You’ve probably heard of the Chase Sapphire Reserve—we called it the best travel credit card last year—but the PenFed Pathfinder Rewards American Express Card doesn’t have quite the same name recognition. That’s too bad, because this newly available card from the PenFed Credit Union has some of the most generous benefits available anywhere without an annual fee.
Among the most impressive perks are a solid if not spectacular sign-up bonus of 25,000 points for people who spend $2,500 on the card in the first three months after opening an account, a $100 credit that covers the cost of Global Entry or TSA Precheck enrollment, and a $100 credit for pretty much any travel charges you make (think checked bags or priority boarding upgrades).
The card also comes with these benefits, as described by PenFed:
• No annual fee
• APR as low as 11.99 percent
• No caps or limits on rewards
• Up to 4x points on travel (flights, Uber, tolls, trains, etc.)
• 1.5x points on everything else
• Other travel insurances and benefits
That last item includes stuff like roadside assistance, rental car insurance, and reimbursements if your trip, or even just your checked bag, is delayed. Very nice.
PenFed points can be used through the credit union’s own travel booking service. While redemption rates vary, “points are worth around .85 to 0.90 cents each for air travel, but as much as 1.27 cents toward hotel bookings,” The Points Guy reports. One downside to PenFed points is that you can’t transfer them to other programs, like that of your favorite airline, which is something you can do with points earned with other travel cards like the Sapphire Reserve.
Still the upsides are indeed impressive. This card “offers a plethora of travel benefits,” a CreditCards.com reviewer wrote. “This card is benefits-rich,” says points guru Gary Leff, adding that “the best comparison for this product will be the new Uber Visa.” The sort of perks PenFed is offering, says a Credit Karma review, “are usually seen on cards with annual fees of up to $95 or more.”
Of course, there are a few catches. In order to earn four points per dollar, you’ll need a PenFed Access America checking account; otherwise you’ll earn three points per dollar, still a great rate. In order to get the card at all, you either have to join PenFed or make a one-time contribution of $17 to a veterans group. (PenFed has all the how-to-join details online, of course.) Still, even if you consider that $17 a first-year annual fee, you’re coming out well on top with all these great benefits.
