AEO Connected® Visa® Review: Rewards, Cash Back

The AEO Connected® Visa® credit card, issued by Synchrony Bank, is designed with American Eagle Outfitters (AEO) and Aerie enthusiasts in mind. Offering substantial rewards for purchases made at these stores, the card can be a valuable tool for frequent shoppers. However, it is essential to evaluate whether its benefits align with your financial habits and needs. In this comprehensive review, we will delve into the various features, benefits, and potential drawbacks of the AEO Connected® Visa® credit card, helping you make an informed decision.

AEO Connected® Visa® Key Takeaways

Before we explore the details, here are the key takeaways of the AEO Connected® Visa® credit card:
– Reward Structure: Earn 15x points per $1 spent at AEO and Aerie stores, 5x points per $1 spent everywhere else, and 2x points on jeans.
– Initial Discount: Take 20% off your first AEO or Aerie purchase when you open and use your credit card.
– Annual Fee: $0
– Purchase APR: 31.24% Variable
– Credit Score Requirement: Fair to Good (580-739)
– Issuer: Synchrony Bank

AEO Connected® Visa® Pros and Cons

Pros

1. No Annual Fee: One of the significant advantages of the AEO Connected® Visa® card is that it charges no annual fee, making it an affordable option for cardholders.
2. Generous Rewards at AEO/Aerie Stores: With 15x points per $1 spent at AEO and Aerie stores, this card offers one of the highest rewards rates in the retail credit card market.
3. 5x Points on All Other Purchases: The 5x points per $1 spent on all other purchases is a competitive rate, especially for a store-branded credit card.
4. Initial Discount: The 20% discount on your first AEO or Aerie purchase when you open and use the card is a great incentive for new cardholders.
5. No Foreign Transaction Fees: This card does not charge any fees for transactions made abroad, which is uncommon for store-branded credit cards.

Cons

1. High APR: The purchase APR of 31.24% variable is relatively high, which could result in substantial interest charges if you carry a balance.
2. No Balance Transfers: The card does not offer balance transfer options, limiting its utility for those looking to consolidate debt.
3. Limited Redemption Options: Points can only be redeemed for purchases at AEO and Aerie stores, which may not appeal to everyone.
4. High Cash Advance Fees: The card charges either $10 or 5% of the amount of each cash advance, whichever is greater, which can be costly.
5. Late Payment Fees: Late payment fees can go up to $41, adding a significant penalty for missed payments.

AEO Connected® Visa® Benefits

Reward Points

The AEO Connected® Visa® credit card offers an impressive rewards structure, particularly for those who frequently shop at American Eagle Outfitters and Aerie stores.
– 15x Points at AEO/Aerie Stores: Every dollar spent at AEO and Aerie stores earns you 15 points, translating to a 15% rewards rate.
– 5x Points Everywhere Else: The 5x points per $1 spent on all other purchases is a notable feature, providing value on everyday spending.
– 2x Points on Jeans: Special rewards for jean purchases encourage cardholders to buy their denim at AEO/Aerie, earning double points.

Initial Discount

New cardholders benefit from a 20% discount on their first AEO or Aerie purchase when they open and use the AEO Connected® Visa® credit card. This discount can be a significant saving, especially on larger purchases.

No Annual Fee

The absence of an annual fee makes this card an attractive option, as you can enjoy the benefits and rewards without worrying about an annual cost.

No Foreign Transaction Fees

For those who travel internationally, the lack of foreign transaction fees is a considerable advantage. You can use your card abroad without incurring additional costs, a feature that is not common among store-branded credit cards.

Synchrony Bank Benefits

Synchrony Bank, the issuer of the AEO Connected® Visa® credit card, offers various services that can enhance the cardholder experience:
– Online Account Management: Easily manage your account, view statements, and make payments online.
– Customer Service: Access to customer service representatives for assistance with any issues or questions regarding your card.

Rate and Fee Information

Understanding the rates and fees associated with the AEO Connected® Visa® credit card is crucial for making an informed decision.

Purchase Intro APR

The card does not offer an introductory APR for purchases, so any balance carried will immediately accrue interest at the standard purchase APR rate.

Purchase APR

The purchase APR for the AEO Connected® Visa® credit card is 31.24% variable. This is relatively high compared to other credit cards, making it essential to pay off balances in full each month to avoid significant interest charges.

Intro Balance Transfer APR

There is no introductory APR for balance transfers, and the card does not support balance transfer options, limiting its utility for debt consolidation.

APR for Cash Advances

The APR for cash advances is 32.24% variable, higher than the purchase APR. Additionally, cash advances come with a fee of either $10 or 5% of the amount of each cash advance, whichever is greater. This can make cash advances an expensive option.

How to Avoid Paying Interest

To avoid paying interest on purchases, ensure that you pay your entire balance by the due date each month. Your due date is at least 23 days after the close of each billing cycle, providing a window to pay off your balance and avoid interest charges.

Fees

– Annual Fee: $0
– Cash Advance Fee: Either $10 or 5% of the amount of each cash advance, whichever is greater
– Late Payment Fee: Up to $41

Conclusion

The AEO Connected® Visa® credit card is a robust option for dedicated American Eagle Outfitters and Aerie shoppers. Its generous rewards structure, especially the 15x points on purchases at AEO and Aerie stores, makes it a compelling choice for those who frequently shop at these brands. The initial 20% discount on your first purchase and the absence of an annual fee further enhance its appeal.
However, the card’s high APR and limited redemption options are significant drawbacks. It is crucial for potential cardholders to pay off their balances in full each month to avoid steep interest charges. Additionally, the lack of balance transfer options and the high fees associated with cash advances may deter those looking for a versatile credit card.
In summary, if you are an avid American Eagle Outfitters or Aerie shopper who can consistently pay off your balance each month, the AEO Connected® Visa® credit card offers substantial rewards and benefits. However, if you carry a balance or seek broader redemption options, you may want to consider other credit card options.