Venmo Dabbles in Rewards by Offering Cash Back With Debit Card
Last year, Venmo, a popular peer-to-peer payment app launched its first debit card. This was great news for users who often pick-up bills or manage apartment finances as it allowed them to spend the money as soon as it hit their Venmo balance. Prior to the debit card, users would have to wait 2-3 days for the transaction to hit their bank account or they could pay a 25¢ convenience fee (although that's been recently changed to a percentage of the transfer) to have it in their account immediately.
Although the Venmo card isn't one we typically recommend since it doesn't offer any sort of travel rewards, it's interesting to see the mobile payment company dabbling in the world of rewards. Over the past couple of months they have offered welcome bonuses starting at $10 and have introduced cash back on purchases at select retailers. One current special allows cardholders to earn 5% cash back (up to $20) on purchases made at CVS, Chipotle, Trader Joe's and 7-Eleven from now through the end of June.
To be eligible for this offer, users must be Venmo cardholders and have received an invitation via email, app or notification.
They're also offering New Yorkers (or New York visitors with a Venmo card) cash back on subway fares June through July in partnership with Mastercard's Fareback Fridays.
Although these aren't the most lucrative rewards we've seen, it's exciting news coming from Venmo because it appears to be just the beginning of more rewards from the service.
If you're looking for a credit card that offers more cash back opportunities and rewards, check out the top cash-back credit cards. However, it's worth noting that in many cases you can get more value out of travel rewards credit cards.