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You may have heard of cash back credit cards and cards with travel rewards, but some cards offer points towards other types rewards, like the purchase of a new car. The GM BuyPower Card from Capital One allows customers to earn rewards towards the purchase or lease of a new Chevrolet, Buick, GMC or Cadillac vehicle.
This card is also part of the World Elite MasterCard program which includes additional travel insurance and purchases protection benefits. For example, cardholders receive a price protection policy that refunds the difference if a lower price is found within 120 days of purchase. It also includes an extended warranty coverage that doubles the manufacturer’s warranty for purchases up to one year (except on a vehicle purchase). When traveling, cardholders are covered by rental car insurance and trip cancellation insurance, and they have access to travel and entertainment discounts with MasterCard’s Priceless Cities program.
What’s the Current Sign-Up Bonus?
While this card doesn’t offer a sign-up bonus in the form of rewards, it does feature a promotional financing offer of . The standard interest rate for this card is a variable . The annual fee for this card is and no foreign transaction fees imposed on charges that are processed outside of the U.S. (Restrictions apply. Please be sure to read the terms and conditions for full details.)
The Advantages of the GM BuyPower Card From Capital One
This card offers a very competitive rate of return on its rewards, which total 5% of the first $5,000 spent each year (worth $250), and a strong 2% after that. In addition, this card includes the premium benefits of the World Elite MasterCard program, which is the highest level of benefits offered by MasterCard. It’s also great that there are no restrictions on how much of a car you can pay for with your rewards, or exclusions on the type of car you can buy. In contrast, some automotive rewards credit cards will exclude their most popular models or limit the rewards that can be redeemed to a certain percentage of the sale price.
The Disadvantages of the GM BuyPower Card From Capital One
Cardholders who earn rewards with this card are locking themselves into the purchase of a new GM vehicle, perhaps years in advance. So if customers later decide to buy a non-GM car, or even a used GM car, they will be unable to redeem their rewards. Also, there is no sign-up bonus and the introductory financing offer is not especially competitive. And like most other rewards credit cards, the standard interest rate will be higher than other cards that don’t offer rewards.
Who Is This Credit Card Right For?
This is a great card for those who are certain that they will be purchasing a new car from GM, and want to feel like they are getting closer to paying for it every time they use their credit card. Also, this can be a good fit for international travelers who want all of the perks and benefits that come with a travel card that has a annual fee. An additional perk international travelers will appreciate is that there are no foreign transaction fees, which means that there are no extra charges for purchases made outside of the U.S.. Like many rewards cards, this card is for applicants with credit, so check your credit before you apply to get a better idea of whether you’ll qualify, or if you need to spend time improving your credit. You can see where you stand by looking at your two free credit scores on Credit.com.
GM BuyPower Card From Capital One FAQ
Which purchases count toward rewards?
The net total of new purchases will count toward rewards, which subtracts the value of returns. Cash advances and balance transfers do not count toward rewards.
Can rewards be combined with other discounts and incentives for new car buyers?
In most cases, car buyers can still apply any discounts and incentives that are currently available in addition to their credit card rewards. The exceptions include some private offers or discounted sale programs, such as the GM Employee Purchase Program or the GM Supplier Discount. Again, please refer to the issuer’s terms for complete details.
How do cardholders know how much they have earned in rewards?
Each month, cardholders will see an “Earnings Summary Box” on their statement.
This article has been updated. It was originally published December 1, 2015.
At publishing time, the GM BuyPower Card from Capital One card is offered through Credit.com product pages, and Credit.com is compensated if our users apply and ultimately sign up for this card. However, this relationship does not result in any preferential editorial treatment. This content is not provided by the card issuer(s). Any opinions expressed are those of Credit.com alone, and have not been reviewed, approved or otherwise endorsed by the issuer(s).
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This article was last updated September 13th, 2017.