This evaluation of the PenFed Power Cash Rewards Visa Signature Card can help you decide if it’s the ideal cashback credit card for you. PenFed Power Cash Rewards
Here are the highlights of the Visa Signature® Card:
- No annual fee
- 2% cash back for Honors Advantage members and 1.5% back for everyone else
- $100 bonus offer for new cardholders
- Access to exclusive rewards and deals
- 0% APR balance transfer for 12 months
- 3% balance transfer fee
Visa Signature® Card: Main Benefits & Perks
The Visa Signature® Card offers many benefits, including the following.
2% Cash Back on Purchases if You Qualify
PenFed members who are eligible for an Honours Advantage membership can earn 2% cash back on all purchases made with the Visa Signature® Card, with no limits. To qualify for a membership, you must meet one of the following:
- Be an active military member
- Have an active PenFed checking account in good standing
If you don’t qualify for Honours Advantage membership, you can still earn an impressive 1.5% cash back on purchases.
Many Ways To Redeem Rewards (PenFed Power Cash Rewards)
You can redeem your rewards in many ways, including a statement credit, a deposit into your PenFed bank account, or an external transfer to another bank account.
No Annual Fee
Many rewards credit cards have hefty annual fees to make up for the rewards paid. However, this PenFed credit card does not have an annual fee, nor does it limit the rewards you can earn.
Introductory Offers
The Visa Signature® card runs promotions for new cardholders to earn free money. The current promotion offers $100 if you spend $1,500 within the first 90 days of having the card.
- Keep Reading: Best Credit Card Sign-Up Bonuses
0% Balance Transfer APR for 12 Months (PenFed Power Cash Rewards)
New cardholders can get a 0% balance transfer APR for 12 months. However, there is a 3% fee for all balances transferred.
Access to Visa Signature® Discounts
Using your Visa Signature® Card may make you eligible for exclusive deals and rewards at partner retailers. This includes shopping, dining, hotels, car rentals, and entertainment discounts.
Visa Signature® Card: Main Drawbacks
As is the case with all credit cards, there are downsides to consider.
No Introductory APR on Purchases
If you were hoping to save money on a large purchase with a 0% purchase APR, you won’t find it with PenFed. They only offer the 0% intro APR on balance transfers, not purchases.
Not Everyone Earns 2% Cash Back (PenFed Power Cash Rewards)
The credit card advertises a high 2% cash-back reward, but you must qualify for it by at least having a PenFed checking account unless you’re a military member.
Not to mention, you must be a member of the PenFed credit union; however, anyone is eligible with a $5 opening deposit in a PenFed savings account.
3% Balance Transfer Fee
Even with the 0% APR on balance transfers, you will still incur costs. PenFed charges a 3% balance transfer fee on all balance transfers. That’s $3 for every $100 you transfer.
Small Welcome Bonus
Although PenFed offers a welcome bonus, which is a benefit not provided by all credit card companies, the amount is relatively small at only $100 compared to other offers. You could likely find better promotions at banks that don’t require membership.
Who Is The Card Best For?
If you’re looking for a rewards credit card that doesn’t require you to track categories and doesn’t have an annual fee, you found it in the Visa Signature® Card.
It’s best if you max out your rewards at 2% just by having a PenFed checking account, but even 1.5% is a nice perk when you don’t have to worry about which categories you’re spending in to get the rewards.
Best Alternatives To PenFed Power Cash Rewards Visa Signature® Card
The PenFed Power credit card isn’t the only rewards credit card available. Here’s how other cards stack up.
Wells Fargo Active Cash® Card (PenFed Power Cash Rewards)
The Wells Fargo Active Cash® Card has no annual fee and pays an unlimited 2% back on all purchases. Cardholders also get a 0% APR for 15 months. This bonus applies to purchases and balance transfers, and you don’t have to belong to a credit union to get it.
American Express Blue Cash Preferred® Card
The American Express Blue Cash Preferred® Card requires you to track categories, but you can earn an impressive 6% back on groceries up to $6,000 annually, 6% on streaming services, 3% on transit and gas, and 1% on everything else.
There’s no annual fee for the first year, but it’s $95 annually after the first year.
Citi Double Cash® Card
The Citi Double Cash® Card pays 1% back when you purchase items and another 1% when you pay your bill. There’s no limit on the amount you can earn, and they offer a 0% APR on balance transfers for 18 months.
Frequently Asked Questions
The Visa Signature Card has many benefits. Here are some common questions we get about it.
Is the PenFed Power Cash Rewards Visa Signature® Card a Good First-Time Credit Card?
If you’re a member of PenFed credit union, taking advantage of the PenFed Power Cash Rewards Visa Signature® Card makes sense.
It doesn’t have an annual fee and has some nice perks, especially if you have a PenFed checking account. However, if you don’t have any credit built up yet, it may be tough to qualify for.
Does the Visa Signature® Card Have a Cashback or Rewards Programme?
Yes, the Visa Signature® Card pays all cardholders 1.5% back on all purchases. But, if you’re a PenFed Honours Advantage Member, they pay 2% back on all purchases. All it takes to qualify is to have a PenFed checking account.
Does the Visa Signature® Card offer an introductory APR on balance transfers?
Yes, you can get a 0% APR on balance transfers for 12 months. However, there is a 3% balance transfer fee on any amount transferred.
Does the Visa Signature® Card Do a Hard Pull?
PenFed does a rigorous credit pull if you apply for the card. This may hurt your credit score slightly at first, but if approved and if you use the card responsibly, you can get those points back pretty quickly.
How Do I Get the Visa Signature® Card Sign-up Bonus? (PenFed Power Cash Rewards)
To earn the $100 cash bonus, you must spend $1,500 in the first 90 days you have the card.
Does the Visa Signature® Card Have Pre-Approval?
Yes, you can get pre-approved on their website and have an answer in seconds.
Can I Use the PenFed Power Cash Rewards Visa Signature® Card Anywhere?
You can use the Visa Signature® Card at any location that accepts Visa, including thousands of retailers and establishments.
Is the Visa Signature® Card Best for You? (PenFed Power Cash Rewards)
You can’t go wrong with the Visa Signature® Card. It doesn’t have an annual fee, pays a $100 bonus if you meet the requirements, and offers a 0% APR on balance transfers.
If you aren’t a PenFed member and don’t plan to become one, there are alternatives that pay similar or even better cashback rewards.
