Power Cash Rewards Visa Signature® from Pentagon Federal Credit Union Review

When it comes to choosing a credit card, finding one that aligns with your financial goals and spending habits is crucial. The Power Cash Rewards Visa Signature® from Pentagon Federal Credit Union (PenFed) is a compelling option, particularly for those who prioritize cash back on their purchases. In this comprehensive review, we’ll dive deep into the features, benefits, and drawbacks of this card, aiming to give you a clear understanding of whether it fits your financial needs.

Power Cash Rewards Visa Signature® from Pentagon Federal Credit Union Review

The Power Cash Rewards Visa Signature® card stands out in the crowded credit card market due to its straightforward rewards structure and lack of annual fees. Designed for those with excellent credit, this card offers a solid cash-back program with additional perks for PenFed Honors Advantage Members.

Rewards Program

The Power Cash Rewards Visa Signature® card offers a simple yet effective rewards structure:
– 2% Cash Back: PenFed Honors Advantage Members can earn 2% unlimited cash back on all purchases. This makes it an attractive option for those who are already members or are willing to join the program.
– 1.5% Cash Back: For non-members, the card still offers a competitive 1.5% unlimited cash back on all purchases.

Introductory Offers

One of the enticing features of the Power Cash Rewards Visa Signature® card is its introductory offers:
– $100 Statement Credit: New cardholders can earn a $100 statement credit after spending $1,500 in purchase transactions within the first 90 days of account opening.
– 0% Introductory APR on Balance Transfers: The card offers a 0% introductory APR for 12 months on balance transfers made within the first 90 days after account opening. This is particularly beneficial for those looking to consolidate debt from higher-interest cards.

Rates and Fees

Understanding the rates and fees associated with the card is crucial:
– Purchase APR: 17.99% Variable
– Balance Transfer APR: 17.99% Variable
– APR for Cash Advances: 17.99% Variable
– Annual Fee: $0
– Balance Transfer Fee: 3% per transaction
– Cash Advance Fee: None
– Foreign Transaction Fee: None
– Penalty Fees: Up to $25 for return payments and up to $28 for late payments

Credit Score Requirement

To qualify for the Power Cash Rewards Visa Signature® card, you’ll need an excellent credit score, typically in the range of 740-799. This card is designed for individuals who have a strong credit history and are looking for a card that rewards their responsible financial behavior.

Power Cash Rewards Visa Signature® Key Takeaways

Here are some key takeaways to consider when evaluating the Power Cash Rewards Visa Signature® card:
1. High Cash Back Rewards for Members: PenFed Honors Advantage Members can earn an impressive 2% cash back on all purchases, making it one of the highest flat-rate cash back cards available.
2. No Annual Fee: The lack of an annual fee makes this card an attractive option for those looking to maximize their rewards without incurring additional costs.
3. Introductory Balance Transfer Offer: The 0% introductory APR on balance transfers for 12 months can be a valuable tool for managing existing debt.
4. Excellent Credit Requirement: Applicants need to have excellent credit to be approved for this card, which may exclude some potential users.
5. No Foreign Transaction Fees: This card is a great choice for frequent travelers as it does not charge foreign transaction fees.

Power Cash Rewards Visa Signature® Pros and Cons

To provide a balanced view, let’s delve into the pros and cons of the Power Cash Rewards Visa Signature® card.

Pros

– No Annual Fee: Avoiding an annual fee means you can keep more of your rewards.
– High Cash Back for Members: 2% cash back for PenFed Honors Advantage Members is a standout feature.
– Intro APR on Balance Transfers: The 0% introductory APR for 12 months on balance transfers can help you save on interest if you need to consolidate debt.
– No Foreign Transaction Fees: This is a significant advantage for those who travel internationally.
– Flexible Rewards: Cash back rewards can be redeemed for various options, providing flexibility in how you use your earnings.

Cons

– Excellent Credit Required: This card is not accessible to those with less-than-excellent credit scores.
– No Intro APR on Purchases: While there is an intro APR for balance transfers, there is no similar offer for purchases.
– Limited Additional Perks: Compared to some other cards, the Power Cash Rewards Visa Signature® lacks additional perks such as travel insurance or purchase protection.

Power Cash Rewards Visa Signature® Benefits

To fully appreciate what the Power Cash Rewards Visa Signature® card offers, it’s important to look at its benefits in detail.

Cash Back Rewards

The 2% cash back for PenFed Honors Advantage Members and 1.5% for other cardholders make this card highly competitive. The simplicity of the rewards structure means you don’t have to worry about rotating categories or spending caps.

No Annual Fee

The absence of an annual fee is a significant advantage. Many high-reward credit cards come with hefty annual fees, which can eat into your rewards. With the Power Cash Rewards Visa Signature® card, you can maximize your cash back without worrying about an annual cost.

Introductory Balance Transfer Offer

The 0% introductory APR on balance transfers for 12 months is beneficial for those looking to manage existing debt. By transferring balances from higher-interest cards, you can save on interest and potentially pay off your debt faster.

No Foreign Transaction Fees

For frequent travelers, the lack of foreign transaction fees is a major perk. Many credit cards charge a fee for transactions made outside the U.S., which can add up quickly. With this card, you can make international purchases without incurring extra costs.

Flexible Redemption Options

Cash back rewards can be redeemed in various ways, including statement credits, deposits into a PenFed account, or even gift cards. This flexibility allows you to use your rewards in the way that best suits your needs.

Additional Visa Signature Benefits

As a Visa Signature card, the Power Cash Rewards Visa Signature® comes with additional benefits such as:
– Travel and Emergency Assistance Services: Access to a range of emergency services when traveling.
– Roadside Dispatch: A pay-per-use roadside assistance program.
– Auto Rental Collision Damage Waiver: Coverage for rental car damage due to collision or theft.
– Extended Warranty Protection: Extends the manufacturer’s warranty on eligible purchases.
– Purchase Security: Protects new purchases against damage or theft for a certain period.

Conclusion

The Power Cash Rewards Visa Signature® from Pentagon Federal Credit Union is a robust credit card offering strong cash-back rewards, especially for PenFed Honors Advantage Members. With no annual fee, no foreign transaction fees, and a 0% introductory APR on balance transfers, this card provides significant value for those with excellent credit.
The primary standout feature is the 2% cash back for members, which is among the best in the market for flat-rate cash back cards. However, it’s important to note that this high reward rate is only available to PenFed Honors Advantage Members, which may require additional steps to join and maintain membership.
For those who travel frequently or are looking to manage existing credit card debt, the Power Cash Rewards Visa Signature® card offers substantial benefits. The additional Visa Signature perks add further value, making this card a well-rounded option for those who meet the credit qualifications.
Ultimately, the Power Cash Rewards Visa Signature® card is an excellent choice for individuals with excellent credit who want a straightforward, high-reward cash back card without the burden of an annual fee. Its combination of rewards, benefits, and low fees make it a strong contender in the credit card market. If you’re looking for a card that rewards your everyday purchases and offers flexibility in how you use those rewards, the Power Cash Rewards Visa Signature® from Pentagon Federal Credit Union is definitely worth considering.