Here’s what you need to know:
- Credit cards bearing the name Hyatt, Marriott, Delta, etc. usually award cardholders the points or miles of those brands– but they’re still issued by banks or financial institutions. The Uber credit card is a Barclaycard Visa.
- The card will be available beginning November 2nd. Get preliminary info here.
- After spending just $500 in 90 days, you’ll receive a $100 sign up bonus. That’s a 20% return, not bad at all! (And unusually lucrative).
- You’ll get 4% back on dining, including UberEats. That’s one of the best offers out there, and the best if you factor in the card’s lack of an annual fee. The next-best option is the Chase Sapphire Reserve, which is $450/year (net $150). That one gives you 3 points-per-dollar on dining that can be redeemed for 4.5 cents each on travel.
- You’ll earn 3% back on airfare and hotels/lodging. That includes Airbnb! It’s pretty unbeatable, with the exact same caveat as the note above. (3 points-per-dollar are for travel and dining on the CSR).
- You get 2% back on online purchases including Uber, online shopping, and video and music streaming services.
- 1% back on everything else. $50 credit for online subscription services (Spotify, Netflix, Amazon Prime etc.) after spending just $5,000 in one year.
- Up to $600 mobile phone insurance for damage and theft when the card is used to pay the monthly mobile phone bill.
- 0$ fraud liability protection, no foreign transactions fees (!!!!) and no annual fee.
Our Take on the Uber Credit Card
Good golly, Molly. This card is truly lucrative– unusually so. As these points are worth the standard $0.01 each, there’s a lot of room to get cash back on the areas that typically indicate high dollar amounts: travel and dining. The card is golden for millennials, with 2% back on their favored sharing-economy standards. That being said, an equivalent cashback rate can be had with the Citi DoubleCash card, which also offers great shopping perks like return protection and price rewind.
My initial hunch is that this card is best for young people who need to build a credit score with a free card that they won’t close. It’s a great alternative to the elite cards– Chase Sapphire Reserve, Amex Platinum– as it offers competitive rewards on travel and dining. The points awarded seem to be instantly available. That’s a nice perk, and one that only Capital One comes close to competing with. Uber points seem to be designed to be spent relatively soon (within one year). That’s not bad, since they have fixed value and there’s not inherent benefit in stockpiling them. Proprietary currencies like Chase Ultimate Rewards or Amex Membership Rewards can soar in value when transferred to airlines for free travel (you can read about this author’s experience doing that here, here, here, and here. Or here, in summary.)
I vote yes if you want a card with: no annual fee: respectable cashback on travel and dining; simple redemption options; and no fees. If you want the highest-possible value of points, and travel/dining are your spending/redeeming areas, I would still choose Chase Sapphire Reserve. Its annual fee is net $150, and it includes lounge access, as well as the option to transfer points to United and other airlines. It’s also got a larger sign-up bonus. Other than that, the Citi DoubleCash is my other go-to card. It gives unlimited 2% on everything (good for the shopping areas neglected by the other cards in your wallet) and lucrative shopping benefits.