfer your points directly to your favorite airline or hotel if you prefer travel rewards to cash back.

Secondly, the Chase Freedom earns bonus rewards points on non-Walmart purchases too. If you primarily shop in-person at Walmart, you will only earn 1% with Walmart’s own credit cards–the same reward rate as the Freedom in non-bonus months.

You have nothing to lose by using a flexible rewards card to keep all your points in one place. Not only will you earn potentially more rewards, they will also be more useful and practical.

Discover It Secured Credit Card

If you have poor credit (550 or higher), you have two good credit card options to earn at least 1% back at Walmart. When the Walmart Credit Card isn’t flexible enough, you need to take a look at the Discover It Secured Card.

This is one of the few secured credit cards that doesn’t charge an annual fee and also earns purchase rewards. You will earn:

  • 2% on restaurants and gas stations (first $1,000 in combined spending every quarter)
  • 1% for all remaining purchases

You sacrifice 3% cash back on all Walmart.com purchases, but you get a credit card that earns at least 1% anywhere you use it. Since you probably shop at more places than Walmart, this can be a better option.

Another reason to consider the Discover It Secured Card is that Discover will match your purchase rewards dollar-for-dollar at the end of the first year as a sign-up bonus. If you earn $100 in rewards, Discover will give you an additional $100 for free!

What is the Best Walmart Credit Card For You?

So you can easily choose the best card for you, let’s do a quick review of why you might like or dislike each of the recommendations.

  • Walmart Mastercard: Earn 3% on Walmart.com purchases, accepted anywhere, only need good credit
  • Citi Double Cash: Earn 2% on all Walmart and non-Walmart purchases, need excellent credit
  • Chase Freedom: Earn up to 5% at Walmart, rewards points can be redeemed for cash, gift cards, and travel
  • Walmart Credit Card: Only works at Walmart, good option if you have poor credit (550+)
  • Discover It Secured: Get up to 2% back on all purchases while you build credit

If you primarily shop online at Walmart, their own co-brand cards will give you the most cash back on a consistent basis. A flexible rewards card is better if you don’t want a monthly statement credit or want to earn bonus points for non-Walmart purchases too.

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MGM M Life Rewards Credit Card Review

If you’re someone who visits the Las Vegas casinos pretty often, you’d be aware that the dozen plus MGM Resorts on the strip have ended their long-time policy of providing free parking. The new parking rates vary from property to property and are in the range of $8 to $18 per day for the self and valet parking facilities. This may prove to be a huge deterrent for people who used to just parks their cars, play for a few hours, and then leave.

MGM MLife Cards

However, you need not worry about any such parking woes if you have the MGM Resorts’ also recently launched M Life Credit Card! This card not only saves you the parking charges, but also gets you other benefits like discounted stays, priority reservations, free room upgrades and much more. Let’s carry out a detailed review of this card and see if it’s really worth carrying in your wallet.

MGM Resorts launched this new M Life Rewards credit card in collaboration with the First Bankcard, a First National Bank of Omaha’s division, and one of the leading issuers of credit cards. The rewards program is open to all the guests, and is targeted at transforming the everyday visitors to MGM properties into VIPs. The card holders get rewarded for almost every dollar they spend at the renowned MGM destinations throughout the US.

Some quick facts related to the card

  • The mlife.com website has been specially set up to enable cardholders to go through the personalized offers and create their own itineraries. Furthermore, members can stay updated about their current tier credits, PointPlay, FreePlay, Express Comps, tier level and other M Life info through the M Life mobile app.
  • Card holders can earn rewards at 15 different MGM resorts destinations throughout US, including Detroit, Mississippi and Las Vegas. The rewards can be earned on dining, spas, entertainment, stays, casino play and more attractions.
  • Benefits, rewards and various offers increase with every tier level, starting from the basic Sapphire status and advancing onto the Pearl, Gold, Platinum and the invitation-only Noir status.
  • The extent of benefits vary depending on the tier level of the card, and reflect in the special room offers, priority reservations, room upgrades, VIP services, presale access to flight tickets, privileged access to concert tickets, show-seating upgrades and much more.
  • The VIP access facility isn’t just limited to the MGM properties and can be availed at various M Life preferred partners.
  • Some of the participating resorts in the promotion are MGM Grand, Aria, Delano Las Vegas, Excalibur, Beau Rivage, Vdara, The Signature MGM Grand, Monte Carlo, The Mirage, Gold Strike, Luxor, Mandalay Bay, New York – New York, Bellagio and MGM Grand Detroit.
  • The M Life membership comes free of cost.

