Fidelity card 2% but NOT as statement credit

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Jack FFR1846
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Fidelity card 2% but NOT as statement credit

Postby Jack FFR1846 » Wed Apr 19, 2017 2:41 pm

For those like me who have both Fidelity and Citi double cash and think of both as their 2% cards, I learned something interesting today. I had decided that instead of putting the money into my son's 529, that I would instead take advantage of the statement credit. Going through the process, indeed this can be done but instead of 2% coming back as a statement credit, instead, it is only 1%. Backing out before finalizing, I double checked by putting the reward into my son's 529 and indeed, the full 2% went in.

Maybe this is already widely understood by others but I was surprised by it. Not a big deal....I haven't deposited anything into my own 2017 Roth yet so perhaps I'll start diverting to there.
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Jags4186
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Re: Fidelity card 2% but NOT as statement credit

Postby Jags4186 » Wed Apr 19, 2017 2:44 pm

Jack FFR1846 wrote:For those like me who have both Fidelity and Citi double cash and think of both as their 2% cards, I learned something interesting today. I had decided that instead of putting the money into my son's 529, that I would instead take advantage of the statement credit. Going through the process, indeed this can be done but instead of 2% coming back as a statement credit, instead, it is only 1%. Backing out before finalizing, I double checked by putting the reward into my son's 529 and indeed, the full 2% went in.

Maybe this is already widely understood by others but I was surprised by it. Not a big deal....I haven't deposited anything into my own 2017 Roth yet so perhaps I'll start diverting to there.


Fidelity only provides 2% cash back when the money is deposited into an eligible Fidelity account. I have a cash management (aka checking) account with them where I receive the full 2%. Otherwise the points are only worth .5 cents each.

hille141
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Re: Fidelity card 2% but NOT as statement credit

Postby hille141 » Wed Apr 19, 2017 3:02 pm

This is the main reason I have the Citi Double Cash over the Fidelity card. I have accounts with Fidelity but nothing I need to add to with CC rewards. I'd rather keep CC rewards separate and save them up to cash in for a trip or big purchase.

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Re: Fidelity card 2% but NOT as statement credit

Postby oldcomputerguy » Wed Apr 19, 2017 3:08 pm

Fidelity Visa application page, Footnote 1:

You will earn 2 points per dollar in eligible net purchases (net purchases are purchases minus credits and returns) that you charge. Credits, returns, adjustments, and certain transactions do not earn points. The 2% rewards value applies only to points redeemed for a deposit into an eligible Fidelity account. The redemption value is different if you choose to redeem your points for other rewards such as travel options, merchandise, gift cards, and/or a statement credit. Other restrictions apply. Full details appear in the Program Rules new card customers receive with their card. Establishment or ownership of a Fidelity account or other relationship with Fidelity Investments is not required to obtain a card or to be eligible to use points to obtain any rewards offered under the program other than Fidelity Rewards.
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F150HD
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Re: Fidelity card 2% but NOT as statement credit

Postby F150HD » Wed Apr 19, 2017 3:59 pm

Jack FFR1846 wrote:For those like me who have both Fidelity and Citi double cash and think of both as their 2% cards, I learned something interesting today. I had decided that instead of putting the money into my son's 529, that I would instead take advantage of the statement credit. Going through the process, indeed this can be done but instead of 2% coming back as a statement credit, instead, it is only 1%. Backing out before finalizing, I double checked by putting the reward into my son's 529 and indeed, the full 2% went in.

Maybe this is already widely understood by others but I was surprised by it. Not a big deal....I haven't deposited anything into my own 2017 Roth yet so perhaps I'll start diverting to there.


Thats why I went w/ Citi DC versus the Fidelity card, 2% is only earned it put into the Fido account.

I've posted that to several people on here over the past X months when they bring up that card. Never get a reply to it.

