Virgin America Visa Signature Credit Card Review | CreditShout

Virgin America Visa Signature Credit Card Review

By Dan Rafter / December 15, 2010

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Verdict: The Virgin America Visa Signature Credit Card has a lot going for it, including a generous travel rewards program, no annual fee and the ability for cardholders to quickly earn bonus miles. Unfortunately, this card also comes with one negative: It has a rather high purchase interest rate, even for cardholders with good credit. This important drawback keeps the Virgin America card from ranking as one of the top-tier rewards cards.

Overview: The Virgin America Visa Signature card allows cardholders to earn travel points that they can turn into free flights with Virgin America airline. Cardholders can also earn bonus points just for charging a single purchase.

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How This Card Works: Cardholders earn travel points not only for every purchase they charge, but on their initial balance transfer, too. This is a nice bonus that not every airline card offers. The card also offers an introductory interest rate of 0 percent on all balance transfers for the first six billing cycles, another nice bonus.

Travel and Shopping Benefits: The Virgin America card has nothing to apologize for when it comes to travel perks. Cardholders earn one travel point for every dollar that they charge with their card. They earn three points for every dollar they charge for Virgin America purchases, including airline tickets.

Cardholders can also quickly earn bonus miles. They’ll nab 2,500 of them after they charge their first purchase with their new Virgin America Signature card. They also earn one bonus point for every dollar they transfer from another credit cared to the Virgin America card. Cardholders can earn up to 2,500 additional bonus points for doing this. Finally, cardholders earn 300 bonus points for every $5,000 they charge in a given year.

Fees: The fees — namely, the purchase interest rate — are the only thing holding this card back from elite status. Purchase interest rate for this card stands at 15.24 percent of 18.24 percent, depending on the creditworthiness of cardholders. When other cards are offering consumers with top credit scores purchase interest rates closer to 12 percent, this is simply too high. And the Virgin America Visa Signature card also comes with a penalty interest rate — if consumers make mistakes such as paying their bill late — of 30.24 percent, a stunningly high figure.

Other rates are solid: Cash advances cost $10 or 4 percent of the advance amount, whichever is higher. Returned-payment and late fees can run up to $35.

Pros

  • Generous rewards program.
  • Can earn free miles in a variety of ways.
  • No annual fee.

Cons

  • Purchase interest rate is too high, even for cardholders with high credit scores.
The editorial content on this page is not provided by any of the companies mentioned and has not been reviewed, approved or otherwise endorsed by any of these entities. Opinions expressed here are the author's alone.Additionally, the opinions of the commenters are not necessarily the opinions of this site

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