Some main benefits of the card

Following are some of the primary marketing points of the MGM M Life Rewards card:

  • A sign up bonus of 10,000 points, provided you spend at least $ 1000 during the first three months.
  • The point structure of the card is as follows:
  • 3 points for every dollar spent at the M Life rewards destinations.
  • 2 points for every dollar spent at supermarkets and gas stations.
  • 1 point for every dollar spent everywhere else.
  • Zero foreign transaction fees
  • Zero annual fee
  • Priority check-in facility at all the M Life rewards destinations
  • Points earned on the card can be redeemed for Express Comps or FreePlay.
  • 1 tier credit awarded for every point earned
  • Automatic upgrade of the status to the Pearl level, which gets you buffet-line pass and complimentary self-parking at various M Life rewards destinations in Las Vegas and much more.

The actual worth of the points

How a rewards credit card fares depends a lot on how the points earned on it can be redeemed. As also mentioned above, the points earned on MGM M Life card can be redeemed for Express Comps or FreePlay at various M Life destinations. Let’s look into these two in some detail below:

  • As evident from its name, FreePlay refers to the basic gambling credits. You can use these credits for a large majority of video poker and slot games.
  • Express Comps on the other hand are resort credits. So, anything charged to a room can possibly be paid via Express Comps. These comps are basically perceived as the fastest, best and most convenient method to comp oneself at various M Life hotels, entertainment venues and restaurants. So, if you get that sudden urge to eat something while gambling in the casinos, you can use these comps for grabbing a bite at the closest participating venue. As they appear in their actual dollar value, these Express Comps make rewards’ redemptions simpler and transparent.

Every M life point is equivalent to 1 cent, no matter whether you use it in the form of FreePlay or Express Comp. Hence, the signup bonus of 10,000 points can be converted into $ 100. Please also note that you must redeem at least 1000 points or $ 10 while using them for the Express Comps. The Express Comps are capped at $ 5000 in general and at $ 10,000 in case of Noir status.

Different status levels

The different status levels of the card is another major benefit apart from the different bonus categories and the signup bonus. An automatic Pearl status is granted to all cardholders if they keep their cards in good standing and constantly active. In addition, 1 tier credit is awarded for every M Life point earned.

Pearl Status

Every cardholder signs up with the basic Sapphire status and gets graduated to the Pearl status by earning 25,000 tier credits or maintaining good account activity. Some of the benefits of Pearl status are:

  • 10% discount at all participating retail outlets
  • 10% bonus on the Express Comps and points
  • Buffet line pass at various M Life rewards destinations in Las Vegas
  • Complimentary self-parking at various M Life rewards destinations in Las Vegas

Gold, Platinum and Noir status

Following are some of the respective unique benefits of these three different status levels:

Gold status – Earned by accumulating 75,000 tier credits

  • VIP access to various pool day clubs and nightclubs
  • Priority check-in at various hotels
  • 20% bonus on the Express Comps and points

Platinum status – Earned by accumulating 200,000 tier credits

  • Annual complimentary Royal Caribbean Cruise
  • Priority taxi and valet service
  • 15% discount at all the participating retail outlets
  • 30% bonus on the Express Comps and points

Noir status – Earned by invitation only

  • Annual complimentary Royal Caribbean Cruise
  • Complimentary limousine service from and to the airport
  • 40% bonus on the Express Comps and points
  • Guaranteed reservations at various restaurants, shows and rooms

Status match with Hyatt

Please note that M Life and Hyatt have a strategic partnership with each other. So, if you already have a Hyatt Card, you can match it to a corresponding M Life card status and enjoy its benefits.

