We all hoped the COVID crisis was now over. But this is not the case. Six months after the first recorded death in the United States from COVID-19, infections are returning and it looks like life won’t be returning to normal anytime soon.
Now may be the time to consider whether you need to make changes to your credit card strategy to include a card more suited to the world we live in today.
What exactly is a “COVID credit card”?
No credit card issuer markets its products as “COVID credit cards”. But the phrase could be used to describe as a card that best addresses the financial challenges Americans face during this unprecedented time. These challenges include the uncertainties surrounding their health, income, and their desire and ability to travel in the near future.
For example, people working in industries most affected by the pandemic may face fluctuations in their income and may benefit from a credit card that offers them Promotional financing APR 0% on new purchases, balance transfers, or both.
On the other hand, those who win travel rewards from their credit cards may wish to change their point strategy now that their travel has been indefinitely reduced. Then there are those who may still want or need to travel and are looking for benefits that will cover the cardholder and their travel companions if their trip is canceled or interrupted due to quarantine or illness.
Best 0% APR Credit Card During COVID: Citi® Diamond Preferred®
This card may be ideal for those who have seen their income disrupted and could benefit from one of the most attractive interest-free financing offers currently available: Pay no interest until 2022 with the 18 months of this card 0% APR financing on new purchases and balance transfers.
The Citi Diamond Preferred card has a 3% balance transfer fee, but there is no annual fee. Otherwise, it is a very simple credit card that offers no rewards and few benefits for cardholders. But if you have to leave the following year without paying interest charges, the inconvenience won’t matter much.
Best credit card for cash back and miles: Citi® Double Cash
If you’re not traveling due to COVID concerns and restrictions, you won’t need frequent flyer miles. At the same time, you may be eagerly awaiting the moment when it is safe to travel again and you may want to keep some flexibility with your credit card rewards.
Citi Double Cash has long been recognized as one of the best cash rewards cards. You can earn 1% cash back when you make purchases with the card, and an additional 1% cash back when you pay for your purchases, for a total of up to 2% cash back, with no limit.
But this card has another trick up its sleeve. If you dream of using your rewards to return to the skies in the future, know that you can redeem the cash back for points in Citi’s ThankYou® points rewards program.
These points can then be converted into miles with 16 different frequent flyer programs including JetBlue, Air France / KLM, Singapore and Virgin Atlantic. You’ll receive one airline mile for every penny of cash back redeemed, and your miles can be worth much more than that when redeemed for expensive last-minute tickets or for International Business Class or First Class seats. There is no annual fee for this card, which also includes 18 months of 0% APR funding on balance transfers, as well as a 3% balance transfer fee.
Best Credit Card for Travel Benefits: Chase Sapphire Reserve
If you’ve already resumed your travels or are one of the few who never really quit, then it would be nice to have a credit card that can protect you if you or a companion is quarantined or contracted. COVID. The Chase Sapphire Reserve offers $ 10,000 trip cancellation and interruption coverage that covers losses caused by a range of conditions, including illness and any quarantine imposed by a doctor for health reasons. It even offers $ 100,000 in emergency medical evacuation and transportation coverage if you need to return home for treatment. Other travel coverages that can be helpful include reimbursement for travel delays, roadside assistance, and rental car insurance.
The Sapphire Reserve offers 3x points per dollar spent on all travel and dining, and these Ultimate Rewards points are worth 1.5 cents for bookings made through Chase Travel. New applicants earn 50,000 bonus points after spending $ 4,000 on purchases within the first three months of opening the account. There is an annual fee of $ 550 for this card and no overseas transaction fees.
We live in a different world than what existed at the start of the year, and it might be a good time to get a new credit card that reflects this new reality. By finding the right COVID credit card for your needs, you can be sure you have the best payment method as long as this pandemic persists.