Worst Credit Card Offer I’ve Seen
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Photo Credit: The Consumerist
Ramit from I Will Teach You To Be Rich posted this photo with comments on ridiculous credit card offers. I decided to look into it and the two credit cards Wal-Mart offers:
Here’s the fine print:
Benefits for the Wal-Mart® Discover® are only for cards issued by GE Money Bank. Cardholders may not be eligible for benefits offered by other Discover® Network Issuers. ¹Rewards apply only to net card purchases - not to balance transfers, cash advances, quick cash advances or fees and finance charges. The reward percentages will depend on your total spending during a calendar year and will be .25% on total purchases up to $1,500, .50% on total purchases from $1,500.01 to $3,000 and 1% on total purchases over $3,000. A rebate check will be issued each time you accrue $10 in rewards. All cash rewards are provided by GE Money Bank. See “How to Earn Cash Rewards” terms in your Credit Card Agreement for details. ²Available at participating gas stations. Not available in Puerto Rico. Look for the 3¢ Discount Sign at the pump to see if the gas station in your area is participating. 3¢ off per gallon offer applies to the regular street price. ³Get up to $100 cash back when you make a purchase with your Wal-Mart Discover® or get $60 cash back when you make a purchase with your Wal-Mart Credit Card at Wal-Mart owned registers in Wal-Mart stores. Limit of one per day. This cash advance will appear on your monthly billing statement like a purchase. Subject to credit approval.
Out of these two the Discover looks to be the “better deal” (air quotes because I’m being sarcastic).The interest rates according to them are:
As of 5/07, variable APRs for the cards offering the promotion are: 12.37%, 18.37%, 21.37%, or 22.37%. Variable delinquency APR is 27.49%. Variable Cure APRs are 21.37%; 22.37%. Minimum Finance Charge $1.00.
For less than $8 I can personalize my debt trap so I can feel better when looking at my bill! I like shopping at Wal-Mart (just did my monthly groceries today), but I’m not a fan of these credit cards and the incentives.
If this post was helpful, please buy me a cup of coffee. :D
Mrs. Micah
Oooh, a free Pepsi? Sign me up!
January 16th, 2008 at 2:56 pmplonkee
Why don’t my credit card offers give me free pepsi?
Instead I just get 183.2% AEPR offers, with no soft drinks at all.
January 16th, 2008 at 5:55 pmRicardo Bueno
Wow! I’m wondering how many people actually sign up?
When I was over at UCLA, they would give out Vodka T-Shirts as you were walking up and down Bruin Walk. The shirts were so damn popular that the table stands were always crowded with people signing up…not even bothering to look at the fine print!!! A mistake? Absolutely!
But those with less than frugal spending habits do it everyday!
January 16th, 2008 at 7:23 pmBlue Panda
Well, filling out a credit card application should at least be significantly faster than waiting in line at Wal-Mart. Too bad you’d only be limited to one item.
January 16th, 2008 at 7:31 pmGreen Panda
Plonkee: The companies in the UK know how ridiculous the soda offer is, while here is a hit. *sighs* Or maybe Americans are just too addicted to soda.
Ricardo: I get frustrated with both parties when I see and hear things like that. Credit card companies will do what works to get customers. Students have to learn to say ‘no’ to these stupid offers.
Blue: LOL!
January 17th, 2008 at 9:35 amSavingDiva
I have to admit that in college I opened a bank account to get a free sweatshirt!
January 17th, 2008 at 5:41 pmGreen Panda
Bank accounts are ok in my book, unless it was a really bad one. We’ve all been guilty of doing something like that. But now we’re smarter and we use them to get better rates and rewards.
The tables are turned.
January 17th, 2008 at 5:53 pmSarah
Hi! I have the WalMart CC (not the Discover) I only use it for the 3cents off/gallon. It’s great b/c i actually use the WalMart gas station (it’s a/b 2 miles from my house). It also gives you the discount at the pump (so you don’t have to wait forever for the rebate check or whatever). The APR doesn’t matter to me b/c I pay it off in full every month and I only use it for gas, not WalMart purchases.
August 12th, 2008 at 12:24 pmSarah
Green Panda
@Sarah. I’m glad you have a system that works.
Not all Wal-Marts have the gas stations. I noticed the ones in our new area do not.
August 12th, 2008 at 1:16 pm