PNC Bank has launched the PNC Spend Wise? Visa®, a no-annual-fee card designed to encourage spending and on-time payments. The card offers a two-point annual percentage rate reduction to cardholders who pay on time and spend at least $3,000 over 12 billing cycles.
Many credit cards reward spending with sign-up bonuses, but few offer payment incentives, other than avoiding late fees and negative credit reporting. The PNC Spend Wise? Visa®’s APR reduction is unique, as it incentivizes both spending and on-time payments.
The card also offers a 0% introductory APR on purchases and balance transfers for the first 18 months, after which the regular APR is 20.24% to 30.24% variable. However, some low-APR cards offer a lower APR than you’d get from the PNC Spend Wise? Visa®, even after the two-point reduction.
[Read: Best Low-Interest Credit Cards.]
You might use this card to make a large purchase or balance transfer, and pay off as much as possible during the lengthy 18-month 0% APR period. Ideally, you’d have the full balance paid off before interest charges apply, but you’d catch a break with a two-point APR reduction — assuming you’ve spent at least $3,000 on the card in 12 months and made on-time payments. However, the best way to save on interest is to pay your balance in full each month, and any APR reduction won’t matter if you’re not paying interest charges at all.
Aside from incentivizing spending and payments, the PNC Spend Wise? Visa® has impressive benefits for a card with no annual fee. Although it doesn’t earn rewards, it offers price protection, porch piracy protection, cellphone protection and a $25 annual digital subscription credit. Porch piracy protection provides up to $10,000 reimbursement per claim for eligible purchases stolen within 90 days of purchase.
The PNC Spend Wise? Visa® is available to existing PNC customers in branches, online and in the PNC mobile app. New customers must apply in person at a PNC branch.
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PNC Launches Spend Wise Visa With APR Savings originally appeared on usnews.com
