Best Capital One Credit Cards

Capital one produces a top-notch credit card for travels, and also is a go-to credit card for college students who are looking to build their credit score. They also offer a robust cash back credit card, but if you are looking strictly for cash back with your credit card issuer, there are competitors that will provide a higher overall rate. The business card is also solid, as it offers free cards to employees.

About Capital One

Capital One Financial Corporation is a retail and commercial bank listed as a bank holding company focusing on credit cards, auto loans, as well as banking and savings products. The company is headquartered in McLean, Virginia, and is the 8th largest commercial bank in the United States. They are ranked 9th in the U.S. in total assets. The company has 755 branches and ATM across the country.

The commercial banking that Capital One engages in is focused on loans within commercial operations. The company is active in the mortgage banking area and had more than 21-billion in outstanding mortgage loans as of the Q1 of 2017. Capital One does not engage in capital markets sales and trading and does not have an active corporate finance division. The company does not employ an investment banking strategy and typically lends money to commercial clients as part of its commercial operations.

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Capital One Credit Cards

Capital one actively issues credit cards to customers in the United States, Canada, and the United Kingdom. As of the end of 2016, Capital one was the 3rd largest provider of credit cards with receivables of 91 billion only behind Citibank and JP Morgan Chase. As of December 31, 2016, Capital One had a total of $97 billion in credit card loans outstanding in the U.S. and $8 billion of credit card loans outstanding in Canada and the United Kingdom.

Who Should Get a Capital One Credit Card?

Capital One has one of the best travel reward programs available. This card is good for people that have good to excellent credit that have lots of travel expenses. Additionally, capital one has credit cards that are geared toward first-time credit users, to establish a credit history.

Some of the Capital one credit cards have no foreign transaction fees, so if you are traveling abroad or purchasing items overseas, this feature can save you a boatload of money. Many credit card companies charge 3% for a transaction that is registered overseas, even if the transaction takes place when you are in the United States. Avoiding these fees can be coveted saving. For example, if you spend $10,000 each year online in a non-domestic country, you would save $300 in fees.

Capital One also has a robust online security center that allows you to track the amount of money that is spent on each card that has an authorized user. So, if you want to track your child’s spending and even limited their purchase you can handle this with limited effort.

Capital one generally allows you to pick your own due date. This can allow you to avoid a cash flow crush and pick a date that is after your normal payment date.  They also provide state of the art fraud prevention and second look activity, which helps avoid duplicate subscriptions.

Pros and Cons of Capital One

Pros

Capital One is definitely a simple reward credit card with a structure, that is relatively easy to follow especially their no-fee Venture Card. Their cards are perfect for people who don’t spend much money or who don’t want to worry about points. Capital One is attempting to sell a simple and efficient card where you do not have to think about categories, to generate reward earnings.

Cons

The Capital One credit cards suite is satisfactory but if you are big time spender or interested in great value in cash back there are credit cards that will provide you a better bang for your buck. The advertised rate of 1.5 cash back, which can be boosted to 2%, is matched by the Citi Double cash back which does not charge a fee.

The Capital One card is good for low-spending consumers, who generally purchase the least expensive tickets for airfare. These cards are also great for individuals that are looking to remove non-airline or hotel charges from their monthly bills. If you are very interested in finding cards that will allow you to rack up points for luxury trips, this is not the card for you.

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Tips When Evaluating a Capital One Credit Card

Capital One like most credit card companies provide the best rates to clients with the best credit score.  You should know your score before you apply.  Get your FICO score from the 3-credit rating agencies. Make sure there are no issues and no mistakes on past spending issues. If you know your score is below 690, you should apply for cards that are geared to fair to good credit.  You should also keep an eye on your credit report. If you see any mistakes make sure you try to rectify these issues before you apply for a new card at Capital One.

Best Rewards Credit Card

The Capital One Venture Rewards Credit card is a robust travel reward credit card and the best in the suite of cards offered by capital one for travel. The card provides 2-miles for every $1 spent which generates a 2% reward rate. This card pays out in miles, which makes it a useful card for those who are on the road a lot.  If you are not a traveler, for business or pleasure then this card will not be a good choice for your lifestyle. The card comes with no annual fee for the first year, and then a $95 annual fee for subsequent years. There are no foreign transaction fees which can save you up to 3% in purchases overseas or on the internet from out of the country. The Capital One Venture Rewards Card comes with a 50,000 sign up bonus when you spend $3,000 on purchases within 90-days of activating your card. This is equivalent to $500 in travel. The Venture One also has no blackout dates, and while the number of miles needed to purchase airline tickets or hotel stays might increase over the holidays, you will still be able to use your miles during busy periods.