  • The basic membership Hyatt card can be matched to the Sapphire status M Life card
  • The Platinum status Hyatt card can be matched to the Gold status M Life card
  • The Diamond status Hyatt card can be matched to the Platinum status M Life card

Final Verdict

Considering that many resorts and hotels on the strip have started charging for parking, you may simply be interested in this zero annual fee card for enjoying free parking benefit. How often you’d actually get to use that free parking facility is something you need to consider. Signup bonus isn’t exceptional as you’re getting only around $ 100 value. There are plenty of other rewards credit cards out there that give you better cash bonus. Bonus spending categories aren’t too interesting either, when compared to other rewards cards. So, get it only if you’re a regular at Las Vegas and that too at the MGM properties.

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How do I redeem my Chase Freedom Points?

The Chase Freedom credit card is one of the most popular cash-back cards on the market. The Chase Freedom card is attractive because it does not impose a fee on card members, and current promotional interest rates offer 0% on both purchases and balance transfers for qualified applicants. Card members are also drawn to the Chase Freedom rewards program as a way to earn cash-back on all purchases. The card functions as a rotating bonus rewards program, meaning additional rewards points are earned during certain times of the year for specific retailers or categories of purchases. The card also offers a flat-rate cash back for purchases made outside the bonus categories throughout the year. Before learning how rewards can be redeemed, let’s take a look at how rewards are earned.

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Chase Freedom Rewards Potential

Card members with Chase Freedom earn 5% cash back on purchases made in bonus categories each quarter. As an example, bonus categories in the past have included grocery stores and restaurants, gas stations and home improvement stores, and wholesale clubs like Costco or BJs. To earn rewards in bonus categories, card members must activate the enhanced rewards program each and every quarter. Combined purchases of up to $1,500 in bonus categories are eligible for the 5% cash back reward.

In addition to the 5% cash back potential, Chase Freedom card members earn 1% on purchases that fall outside the quarterly bonus categories. Card members are no up against a limit as far as earning rewards is concerned, and the benefit is automatically activated at the time the card is opened. Additional rewards points may be earned through promotions for new card members, including a $150 cash back bonus when $500 or more in purchases are made using the card within the first three months after account opening. Adding an authorized user also earns card members $25 bonus cash back when a purchase is made within the same three-month time frame.

Chase Freedom rewards points do not expire, giving card members flexibility as to how rewards are used over time. But the greatest benefits to the Chase rewards program is the ability to redeem points in a variety of ways.

Redeeming for Cash

Chase Freedom rewards points can be redeemed for cash easily through the card issuer’s website, by calling a representative with Chase, or by visiting a Chase Bank branch location. Card members who opt for cash can use accumulated rewards points to obtain a statement credit to reduce the outstanding balance held on the card. Card members should note that a statement credit does not alter the minimum payment due. Alternatively, cash back can be redeemed as a direct deposit in to a checking or savings account held at a financial institution within the United States. For both statement credit and direct deposit redemptions, a minimum of 2,000 points – the equivalent of $20 – is required.

Redeeming for Gift Cards or Shopping

Chase Freedom card members also have the ability to redeem accumulated cash back rewards for select gift cards made available through Chase’s Ultimate Rewards site. Participating retailers include major stores such as Lowes, Home Depot, Target, Amazon and Apple (iTunes), and more than 70 partners make gift cards available through the Chase rewards program. While it is necessary to have the same minimum accumulated rewards balance of 2,000, gift cards can be redeemed in amounts as small as $5, or 500 points.

Chase Freedom rewards points may also be used to shop directly through certain partner sites, the most notable being Amazon.com. Through the Ultimate Rewards portal, card members with at least 2,000 points can link their individual Amazon.com account to Chase and utilize points at checkout. Card members who download the Chase Freedom mobile app have additional options for direct shopping with accumulated points. Through the app, card members select the merchant they wish to pay (more than 30 are available at this time), and the amount they want to spend. Chase creates a custom gift card specifically for that store that is available through the app. When the card member is ready to pay, they simply present the phone at checkout for the amount selected.

Redeeming for Travel

One of the most attractive ways to redeem points through Chase Freedom is on travel purchases. Through the Chase Ultimate Rewards site, card members have an overwhelming number of options including air fare, hotel stays and rental car reservations. Additionally, Chase aggregates a number of activities catered to family-friendly adventures or vacations, romantic getaways or outdoor fun. The site also provides a list of location-specific activities for card members, such as museum visits, new and noteworthy restaurants and community events.

