Wells Fargo Active Cash Card Review: Earn Unlimited 2% Cash Rewards With No Annual Fee

Wells Fargo Active Cash Card Perks

The Wells Fargo Active Cash Card comes with valuable benefits that can put money back in your pocket. These perks can offer tremendous value for customers seeking a simplified rewards program.

Earn Unlimited 2% Cash Rewards

While some prefer airline miles or hotel points, it’s hard to beat cold, hard cash. Cash rewards can be used any way you like, without the restrictions that often come with redeeming travel rewards. The Wells Fargo Active Cash Card earns an unlimited 2% cash rewards on purchases. I love this card because there are no annual spending limits or bonus categories to remember, and you don’t have to activate a special promotion to earn this elevated rate.

No Annual Fee

Paying an annual fee can make sense in some situations, especially with top travel credit cards that come with extras like statement credits or day-of-travel perks. But with a cash-back credit card, it can be harder to justify paying an annual fee.

Intro APR Offer

As a new cardholder, you have access to a 0% intro APR for 12 months from account opening on purchases and qualifying balance transfers, then a 19.24%, 24.24%, or 29.24% Variable APR, which gives you a ton of breathing room to pay off your purchases and debt over time without being charged any interest.

Balance transfers made within the first four months qualify for this promotion, which gives you an extra month to complete your balance transfers compared with similar cash-back credit cards. Keep in mind that there’s a balance transfer fee of 3% for 120 days from account opening, then up to 5%, min: $5.

Built-In Benefits

The Active Cash Card includes several valuable benefits that most no-annual-fee cards don’t offer. When you pay your wireless bill with the card, you’ll receive cell phone protection against damage or theft of up to $600 with a $25 deductible up to two times per 12-month period. It also includes secondary rental car insurance and access to My Wells Fargo Deals, which offer personalized cash back promotions on purchases at participating merchants.

Wells Fargo Active Cash Card Drawbacks

While the Wells Fargo Active Cash Card includes numerous perks, there are drawbacks that you need to be aware of before you apply.

No Bonus Categories

Bonus categories enable you to maximize rewards at stores where you spend the most. While its unlimited 2% cash rewards is higher than the 1% base rate on many cards, the Wells Fargo Active Cash Card does not offer any bonus categories. If you’re looking to earn extra rewards on common bonus categories, like dining, groceries, gas stations and travel, you should choose another card.

Relatively Short Intro APR Period

For people who need extra time to pay for purchases or want to eliminate credit card debt, an intro APR offer is extremely valuable. However, the intro APR period is just 12 months for this card, compared to 18 to 21 months on some of the best low-interest credit cards like the Wells Fargo Reflect® Card. If you’re focused on the intro APR offer, I recommend getting one of the cards with the longest intro APR periods. This gives you extra time to avoid interest charges, and it’s easier to fit the monthly payment into your budget.

Fewer Perks

The Active Cash Card includes several benefits, but they are limited compared to cards with an annual fee. You’ll enjoy cell phone protection, secondary rental car insurance and other perks at no extra charge. However, it does not include purchase protections, extended warranty coverage or any type of flight coverage.

Cannot Transfer Without An Eligible Card

Wells Fargo introduced airline and hotel transfer partners fairly recently, but this feature is only available to specific cards. The Wells Fargo Active Cash Card allows you to earn unlimited cash rewards, but you must pair it with an eligible card (like the Wells Fargo Autograph Journey℠ Card) to transfer rewards to airline and hotel partners.

Who Is the Wells Fargo Active Cash Card Best For?

Many different types of consumers can benefit from the Wells Fargo Active Cash Card, but there are two that I recommend this card to the most. If you want to earn cash rewards without having to remember bonus categories or limited-time promotions, this card is a perfect fit. It offers a generous earning rate on every purchase, and you can redeem your cash rewards in any way you wish without any restrictions.

This card is also a good choice for existing Wells Fargo customers who have the Wells Fargo Autograph® Card or Wells Fargo Autograph Journey Card. Both of these cards earn flexible points that can be redeemed for travel or cash rewards, and you can transfer rewards to airline and hotel partners. However, these cards earn just 1x points on non-bonus category purchases.

By adding the Wells Fargo Active Cash Card and using it for purchases that don’t earn a bonus with your existing cards, you’ll unlock at least 2x rewards on every purchase. Then, you can combine rewards to unlock flexible redemption options.

Is the Wells Fargo Active Cash Card the Right Card for You?

The Wells Fargo Active Cash Card is right for you if you:

• Want a simplified rewards program
• Prefer cash rewards over airline miles and hotel points
• Want to earn rewards without paying an annual fee
• Need an intro APR offer to eliminate interest charges on upcoming purchases or existing debt
• Have another Wells Fargo credit card and want a higher rate of return on non-bonus category purchases

Alternatives to the Wells Fargo Active Cash Card

While the Wells Fargo Active Cash Card has many appealing features, it isn’t the right card for every situation. These alternative rewards credit cards may be a better fit for your spending habits.

• Chase Freedom Unlimited®: This cash-back credit card also offers unlimited rewards, but its base rate is just 1.5% versus earning 2% with the Wells Fargo Active Cash Card. To compensate for the lower rate, it offers bonus categories where you’ll earn 5% on Chase Travel℠ purchases and 3% at drug stores and on dining. It has no annual fee and a longer 0% Intro APR on Purchases and Balance Transfers for 15 months, then 18.99% – 28.49% Variable.
• Citi Double Cash® Card: With the Citi Double Cash Card (an advertising partner), you also get unlimited 2% cash back, but there’s a big caveat. You earn 1% when you spend, and the second 1% is earned as you pay off your balance. This card has a longer intro APR offer than the Active Cash Card, but it’s more limited: 0% Intro APR on balance transfers for 18 months, then 18.24% – 28.24% (Variable). A 18.24% – 28.24% (Variable) APR will apply for purchases. Plus, you can transfer Citi ThankYou rewards® to a handful of transfer partners without needing to have a second rewards card.