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triceratop
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Re: Fidelity card 2% but NOT as statement credit

Postby triceratop » Wed Apr 19, 2017 4:02 pm

F150HD wrote:
Jack FFR1846 wrote:For those like me who have both Fidelity and Citi double cash and think of both as their 2% cards, I learned something interesting today. I had decided that instead of putting the money into my son's 529, that I would instead take advantage of the statement credit. Going through the process, indeed this can be done but instead of 2% coming back as a statement credit, instead, it is only 1%. Backing out before finalizing, I double checked by putting the reward into my son's 529 and indeed, the full 2% went in.

Maybe this is already widely understood by others but I was surprised by it. Not a big deal....I haven't deposited anything into my own 2017 Roth yet so perhaps I'll start diverting to there.


Thats why I went w/ Citi DC versus the Fidelity card, 2% is only earned it put into the Fido account.

I've posted that to several people on here over the past X months when they bring up that card. Never get a reply to it.


Careful not to apply the Citi DC as a statement credit or you won't get 2% either; the reason being is that you get 2% = 1% for purchases + 1% for payments, but applying the statement credit reduces the needed payment on the purchases. So your effective cashback ratio is less than 2%.
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Re: Fidelity card 2% but NOT as statement credit

Postby Alexa9 » Wed Apr 19, 2017 4:47 pm

triceratop wrote:Careful not to apply the Citi DC as a statement credit or you won't get 2% either; the reason being is that you get 2% = 1% for purchases + 1% for payments, but applying the statement credit reduces the needed payment on the purchases. So your effective cashback ratio is less than 2%.


It's 1.99%. Not a huge deal.

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FiveK
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Re: Fidelity card 2% but NOT as statement credit

Postby FiveK » Wed Apr 19, 2017 5:01 pm

Jags4186 wrote:Fidelity only provides 2% cash back when the money is deposited into an eligible Fidelity account. I have a cash management (aka checking) account with them where I receive the full 2%.
We do it similarly. The 2% rebate goes into the cash balance for the account, same as stock dividends we don't reinvest immediately.

From there we can use the money to invest, or transfer it to our normal checking account and spend it however we wish.

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Re: Fidelity card 2% but NOT as statement credit

Postby runner3081 » Wed Apr 19, 2017 5:16 pm

FiveK wrote:
Jags4186 wrote:Fidelity only provides 2% cash back when the money is deposited into an eligible Fidelity account. I have a cash management (aka checking) account with them where I receive the full 2%.
We do it similarly. The 2% rebate goes into the cash balance for the account, same as stock dividends we don't reinvest immediately.

From there we can use the money to invest, or transfer it to our normal checking account and spend it however we wish.

Same here. Nice and simple.

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F150HD
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Re: Fidelity card 2% but NOT as statement credit

Postby F150HD » Wed Apr 19, 2017 8:56 pm

triceratop wrote:
Careful not to apply the Citi DC as a statement credit or you won't get 2% either; the reason being is that you get 2% = 1% for purchases + 1% for payments, but applying the statement credit reduces the needed payment on the purchases. So your effective cashback ratio is less than 2%.



good point. I usually save up the rewards until I need a big purchase, then redeem.

Nyc10036
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Re: Fidelity card 2% but NOT as statement credit

Postby Nyc10036 » Wed Apr 19, 2017 9:14 pm

As others have stated, redeem to Fidelity's "core" account which is basically money market then transfer to linked checking account. One extra step.

I actually prefer this to Citi's 2%.

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Re: Fidelity card 2% but NOT as statement credit

Postby am » Wed Apr 19, 2017 9:33 pm

Yes, my Fido 2% card is now my go to card except for travel and dining for which I use chase saphire reserve. I deposit the Fido rewards into a fidelity cash account and then transfer to chase checking. A little annoying to wait for the rewards to hit the cash account at Fido for several days, then another day for it to reach the checking. But it's worth the easy money.

