Money Magazine named Capital Ones Venture Rewards card “best rewards card if you aim to rack up airline miles.” The card offers 2% on all purchases towards unlimited air miles which never expire. Air miles equate to the purchase value of the chosen item multiplied by 100, thus an airline ticket of $100 requires 10,000 air miles. Air miles can cover all related travel expenses from taxi costs to parking fees, hotel rooms and plane tickets. Alternatively they can be redeemed for gift cards or merchandise.
The card comes at a price though with an annual fee of $59, which is waived in the first year. Aimed at those with excellent credit the card offers fee free balance transfers but there are no 0% offers. Variable interest rates of 11.9%, 15.9% or 19.9%, dependent on credit, apply. Cash advances are charged at 24.9%, with fees of $10 or 3%, whichever is greater, and the penalty is APR is 29.4%. If a payment is received late enough to incur a late payment penalty charge then rewards points earned in that billing cycle will be lost.
Card users should determine if the annual fee is worth the other benefits which the card offers. Frequent travelers will undoubtedly benefit from the free foreign exchange available. In addition to the rewards the Capital Ones Venture rewards card offers complimentary Visa signature concierge services, accident insurance coverage, lost luggage reimbursement, and auto rental collision damage waiver. Help is also provided in co-ordinating legal, travel and medical services when away from home.
Consumers have the option of selecting the newer Venture rewards card which does not impose an annual fee. Interest rates are comparable to the original card but the rewards offered are less, paying out just 1.25% instead of 2% in air miles on all purchases. Once again the primary benefit of the Capital One card is the free foreign exchange on offer. Unlimited air miles are again available with points not subject to expiration.
Frequent travelers that do aim to rack up rewards points can best utilize the Venture rewards card providing a balance isn’t carried. The combination of an annual charge plus interest charges would negate any benefit of the rewards on offer. Those who pay their balance in full each month are offered a 25 day grace period and can utilize the card to their advantage. Money Magazines assessment of the card seems spot on for those who aim to rack up the air miles.