We've been talking a lot about credit cards and debit cards in the last year or so. As it's been mentioned numerous times, this seems to be the latest frontier for tech companies to launch new products. Verizon announced plans to release a credit card of their own last year and now we finally have the details, for better or worse.
On the surface, the Verizon Visa Card (that's the official name) is a pretty standard credit card. Customers can earn rewards by purchasing things in their regular daily lives. The cash-back categories are outlined in the graphic below, which shows the average monthly spending of a family of four.
The cash-back percentages are actually pretty good. 4% on groceries and gas will make up a large chunk of most people's purchases. 3% on dining is good, and 1% on online shopping covers a lot as well. Plus, Verizon customers get 2% on their bill, which everyone with the Verizon Visa Card will get because you have to be a Verizon customer to get this card.
That's where the big catches come into play. As mentioned, you must be a Verizon customer to apply for this credit card. That alone probably isn't surprising. The bottom of the graphic mentions "Verizon Dollars" and that's where things get underwhelming. The cash-back is converted into Verizon Dollars (1 VZ dollar = $1) and they can only be used toward Verizon bills and products/services.
That doesn't mean the Verizon Visa Card is a bad deal. As the graphic above shows, the monthly reward balance isn't likely to be more than your monthly Verizon bill. So you're getting a nice little discount on your bill every month just for shopping like normal. However, it's a bummer to not be able to choose to use the reward somewhere else.
The Verizon Visa Card is issued by Synchrony and will be available on June 26th. The physical card is metal and all black on the front. It can be used with digital wallets such as Google Pay as well. Those who sign up and are approved before June 25th will get a free 1,000 Verizon Dollars.
Source: Verizon