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TheTimeLord
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Re: Fidelity card 2% but NOT as statement credit

Postby TheTimeLord » Wed Apr 19, 2017 9:36 pm

F150HD wrote:
Jack FFR1846 wrote:For those like me who have both Fidelity and Citi double cash and think of both as their 2% cards, I learned something interesting today. I had decided that instead of putting the money into my son's 529, that I would instead take advantage of the statement credit. Going through the process, indeed this can be done but instead of 2% coming back as a statement credit, instead, it is only 1%. Backing out before finalizing, I double checked by putting the reward into my son's 529 and indeed, the full 2% went in.

Maybe this is already widely understood by others but I was surprised by it. Not a big deal....I haven't deposited anything into my own 2017 Roth yet so perhaps I'll start diverting to there.


Thats why I went w/ Citi DC versus the Fidelity card, 2% is only earned it put into the Fido account.

I've posted that to several people on here over the past X months when they bring up that card. Never get a reply to it.


Probably because they are investors and invest the extra money each month into Total Market Mutual fund. Personally, I use it to reduce my Individual 401K contribution. I even use it at Costco except for gas or electronic where the Costco card extends the warranty.
Last edited by TheTimeLord on Wed Apr 19, 2017 9:38 pm, edited 1 time in total.
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triceratop
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Re: Fidelity card 2% but NOT as statement credit

Postby triceratop » Wed Apr 19, 2017 9:38 pm

Alexa9 wrote:
triceratop wrote:Careful not to apply the Citi DC as a statement credit or you won't get 2% either; the reason being is that you get 2% = 1% for purchases + 1% for payments, but applying the statement credit reduces the needed payment on the purchases. So your effective cashback ratio is less than 2%.


It's 1.99%. Not a huge deal.


Indeed, and it's just a click to select a deposit into one's bank account so there is no reason to miss out on the .01% and let the corporation make off with your money.
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Re: Fidelity card 2% but NOT as statement credit

Postby sunny_socal » Wed Apr 19, 2017 10:02 pm

What's the big deal? Well I have Fidelity anyway for 401k and IRA, I already had the necessary cash account even before getting the 2% Fido card. Now that account just happens to receive even more $$ than before! From time to time I move money to/from there, but it's never to "cash out" my little 2% bonus. I view the fido account like any of my other bank accounts, there is nothing inconvenient about it. Free money is free money and I'm very happy with it :)

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Re: Fidelity card 2% but NOT as statement credit

Postby carorun » Wed Apr 19, 2017 10:04 pm

You can deposit the rebate in your Fidelity cash management account then pay the bill directly from that account. It's an extra step which requires another day for processing but I don't mind doing it to get my 2%.

BanditKing
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Re: Fidelity card 2% but NOT as statement credit

Postby BanditKing » Wed Apr 19, 2017 11:06 pm

I use my Fido 2% for pretty much everything, and the cash back goes into my Fidelity brokerage account. I use that as "play" money and own a couple random no-fee ETFs there because why not - maybe $1k total.

Last year I had $800 in cash back, in part because I put some roof repairs for our condo complex on my personal card (it would get the repairs started sooner than waiting for a check to clear, and the contractor didn't have a cash discount/CC-surcharge so no reason not to), and the association then paid me back. Nice quick $425 there. :) Benefits of being the association president.

My only complaint about the card is it doesn't have a 0% foreign transaction fee. Well, that and the fact I can't use it to pay my mortgage without it being a cash advance - hey a man can dream, right?

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TNL
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Re: Fidelity card 2% but NOT as statement credit

Postby TNL » Thu Apr 20, 2017 8:06 am

carorun wrote:You can deposit the rebate in your Fidelity cash management account then pay the bill directly from that account. It's an extra step which requires another day for processing but I don't mind doing it to get my 2%.


This is what I do as well. I just got the Costco Citi Visa for the 4% back on gas and 3% back on travel. So I am only using my Fidelity 2% card at non-Costco stores that do not take Amex (my primary card is a Delta Skymiles Amex). Still, getting a minimum of 2% cash back everywhere and then more at Costco and restaurants and travel is a nice perk and like a prior poster said, free money.