Redeeming Chase Freedom rewards through the site also requires a minimum of 2,000 points, although some travel partners may require a higher number of points to make purchases. Any purchases made above and beyond the total available points value may be completed using the linked Chase Freedom credit card, and those balances earn points at the flat cash back rate of 1%.

Card members also have the opportunity to combine cash back rewards earned through the Chase Freedom credit card with other credit cards offered through Chase Bank. Moving points does not cost the card member anything, and it can be done as long as the card remains in good standing with Chase. All Chase cards that offer the Ultimate Rewards program are eligible for points transfer, as long as the card member is the same, a spouse or a domestic partner.

The Chase Freedom Ultimate Rewards program offers a number of ways to utilize cash back earned in either the bonus categories or through regular purchases that earn a flat rate. Card members have the opportunity to redeem accumulated rewards as statement credits for their Chase Freedom credit card balance, or via direct deposit into a bank account. Gift cards and shopping experiences are also available through the Ultimate Rewards site or through the Freedom rewards mobile app. Travel, activities and local events may also be purchases using cash back rewards through Chase Freedom. As long as the minimum amount of points are available, card members can use cash back however it best fits their needs.

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The Slate vs the Freedom Rewards Card

Finding the right credit card can be a daunting task, especially with the myriad of choices available from a slew of various issuers. Differences in rewards programs, promotional offers and card member fees play a major role in which card is best suited for specific borrowing needs. Some popular credit card issuers like Chase Bank have simplified the process by designing credit cards for those seeking out very specific card member perks. The Chase Slate credit card and the Chase Freedom credit card are two very different options that deserve a closer look.

credit card close up-600Chase Logo

A Dream for Balance Transfers

The Chase Slate credit card is designed for individual borrowers looking for a low-cost way to transfer balances from higher interest rate cards or those in need of a low introductory interest rate. The current balance transfer promotion for Chase Slate card members is attractive because it extends beyond most comparable balance transfer offers in terms of time to repay. New Chase Slate card members who transfer a balance to the credit card within 60 days of account opening receive 15 months of 0% interest on balance transfers, and the balance fee of the greater of $5 or 5% is waived for the first transaction. For individuals with a high-interest rate balance on a different card, the balance transfer offer through Chase Slate is second to none.

In addition to the balance transfer promotion, new Chase Slate card members have a 0% interest rate on any purchases made within the first 15 months after account opening. After the promotional period ends, the standard APR for well qualified card members is 13.24%; applicants with less than exemplary credit may qualify for a standard APR of 18.24 or 23.24%. Balance transfer rates revert back to the standard rate assigned at the time of account opening as soon as the promotional period ends. The Chase Slate card does not impose an annual fee for card members, making it an attractive choice for those with high spending needs or high interest rate balances elsewhere.

The Chase Slate card does not offer any rewards program at this time.

Rewards Aplenty

The Chase Freedom card is best suited for individual borrowers seeking out a strong rewards program. Card members earn 5% cash back on rotating bonus categories each quarter, including gas stations, certain retailers and restaurants, up to a maximum of $1,500 in purchases. All other purchases made with the Chase Freedom card earn card members a flat rate of 1% cash back with no cap on earnings. The bonus categories must be activated each quarter to ensure rewards are earned, but the 1% cash back is and automatic benefit.

The Chase Freedom credit card offers a similar promotion to new card members in terms of the purchase APR and the balance transfer APR. Qualifying applicants receive 0% interest on both purchases and balance transfers for the first 15 months after account opening. Chase Freedom differs from Chase Slate in that the balance transfer fee of 5% still applies. After the promotional period ends, the standard purchase and balance transfer APRs can be as low as 14.24%. Card members may also qualify for a standard APR of 19.24% or 23.24% if credit history or score are not ideal.

