Discover just launched a new Credit card “Discover it Miles“. This can be a good card for those who care about cashback rather miles and points.
Discover it Miles is marketed as a miles card, but these miles can be redeemed as cash in to your bank account or for travel purchases made with this card with in the last 180 days. Travel purchases include airline tickets, hotel rooms, car rentals, travel agents, online travel sites and commuter transportation.
While there is no signup bonus for Discover it Miles, this card offers 1.5% cashback on all your purchases, but the interesting part is, you get an additional 1.5% cashback on all your purchases at the end of first year, which is essentially 3% cashback on all your purchases with in the first year and 1.5% cashback after that.
Other Key features of this card.
- No Annual fee
- Up to $30 statement credit each year, when you purchase Inflight-Wi-Fi with this card.
- 0% Intro APR for 12 months on purchases
Already have a Discover Card?
Discover is known for its Discover it Credit card that offers 5% cashback in rotating categories. If you had signed up for any Discover card within the last 12 months you are not eligible for another Discover card.
If you do decide to apply within 12 months, you may be offered to close the existing card to open the new card.
Is this the right card for you?
This would have been a better offer if there is a signup bonus, there are other cards like Capital One Quicksilver that is similar to this card (1.5% cashback on all purchases , No Annual fee, 0% APR on purchases for 9 months) and the difference is Capital One Quicksilver offers $100 signup bonus vs. Discover it Miles card offering an addition 1.5% cashback on all your purchases for the first year.
If we do the math, you have to spend over $6,667 on Discover it Miles to get an additional cashback of over $100, so this might be a good card if you are a big spender.
This may also be a good choice, if you are looking for 0% APR card and earn 3% cashback on your purchases.
Discover it Miles is a new Credit card in the market. You can earn up to 3% cashback on your purchases for the first year and 1.5% cashback after that.
This could be a good option for big spenders and the 0% APR on purchases for 12 months may be helpful for some, while earning 3% cashback.
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Editorial Note: Opinions, analysis and any calculations shown are authors alone. Information in this post is not reviewed, approved and endorsed by any airlines, frequent flyer programs or financial institutions.