3 Underrated Credit Card Perks -- and a Few Cards That Offer Them
KEY POINTS
- Cellphones are expensive these days -- with cellphone insurance, you're covered in case of theft or damage.
- Some cards offer bonus rewards at drugstores, which can be a big money saver if you tend to spend a lot there.
- If you have an issue with a rental car, primary rental car insurance has your back.
Some credit card perks are common -- a lot of cards offer cash back on groceries and gas, for example. But lately, I've been thinking about the less-discussed benefits that come with certain cards. Let's take a closer look at these perks -- and great credit cards that offer them.
1. Cellphone insurance
Mobile phones have come a long way in the more than 20 years since I got my first one as a high school senior. I kept that little Nokia phone in the glove box of my extremely unreliable first car, just in case the car died and I wasn't in range of a pay phone (remember those?). But these days, my iPhone is a must-have, and the fact that it wasn't a cheap purchase makes me even more committed to keeping it safe. Luckily, cellphone insurance is a feature you can find offered by some credit cards.
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Good/Excellent (670-850)
Intro APR 0% intro APR for 15 months from account opening on purchases and qualifying balance transfers
Purchases: 0% intro APR, 15 months from account opening
Balance Transfers: 0% intro APR, 15 months from account opening on qualifying balance transfers
Regular APR
20.24%, 25.24%, or 29.99% Variable APR
Rewards Earn unlimited 2% cash rewards on purchases.
2% cash rewards
Annual Fee N/A
$0
Welcome Offer Earn a $200 cash rewards bonus after spending $500 in purchases in the first 3 months.
$200 cash rewards
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This card’s unlimited 2% cash rewards on purchases is the highest we’ve seen for a flat-rate rewards card with no annual fee. It also has an incredibly easy-to-earn $200 welcome bonus and a generous intro APR offer. We simply haven’t come across this combination of top perks in one card before. Read Full Review
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- Unlimited 2% cash rewards
- Long 0% intro APR offer
- Generous cash rewards welcome bonus
- No annual fee
- Cellphone protections
- No bonus categories
- Foreign transaction fees
- Balance transfer fee
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- Select “Apply Now” to take advantage of this specific offer and learn more about product features, terms and conditions.
- Earn a $200 cash rewards bonus after spending $500 in purchases in the first 3 months.
- Earn unlimited 2% cash rewards on purchases.
- 0% intro APR for 15 months from account opening on purchases and qualifying balance transfers. 20.24%, 25.24%, or 29.99% Variable APR thereafter; balance transfers made within 120 days qualify for the intro rate and fee of 3% then a BT fee of up to 5%, min: $5.
- $0 annual fee.
- No categories to track or remember and cash rewards don’t expire as long as your account remains open.
- Find tickets to top sports and entertainment events, book travel, make dinner reservations and more with your complimentary 24/7 Visa Signature® Concierge.
- Up to $600 of cell phone protection against damage or theft. Subject to a $25 deductible.
The Wells Fargo Active Cash® Card is one of our favorite cards here at The Ascent. One of its less-lauded features is protection for your phone, for up to $600 per claim (with a $25 deductible). All you have to do is pay your phone bill with it.
You can also find cellphone protection against theft or damage with the Chase Freedom Flex®. I love Chase cards, and this one comes with up to $1,000 per year (up to $800 per claim) of insurance, with a $50 deductible. Same deal as the Wells Fargo card -- you just need to pay your monthly bill with the card to be eligible.
2. Bonus rewards at drugstores
If you take a lot of prescription drugs or over-the-counter supplements, or just really enjoy browsing the seasonal aisles at your local Walgreens (just me?), you might wish for a higher rewards rate at drug stores and pharmacies. Good news!
On Chase's Secure Website.
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On Chase's Secure Website.
Good/Excellent (670-850)
Intro APR 0% Intro APR on Purchases and Balance Transfers for 15 months
Purchases: 0% Intro APR on Purchases, 15 months
Balance Transfers: 0% Intro APR on Balance Transfers, 15 months
Regular APR
20.49% - 29.24% Variable
Rewards Enjoy 5% cash back on travel purchased through Chase Travel℠, our premier rewards program that lets you redeem rewards for cash back, travel, gift cards and more; 3% cash back on drugstore purchases and dining at restaurants, including takeout and eligible delivery service, and 1.5% on all other purchases
1.5% - 5% cash back
Annual Fee N/A
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Welcome Offer Earn an extra 1.5% on everything you buy (on up to $20,000 spent in the first year) — worth up to $300 cash back. That's 6.5% on travel purchased through Chase Travel℠, 4.5% on dining and drugstores, and 3% on all other purchases.
Up to $300 cash back
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A cash back card that has it all with unlimited 1.5% - 5% cash back rates and an excellent 0% intro APR offer. There's also an innovative sign-up bonus worth up to $300 cash back. With the bonus, you’ll earn 4.5% cash back on dining and drugstores, 6.5% on travel booked through Chase Travel, and 3% on all other purchases (on up to $20,000 spent in the first year). After the bonus, you’ll still earn the regular cash back rates on every purchase. Read Full Review
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- Innovative sign-up bonus
- Purchase and travel protections
- Robust rewards program
- Great intro APR
- No annual fee
- Limited bonus opportunities on everyday spending
- Foreign transaction fee
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- INTRO OFFER: Earn an additional 1.5% cash back on everything you buy (on up to $20,000 spent in the first year) - worth up to $300 cash back!
