Capital One VentureOne Rewards Credit Card Review – Is it all it’s cracked up to be?

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Interested in a rewards card but don’t have time to go digging through all the fine print?  We’ll make it easier to compare when considering the Capital One VentureOne Rewards Credit Card card offered by Capital One.  Sure, the Capital One VentureOne Rewards Credit Card is a rewards card, but exactly what rewards do you get when using this card? What about rates and disclosures, key benefits, as well as drawbacks that may be associated with the Capital One VentureOne Rewards Credit Card?

Before mentioning rewards, rates, benefits, and additional information about this card, we should mention that the card is designed for those with an excellent credit rating. According to Capital One, that means that you’ve never declared bankruptcy or defaulted on a loan. It also means that you haven’t been more than 60 days late on your medical bills, a loan, or another credit card in your possession, and that you have had a credit card or an active loan for three or more years with a credit limit over $5,000.

Also keep in mind that in order for Capital One to evaluate your application for the Capital One VentureOne Rewards Credit Card, it is required that you have a credit report from a least one of the major credit reporting bureaus or agencies that Capital One uses. You might want to call them about that. For those that get through the application process, the minimum credit line is $3,000.

Shall we Talk Benefits of the Capital One VentureOne Rewards Credit Card?

The Capital One VentureOne Rewards Credit Card offers a few attractive benefits. First off, you get 1.25 miles per dollar you spend on every purchase. In addition, new account holders earn 20,000 bonus miles. However, the fine print defines that this one-time bonus of 20,000 miles is incurred only after you spend $2,000 on any number of purchases within the first three months that you own the account. If you are a relatively frequent air traveler, this is certainly a perk – but for those watching their spending habits, the bonus might not seem quite so perky.

Miles accrued with the Capital One VentureOne Rewards Credit Card don’t expire, and there is no limitation to the miles that you can earn. You can choose any airline, at any time, without worrying about blackout dates. Be aware that if your account is closed, you lose any rewards that have not been redeemed. The good news is there is no cap on the amount of rewards you can earn on purchases.

Note  – be advised that if you make a late payment and a late payment fee has been applied to your account, you will lose any rewards applied to the rewards balance during the billing cycle that contains a late fee.

Miles can be redeemed for not only airline flights, but car rentals, hotel rooms, gift cards, vacations, merchandise, and cash. Want to know how many points you need to access certain rewards?  Here’s a sampler:

  • 21,700  miles = $217 flight
  • 10,900  miles = $109 hotel room
  • 5,700  miles = $57 car rental

The Capital One website provides a full listing of rewards and support information for determining how many miles are needed to cover a variety of travel expenses. Keeping it simple, they suggest that you can determine how many miles you need for flights, hotel rooms, or car rentals by adding two zeros to the cost of the item. Take the time to do the math.

An additional benefit of the Capital One VentureOne Rewards Credit Card is that they do not charge a fee for foreign currency transactions when you’re traveling abroad. Purchases made in foreign countries are converted at the foreign exchange rate that is applicable at the time the charge was processed.

While many of us are immediately attracted by the offers for free this and free that, it’s important to take the time to know exactly what you’re getting. Of course, keep in mind that actual number of miles that you’re able to earn depends on your purchase activity and credit limit.

What about Interest Rates?

Interest rates and interest charges for the Capital One VentureOne Rewards Credit Card are pretty average. The card offers a 0% introductory APR through December 2014 billing periods, but after that, your APR, based on your credit worthiness, can range from 11.9% to 15.9%, or a whopping 19.9%.

Interest rates on transfers, unlike the annual percentage rate for purchases, are 11.9%, 15.9%, or 19.9%, again based on your credit worthiness.

Be advised that if you take a cash advance, the interest rate rises to a staggering 24.9%.  It gets worse if you have a late payment, in which case the interest rate can shoot up to 29.4%. That’s right; one late payment will jack your interest rate up to almost 30%. If the APR is increased for a late payment, that penalty rate may remain in effect indefinitely. Capital One’s website states that your account may be reviewed “periodically” to determine possible rate decreases after the implementation of a penalty rate, but their definition of “periodically” is not specified.

Fees

No matter how good a credit card sounds, it’s important to understand applicable fees.  The Capital One VentureOne Rewards Credit Card has no annual fee, and you don’t have to deal with transaction fees for transfers. However, for cash advances, be prepared to pay $10 or 3% of the amount of each cash advance, whichever is greater. When it comes to penalty fees, a late payment will cost you approximately $35 dollars, and the same goes for a returned payment. There is no fee for being over the credit limit.

Bottom line – While we’ve provided a brief overview of the benefits, interest rates, and fees applied to the Capital One VentureOne Rewards Credit Card, we certainly encourage readers to learn as much as you can about the credit card that interests you. Capital One VentureOne Rewards Credit Cards are recognizable due to the frequency of commercials on television and the “So what’s in your wallet?” query, but don’t just rely on advertisements. Instead, log onto the Capital One website and review the rather detailed FAQ page that provides valuable information regarding miles accrual and redemption, credit card application process, balance transfers, and other information that any credit card holder should know.

 

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