@elboullee wrote:I searched for an existing relevant topic, but could not find one. Apologies if there is already an existing thread.
Like most here, I get numerous "selected to apply", "preapproved", and "guaranteed approval" CC solicitations in the mail every week. Most of which go immediately into the trash can.
Today I got one from Credit One advertising a "new" AMEX-branded cash back card. Not that I was or will ever apply for it, but just for s's and g's I opened this one and to my surprise, at least on the surface, it wasn't a half-bad offering coming from this predatory sub-prime lender.
The card features a $95 AF, a $2,500 SL, 5% cash back on the first $5K spent every year on groceries, pharmacies, streaming services, subscription TV, and internet, and 1% cash back on everything else.
Assuming you max out the 5% and put another $10K/year through the card, that would be a net of $255/year in cash back after the annual fee.
No other features and usury interest rates, but not bad for a starter card from a shady operation like Credit One.
that card isn't new, but it's always been? a visa
https://www.creditonebank.com/credit-cards/platinum-x5-visa
they also have the 1% amex cards:
https://www.creditonebank.com/credit-cards/american-express-card
https://www.creditonebank.com/credit-cards/american-express-nascar
I did just notice a new card though: $0 AF and 5% back at pet shops, pet foods, and supply stores
https://www.creditonebank.com/credit-cards/best-friends-visa
@elboullee wrote:I searched for an existing relevant topic, but could not find one. Apologies if there is already an existing thread.
Like most here, I get numerous "selected to apply", "preapproved", and "guaranteed approval" CC solicitations in the mail every week. Most of which go immediately into the trash can.
Today I got one from Credit One advertising a "new" AMEX-branded cash back card. Not that I was or will ever apply for it, but just for s's and g's I opened this one and to my surprise, at least on the surface, it wasn't a half-bad offering coming from this predatory sub-prime lender.
The card features a $95 AF, a $2,500 SL, 5% cash back on the first $5K spent every year on groceries, pharmacies, streaming services, subscription TV, and internet, and 1% cash back on everything else.
Assuming you max out the 5% and put another $10K/year through the card, that would be a net of $255/year in cash back after the annual fee.
No other features and usury interest rates, but not bad for a starter card from a shady operation like Credit One.
A $95 AF is not a feature! 
In your example, it would end up being a 1.7% cash back card. I don't see how that is worth any merit. Even if one maxed out the $5k and not a penny more and earned 5% for the whole $5k spend, it's a 3.1% CB card at absolute best. And you'd still need to carry other cards. I'd rather just carry several cards that can get 3 - 5% with no annual fees. Even the categories aren't that great as Gas and Dining are missing.
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They've been trying to "up" their market. Not sure that they have though, because a $95 AF is still hefty for a subprime card/lender.
Not new, I have the 5%cb Amex creditone with $95af. (You forgot to mention the gas category, mine has gas)
Mine is used for the 5% mobile phone/data cash back mostly, but its also the fall back 5%cb gas and groceries for when I hit my max caps on other cards (e.g. citi custom cash $500 per mo. Max cap).
For me, it's comparable to the Amex bcp with the same $95af.
I haven't had any issues with creditone, but then, I pif every month and never have to worry about their high interest rates. I see lots trashing creditone, but I have nothing bad to say about them in my own experience with them.
Honestly, I have 3 other cards I'll cut before I cut my 5% creditone.
To each there own. Everyone has different experiences and reasons for their card decks.
Credit One is a predatory nightmare for many. The card at hand teases "up to $2,500", but most people will get a 3 digit limit and Credit One will pre-charge fees, reducing their limit to something totally unusable. They'll then charge another fee for a CLI, which may arrive in the form of a second Credit One card rather than an actual CLI on the intended card. They don't disclose this, they just go ahead and do it. This card can be anything, probably something with an annual fee, a setup fee, and a monthly fee, all pre-charged to the account. When the irritated cardholder tries to close both accounts, they will get strung along and even if ultimately sucessful, Credit One might not actually close the accounts.
No level of rewards is worth that kind of mess. YMMV, but I'd take the Amex BCP over this 100 times out of 100 chances. Amex won't charge setup or monthly fees. Amex will credit payments immediately, not on a sluggish weeklong schedule that you need to pay yet another fee to accelerate. Amex will never give you a card without an interest grace period. Amex may 3x your CL multiple times for free and let it grow to 5 figures. IIRC, $2,500 is Credit One's hard cap for most cards. Amex's main revenue source is interchange fees, Credit One's is...fee harvesting.
Most people should run far, far away from anything to do with Credit One even if the offer looks decent.