Capital One also offers a Venture card that has no annual fee, but only provides 1.25 miles for every dollar spent.  This card is more attractive to those who generally spend less than 10,000 a year on their credit card.  The Venture One Rewards card offers no annual fee for the first year and then increases to an APR that is based on your credit rating in subsequent years. The Venture card does not offer an introductory teaser rate.

The mile that you accumulate with your Capital One Venture Card can be redeemed automatically as a statement credit for any travel related expenses such as hotels, airfare, and retail cars as well as cruises. An alternative method to redeem miles is to book airfare at any time with the miles you accumulate.

There are no restrictions or limits to when you can earn miles and how many miles you can accumulate. There are no categories where you earn a larger or smaller number of miles and no additional reward enrollment requirements. You will need to have good to great credit to qualify for the Capital One Venture Card.

Best Cash Back Credit Card

The Capital One Quick Silver Cash Rewards Credit Card allows the consumer to earn 1.5% cash back on all purchases. There is no limit on how much you can earn and there are no categories that you need to sign up for to accumulate your rewards. The signup bonus is $150 dollars if you spend 500 dollars on purchases within the first 90-day of activating the card. There is an introductory APR of zero percent for the first nine months, which reverts to 14.4% to 24.24% based on your credit rate after the introductory period. There is no annual fee to use the card and there are no foreign transaction fees for purchases outside the United States either when you are overseas or purchasing items online.

The Best Small Business Credit Card

The Capital One Spark Cash for Business is similar to the Venture Rewards card but is for business as opposed to personal use. The card is a cash card that pays 2% cash back on all goods and services purchased on the card.  The annual fee is zero for the first year and then $95 per annum in subsequent years.

The Capital One Spark Cash for Business has a robust signup bonus of $500 cash back once you spend $4,500 on goods or services within the first 90-days of activating your card. In addition, this card offers specific business perks such as an online summary of expenses that are broken down into categories.

The Spark Cash Card provides employers with free employee cards along with fraud coverage.  Similar to the Venture One card, there are no foreign transaction fees.  There is lost luggage reimbursement as well as Visa Signature Concierge.

Free employee cards, quarterly and year-end summary and other business tools, fraud coverage, no foreign-transaction fees, purchase security, price protection, premium travel benefits, Visa Signature Concierge, lost luggage reimbursement. You can set up your card to give you a statement credit of 2%, which will apply to all the goods and services you purchase.

Best Card for College Students

If you are a college student and do not have a credit history then Capital One has a card for you. The Journey Student Reward Card will issue a credit card to a student with a credit rating of 630 to 690 which is in the fair category.  You can earn rewards on purchase of 1% cash back and will receive a bonus of 0.25% when you pay your balance on time. This places the total reward for this card at 1.25%.  There is no annual fee for the card and the reward do not expire.

Which Capital One Card is Right for You?

If you are a traveler, the Capital One Venture card is the most lucrative of the reward cards. If you have a business, the ability to issue free cards to your employees, allows you to earn rewards when your employees are spending.  The cash back card is average, but it does not require categories, which allow you to mindlessly collect rewards.

What to Consider Before Choosing a Capital One Card?

Capital One appears to gear their cards to travelers.  You should consider your lifestyle and determine if travel rewards are best for you. You will need to have a good to great credit rating unless you are a college student.  The most lucrative travel reward cards the Venture One has an annual fee after the first year, which means you need to spend approximately 10,000 per year to make back the annual fee. The APR is relatively high, so if you intend on carrying a balance, you might consider another card.

How to Apply Online for a Capital One Credit Card?

You can apply online or over the phone by entering information including your social security number of your tax identification number. The process is relatively seemly, and you should have an answer very quickly.

Conclusion

Capital One has a suite of card that is geared to several types of lifestyles. There most popular card, the Capital One Venture Card is geared to travelers who are either using miles to purchase trips or offsetting travel expenses with statement credits. Their cash back card is average but does have a nice signup bonus, and their business card is robust, as employee cards are free allowing you to earn rewards through your employees. They even have a card that is geared to college students with fair credit.