Chase Freedom card members also have the potential to earn $150 in bonus cash back when $500 or more is spent within the first three months after account opening. Adding an authorized user to an account also boosts cash back earnings by $25, but only when the user is added and makes a purchase within the first three months. Cash back rewards earned with Chase Freedom do not expire as long as the account remains in good standing. Rewards can be redeemed for cash, check out at Amazon.com, gift cards from select retailers, or through Chase’s travel site. A minimum of $20 must accumulate prior to redeeming rewards. Chase Freedom does not carry an annual fee.

Chase Card Member Perks

All Chase credit card members have access to a variety of additional benefits, most focused on enhanced security. Both the Chase Slate and Chase Freedom credit cards are chip-enabled which offers a greater level of acceptance around the world. Purchases made with either card are also covered by zero liability protection. This means that unauthorized charges or fraudulent purchases are not the responsibility of the card holder, up to certain limits. Chase card members also have purchase protection and extended warranty protection for eligible purchases.

Chase Slate and Chase Freedom credit cards also provide auto rental collision damage waivers, roadside assistance and dispatch, and travel insurance for those on the go. The Chase Slate card also waives foreign transactions fees making it more attractive to travelers; the Chase Freedom card assesses a foreign transaction fee of 3% per purchase.

Chase offers a unique feature to card members in its BluePrint payment system. Card members can elect to customize payments based on the type of purchases made and the amounts spent over a single billing cycle. For borrowers who carry balances over from one month to the next, BlutPrint is a smart way to control spending and repayment that is truly unique to each card member.

Which Card is Right for You?

The Chase Slate card is a simple credit card that does not offer a rewards program in terms of cash back or travel points. Instead, Chase Slate card members can take advantage of the inexpensive balance transfer offer or the introductory 0% APR to save cash for other needs. Applicants need to have excellent credit in order to qualify for the Chase Slate card, setting it apart from the Chase Freedom option.

The Chase Freedom credit card is best suited for individuals with a penchant for points. The rotating cash back bonus categories offer a way to boost earnings for card members who spend consistently on certain purchases, and the flat rate cash back helps keep rewards accumulating outside the bonus categories. The introductory purchase rate and balance transfer offer for Chase Freedom is attractive for cost-conscious card members, but the balance transfer fee makes the card more expensive than Chase Slate. Both Chase credit card options can be used as standalone cards or in marriage with one another to enhance the experience.

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Comparing the Capital One Quicksilver and Chase Freedom Rewards Cards

Credit cards that offer rewards programs for card members are a smart way to earn extra cash toward purchases for savvy users. In recent years, the number of credit card rewards programs made available to qualified applicants has grown substantially, making it difficult to weed through the good, the bad and the ugly. For example the Chase Sapphire Preferred & Capital One Venture compare quite differently than marketed. And both the Chase Freedom and the Capital One Quicksilver credit cards are strong contenders for cash back rewards, but they differ greatly in terms of their rewards programs, additional card member benefits and total costs associated with owning the card. Here’s the skinny on each.

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Rewards Program Breakdown

The Chase Freedom credit card offers a rotating bonus cash back schedule, on top of a flat rate rewards program. Under the rotating bonuses tier, card members earn 5% cash back on purchases made within each applicable category for the time frame defined within the cardholder agreement. For the 2016 calendar, Chase Freedom card members earn 5% cash back on purchases made from gas stations and local commuter transportation, not including parking, Amtrak purchases or tolls. The second quarter offers the same cash back bonus on grocery store purchases, not including Walmart or Target stores, while the third quarter includes restaurants. The fourth quarter is typically geared toward holiday shopping with specific retailers and online partners added as the season begins. Card members earn the 5% cash back bonus on up to $1,500 in purchases, each quarter. All other purchases made with the Chase Freedom credit card earn 1% cash back with no limit.

The Capital One Quicksilver card differs from the Chase Freedom option in that it does not offer bonuses on specific spending categories. Instead, the credit card is a flat rate rewards card that offers 1.5% cash back on all purchases with no limit. The idea behind the Capital One Quicksilver card is focused on simplicity as card members do not need to track spending in certain categories or time purchases to ensure they receive the most benefit from their card.

