You will enjoy several benefits as a PenFed Power Cash Rewards Visa SignatureÂ® cardholder.
Earn up to 2% back
This PenFed credit card earns 2% cash back on purchases of PenFed Honors Advantage members. If you are not a member, you get a 1.5% discount on all your purchases.
While either is a good rate, the higher rate ranks among the best cash back credit cards. Fortunately, becoming a member of PenFed Honors Advantage is easy. There are two ways to qualify:
- PenFed Access America checking account: Open this type of current account or use your existing account if you already have one. There is no monthly service charge if you maintain a daily balance of at least $ 500 or set up a monthly direct deposit of $ 500 or more.
- Military service: This applies if you are the primary cardholder and are on active duty, reservist, honorably demobilized, or retired military.
0% introductory APR on balance transfers
You get an introductory 0% APR on balance transfers for the first 12 months after opening the credit card account. There is a 3% balance transfer fee per transaction.
A balance transfer works well if you are trying to get out of credit card debt. Instead of paying off the balances at an interest rate of 18% or more, you can transfer them to your PenFed card. Then you will have 12 months to work on your debt at 0% APR. Just note that some balance transfer credit cards offer an introductory period longer than 12 months.
Learn more: A Complete Guide to Balance Transfers
$ 100 sign-up bonus
The Visa SignatureÂ® PenFed Power Cash Rewards card offers a $ 100 credit when you spend $ 1,500 in the first 90 days. As long as you meet the spending requirement, this is an easy way to save $ 100.
No annual fee
If you’re trying to keep costs down, no annual fee credit cards are exactly what you need. There is no annual fee for this PenFed credit card, so you can carry it for free.
Qualifying items purchased with your PenFed Power Cash Rewards Visa SignatureÂ® card are covered by purchase security. This policy protects against damage or theft during the first 90 days, up to a maximum of $ 500 per claim and $ 50,000 per cardholder.
No foreign transaction fees
For travelers, it’s important to have a credit card that doesn’t charge you more for international transactions. Since there are no overseas transaction fees, this PenFed credit card is a good choice.
What could be improved
There are areas where PenFed could improve this rewards credit card.
Poor sign-up bonus
One place the PenFed Power Cash Rewards Visa SignatureÂ® card falls short is its signup bonus. It’s not a bad bonus, but there are better signup bonus offers from other cards.
Several no-annual fee credit cards offer introductory bonuses of $ 150, $ 200, or even $ 250, and most of them also have lower spending requirements than that particular PenFed card.
No introductory APR of 0% on purchases
While this credit card offers an introductory 0% APR on balance transfers, it does not offer this offer on purchases you make. If you want to pay off a big expense gradually, check out 0% APR credit cards with introductory offers that cover purchases.
Requires a PenFed subscription
To apply for the PenFed Power Cash Rewards Visa SignatureÂ® card, you must be a member of PenFed Credit Union. Compared to large credit card companies that do not have this requirement, this is an additional hurdle.
It’s not a huge roadblock, however. Anyone in the United States can join PenFed Credit Union by opening a savings account with a minimum deposit of $ 5. The Credit Union Premium Online Savings Account has an interest rate comparable to the best savings accounts and no monthly maintenance fees. This is a great product and not just an account you would never want to use.