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Discover credit cards – which is best for you?

Discover is a leading credit card brand issued in the United States, founded by Sears in 1985. The Discover Bank, formerly the Greenwood Trust Company, issues Discover credit cards, and the Discover Network processes all Discover transactions. A distinctive blend of exclusive Discover credit cards is designed, keeping the diverse needs of customers in mind. Whether it’s for establishing good credit or to pay for education and other financial commitments, the vast variety of credit cards aim to help people achieve their goals.

The cohesive network connects banks, cardholders, and traders & wholesalers on a seamless platform, ensuring a smooth flow of transactions via innovative solutions.

The Distinctive Features of Discover Credit Cards

Discover credit cards’ popularity stems from zero annual charges and generous rewards like no introductory APRs and no foreign transaction fees. New cardholders are eligible for a unique bonus that matches rewards earned for the entire year. While Discover cards are accepted almost everywhere across the United States, it still lags behind Vias and Mastercard.

However, the attractive cashback programs coupled with the aforementioned benefits help Discover cards to shine. The only glitch is the lack of perks, whether it’s for shopping, travel or any other purpose that makes Discover cards are somewhat restrictive. Make note that the cashback is the primary feature of all Discover cards.

The myriad types of Discover Credit Cards

Taking the comprehensive features of Discover cards into account, they still are a decent bet, easy to get, easy to use and come with an exceptional customer service that ensures you leverage the maximum benefits. Check the range of Discover credit cards, each designed to serve a specific purpose with distinct rewards.

Discover it Cash Back

Enjoy an excellent value for money while you earn 5% cash back on all your daily purchases across numerous categories. Whether its grocery stores, restaurants, gas stations, and other essential purchases, earn this reward once you reach the quarterly maximum of $1,500 spent per quarter. You also enjoy a 1% cash back on all other purchases automatically after activation.

You can redeem any amount of cash back that never expires and use the rewards even at Amazon.com checkout.

It’s cumbersome to keep track of varying bonus categories and activating them often.

Discover it Chrome

This exclusive credit card for students features a good grade reward of $20 statement credit when your GPA is attractive for up to five years. Automatically earn 2% cashback at gas stations and restaurants on completing $1,000 purchase for every quarter. Students also get 1% cashback on all other purchases automatically.

The top rewards cap are high for a card that offers various bonus categories.

Discover it Miles

The renowned travel credit card from Discover earns you 1.5X miles for every dollar spent. This can include any purchases, including groceries, online shopping, hotels, rental cars, and airfare. The card automatically matches all the miles earned without any blackout dates. The more rewards you earn, the more Discover matches your rewards.

These cards are not as accepted overseas as other popular travel credit cards. It’s recommended to have a backup payment option while traveling abroad.

Discover it Balance Transfer

Combining a no-annual-fee facility with 0% introductory APR, the Discover it Balance Transfer is an ideal credit card that packs rich rewards. Though a nominal transfer fee is charged, it’s in line with industry standards. The 0% introductory APR period for transfer is the longest available for 18 months.

You can also earn 5% cashback on daily purchases made across several categories up to the quarterly maximum when you activate the card.

The 3% balance transfer fees are a glitch compared to other popular cards in the category that charge no fee at all. The 0% period for purchases is way shorter.

Discover it Business Card

Built exclusively for business purposes, this card lets you earn 1.5% cashback on every dollar spent across all categories. The dollar-for-dollar match at the end of the year is unlimited where you can double the cashback earned in the entire year.

You will have to face cumbersome question during the application process.

Discover it Student Chrome

The no-maintenance rewards plan and student-exclusive bonus category proves to be highly beneficial for students pursuing their courses at different locations. FICO history requirement is not required and there’s no need to activate bonus rewards.

These cards are not internationally accepted as other student travel credit cards. Keep a backup plan whenever you travel abroad.

Discover it Secured

This is the only Discover credit card that is designed to help you build your credit history with three primary credit bureaus. A refundable deposit is required and, you choose the amount that matches the credit line approved to you. The card offers a 2% cashback facility on purchases made at gas stations and at restaurants. Unlimited 1% cashback is offered on all other purchases automatically.

Paying a security deposit is not something most individuals would appreciate. This amount is given back only when you choose to upgrade or close the account.

Preferring Capital One Credit Cards over Discover Credit Cards

Capital One credit cards are famous for creating exceptional customer balances with an expansive variety of credit cards available across all credit levels. Whether its poor-to-average or excellent credit levels, Capital One credit cards enroll customers in the exclusive Credit Steps Program.

The fact that they don’t have quarterly rotating bonus and rewards don’t expire until the account is closed, makes the cards as popular as they are. Rewards can be redeemed in any amount, any time.

The following points encourage customers choose Capital One Credit cards over Discover Cards:

  • There are no foreign transaction fees on any credit card, whatsoever
  • The itemized authorized user activity lets you easily track the usage by your authorized users
  • You can choose your own due dates
  • These credit cards offer a second look at your transactions to pick any errors or changes

The conclusion

The limited flexibility of the rewards system and cashback offers puts some brakes on Discover credit cards. While Discover credit cards do have their own popularity in the United States, the limited nature of perks and cashback conditions limits its usage outside the nation.

While Capital One credit cards are more flexible in respect to bonuses, rewards earned and the redemption options, Discover credit cards can play the role of a supplementary card. The fact that Discover credit cards require customers to maintain a certain credit score add to the restrictions.

While you can get a couple of Discover credit cards for a bad credit score (below 640), most Discover credit cards require you to maintain a credit score of over 700.

References:

https://www.discover.com/company/our-company/our-products/

https://wallethub.com/credit-cards/discover/

https://www.creditcardinsider.com/credit-cards/discover/

https://www.nerdwallet.com/best/credit-cards/discover-cards

https://www.cardrates.com/advice/discover-vs-capital-one-vs-chase/

https://www.nerdwallet.com/blog/credit-cards/choose-capital-one-credit-card/