Card members with Chase Freedom have the potential to earn more on certain purchases than Quicksilver cardholders, but the cap on earnings with Chase makes it difficult to capitalize fully on cash back rewards. Additionally, card members have the activate each bonus cash back category at the beginning of each quarter to ensure they receive the additional rewards points. Capital One Quicksilver card members can redeem rewards in any amount at any time, while Chase Freedom account holders have to accrue $20 worth of rewards before redemption is an option. Both credit cards offer statement credits and cash deposits as options for redeeming rewards, and rewards do not expire. Chase Freedom offers additional ways to redeem rewards, including shopping directly through the Chase mobile app or purchasing gift cards directly through Chase from partner retailers.

Added Card Member Perks Comparison

Currently, new card members can earn $100 cash back bonus if $500 in purchases are made within the first three months after account opening. The Chase Freedom credit card has a $150 one-time bonus with the same spending and time frame parameters. Both cards also provide for authorized users to be added to the accounts, and no annual fee.

Both the Chase Freedom credit card and the Capital One Quicksilver card provide additional benefits and protection to card members through the following comparable features:

  • Purchase protection up to certain limits
  • Extended warranty protection
  • Trip interruption/cancellation insurance
  • Travel accident insurance
  • Rental card damage waiver
  • Lost luggage reimbursement

In addition to these benefits, Chase Freedom also offers price protection and return protection on purchases made with the card, as well as Roadside Assistance Dispatch services. Capital One Quicksilver card members have access to a 24/7 concierge, luxury hotel discounts, sports experiences and other shopping discounts. Capital One stands out in the additional perks category by also offering free access to Credit Tracker which allows card members to access their credit score and changes to their credit profiles any time from the mobile or desktop apps. Chase Freedom does not currently offer credit information directly to card members.

Card Member Costs

Both rewards credit cards are currently offering new card members low introductory interest rates on purchases and balance transfers, although one is a stronger offer than the other. Chase Freedom has a 0% purchase APR for the first 15 months after account opening, after which time the interest rate reverts to a variable rate ranging from 14.24% up to 19.24%. Chase is also offering a balance transfer promotion for new card members that includes a 0% interest rate for the first 15 months after the balance is transferred. The balance transfer rate reverts to the same as the purchases APR after the promotional period expires. Card members should note the balance transfer fee of 5% is applied.

Capital One Quicksilver card members have access to a 0% purchase APR for the first nine months after account opening, after which time the rate reverts to a variable APR that ranges from 13.24% up to 23.24%. Balance transfers are also available through Capital One with a 0% APR for the first nine months. After the promotional period ends for balance transfer made through the Quicksilver card, card members receive a variable rate that is the same as the purchase APR assigned at the time the account was opened. The balance transfer fee for Capital One is 3%.

Neither the Chase Freedom Card nor the Capital One Quicksilver card carries an annual fee. However, Capital One does not impose foreign transaction fees on its card members, while Chase does at a clip of 3% per transaction. The late fee assessed for both cards can be as high as $35, while the fees for returned payments vary.

Final Thoughts

Both the Capital One Quicksilver and the Chase Freedom cards offer strong rewards programs to card members, but the variations may suit some spenders more so than others. For those who spend heavily in bonus categories each quarter, the Chase Freedom credit card is a no brainer. But for account holders who prefer simplicity and a flat rate rewards program, the Capital One Quicksilver card definitely takes the cake. The one-time bonus cash back offers are similar for each card, but those who want to take advantage of a 0% purchase or balance transfer APR may be drawn more toward the Chase option. Without an annual fee and no expiration on earned rewards, both the Chase Freedom and Capital One Quicksilver cards provide cost effective benefits to card members.

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Review of the Black American Express Centurion Rewards Card

Not many rewards credit card are secretive – issuers make card member benefits, the details of rewards programs, interest rates for purchases and balance transfers, as well as total carrying costs readily available to the masses. But one credit card breaks that common mold. Rumors surrounding the American Express Centurion Rewards card, also known as the AMEX Black card, surface far more than accurate data about how the card works and to whom it is offered. This review provides a detailed look into the mysterious AMEX Black credit card, assumptions and misinformation aside.

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Centurion History

The American Express Centurion Rewards credit card may be the only one in history that had a presence in the market before it actually existed. Whispers of a secretive credit card made available to only the financial elite – those with big bank accounts and even bigger spending habits – swirled around like wildfire. Everyone wanted the coveted Black card as a sign of status among friends and colleagues. The problem? It didn’t exist.

