The Credit One Bank Platinum X5 Visa Credit Card is an unsecured card designed for individuals with fair to good credit. Offering a cashback rewards program, it is a solid choice for those looking to maximize their earnings on everyday purchases.
However, the card comes with a $95 annual fee, and some restrictive terms, which could make it less appealing for certain users. In this review, we will take a closer look at the card’s features, including the rewards rate, fees, and overall benefits, to help you decide if it’s the right fit for your financial needs.
Features and Benefits
The Credit One Platinum X5 Visa Credit Card offers a variety of features and benefits aimed at helping cardholders with fair credit build a strong credit history while reaping rewards on everyday purchases. One of the prominent attributes of this card is its cash back rewards program.
Cardholders can earn 5% cash back rewards on the first $5,000 of eligible purchases each year, before dropping to 1% thereafter. This is a relatively rare opportunity among credit cards designed for consumers with fair credit scores. Additionally, the card offers unlimited 1% cash back rewards on all other purchases, making it valuable for various spending categories.
Key spending categories for the 5% cash back rewards include gas and groceries, which are typical daily expenses for many consumers. By using the card for these purchases, cardholders can maximise their rewards potential.
This card offers additional benefits, such as free online credit score access, allowing cardholders to keep track of their credit score improvements. The card also provides zero liability for unauthorized charges.
Rewards Program
The Credit One Bank® Platinum X5 Visa® offers a competitive rewards program designed to benefit its cardholders. One of the key features of this program is the 5% cash back rewards on the first $5,000 of eligible purchases in categories such as gas, grocery, internet, cable, and satellite TV. This cash back rate is especially attractive considering that very few credit cards for individuals with fair credit offer such reward incentives.
After reaching the $5,000 spending cap in the specified categories, cardholders will continue to earn cash back rewards at a lower rate. This allows them to accumulate rewards throughout the entire year, even after maximizing the initial 5% cash back offer.
However, it is important to keep in mind that not all purchases will qualify for the 5% cash back rate, and the rewards accumulated may also be subject to certain terms and conditions. To make the most of the rewards program, be sure to stay informed about the eligible categories and any potential restrictions on rewards redemption.
Interest Rates and Fees
The Credit One Platinum X5 Visa Credit Card comes with a relatively high interest rate. The APR on purchases is 28.24% variable, which means it may fluctuate based on the Prime Rate or other reference rates.
When it comes to fees, the card has a $95 annual fee. This fee is essential to consider when evaluating the card’s overall value and how it compares to other options.
Other fees associated with this credit card include:
- Cash Advance Fee: The greater of either $10 or 5% of the cash advance amount
- Foreign Transaction Fee: 3% of the transaction amount
- Late Payment Fee: Up to $40
- Returned Payment Fee: Up to $40
It’s essential to be aware of these fees and interest rates to be a responsible cardholder and avoid potential financial pitfalls when using the Credit One Platinum X5 Visa Credit Card.
Pros and Cons
The Credit One Platinum X5 Visa Credit Card offers a range of benefits and drawbacks that potential cardholders should consider before applying.
Pros:
- 5% cash back in select categories: The card offers 5% cash back on purchases made in eligible categories, which can help users maximize their savings.
- Designed for fair credit: This card is a solid choice for individuals with fair credit who are looking to build their credit profile while earning cash back rewards. According to CreditCards.com, it is suitable for those wanting to get the most cash back bang for their buck.
- Unsecured credit card: The Platinum X5 Visa is an unsecured credit card, meaning cardholders do not have to provide a security deposit as collateral.
Cons:
- Annual fee: The card comes with a $95 annual fee, which users should consider when evaluating the card’s overall value.
- High spending required for maximum cash back: To offset the annual fee, cardholders will need to spend over $1,900 in categories that earn the highest cash back, as explained by LendingTree.
- Limited 5% cash back categories: Although the 5% cash back rate is attractive, it is important to note that it is only applicable to select purchase categories, and may not be as widely applicable as some users would prefer.
Comparing the benefits and drawbacks of the Credit One Platinum X5 Visa is essential for potential cardholders to make an informed decision based on their financial needs and credit-building goals.
Comparison to Competing Cards
The Credit One Platinum X5 Visa offers some unique benefits for those with fair credit. However, it’s essential to compare it with competing cards in the market to better understand its strengths and weaknesses.
First, let’s take a look at the rewards program. The Credit One Platinum X5 Visa allows cardholders to earn up to 5% cash back on the first $5,000 of eligible purchases1. In comparison, the Discover it Chrome for Students offers 2% cash back on gas and dining purchases and 1% cash back on all other purchases with no annual fee.
The Capital One QuicksilverOne Cash Rewards Credit Card is another competitor worth considering. This card offers a straightforward rewards program with 1.5% cash back on every purchase2. Although the reward rate is lower than the Credit One Platinum X5 Visa, the QuicksilverOne card comes with a lower annual fee of $39.
Another factor to consider is the annual fee. The Credit One Platinum X5 Visa has a $95 annual fee3, which is higher than some of its competitors. For example, the Petal 2 Visa Credit Card offers 1% cash back on all purchases, up to 1.5% cash back after 12 on-time monthly payments, and has no annual fee, making it an attractive alternative for those looking to avoid annual fees while building credit.
Overall, while the Credit One Platinum X5 Visa has some appealing features, it’s important to weigh the benefits and costs against competing cards in the market. Consider the reward rates, annual fees, and other factors that matter to you before deciding which card is the best fit for your financial needs and credit-building journey.
1 Bankrate 2 Capital One 3 Moneycrashers
Final Verdict
The Credit One Bank® Platinum X5 Visa® is a credit card designed for consumers with fair to good credit, offering them an opportunity to build their credit score while earning notable cashback rewards. With a 5% cashback rate on the first $5,000 in eligible purchases each year and 1% thereafter, this card provides decent value for everyday spending categories such as gas, groceries, internet, cable, satellite TV, and mobile phone service.
However, it’s essential to weigh the benefits against any potential drawbacks. Although the card offers respectable cashback rates, it may come with fees that could impact cardholders with lower credit scores. Additionally, compared to other credit cards in the fair to good credit range, the Platinum X5 Visa might not offer the highest rewards rates or the most comprehensive rewards programs available.
In conclusion, while the Credit One Bank Platinum X5 Visa is a suitable option for those seeking an unsecured card with cashback rewards, it’s crucial to evaluate your specific financial needs and goals before making a decision. Compare this credit card with other available options to ensure you’re selecting the best card for your spending habits and credit-building trajectory.