PenFed Credit Card

[DSDP_Don]

I guess it finally had to happen. Starting in November, PenFed will no longer be paying 5% back on gas purchases unless you open one of these qualifying accounts:

• Active checking account with direct deposit ($250 min.)
• Money Market Certificate or IRA Certificate
• Mortgage
• Installment loan*
• Equity Loan or Equity Line of Credit with a balance

They will also be charging a $25.00 annual fee unless you have one of the above accounts.

If you don't open one of these accounts, you'll receive 3% back on purchases and will pay a $25.00 annual fee.

For us, I may be looking at closing the PenFed account and using my air mileage credit card. Will have to do the math.

[J-Rooster]

wny_pat wrote:
Don,
Did you get it in the mail??? I haven't received notification yet. Could not find the $25 annual fee on line, but found the rest of it, but it sounds like the 5% is over in Sep or in Dec '13 depending. Not really surprised it is over - has been a good run. Hopefully I might be okay, cause I took advantage of their car buying service and a super low .49% car loan rate. Had thought about their IRA, but their rates are way to low.

Good to see you posting again Pat! Glad your O.K. I was going to send you a PM later in the week if you haven't posted by then!

[kennithA]

PenFed is the second largest federal credit union in the US. It is appropriate to those who want low rates or no-fee credit card. If you or an immediate member of the family is a member of the United States armed forces of a government contractor, PenFed is supplying the PenFed Promise Visa card. Now, you can dump your bank's charge card for a credit union.

[midasman]

My Pen Fed letter came a few weeks ago. I called and set up a Money Market account to keep my benefits. NO BIG DEAL--$25, Yep just $25 to qualify and maintain status quo. Best card I have ever had!

[sjholt]

I found out that Pen Fed is paying better interest on Money Market Savings than my credit union.

[rgatijnet1]

To maintain the 5% on fuel, and zero annual fee, all you have to do is open a Money Market Savings Account, which can be done with as little as $25.00. This is an easy procedure that can be done online.

[racerchaser]

It is possible that the change to lower rebates will only apply to those who apply for a new card. For a card you have had for a while sometimes the benefits you have are grandfathered. That is what happened to the Mastercard that I use. The MC benefits I have are no longer offered but I still get them. We will just have to standby to standby.

[houseoffools]

I got my Platinum Rewards Card sometime within the last year. Looking at the PenFed website, it appears they no longer offer the "old" rewards card...now they have something called the Platinum Rewards Visa Signature Card which shows the point values being less beginning in 2014.

I was already upset because when I applied for my card I swore the website was still advertising bonus points for signing up and initial spending, up to a $250 value, but after I got my card and started using it the bonus points never showed. Called PenFed and they said the bonus point promotion was over. I decided to keep the card because their points for gas and groceries were still better than the other cards I have. I hope they don't change my point system now. If so I may start looking for another card.

[wny_pat1]

I called PF this morning and was told that the PF Visa Platinum Rewards will remain at 5% til the end of this year, then it may drop to 3% for gas instead of the current 5%. And grocery store will drop to 2% instead of the current 3%. But no annual fee for the PF Visa Platinum Rewards. The annual fee is on the cash rewards card, but if you have other accounts with them you will not have to pay the annual fee. And it shows info about the PenFed Visa Platinum Rewards right on their web page.

[racerchaser]

Having just spoken to a PenFed rep I was told that, at least for my card, a Platinum Rewards card, that nothing has changed or is going to change. For anyone concerned about this subject I would suggest you call PenFed.

[Dachristianman]

It's the Penfed Cash Rewards card that is changing. Their "Platinum Rewards" card is still going to offer 5% back on gas (in points), although the points redemption has changed. Last week I went to redeem my points, and noticed that the cost of the gift cards went up. You can no longer get a $50 gas card for 500 points, they upped it to something like 560 points. I was not very happy since I accumlated those points under what I thought were "terms." Oh well.

[crcr]

Awhile back I switched our SUV loan from a bank to PenFed, got 2.49%. Excellent loan rate for a used vehicle.

I had thought about getting that credit card but hadn't gotten around to it yet. It sounds like I may still qualify for 5% and no annual fee, but I will certainly check the terms. Thanks for the tip, OP.

[rgatijnet1]

I usually put 15,000 to 20,000 miles per year on our coach, which means I spend close to $9000/year for fuel. The new changes from 5% to 3% discount will mean that my discount will be $180 less.
For the average RV user that puts 5000 miles or less on their coach, the difference will be about $45, which is not that much. Sure the discount is nice at 5%, but besides that discount you have the outstanding service that you get from PenFed. Have a problem or question and you get to talk to an actual person, in the USA. Need a loan, and their rates are tough to beat.
For a few bucks less in the yearly discount at 3%, I will NOT be dropping Penfed. They still have many advantages that will keep me as a customer.

[wny_pat1]

I'm not jumping ship yet. Still have not got the official notice yet. And they are about as good as anything else out there.

[JerryofWV]

I got my letter in the mail today. Sent an email within a few minutes to cancel my card.