Venmo Credit Card Review

If you love using Venmo to make payments or split costs with family and friends, the Venmo Credit Card by Synchrony Bank could be an easy choice for a cash back credit card. It has a $0 annual fee, Visa benefits and a cash back program that tracks your spending automatically. You’ll earn 3% cash back on your eligible top spend category, 2% on the next and 1% on all other eligible purchases.

But, this card is missing a few of the most valuable benefits you can get from opening a new credit card like a sign-up bonus and intro APR offer. You’ll also only be able to qualify for this card if you’ve had a Venmo account for at least 30 days.

• Unlimited cash back on purchases

  With the Venmo Credit Card you can earn an unlimited 3% cash back on your eligible top spend category, 2% on the next and 1% on all other eligible purchases. Venmo will keep track of your top spending categories automatically, so you won’t have to worry about opting in or tracking your own categories. There are eight eligible categories that qualify for bonus cash back each billing cycle.

  1. Travel: Includes airlines, hotels, motels, resorts, cabins, cruises, cottages, hostels and more.
  2. Dining and nightlife: Includes restaurants, carry-out, drive-throughs, delivery, bars and liquor stores.
  3. Groceries: Includes convenience stores, bakeries, delis, wholesale clubs and more.
  4. Entertainment: Includes movie theaters, concerts, game stores, books, amusement parks, music stores and more.
  5. Bills and utilities: Includes phone, internet, streaming services, electric, gas, water and more.
  6. Transportation: Includes rental cars, taxis, rideshare merchants, limos, bus lines, passenger railways, tolls, parking meters, parking garages and more.
  7. Health and beauty: Includes drugstores, pharmacies, sports and recreation facilities and more.
  8. Gas: Includes service stations that sell engine fuel.

  While this is an excellent earning rate, there are cards that offer an even higher rate on a wider range of purchases. For example, the Citi Double Cash^® Card offers 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases. The Chase Freedom Unlimited^® card offers one of the highest cash back earning rates with 5% cash back on Chase Travel^SM purchases, 3% on drugstore purchases and dining at restaurants (including takeout and delivery) and 1.5% on all other purchases.

• Easy cash back redemption

  The Venmo Credit Card makes it extremely easy for Venmo users to get cash back because your cash rewards earned will automatically transfer into your Venmo balance at the end of each statement period. This means you’ll be able to start using your cash back rewards for Venmo transactions automatically without having to worry about logging in and taking additional steps.

• Visa credit card benefits

  The Venmo Credit Card is issued by Synchrony Bank and is a Visa credit card, meaning you’ll get access to a number of Visa benefits. Plus, Visa credit cards are accepted worldwide in more than 200 countries. You’ll either be approved for the traditional Visa benefits or Visa Signature benefits that include all of the traditional benefits plus additional travel benefits.

  While these benefits aren’t the most premium that you’ll find, they’re what you’ll typically see with a no annual fee cash back card. Cards with annual fees usually offer a longer list of benefits. If you’re looking for more expansive travel benefits, you may want to look for a travel credit card with an annual fee that earns points rather than cash back.

  • Cardholder inquiry: 24/7 cardholder support from anywhere in the world.
  • Zero liability policy: You won’t be responsible for unauthorized transactions made with your card.
  • Lost or stolen card replacement: You’re covered if your card is ever lost or stolen. Synchrony will send you a replacement card in the U.S. or abroad.
  • Emergency Cash: Visa can arrange for a wire transfer to be available at a location near you within hours if you’re experiencing an emergency.
  • Roadside Dispatch®: Visa offers a pay-for-use roadside assistance program that requires no membership, pre-enrollment or annual dues. There’s no limit on usage. The program includes standard towing up to 5 miles, tire changing if you have a good inflated spare, jumpstarting, lockout service, fuel delivery up to 5 gallons and standard winching.

  If you’re approved for the Visa Signature version of the card you’ll get these additional benefits:

  • Travel and emergency assistance services: Available in case of emergency if you’re traveling away from home.
  • Visa luxury hotel collection: Includes a best available rate guarantee, room upgrade when available, food and beverage credit, continental breakfast daily, VIP guest status, complimentary in-room Wi-Fi and 3 p.m. checkout when available.
  • Rental car discount: Receive 15% off on Audi rentals.
  • Golf benefits: Receive 10% off at over 95 golf courses worldwide.
  • Sonoma County Vintners: Discounts and complimentary tastings at one of 50 select Sonoma County Visa Signature wineries.
  • Visa Concierge: Help with reservations, bookings or gift card purchases.

