Buzz
Capital One has enhanced the rewards on its Savor card, with exciting new perks tailored for frequent diners and those who spend a lot on groceries (considering food is the average American’s third largest expense, this applies to many of us).
Launched in October 2017, the card originally offered three percent cash back on dining, two percent at grocery stores, and one percent on other purchases. The updated card now provides four percent cash back on dining and entertainment (including movies and concerts), two percent on groceries, and one percent on everything else. Additionally, there are no foreign transaction fees, and its variable APR ranges from 16.24 percent to 25.24 percent.
“If you’re someone who loves exploring new restaurants or have a large family that enjoys frequent outings, the Savor’s four percent cash back on dining and entertainment purchases can lead to significant savings,” explains Joe Cortez, NerdWallet’s Credit Cards Rewards expert.
Eligible dining and entertainment expenses that earn you four percent cash back include restaurants, fast-food spots, coffee shops, bars, amusement parks, live shows, sports events, tourist destinations, and movie theaters, among others.
Capital One has also rolled out the fee-free SavorOne card, which offers three percent cash back on dining, two percent on groceries, and one percent on all other purchases. Right now, it’s giving a $150 bonus if you spend $500 within the first three months.
You can compare these benefits with Uber’s newer credit card, which provides four percent back on dining, three percent on travel expenses like flights and hotels, and two percent back on online purchases.
There’s one catch: The Savor card has a $95 annual fee (waived for the first year), and Capital One confirmed to Marketwatch that existing cardholders will automatically be upgraded to the new rewards structure without paying the annual fee. Uber’s card, however, has no annual fee but offers only two percent back on grocery store purchases. Plus, the Uber card comes with a $500 cash bonus if you spend $3,000 within the first three months, while the SavorOne card’s bonus is $150. So, that’s a $350 difference in bonuses upfront.
Other cards with solid dining rewards include the Chase Sapphire Reserve, which offers three points per dollar spent on dining but comes with a hefty $450 annual fee; the Costco Anywhere Card, which gives three percent back on dining; and the PNC Cash Rewards Card, which provides three percent back on dining and two percent on groceries.
As always, be sure to apply only if your credit is in good standing and you can pay off your bill each month.
