Our weekly credit card news roundup contains must-know tidbits about the cards in your wallet, other offers available now, and new product announcements that made our ears perk up.
What’s the Lowdown?
Here’s what caught our attention between Nov. 26 and Dec. 3, 2020:
BlockFi Announces First Bitcoin Rewards Credit Card
The very first credit card to issue rewards in Bitcoin will make its runway debut this spring, according to a Tuesday announcement from cryptocurrency platform BlockFi. The new BlockFi Bitcoin Rewards Credit Card will function much like the cash-back rewards cards we know and love, offering 1.5% back on everything you buy and a respectable bonus for new cardholders. Only, there’s a twist. Instead of rewards that can be used for dollar-denominated statement credits or travel bookings, the cash back you earn will be turned into Bitcoin deposits that’ll go into a savings-type account with drool-worthy interest rates (currently 3%-6%). If you haven’t already jumped on the cryptocurrency train, you’ll need to do so—you have to have a BlockFi Interest Account with a Bitcoin deposit in order to use the card. The card will come with a lofty $200 annual fee, but the amount you earn in that BlockFi Interest Account may help you make up for the cost (just remember that Bitcoin valuations can change more often than the weather, so you’re signing up for whatever risks the wind blows in).
U.S. Bank Altitude Reserve Visa Infinite Card Closes for New Applications
The list of swank travel rewards cards that don’t tie you to one particular airline or hotel chain has dwindled to three: the Chase Sapphire Reserve, Citi Prestige, and The Platinum Card from American Express. U.S. Bank pulled the U.S. Bank Altitude Reserve Visa Infinite Card information and application pages off its website this week, limiting the choices out there for a flexible premium rewards card. The Balance reached out to the card company to find out if this change is permanent or temporary, but did not hear back as of publication. That leaves just those three cards for folks who want to enjoy hefty luxury perks like airport lounge access once the pandemic cools off (and, unfortunately, heavyweight $400+ annual fees to match).
Interest Rates Hold Steady With Holiday Shopping Well Underway
Good news: If you’ve pushed off card payments recently or if you’ve been suckered in by holiday sales that have you carrying a credit card balance, your card’s interest rate is likely still lower than it was last year. APRs aren’t falling like they were earlier this year, following emergency Federal Reserve rate cuts. But they aren’t rising, either. The average credit card interest rate is still lingering below pre-pandemic levels, according to card offer data collected by The Balance. We only recorded one small APR adjustment among the 316 credit cards tracked in our database in November. Learn more about what’s going on with credit card interest rates here: Average Credit Card Interest Rate is 20.24%.
