Posted by: John S Kiernan

EDITOR’S RATING 2 / 5 PROS

• No annual fee
• Low Regular APR
• Special 4% military APR

CONS

• No rewards
• High Regular APR

The Verdict: If you have military ties and a good credit score, the USAA® Rate Advantage Visa Platinum® Card is a solid choice for low-cost credit improvement. And if you have good or excellent credit, it could provide a pretty low regular APR. But in any event, this offer won't wow you.

The USAA Rate Advantage Visa doesn't offer rewards. It doesn't offer 0% introductory APRs, either. Its best features are fairly low approval requirements and the lack of an annual fee. There's some interest rate appeal, too, but that comes with a few caveats.

The card's APR could be anywhere from 9.15% to 26.15% (V), depending on your credit standing. That means you're unlikely to get a rate at the low end of the range unless you have excellent credit. Rate Advantage Platinum also provides a special 4% APR for military members in certain circumstances. And while that's quite generous, it's nothing unique to this particular card. All USAA credit cards have the same feature.

So if you're simply looking to keep costs down, the USAA® Rate Advantage Visa Platinum® Card could be a contender. But you should definitely take a closer look at what it does and does not offer as well as how it compares to the competition. You can find everything you need to know below.

The Highlights

• No Annual Fee: This makes the Rate Advantage Platinum Visa $18.15 per year cheaper than the average credit card.
• Special 4% Military APR: Active duty military personnel get this low rate on all balances for up to 12 months during deployment or PCS. If you have a balance when you enter active duty, it gets that 4% rate until either the balance is paid off or one year after your active duty ends, whichever comes first.
• Available to People with Good Credit: Credit cards are the best credit-building tools we have available. So it's important to get one and use it responsibly. And the more choices you have to compare, the better your final selection is likely to be.
• Low Regular APR: The average APR among new credit card offers is 19.26%, so this is quite low by comparison. It even stacks up well against credit cards for people with excellent credit, which sport an average APR of 14.49%. But if you don't have perfect credit, or close to it, you'll probably be assigned an APR toward the high end of the card's advertised range. And in that sense, this minimum regular APR could be regarded as a teaser rate.

The Lowlights

• No Rewards: You won't earn cash back. You won't earn miles. And you won't earn points. For comparison, the average cash rewards credit card offers a $154 initial bonus as well as 1.06% back on all purchases. That can add up to quite a lot over time.
• High Regular APR: It's best to plan for the worst when applying for a credit card whose regular APR is advertised as a range. In this case, if you're assigned to the high end and wind up carrying a balance from month to month, you'll have to pay interest at an annual rate that's just shy of the average credit card's penalty APR: 26.26%. For additional context, the average credit card for good credit has a 20.79% APR.

Other Things to Consider

• No Foreign Transaction Fee: You won't have to pay extra when traveling abroad or buying things from international merchants online or over the phone while in the U.S. The average credit card tacks a 1.50% surcharge onto all such purchases.

  Still, there is a growing number of no foreign transaction fee credit cards. And Rate Advantage Platinum's lack of rewards make it far from an ideal travel companion.

• Rental Car Insurance: If you charge a rental to your Rate Advantage Platinum Visa and decline the agency's supplemental insurance, you'll automatically receive coverage against collision damage and theft. This coverage received a score of 80.5% in WalletHub's latest Credit Card Rental Car Insurance Study.
• Wait & See Spending Limit: Some credit cards disclose a minimum spending limit that an approved applicant is guaranteed to get, if not more. The USAA® Rate Advantage Visa Platinum® Card is not one of them. You'll learn your limit if and when you're approved. And it's based largely on your income and existing debt obligations. That's about all you'll know for sure going in.
• USAA Eligibility Requirement: To get a USAA credit card, you must be a current or former member of the U.S. military or the adult child of a USAA member.

Compared to the Competition

Comparing credit card offers is the best way to find the best deal. And this case is no different. Whether you're interested in a no annual fee credit card for good credit or the best low interest card on the market, there are lots of alternatives worth considering. Below, you can see how some of the most popular options compare to the USAA® Rate Advantage Visa Platinum® Card.

	SponsoredUSAA® Rate Advantage Visa Platinum® Card	The Amex EveryDay® Credit Card from American Express	SponsoredCiti® Double Cash Card – 18 month BT offer	SponsoredCapital One® Platinum Credit Card
Annual Fee	$0	$0	$0	$0
Rewards Bonus	N/A	10,000 points	N/A	N/A
Rewards Rate	N/A	1 - 2 points / $1	2% Cash Back	N/A
Purchase Intro APR	Not Offered	0% for 15 months	Not Offered	Not Offered
Transfer Intro APR	Not Offered	0% for 15 monthsTransfer Fee: $0	0% for 18 months*Transfer Fee: 3% (min $5)	Not Offered
Regular APR	9.15% - 26.15% (V)	15.24% - 26.24% (V)	15.74% - 25.74%* (V)	26.96% (V)
Editors’ Rating	2.0 / 5	5.0 / 5	5.0 / 5	5.0 / 5
Details, Rates & Fees	Learn MoreRates & Fees	Learn More	Learn More	Learn More
Winners	The Amex EveryDay® Credit Card from American Express		Capital One® Platinum Credit Card

If you want to expand your search a bit, check out WalletHub's picks for the year's best USAA credit cards as well as the best overall rewards cards.

from Wallet HubWallet Hub


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