Travel

Venmo Credit Card evaluation: Bonus money again for followers of Venmo

February 25, 2023

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Venmo Credit Card overview

The Venmo Credit Card affords a seamless connection along with your Venmo account and has no annual payment, plus it adapts to your spending habits mechanically with its bonus classes. Those on the lookout for uncomplicated money again with out frills will get pleasure from this card. Card ranking*: ⭐⭐⭐

*Card ranking is predicated on the opinion of TPG’s editors and isn’t influenced by the cardboard issuer.

The info for the Venmo Credit Card has been collected independently by The Points Guy. The card particulars on this web page haven’t been reviewed or offered by the cardboard issuer.

The Venmo Credit Card is issued by Synchrony Bank, is obtainable in 5 colours and bears the title of a preferred peer-to-peer fee system. However, the cardboard is extra than simply the title it bears, providing a top quality incomes construction and a selection of redemption choices that may please many individuals.

Despite the distinctiveness of selecting which coloration you need your card to be, the dearth of an annual payment on the Venmo card additionally results in a scarcity of perks chances are you’ll be on the lookout for in a bank card.

Does the Venmo card deserve a spot in your pockets? Here’s what you have to know to make that call.

Venmo Credit Card welcome provide

The Venmo card often affords welcome bonuses. However, a bonus is not out there on a regular basis, altering the worth attained once you apply for the cardboard.

You might even see limited-time welcome affords, corresponding to incomes $150 after assembly sure spending necessities, in your Venmo account. If you wish to apply, wait till the same bonus is obtainable.

Earning money again on the Venmo Credit Card

Getting a bank card that earns additional factors or money again within the classes the place you spend cash recurrently is vital. However, spending habits change.

What if it’s a must to select your most well-liked classes upfront, then a big invoice comes up? Cards that modify mechanically to your spending habits — together with the Venmo Credit Card — will be ideally suited for this situation.

You’ll earn 3% money again in your prime spending class every billing interval, with the class adjusting mechanically primarily based on which of the next classes you employ most:

Bills and utilities (together with ongoing subscriptions, corresponding to streaming).
Dining and nightlife.
Entertainment.
Gas.
Grocery (together with wholesale golf equipment).
Health and wonder.
Transportation.
Travel.
Other.

You’ll earn 2% again in your next-highest spending class and 1% again on different purchases.

There aren’t any incomes limits, which is a pleasant perk to this incomes construction. Other playing cards with comparable incomes buildings restrict how a lot you’ll be able to earn within the prime bonus class. For instance, the Bank of America® Customized Cash Rewards bank card has a restrict of $2,500 every quarter, which is shared throughout your 3% and a couple of% cash-back classes. After passing the $2,500 threshold, you may earn simply 1% again in your prime spending class.

Do notice that you just will not earn money again when sending cash, corresponding to digital funds transfers, cash transfers or wire transfers.

Redeeming money again on the Venmo Credit Card

All rewards from the Venmo card will likely be added to your Venmo account steadiness inside three days of a press release closing. You have two choices on your earnings.

First, you should use the money again in your Venmo steadiness to pay payments or ship cash to pals.

Alternatively, you’ll be able to redeem your earnings to auto-purchase cryptocurrencies. Options embrace Bitcoin, Bitcoin Cash, Ethereum and Litecoin. Purchasing mechanically has no cryptocurrency transaction payment, in contrast to customary cryptocurrency purchases with Venmo.

Since your rewards are redeemed as money, they’ve a flat-rate worth of 1 cent. With fixed-rate rewards, you may by no means marvel what your earnings are value. This could be a robust a part of your general factors and miles technique.

Venmo Credit Card advantages

The Venmo card will be issued as a Visa Traditional or Visa Signature card. Depending on the cardboard sort you obtain, you may get pleasure from advantages like emergency card alternative and emergency money disbursement, auto rental collision injury waiver, zero legal responsibility coverage and roadside dispatch. Those with a Visa Signature card even have advantages with Shipt, Sofar Sounds, Skillshare and NortonLifeLock.

The Venmo card has your private QR code on it, so folks can scan it and go straight to your Venmo profile to ship you cash. The card is also built-in with the Venmo app to trace exercise, and you’ll apply funds from pals on to your bank card invoice.

You can also entry a digital account quantity immediately after card approval, which means you should use the cardboard instantly whereas ready for it to return within the mail.

As a no-annual-fee card, do not anticipate perks like journey credit, lounge entry or journey insurance coverage. If you are on the lookout for these advantages, think about a journey rewards bank card.

Which playing cards compete with the Venmo Credit Card?

In addition to the Venmo Credit Card, there’s the Venmo Debit Card, which might earn money again from Venmo Offers powered by Dosh. However, should you’re on the lookout for a bank card, it is value evaluating these options to see in the event that they’re a greater match for you:

If you need a card from a fee app and a couple of% again on the whole lot: The PayPal Cashback Mastercard® has no annual payment and affords 3% money again on PayPal funds and a couple of% again on different purchases. Depending in your spending habits, chances are you’ll come out forward with this incomes price.
If you need a increased incomes price by selecting classes upfront: The U.S. Bank Cash+® Visa Signature® Card earns 5% money again in two pre-chosen classes, plus 2% again on one other class of your selection. However, you may solely earn 5% again on $2,000 of purchases throughout your chosen classes. This card has no annual payment. For extra info, take a look at our full evaluation of the Cash+ Visa card.
If you need extra choices for utilizing your earnings: The Citi® Double Cash Card earns 2 Citi ThankYou factors per greenback spent on all purchases — 1 level per greenback when making the acquisition and 1 level per greenback when paying your invoice. You can money out your factors or use them with journey companions for extra flexibility. For extra info, take a look at our full evaluation of the Citi Double Cash.

The info for the PayPal Mastercard has been collected independently by The Points Guy. The card particulars on this web page haven’t been reviewed or offered by the cardboard issuer.

For extra choices, take a look at our full record of the greatest cash-back bank cards and the greatest bank cards with no annual payment.

Is the Venmo Credit Card value it?

For followers of Venmo, this can be a terrific card since you may earn money again on classes that adapt to you. However, should you do not use the Venmo app typically, needing to take action to make use of the Venmo Credit Card might be a giant adjustment. The card additionally lacks insurance coverage protections or characteristic advantages past its incomes charges, which can be a deal breaker for some.

Bottom line

Earning additional money again in classes that modify to you (and achieve this mechanically) will be nice, assuming this is not executed on the expense of your on a regular basis purchases. If your purchases are assorted, chances are you’ll do higher with a card that earns additional money again throughout a number of classes or earns 2% again on each buy. However, should you use Venmo regularly and your spending habits are sometimes skewed into one spending class, you could possibly get good worth from the Venmo Credit Card.