Best buy credit card review 2021

The electronics and appliance superstore best buy/offer to credit cards issued by Citi bank. These cards give you the option to either earn rewards on your purchases. Or to get special financing on your larger purchases.

The best buy rewards program and the cards. In general, are low more complicated than you might expect from a retail store credit card. So I’m going to try and break them down in sort of a logical pattern.

Best Buy Platinum visa card

When you apply for the Best Buy credit card, you are actually applying for the Best Buy Platinum visa which is accepted at Best Buy as well as anywhere else.

Visa is accepted if your credit is good enough and you are approved great. You’re good to go if your credit is not good enough.

Best Buy may consider you for one of the other credit cards that they offer. One of them is a store-only credit card that you can only earn rewards at Best Buy.

Best Buy Gold visa card

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Best Buy Gold visa could be used as a visa in addition to being used at Best Buy. However, this card does have a $59 annual fee. If you do apply and you know you’re offered that card, you should know that there’s a $59 annual fee. In most cases, I would not say it’s worth it to pay an annual fee for this card and less. Perhaps, you are someone you know credit is not so great. And the idea of getting a Visa card is attractive enough to you.

I would say you know if you’re not approved for the Platinum visa, go for the store-only card. Most people are going to get what is essentially a 5% reward on their best buy purchases. Technically you are getting two-point, five points per dollar on your Best Buy purchases. Each one of those points is going to be worth $0.2 when it’s redeemed when you get to 250 points. You’re going to get a $5 rewards certificate that you can use toward a future best buy purchase.

So essentially, what that means is you spend a hundred bucks at Best Buy. You are going to get enough points to get to that $5 reward. If you are approved for a Best Buy visa, you can use the card outside of Best Buy as well. You can earn rewards points on those purchases, you will get one reward point for every $ you spend on grocery purchases. And you will get a half-point per dollar on any other purchases that you make with the card.

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Now those don’t sound very good but remember that each point is worth two cents. So you can actually think of those as being a 2% reward on the dining in grocery and a 1% reward on anything else that you buy with the card which makes a little more sense.

Check Best Buy’s website to see if they have come up with any short-term bonus offers for other types of purchases. Now in general, I don’t see this as a card that you should use outside of Best Buy if you have any other credit card that gives you halfway-decent rewards that you could use at other places outside of Best Buy.

It probably makes more sense because you would get more flexibility out of a standard bank card that offers you rewards. This one obviously is giving you rewards that you can only use toward future Best Buy purchases. However, if you’re someone who you know maybe your credit history isn’t as great and this is the way that you can get yourself a Visa, well then maybe it makes sense for you. But if you have other cards that offer you rewards, I would say using this outside of Best Buy doesn’t make a whole lot of sense.

Now like I said when you hit 250 points you are going to get a $5 reward that can be used toward future Best Buy purchases. However that $5.00 reward is going to be automatically issued to you when you hit that 250 point level, and then you are only going to get 60 days to use that ward.

I always dislike retail credit card programs that do this sort of thing because of the kind of the trouble to be part of their reward program and then you hit the threshold to get the reward, and then all of a sudden you only have 60 days to use it.

So it’s all good for them, It sort of forces you back into the store or at least online within those 60 days. You’re probably going to make a purchase of more than only $5. If you don’t, then the reward just goes to waste and you know it doesn’t hurt them at all. So, in that way, this is a program that’s good for Best Buy not as good for you.

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There is an aspect to this particular rewards program that is a little bit different than a lot of retailer cards. And that is if you use your card for over $1500 in purchases within the year, you will qualify for the elite level. If you spend $3500 or more you will qualify for the elite Plus level.

The elite-level gets you is the ability to bank your points so instead of automatically getting that $5 reward whenever you hit the 250 points. You can actually bank those and not have a rewards certificate issued to you until some level that you choose.

So if you spent a lot more in Best Buy overtime and you decided to bank them instead of getting a $5 reward. You only have 60 days to use it, you potentially could save them up and get yourself up to $25 or $50 depending on how much you might spend. And then you would have a certificate they had a little weight to it that would feel a little better using instead of a $5 reward, where you’re essentially gonna spend more than that in order to take advantage of it.

For Instance, You may be making larger purchases so you know maybe you spend more at Best Buy than you would somewhere else. If you’re buying a computer or whatever. You could hit these different levels much easier so getting to the elite. Elite Plus level is maybe a little more doable at Best Buy than in some other places.

One last aspect to those elite levels. If you hit that Elite Plus that $3,500 per year. Your actual everyday rewards will go up as well instead of earning 5% in rewards on your best buy purchases. You’ll actually get 6% in rewards on your best buy purchases.

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So that’s the rewards program you also have the option to not get rewards on certain purchases. Get 0% financing on those bigger ticket items. You can get a 0% interest rate for six months on purchases of $199 or more. 0% rate for 12 months on purchases of $399 or more and then there are special offers that go up to 24 months at a 0% interest rate.

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While the 0% financing is a nice thing, this is deferred interest financing. This means you must pay off every penny of your purchases within those 6, 12, 24 months timeframe. Or they pretend like the 0% offer never happened and you get charged all of the interest.

That means it made a big purchase that was you know a thousand or 1500 bucks or whatever. And you used 24-month financing and you paid off 90% of it. But you got to the end of 24 months & you still owed 10% of the purchase price.

Going forward, what they would do is they would go all the way back to that purchase date. And they would charge you all of the interest that accrued for that whole two years on the complete purchase price.

This means If you didn’t pay off a purchase in time and it had sort of a long time frame on the offer.

Then you could end up paying an awful lot extra so you need to be very careful if you accept one 0% financing offer. Especially if it’s for one of those longer time frames one final note if you are approved for the Best Buy credit card instantly.

Which you may be and you use it on the same day that you are approved. You will get 10% in rewards on that day. If there’s a big purchase that you want to make and you sign up for the Best Buy card on that particular day. You would get 10% back in rewards on that purchase.

Overall, No tons of value in the Best Buy credit card unless you spend a lot at Best Buy. And you can hit that elite level and bank those points so that you would get a larger reward. If you want to use the special financing. And you know you can pay it off completely, getting a 0% interest rate is a nice thing to have.

 

Updated: July 4, 2021 — 2:06 pm

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