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Re: Fidelity card 2% but NOT as statement credit

Postby heartwood » Thu Apr 20, 2017 8:22 am

Jags4186 wrote:
Fidelity only provides 2% cash back when the money is deposited into an eligible Fidelity account. I have a cash management (aka checking) account with them where I receive the full 2%. Otherwise the points are only worth .5 cents each.


We use the cash management account as our ATM account, especially when we travel, since Fidelity refunds all ATM fees. We get the full 2% on credit card purchases and free access to any ATM. It's easy to eft to the cash management account if we need to bump up the balance should we run low. Otherwise we generally leave the 2% rebate there until we need it. It makes me feel so much better to have free ATM.

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Re: Fidelity card 2% but NOT as statement credit

Postby midareff » Thu Apr 20, 2017 8:30 am

Jack FFR1846 wrote:For those like me who have both Fidelity and Citi double cash and think of both as their 2% cards, I learned something interesting today. I had decided that instead of putting the money into my son's 529, that I would instead take advantage of the statement credit. Going through the process, indeed this can be done but instead of 2% coming back as a statement credit, instead, it is only 1%. Backing out before finalizing, I double checked by putting the reward into my son's 529 and indeed, the full 2% went in.

Maybe this is already widely understood by others but I was surprised by it. Not a big deal....I haven't deposited anything into my own 2017 Roth yet so perhaps I'll start diverting to there.


They automatically deposit the 2% into my Fidelity cash account. It there goes to bank. Full 2% on automatic every month which can mean something when you book a $15K cruise..

pshonore
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Re: Fidelity card 2% but NOT as statement credit

Postby pshonore » Thu Apr 20, 2017 10:29 am

Believe USAA has a new 2.5% rewards (on all purchases) credit card . Only requirement is a free USAA checking account with 1 direct deposit of 1K each /month (SS, payroll, pension, etc)

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Re: Fidelity card 2% but NOT as statement credit

Postby pshonore » Thu Apr 20, 2017 10:32 am

I also get periodic offers from Fido CC of an extra 1% for up to 2K of purchase during a certain period (60 days before XMAS, from March 1 to May 1, etc. Its getting difficult to remember all that stuff.

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Re: Fidelity card 2% but NOT as statement credit

Postby informal guide » Thu Apr 20, 2017 10:47 am

For me, the Fidelity card works well. I certainly like the 2% into my Fidelity account; I also like being able to see balances and access from my Fidelity logon, rather than having to go to a separate logon.

I have two minor beefs - one is the 1% foreign transaction fee - -certainly better than some cards that still have the 3% - -and it is printed as a separate line item on my credit card statements.

Second is that I'd like to have separate numbers/summaries for the multiple users on my card - -spouse and adult children. I love that feature on the Capital One Venture (also 2%, but has to be used to reimburse travel expenses) and my Amex card.

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Re: Fidelity card 2% but NOT as statement credit

Postby jimmyrules712 » Thu Apr 20, 2017 12:59 pm

Jack FFR1846 wrote:For those like me who have both Fidelity and Citi double cash and think of both as their 2% cards, I learned something interesting today. I had decided that instead of putting the money into my son's 529, that I would instead take advantage of the statement credit. Going through the process, indeed this can be done but instead of 2% coming back as a statement credit, instead, it is only 1%. Backing out before finalizing, I double checked by putting the reward into my son's 529 and indeed, the full 2% went in.

Maybe this is already widely understood by others but I was surprised by it. Not a big deal....I haven't deposited anything into my own 2017 Roth yet so perhaps I'll start diverting to there.


As many others have already stated you have to deposit the money into a Fidelity account to get the 2%. It can be any Fidelity account, including a cash management (checking) account which can then be immediately transferred anywhere you want.

