After its debut a year ago, Navy Federal Credit Union said this week it is getting very positive results from a 1-1.5% cash rewards program on its credit card.
The no annual fee card, with rates as low as 9.65% provides 1% cash back on up to $10,000 spent by a user in a given year and 1.5% cash back on purchases above $10,000.
Under the program, redemptions can be made into a member's savings or checking account or as a credit to a balance. With a $20 minimum, cash can be redeemed in any amount and there is no expiration date or limits.
"From the time we introduced this card last April, the CashRewards Visa has been the overwhelming 'card of choice' for our military members," said Tony Gallardy, vice president of credit and consumer lending. "The number of members signing up for CashRewards has been 50% over expected projections and we are pleased to offer a credit card with low rates and great rewards."
In its promotion, Navy tells members that "whether you use the card for groceries, dinner or a big ticket item, you'll accumulate cash rewards, which can be transferred to your Navy Federal account or applied to your credit card balance. It's up to you. And there's no annual fee." Navy FCU also notes that none of its cards have a balance transfer fee. The Cash Rewards program got a prominent mention in a recent article mentioning Navy Fed products in Money Magazine's March issue.