When it comes to credit card strategies, the most overlooked, but most important card is the catch all card. While having a card with 5x categories are always fun to talk about brag about, that 5x category probably isn’t your biggest expense every month. Generally, the biggest expense does not fall into any category, and thus lies the importance of the catch all card.
While it isn’t very much talked about, Fidelity has their own 2% cashback card. While it’s a great card for those people out there that happen to have a Fidelity account, there was one big flaw with the card that is now being corrected, at least somewhat.
When using your Fidelity Rewards Visa, you would be earning 2% cashback. This cashback can only be redeemed into one of your Fidelity accounts. While that aspect is still remaining the same, there is another important point that is changing, the minimum redemption!
The minimum redemption is being reduced from an astronomical $50, down to a reasonable $25.
If we look at the $50 minimum redemption on the card, with the 2% earning rate, that would require a total spend of $2,500 before you could redeem that money. That’s a pretty big amount! The new amount would be $1,250 which is still high, but at least more manageable.
Again, the Fidelity credit card is great if you have accounts with them and plan to redeem the cashback into those accounts. However, if you’re just looking for a general 2% card, there may be better out there, such as the Paypal 2% card which has no minimum redemption.
While not the biggest change in the world, at least they are in the right direction! Lets hope for some bigger and better changes for the Fidelity card in the future.
What do you think about this change? Does it make you more inclined to grab the card? Let us know down in the comment section below!