In response to numerous inquiries regarding the non-existant card, American Express delighted questioning consumers by creating an invitation-only program available only to highly qualified applicants. The American Express Centurion rewards credit card was born, and has been sought after since its establishment in 1999.

Black Card Basics

As an invitation-only program, AMEX Black card holders do not go through an application process to see if they qualify for membership. Instead, American Express evaluates potential card members by reviewing spending habits on current American Express cards, total reported income and in some cases, total net worth. While the details regarding the criteria for acceptance into the Centurion card member class are not listed anywhere on the American Express cite, data leads one to believe that spending of no less than $250,000 each year and an income or net worth high enough to support that level of spending is the starting point for an invitation. Some suggest that being a heavy spender with American Express for a minimum of one year is also a requirement, although there is no specific language in the card member agreement that makes this fact.

Elite Rewards

The American Express Centurion rewards credit card offers similar incentives for ongoing use as do other American Express credit cards. Rewards accumulate at a rate of one point per each dollar spent, with no listed limit on earnings. With typical AMEX membership rewards, redemption can be used for the following:

  • Statement credits
  • Retailer gift cards
  • Travel
  • Shopping

While these rewards categories are fairly common not only among American Express but from other competing card issuers, Centurion card members are given additional rewards and perks that boost them to a truly elite status.

American Express Centurion rewards can be used for points transfers to specific partners, including airline frequent flyers programs and frequent stay programs through luxury hotels. The ability to transfer points from the Centurion coffers to frequent flyer or frequent stay programs gives card members a much faster way to reach top tier status, thus earning free flights, free stays and other perks not available to regular travel or rewards credit card members. In addition, Centurion card members gain access to certain airport lounges and clubs, priority boarding and seating programs, fine hotels and resorts programs, cruise privileges, and luxury destination programs, all at no cost. A $200 airline reimbursement is also available each year the card is maintained.

An incredibly valuable benefit afforded American Express Centurion rewards card members is the dedicated concierge. Card members have access to a 24/7 concierge line that provides benefits not common to other rewards credit cards. Perks include reminder calls before important dates, such as anniversaries or birthdays, personal shoppers at high-end retailers, assistance with making travel arrangements and the ability to secure pricey tickets to sold-out sport or entertainment events. While other American Express card members have access to a concierge services that is similar, Black card members are given priority each and every time.

The Cost to be a Black Card Member

One of the only revealing pieces of information readily available to those interested in becoming an American Express Centurion rewards credit card member is the cost associated with the card – arguable the highest among all rewards credit cards. Card members who are invited to accept the Black card are assessed a $7,500 set-up fee to start, followed up by an annual fee that averages $2,500, making the initial cost of simply accepting the card $10,000. The annual fee changes based on the country in which the card member lives, but the invitation fee remains steady for all new card members.

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While the upfront and ongoing fees for the American Express Centurion rewards credit card may seem stark, the value of the ongoing rewards and the elite status the card brings are far greater for most card members. Additionally, no other fees are charged for using the card, such as foreign transactions fees or redemption fees. Card members are not assessed an interest rate for purchases, balance transfer or cash advance transactions because any balance charged on the card must be paid in full at the end of each billing cycle. Any late payment that exceeds 60 days is assessed a $37 fee or 2.99% of the outstanding balance, whichever is greater. Card members are not restricted by a set credit limit each month.

Final Thoughts

The American Express Centurion rewards credit card is not something most everyday credit card users have an opportunity to experience. The lofty qualifications in terms of income, net worth and annual spending make most ineligible for the card; even if you believe you meet these requirements, American Express does not allow individuals to apply for or explicitly request a Black card membership. Instead, a thorough evaluation process is done in house, and invitations to accept a new Centurion card are sent directly to qualified card members.

If you are fortunate enough to receive an invitation, the Centurion card is far from free. The initial $10,000 fee and annual $2,500 membership charge can be well worth it if a high level of spending is maintained throughout the year. Rewards translate quickly to elite status among major airlines, hotels and resorts, and the added bonus of the dedicated concierge service may wipe away any concern over the Black card’s fees.