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Re: Fidelity card 2% but NOT as statement credit

Postby Vanguard Fan 1367 » Thu Apr 20, 2017 2:55 pm

I like the Fidelity Visa card so much that I have two. One for business and one for home. In another thread we discuss that you may only be getting 1.5 percent on your deposit and it seems like one of the credit cards give me a 1.5 percent deposit into my Fidelity account and the other one does 2 percent. I don't know if it is because I have 2 cards or if as another poster said, I need to call them and request the 2 percent rather than the 1.5 percent.

It bothers me when some of my non Boglehead relatives talk about "free" flights and vacations with their credit cards when they could be getting badly needed cash into a Fidelity account.

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Re: Fidelity card 2% but NOT as statement credit

Postby jimmyrules712 » Thu Apr 20, 2017 3:50 pm

Vanguard Fan 1367 wrote:I like the Fidelity Visa card so much that I have two. One for business and one for home. In another thread we discuss that you may only be getting 1.5 percent on your deposit and it seems like one of the credit cards give me a 1.5 percent deposit into my Fidelity account and the other one does 2 percent. I don't know if it is because I have 2 cards or if as another poster said, I need to call them and request the 2 percent rather than the 1.5 percent.

It bothers me when some of my non Boglehead relatives talk about "free" flights and vacations with their credit cards when they could be getting badly needed cash into a Fidelity account.


Prior to this year there were 2 different Fideltiy cards, a Visa and an American Express, both issued by FIA Card Services. The Visa gave 1.5% cashback and the AMEX gave 2%. Last year they moved to a different issuer bank, got rid of the AMEX, and now just have 1 Visa giving 2% cashback. All the old AMEX and Visa cards got replaced by the new visa card however the cashback programs were kept the same as whatever that were before. So if you had the 1.5% visa before then it's still only providing 1.5% cashback now. I was in this boat and they refused to convert it to the new 2% program so I closed the account and opened a brand new one under the new program.

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Re: Fidelity card 2% but NOT as statement credit

Postby Vanguard Fan 1367 » Thu Apr 20, 2017 5:02 pm

jimmyrules712 wrote:
Vanguard Fan 1367 wrote:I like the Fidelity Visa card so much that I have two. One for business and one for home. In another thread we discuss that you may only be getting 1.5 percent on your deposit and it seems like one of the credit cards give me a 1.5 percent deposit into my Fidelity account and the other one does 2 percent. I don't know if it is because I have 2 cards or if as another poster said, I need to call them and request the 2 percent rather than the 1.5 percent.

It bothers me when some of my non Boglehead relatives talk about "free" flights and vacations with their credit cards when they could be getting badly needed cash into a Fidelity account.


Prior to this year there were 2 different Fideltiy cards, a Visa and an American Express, both issued by FIA Card Services. The Visa gave 1.5% cashback and the AMEX gave 2%. Last year they moved to a different issuer bank, got rid of the AMEX, and now just have 1 Visa giving 2% cashback. All the old AMEX and Visa cards got replaced by the new visa card however the cashback programs were kept the same as whatever that were before. So if you had the 1.5% visa before then it's still only providing 1.5% cashback now. I was in this boat and they refused to convert it to the new 2% program so I closed the account and opened a brand new one under the new program.


Thanks for taking the time to post. As a true Boglehead I would appreciate the 2 percent back. Sounds like I need to make a phone call and make some changes.

BanditKing
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Re: Fidelity card 2% but NOT as statement credit

Postby BanditKing » Thu Apr 20, 2017 5:32 pm

jimmyrules712 wrote:So if you had the 1.5% visa before then it's still only providing 1.5% cashback now. I was in this boat and they refused to convert it to the new 2% program so I closed the account and opened a brand new one under the new program.


Strange that they wouldn't convert it. The did for me, so I had two cards with 2% on them. Just to make tracking things simple, I used one and my wife the other (both in both our names).


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