Most people focus on a few benefits when comparing credit cards. If they want a rewards card, they look at the rewards rate and the sign-up bonus. If they want a 0% intro APR, they look at how long the introductory APR lasts.
Those are valuable features, so it makes sense to use them to find the best credit card. But there are also some underrated credit card perks that you shouldn’t ignore, either.
1. Purchase protection
Purchase protection is a complimentary insurance coverage. It covers new purchases you make, normally for the first 90 days from the purchase date. It protects against accidental damage, theft, and sometimes even losing the item, depending on the card you have.
Let’s say your new pair of headphones get stolen at the gym or you spill coffee on your new laptop. If you bought the item with a card that has purchase protection and the purchase is eligible, you could file a claim for reimbursement.
2. Fixed-rate travel rewards
With travel cards, it seems like everyone loves transferable rewards. Many of the most popular travel cards let you transfer your points to their airline and hotel partners. After you transfer your points, you can use them to make an award booking with that partner.
You can score incredible deals this way, especially on expensive bookings, such as business-class airfare. But it’s also a complicated way to redeem your points, and there aren’t always good award bookings available.
Some travel cards also let you redeem rewards at a fixed rate — usually $0.01 to $0.015 per point. Instead of needing to transfer your 100,000 points, you could just use them to book $1,000 to $1,500 in travel. This is much faster and easier. If you’re looking for a travel card, consider picking one that has this feature.
3. A Global Entry/TSA PreCheck credit
Another common travel card perk is a Global Entry or TSA PreCheck credit. When you sign up for either of those programs and pay with your travel card, you get a statement credit for the membership fee.
These programs speed up the airport security process. TSA PreCheck allows you to go through the TSA PreCheck security lanes at the airport without removing your shoes or belt or taking your laptop out of your bag. Global Entry offers expedited security when reentering the United States from abroad.
Global Entry is the better choice, because a membership to that program includes a TSA PreCheck membership. I’ve found both programs useful, as they’ve gotten me through airport security much more quickly.
4. Cellphone protection
Cellphones can get damaged easily, and they’re also a frequent target for theft. Every thief has an idea of how much an iPhone costs. Some people pay for cellphone insurance to protect themselves if their phones are damaged or stolen.
With the right credit card, you can get this free of charge. While not as common as purchase protection, some credit cards offer cellphone protection. If you pay your monthly wireless bill with one of these cards, your cellphone is covered for damage or theft, up to the claim limit.
5. No foreign transaction fees
Rates and fees pages aren’t all that exciting, so it’s understandable why people usually don’t review them for long. But if you ever travel internationally, make sure you have at least one credit card with no foreign transaction fees.
Many cards charge a foreign transaction fee, with 3% being the most common amount. If you spend $3,000 on a vacation abroad, that’s an extra $90 in fees you could have avoided.
When you’re checking out a credit card, look a little deeper than the first few features that catch your eye. These underrated perks may not get as much attention, but they’re still valuable.
