PenFed Platinum Rewards Visa Signature Review
Updated April 11, 2016.
The Facts
The Math
Assuming 0.85 cent per point value, this card returns 4.25% on gas, 2.55% on groceries, and 0.85% on other purchases.
PenFed Platinum Rewards Visa Signature vs. PenFed Platinum Cash Rewards Visa: When you qualify for Plus level by having the required banking relation with PenFed, Cash Rewards Visa returns 5% on gas and 0% on other purchases, without an annual fee. On the other hand, the Visa Signature doesn't require banking relation and is also annual fee free. The Visa Signature returns 4.25% on gas, 2.55% on groceries, and 0.85% on other purchases, and offers better travel perks and coverage as being a higher level of Visa card. Thus in general, the Visa Signature is a better card.
The Conclusion
A 5-3-1 rewards structure for a non-annual-fee card is pretty attractive. However, keep in mind that the value of PenFed points is currently under 1 cent a piece.
The Facts
- Annual Fee: none
- Signup Bonus: $100 after spending $1,500 within 3 months of new account opening.
- Application Landing Page
- Rewards: 5x gas, 3x groceries, and 1x everywhere else.
- Best Use of PenFed Platinum Rewards points: You can redeem points in merchandise, gift cards, hotels, or airfare at up to 0.85 cent per point.
- Other Benefits: Waived foreign transaction fees with an embedded EMV chip.
- Other Facts: There are a couple of ways of joining PenFed (Pentagon Federal Credit Union) - even if you don't qualify for most options, you can still pay $20 to join National Military Family Association which is open to everyone.
- History: This card was introduced in 2013 and is similar to an existing PenFed product "PenFed Platinum Cash Rewards Visa".
The Math
Assuming 0.85 cent per point value, this card returns 4.25% on gas, 2.55% on groceries, and 0.85% on other purchases.
PenFed Platinum Rewards Visa Signature vs. PenFed Platinum Cash Rewards Visa: When you qualify for Plus level by having the required banking relation with PenFed, Cash Rewards Visa returns 5% on gas and 0% on other purchases, without an annual fee. On the other hand, the Visa Signature doesn't require banking relation and is also annual fee free. The Visa Signature returns 4.25% on gas, 2.55% on groceries, and 0.85% on other purchases, and offers better travel perks and coverage as being a higher level of Visa card. Thus in general, the Visa Signature is a better card.
The Conclusion
A 5-3-1 rewards structure for a non-annual-fee card is pretty attractive. However, keep in mind that the value of PenFed points is currently under 1 cent a piece.