The idea to earn rewards that could pay off your mortgage is fascinating. Wells Fargo has it covered for you if you are determined to pay your mortgage sooner than required. It offers interesting benefits for home mortgage owners to consider getting one. The card is aimed only at Wells Fargo home mortgage customers, and requires a fair (660+) credit score rating to qualify. Issued by the Wells Fargo Bank, the card type is Visa. Wells Fargo claims that since its launch in 2007, it has helped home owners reduce $50 million in mortgage principal. Let’s have a look at what the Wells Fargo home rebate card has to offer:
Wells Fargo Home Rebate Card Features
Some features that the card boasts are really simple and of value to the cardholders.
There is no annual fee with the Wells Fargo Home Rebate Card. There is no APR on purchases and balance for the first year from sign up. After that a 12.15%-25.99% variable APR is applicable on both.
The APR applicable on cash advances and overdraft protection advances is 23.99% to 25.99% which depends on your creditworthiness. The due date to pay entire balance and avoid paying any interest on purchases is 25 days after close of the billing period. If interest is charged it will not be less than $1.
You earn 1 point for $1 spent purchasing anything. There is no cost to add other cardholders and customer service is available 24/7.
Every purchase that you make using this Wells Fargo Home Rebate Card will earn you a 1% rebate. The rebate is automatically applied to the principal outstanding of your mortgage in $25 increments. The only concern here is that it applies only to Wells Fargo mortgages, not any other.
You can protect your Wells Fargo Home Rebate Card with a unique password for online shopping.
The Wells Fargo home rebate card does not work for the following mortgages:
CNVN insured and uninsured second mortgages
Commercial first mortgages
FHA second mortgages
HUD second mortgages
Not yet fully funded or in process loans
piggy back mortgages
VA second mortgages
For balance transfers, $5 or 3% of amount of balance transfer is applicable; whichever is greater for up to 12 months. After that, 5% for each transfer with minimum of $5 applies.
For cash advances, $10 or 5% of each cash advance, whichever is greater will be applicable.
For overdraft protection services, $12.5 for $50 or less overdraft protection advance in a day. If the overdraft protection advance in a day is greater than $50, $20 is applicable.
For foreign currency conversion, a fee of 3% of each transaction is applicable which is converted to US dollars.
A late payment penalty fee of up to $35 is applicable. The same fee applies to returned checks or returned payments.
Wells Fargo Home Rebate Card Additional Advantages
You get automatic protection from liability for unauthorized transaction if you report them promptly
To avoid overdrafts you can link your credit card to your checking account
Visa customers get text and email alerts of spending or purchases which may reflect irregular or suspicious activity
Visa payWAve lets you make payments faster than ever by simply holding it in front of the reader at checkout.
Rebates can be received as check or statement credit and can also be redeemed against travel, gift cards or branded merchandise.
Visa provides automatic rental car insurance, emergency card replacement, travel accident insurance and travel and emergency assistance services
What to Consider When Choosing To Buy Wells Fargo Rebate Card
You should carefully consider all options if you are considering applying for a Wells Fargo home rebate card which helps pay down mortgage through rebates. The first and foremost noteworthy point is that the card only benefits Well Fargo mortgage owners. Secondly, if Wells Fargo sells your mortgage, which is something beyond your control, you will lose the entire rebate you have earned. This is kind of a risk that you stand to take when you apply for the card.
Perks of the Card
You get to calculate your payment easily using the calculator on the Wells Fargo home page. It gives you a clear estimate and helps in evaluating whether the Wells Fargo Home Rebate Card will actually benefit you, by comparing your monthly card expense to the savings it will provide you in your loan payments.
Rebates are automatically transferred to your mortgage principal when you earn reach $2500 in purchases using your card. This is automated and you do not have to worry about transfers or late payments.
It reduces your amortization period and loan term. For example, you repayment period can shorten by more than a year if you spent $1500 a month using the card; considering you had a $150,000, 30-year mortgage at 4 percent interest rate.
Gas grocery and drugstore purchases get 3% cash back in the first six months of your card holding. All other purchases will earn you 1% cash back.
The Wells Fargo Home Rebate Card offers a good deal with a neat concept to link your purchases in paying your mortgage. It automatically gets the job done every time you earn $25 in rebates. You get other benefits too, suppose you don’t have a mortgage to pay, you can redeem the rebates in other perks like travel or gift cards. You can learn more about rewards and get additional information at the Wells Fargo website.
The only drawback to the Wells Fargo Home Rebate Card is that it is specific to paying home mortgage loans which are from Wells Fargo. More importantly, if Wells Fargo sells your mortgage, which can happen and which is out of your control, you will lose the entire rebate that you have earned. This is one significant drawback and risk that the card poses. Other than that, it seems like a good deal for those who cannot stay away from purchases and also have a home mortgage to pay.