Having so many rewards credit cards from which to choose can seem overwhelming. However, some credit cards offer special rewards that make them stand out among the crowd, and the Fidelity Rewards Visa Signature Credit Card is one. Let’s dive in to see how this card stacks up against the competition, whom it suits best, and how its rewards work.
TIME's Take
The excellent Fidelity Rewards Visa Signature Card is designed to help cardholders build long-term wealth. It’s somewhat unusual in how it treats rewards. While most cards tend to focus on everyday discounts that can be used right away at a grocery store or for online shopping, Fidelity cardholders can use their points to bolster their investment accounts.
Who is the card for?
The Fidelity Rewards Visa Signature Card is a good choice for those who have Fidelity investment accounts and want to earn 2% back on every dollar spent on eligible purchases. Because there’s no cap on the number of points you can carry—and they won’t expire as long as the account remains open—it’s easy to earn rewards that you can use to help build long-term wealth. The card has a $0 annual fee and a 13.99% regular annual percentage rate (APR), which makes it a well-rounded option. However, if your credit score falls below “excellent” (720 or higher), you may not qualify for it.
Rewards structure
The card’s rewards are fairly straightforward, but they’re meant to help customers build wealth rather than redeem them for gift cards or statement credits. Here’s how it works.
Earning rewards
The Fidelity Rewards Visa Signature Card gives you two points for every dollar spent, which amounts to 2% cash back. Unlike some other cards, the 2% cash back is flat across all categories, and there’s no cap on how many points you can earn. There are certain purchases that cannot earn points, though, including:
- Advances (including wire transfers, traveler’s checks, money orders, foreign cash transactions, betting transactions, lottery tickets, and ATM disbursem*nts)
- Balance transfers
- Convenience checks
- Credit insurance charges
- Fees
- Interest charges
- Overdraft advances
- Transactions to fund certain prepaid card products
- Transactions to purchase cash convertible items
- U.S. Mint purchases
- Unauthorized or fraudulent charges
Redeeming rewards
While other cards let you redeem points for cash back or gift cards, the Fidelity Rewards Visa Signature Card allows you to deposit your points into other Fidelity-owned accounts, including:
- Individual retirement accounts (IRAs), whether traditional, Roth, rollover, or simplified employee pension (SEP)
- Charitable giving account
- Health savings account
- Brokerage account
- Cash management account
- Fidelity Go investment management account
- Fidelity-managed 529 college savings plan accounts
This makes the card ideal for those who want to build wealth for future use, such as in retirement or to pay for a child’s college tuition.
Caveat: The 2% cash back applies only if the points are deposited in an eligible Fidelity account. Points can also be used for special offers on travel, merchandise, gift cards, and statement credit, but they will be worth less when used this way.
The Fidelity Rewards Visa Signature Card has several perks beyond the basic rewards described above. These perks include Visa Signature benefits, the ability to redeem points to family or friends’ Fidelity accounts, and travel discounts.
Visa Signature benefits
Because Fidelity’s card is a Visa Signature, you’ll enjoy certain benefits only available to holders of this card type. These include numerous travel and lifestyle benefits, such as:
- Free 3-month Shipt membership
- Free 3-month Skillshare membership, plus 20% off an annual membership
- Visa Signature Concierge service for help planning travel and entertainment
- Access to exclusive airport lounges
- Rebates for accelerated airport security, checked baggage fees, in-flight food, and more
Friends and family points redemption
While you can redeem your points to your own Fidelity account, you can also give them to a friend or family member’s eligible account. For example, a parent or grandparent could redeem their rewards to their child’s Fidelity 529 college savings account.
Travel discounts
Owning a Fidelity Rewards Visa Signature Card gets you special offers on travel. You can get discounts on hotel stays from the Hotel and Resort Connection, as well as discounts on Audi rental cars through Silvercar Car Rental. This discount means you could upgrade your next trip and enjoy exclusive perks without breaking your budget. Additionally, cardholders will be able to access travel and emergency services and be reimbursed for lost luggage if their items are misplaced en route to their destination.
What could be improved
Although the Fidelity Rewards Visa Signature Card is a good option for current Fidelity customers with excellent credit, there are some aspects that could be better. The following are a few areas where the Fidelity Rewards Visa Signature Card could improve in order to be more competitive with other rewards cards.
- Low cash back percentage at 2%. Other cards offer greater cash back rewards, some as high as 5%.
- Restrictions on cash back benefit. You must redeem points to an eligible Fidelity investment account to get the full 2% cash back benefit. Customers looking to redeem points for gift cards and discounts may prefer a different option.
- High introductory APR of 13.99%. The card doesn’t have a 0% introductory APR as many others do.
- No sign-up cash bonus. Many other credit cards offer a cash bonus for opening an account.
Card alternatives
| Fidelity Rewards Visa Signature | card_name | |
|---|---|---|
Annual fee | $0 | annual_fees |
Welcome offer | None | bonus_miles_full |
Rewards rate | 2% cash back for all purchases | 5% cash back on travel, 3% at restaurants and drugstore purchases, 1.5% on all other purchases |
Intro APR offer | None | intro_apr_rate,intro_apr_duration |
Time Stamped: Unique perks for Fidelity investment account holders
If you currently have a Fidelity investment account, such as an IRA or a brokerage account, the Fidelity Rewards Visa Signature Card is a solid option. It allows you to deposit points into your investment accounts (or those owned by a family member or friend) to help build long-term wealth. While the card may not be the best choice if you want a more traditional rewards system, the special benefits offered by the Fidelity Rewards Visa are hard to beat for those focused on their future assets.
Frequently asked questions (FAQs)
Do I need to have a Fidelity investment account to get the Fidelity Rewards Visa?
Yes, but you can open one while signing up for the card. If you already have a Fidelity investment account—such as an IRA, a brokerage account, or a 529 college savings account—you’ll be able to open a Fidelity Rewards Visa card right away. If not, it’ll just be an extra step in the application process.
What credit score is needed to get the Fidelity Rewards Signature Visa?
The Fidelity Rewards Visa Signature Card is designed for those with excellent credit, which generally means a score of 720 or higher. If your credit score is below this, you’ll need to work on improving your credit before applying for this card.
How do I redeem rewards with the Fidelity Rewards Visa?
You can redeem rewards by depositing them into an eligible Fidelity investment account. The account can be owned by you or a friend or family member, so if you want to use the points to help bolster your child’s college savings account, you can do so easily. You can also redeem rewards for some travel and entertainment perks, though their value will be lower.
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