Wells Fargo Launches Active Payment Card With No Annual Fee

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Wells Fargo has launched its latest credit card, the Wells Fargo Active Cash℠ card, which has no annual fee and earns a lump sum cash reward of 2%. This card comes with a generous welcome bonus of $ 200 in cash rewards after spending $ 1,000 in the first three months of opening the card.

Active Cash is a good option for people interested in a cash back card with no annual fee and no spinning bonus expense categories that require activation. Active treasurySM The card also offers a 15-month introductory period of 0% APR on qualifying purchases and balance transfers (then, a variable APR of 14.99% to 19.99% or 24.99%).

Wells Fargo Active Cash Card℠

  • Awards

    2% unlimited cash rewards on purchases

  • Welcome bonus

    $ 200 cash rewards bonus after spending $ 1000 on purchases in the first 3 months of account opening

  • Annual subscription

  • Introduction APR

    0% APR on qualifying purchases and balance transfers during the first 15 months from account opening

  • Regular APR

    14.99% to 24.99% variable on purchases and balance transfers

  • Balance transfer fees

    3% launch fee ($ 5 minimum) for 120 days from account opening, then up to 5% ($ 5 minimum)

  • Foreign transaction fees

  • Credit needed

With the launch of the Active Cash card, Wells Fargo is building new momentum in the credit card business. Although Wells Fargo is the second-largest debit card issuer in the United States, it has long lagged behind in the number of credit card accounts compared to other major retail banks like JPMorgan Chase and Citigroup.

Active treasurySM The card competes directly with the Citi® Double Cash card, which offers 2% cash back (1% when you buy and 1% when you pay) and an introductory period of 0% APR for 18 months on purchases and balance transfers (after, variable 13.99% to 23.99%.

The biggest difference between the two products is that Citi Double Cash does not offer a welcome bonus, while Active Cash does not offer a welcome bonus.SM The card was launched with a cash reward of $ 200 for new applicants. Active Cash also offers benefits such as cell phone protection if you use the card to pay your cell phone bill.

Citi® Double Cash Card

  • Awards

    2% Cash Back: 1% on all qualifying purchases and an additional 1% after paying your credit card bill

  • Welcome bonus

  • Annual subscription

  • Introduction APR

    0% for the first 18 months on balance transfers; N / A for purchases

  • Regular APR

    13.99% – 23.99% Variable on purchases and balance transfers

  • Balance transfer fees

    Either $ 5 or 3% of the amount of each transfer, whichever is greater

  • Foreign transaction fees

  • Credit needed

Active treasurySM The card may be right for you if you don’t spend more on certain bonus categories that other cards may offer (for example, meals, groceries or gas) or if you don’t want to keep track of it because it offers 2% of cash rewards. on purchases. It’s also good for those who prefer cash back rewards instead of airline miles and / or hotel points or for people who don’t want to learn a new rewards program.

Cash rewards can be redeemed as a statement credit, through a Wells Fargo ATM using a Wells Fargo debit or ATM card, as a direct deposit to a Wells Fargo savings or checking account, or in the form of a paper check. If you travel overseas a lot, this card might not be your best option due to the 3% overseas transaction fee.

CNBC Select has calculated how many rewards the average American can earn in a year using their Wells Fargo Active Cash card. We worked with location intelligence firm Esri, who provided us with a sample annual expense budget of $ 22,126. We found that in the first year of joining the card, the Active Cash card brought in $ 643 in cash, including the welcome cash bonus. Subtracting the cash reward, the card would earn an average of $ 443 based on Esri’s budget sample.

If you’re interested in other 2% flat-rate cash back cards, you may want to consider the Fidelity® Rewards Visa Signature® or PayPal Cashback Mastercard®. However, these cards do not offer some of the benefits offered by Active Cash.SM Card: Neither card offers a welcome bonus or an introductory 0% APR period on balance transfers or purchases. They also both require that cash back rewards be deposited to accounts associated with their respective companies.

Our methodology

To determine which credit cards offer the best value for money, Select analyzed popular credit cards available in the United States. We compared each card on a range of features, including rewards, welcome bonus, introductory and standard APR, balance transfer fees, and overseas transaction fees, as well as such factors as as credit required and customer reviews when available. We also took into account the additional benefits, the application process and the ease with which the consumer can redeem points.

Select has partnered with location intelligence firm Esri. The company’s data development team has provided the most recent and comprehensive data on consumer spending based on the 2019 Bureau of Labor Statistics Consumer Spending Surveys. You can read more about their methodology here.

Esri’s data team created a sample annual budget of roughly $ 22,126 in retail spending. The budget includes six main categories: groceries ($ 5,174), gasoline ($ 2,218), restaurants ($ 3,675), travel ($ 2,244), utilities ($ 4,862) and general purchases ($ 3,953) . General purchases include items such as housekeeping supplies, clothing, personal care products, prescription drugs and vitamins, as well as other vehicle expenses.

Select used this budget to estimate how much the average consumer would save over the course of one, two, and five years, assuming they were trying to maximize their rewards potential by earning all of the welcome bonuses offered and using the card. for all applicable purchases. All total reward estimates are net of annual fees.

While the five-year estimates we’ve included are derived from a budget similar to the average American’s spending, you can earn higher or lower returns depending on your buying habits.

Editorial note: Any opinions, analysis, criticism or recommendations expressed in this article are the sole responsibility of the editorial staff of Select and have not been reviewed, endorsed or otherwise approved by any third party.


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