New Discover More cardholders can receive a $150 cash bonus if they spend $1,000 on the card in the first 90 days after opening an account.
That tops the $100 bonus Capital One offers on its new Cash card, although you only have to spend $500 in the first three months to get that benefit.
Here’s a look at the credit card details:
|APR||0% on purchases and balance transfers for first six months, then a variable 11.99% to 19.99%, depending on your credit history (prime rate of 3.25% plus 8.74% to 16.74%).|
|National Average APR||14.99% (source: CreditCards.com)|
|Other Fees||3% balance transfer fee until Feb. 10, 2012, then 5%.|
|Rewards||$150 cash bonus if you spend $1,000 in the first 90 days; up to 1% cash back on spending; 5% back on purchases in quarterly rotating categories.|
|Verdict||Discover easily tops Capital One Cash’s $100 intro bonus with this offer. It’s not as good as the $200 bonus available on the Chase Freedom credit card.|
The Discover card now comes in several varieties, but the More version is the only one offering the $150 bonus, according to Discover’s website.
In addition to the cash bonus, there’s a 0% APR on purchases and balance transfers for the first six months.
The balance transfer fee is 3% until Feb. 10, 2012, after which it increases to 5%.
After the intro period, the APR is a variable 11.99% to 19.99%, depending on your credit history.
Like Discover’s other cards, More lets you earn up to 1% cash back on your spending.
You don’t actually earn a full 1% until you spend $3,000 or more annually; before that, your purchases earn 0.25%.
While it’s true that Discover’s basic “up to” 1% isn’t as generous as other cards that pay a full 1% or more on all spending, there are ways to boost the value of your rewards.
For example, you can boost your bonus if you redeem your rewards for gift cards or eCertificates from more than 100 partners. For example, your $20 reward is worth a $25 gift card at Staples and many other retailers, while $45 gets you a $50 gift card at LongHorn and several other restaurant chains.
You can earn 5% on your spending in revolving shopping categories. For example, from January through March, you earn 5% back on travel and restaurant purchases.
However, those bonus earnings are capped; in this example, only your first $800 in spending earns the 5% bonus. You must also sign up with Discover to get those rewards; you don’t get them automatically.
You can also earn 5% to 20% cash back by shopping at more than 175 retailers through Discover’s online shopping mall.
Also new: You can now redeem your cash-back bonus to buy things at Amazon.com.
The Discover More offer is available here.
Compare this deal with the cash-back credit card offers in our database.