• Can turn your cash back into crypto

  The Venmo Credit Card offers the ability to convert your cash into crypto by turning on crypto auto purchase. You can choose from Bitcoin, Litecoin, Bitcoin Cash, and Ethereum. When cash back is transferred into your Venmo account at the end of each month, it will automatically be used to purchase crypto without a crypto transaction fee. You’ll still pay an exchange fee if you purchase or sell outside of Venmo that includes a spread that Venmo will earn on each purchase and sale.

  Keep in mind that there are risks to using crypto. Values can rise and fall quickly and there’s potential for significant losses with this method of cash back. You’ll also need to report gains and losses from the sale of crypto on your taxes. You’ll be able to change the type of crypto that you want to purchase in your Venmo account or switch back to a regular cash back option at the end of your reward cycle.

• Pairs well with your Venmo app

  The Venmo Credit Card is exclusively for Venmo users. You’ll be able to manage everything with your card in the Venmo app and track your spending, rewards and crypto purchases. Your Venmo Credit Card also comes with your personal Venmo QR code on your credit card, so you can easily split costs with friends and family. You’ll also get a virtual card number in your Venmo app immediately upon approval so you can start shopping online before your physical card arrives.

• No annual fee or foreign transaction fees

  As long as you don’t incur any late fees or interest, this card won’t cost you anything to own. There are no annual fees or foreign transaction fees and Venmo is completely free to join.

  A foreign transaction fee is a surcharge you’ll get when you make a transaction in a currency other than USD. Cash back credit cards usually charge foreign transaction fees of 1% to 3%, adding an extra expense to your vacation. Since the Venmo Credit Card doesn’t have a foreign transaction fee, it’s a great option to use when traveling abroad.

• No sign-up bonus

  A major drawback of the Venmo Credit Card is that you won’t get a sign-up bonus upon approval for the card. Cash back credit cards usually offer a sign-up bonus of around $200, which is a great way to get additional value from your card.

• No 0% APR offer

  Another major drawback of the Venmo Credit Card is that you won’t get a 0% intro APR when you open the card. This means that you’ll be subject to a high 20.49% to 29.49% Variable APR as soon as you start using your card.

  Most other cash back credit cards offer an intro APR for 12 to 21 months. You wouldn’t be charged any interest during that time frame, which could save you a lot of money if you usually carry a balance on your card. Since there’s no intro APR offer, we would recommend choosing a card with a long intro APR offer if you’re planning to use your card to finance a large purchase.

• Must have a Venmo account to be approved

  This credit card is offered exclusively to Venmo users. To be approved for this card you must have a Venmo account in good standing that’s been open for at least 30 days prior to applying for the card.

Venmo Credit Card vs. Wells Fargo Active Cash^® Card

While the Wells Fargo Active Cash^® Card is simple and doesn’t offer additional robust benefits, it beats the Venmo Credit Card because of its higher cash back rate, sign-up bonus and intro APR offer.

You’ll get a higher 2% cash back rate on all purchases and you can earn a $200 cash rewards bonus after spending $500 in purchases in the first 3 months.

Plus, there’s a 0% intro APR for 12 months from account opening on purchases and balance transfers. After that, a 19.49%, 24.49%, or 29.49% Variable APR applies.

Venmo Credit Card vs. Chase Freedom Unlimited^®

Like the Venmo Credit Card, the Chase Freedom Unlimited^® card allows you to earn cash back with no spending caps. But, the Chase Freedom Unlimited^® card beats the Venmo Credit Card because it offers one of the highest cash back rates available in a variety of common spending categories.

You’ll get 5% cash back on Chase Travel^SM purchases and 3% back on dining and drugstore purchases. You’ll also get 1.5% cash back on all other purchases which is higher than the Venmo Credit Card. Rewards earned with this card can be transferred to a Chase Ultimate Rewards® card and redeemed for higher value in Chase’s travel portal.

There’s also a large sign-up bonus and a 0% Intro APR on Purchases for 15 months and 0% Intro APR on Balance Transfers for 15 months. Then, a 19.99% - 28.74% Variable APR applies.

Venmo Credit Card vs. PayPal Cashback Mastercard®

If you prefer to use PayPal over Venmo, the PayPal Cashback Mastercard® is a very similar option to the Venmo Credit Card, but you’ll get a higher cash back rate on general purchases. You’ll earn 3% cash back on PayPal purchases and 1.5% on all other purchases, and you can redeem your rewards directly to your PayPal account balance at any time.

The decision between the Venmo Credit Card and PayPal Cashback Mastercard® comes down to which platform you use more. But we’d still recommend a cash back card with more features and flexible redemption options over the two.

If you’re already a Venmo user looking to add a straightforward, easy-to-use card to your wallet, the Venmo Credit Card is a decent choice for earning cash back on everyday purchases.

But, if you’re planning to finance a large purchase, are hoping for a sign-up bonus or want to earn a higher cash back rate on every purchase, another cash back credit card may be a better choice.