- Enjoy 6.5% cash back on travel purchased through Chase Travel℠, our premier rewards program that lets you redeem rewards for cash back, travel, gift cards and more; 4.5% cash back on drugstore purchases and dining at restaurants, including takeout and eligible delivery service, and 3% on all other purchases (on up to $20,000 spent in the first year).
- After your first year or $20,000 spent, enjoy 5% cash back on travel purchased through Chase Travel℠, 3% cash back on drugstore purchases and dining at restaurants, including takeout and eligible delivery service, and unlimited 1.5% cash back on all other purchases.
- No minimum to redeem for cash back. You can choose to receive a statement credit or direct deposit into most U.S. checking and savings accounts. Cash Back rewards do not expire as long as your account is open!
- Enjoy 0% Intro APR for 15 months from account opening on purchases and balance transfers, then a variable APR of 20.49% - 29.24%.
- No annual fee – You won't have to pay an annual fee for all the great features that come with your Freedom Unlimited® card
- Keep tabs on your credit health, Chase Credit Journey helps you monitor your credit with free access to your latest score, alerts, and more.
- Member FDIC
The sister card of the Chase Freedom Flex® is the Chase Freedom Unlimited®. And this one offers 3% back at drug stores -- you don't have to do anything special to get it, either. If you like the idea of switching up your bonus categories as often as monthly, you can also get 3% back at drug stores with the Bank of America® Customized Cash Rewards credit card. This card has six 3% bonus categories to choose from, and drug stores are among them.
3. Primary rental car insurance
The best travel rewards credit cards make it easier and cheaper to see the world -- and if you're renting a car on your vacation, getting access to rental car insurance can give you a lot of peace of mind. Specifically, it's worth targeting cards with primary rental insurance coverage -- this means that if you have an accident or other mishap with your rental, you contact the card issuer first, rather than your regular auto insurer. Thankfully, you can turn to Chase's excellent Sapphire line for rental car insurance.
On Chase's Secure Website.
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On Chase's Secure Website.
Good/Excellent (670-850)
Intro APR N/A
Purchases: N/A
Balance Transfers: N/A
Regular APR
21.49%-28.49% Variable
Rewards Enjoy benefits such as 5x on travel purchased through Chase Travel℠, 3x on dining, select streaming services and online groceries, 2x on all other travel purchases, 1x on all other purchases, $50 Annual Chase Travel Hotel Credit, plus more.
5x on travel purchased through Chase Travel℠, 3x on dining and 2x on all other travel purchases
Annual Fee N/A
$95
Welcome Offer Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $750 when you redeem through Chase Travel℠.
60,000 bonus points
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The enormous welcome bonus (worth $750), bonus points for travel and dining, and $50 annual hotel credit alone make this card well worth the $95 annual fee. What really stands out are the rare travel protections such as trip delay reimbursement, lost luggage reimbursement, and trip cancellation/interruption insurance. It’s one of the only low annual fee cards we’ve seen offer those protections. Read Full Review
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- Big sign-up bonus
- Travel rewards
- Dining rewards
- Flexible travel points
- Consumer and travel protections
- Annual fee
- Limited-time perks
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- Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $750 when you redeem through Chase Travel℠.
- Enjoy benefits such as 5x on travel purchased through Chase Travel℠, 3x on dining, select streaming services and online groceries, 2x on all other travel purchases, 1x on all other purchases, $50 Annual Chase Travel Hotel Credit, plus more.
- Get 25% more value when you redeem for airfare, hotels, car rentals and cruises through Chase Travel℠. For example, 60,000 points are worth $750 toward travel.
- Count on Trip Cancellation/Interruption Insurance, Auto Rental Collision Damage Waiver, Lost Luggage Insurance and more.
- Get complimentary access to DashPass which unlocks $0 delivery fees and lower service fees for a minimum of one year when you activate by December 31, 2024.
- Member FDIC
The Chase Sapphire Preferred® Card is one of my personal favorites -- it's the cheaper of the two Sapphire options, and I love knowing that every time I use it to pay for a restaurant meal, I'm earning 3X points per $1 toward my next trip. If you want to spend a lot more for an annual fee in exchange for more perks and more robust bonus earnings on your spending, the Chase Sapphire Reserve® might be for you.
It's totally fine to be stoked about your credit card's flashier benefits -- but when you're choosing a new card, don't forget to dig into all of its perks. You might find an unexpected one that could enhance your life and save you money.
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We're firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. The Ascent, a Motley Fool service, does not cover all offers on the market. The Ascent has a dedicated team of editors and analysts focused on personal finance, and they follow the same set of publishing standards and editorial integrity while maintaining professional separation from the analysts and editors on other Motley Fool brands.
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