Cash back credit cards are a great choice for consumers who routinely pay their balance in full each month. Cashing in on a reward for spending makes sense and the overall cash back rate stands at 1 per cent in 2011, according to a survey conducted by Bank Rate. The U.S. Bank Flex Plus Cash Rewards Visa card offers a flat 1 per cent cash back on all purchases, with no limit to rewards points earned and no expiration of points.
The Flex Plus card has the added bonus of 3 per cent cash back on all gas purchases for the first 90 days. The card also features some great additional benefits. Card holders receive free collision/damage insurance cover on car rentals; extended warranty coverage; and the opportunity to make savings through the Visa Partner Advantage program.
As with most cash back cards the rewards only stack up for those who pay their monthly balance in full, thus making interest rates immaterial. Those searching for low introductory interest rate offers or great deals on balance transfers would be better served looking for other card options.
The standard variable APR on the U.S. Bank Flex Perk card is between 13.99% and 23.99%, dependent on personal credit. The same APR is applied to balance transfers, although there is a six month 0% offer valid for 30 days from applying for the card. The balance transfer fee is $5 or 4%, whichever is greater.
Cash advances carry an APR of 23.99% with a fee of $5 or 3%, whichever is greater. Foreign exchange fees vary depending on the choice of currency accessed. There is a 2% fee for obtaining U.S. dollars overseas and a 3% fee for foreign currency.
Rewards points can be redeemed when $20 has accrued in points and card holders can choose between a statement credit and a deposit into a U.S. savings or checking account. Those who prefer to opt for a more varied choice of rewards through their credit card spending could consider the U.S. Bank Flex Perks Select Rewards Visa card.
The Select Rewards card offers a variety of alternatives for rewards points, cash back, gift cards, air travel and merchandise. The interest rates and fees are identical to those on the Flex Perks card with the differences seen in the rewards points. The cash back rate is lower at just 1 point per $2 spend, but there is a bonus of 5,000 points when card holders spend $250 in the first 90 days.
All things considered the Flex Perks rewards card represents a better deal than the Flex Perks Select card, as a greater cash return is offered. The extra perk of the 3 per cent gas cash back for the first 90 days is an additional incentive worth having.