SELECT cardholders will be forced to pay a nearly $100 annual fee in just days as part of a policy update from a prominent credit union.
These are fairly common for most popular credit cards, and some options even have eye-watering costs as high as $895.
For years, individuals who have the PenFed Pathfinder Rewards Visa Signature Card have been able to waive a $95 annual fee, per NerdWallet.
They can do this by belonging to PenFed’s Honors Advantage program.
To join, PenFed requires that cardholders “have and maintain a qualified Access America or Free Checking account,” with the credit union or have a connection to the US military.
PenFed Credit Union is short for Pentagon Federal Credit Union, and it historically served military personnel and defense employees before becoming open to virtually all eligible Americans.
Basically, customers need only have one of the two specified checking accounts via PenFed or be connected to the military to waive the fee.
That’s changing as of September 28, however, as all PenFed Pathfinder Rewards Visa Signature Cardholders will be required to pay.
This applies to existing and new PenFed Pathfinder Rewards Visa Signature Cardholders.
PenFed has not publicly disclosed a reasoning for the removal of the option to waive the fee.
It is offering new benefits for cardholders in 2027, and many banks or credit card companies use the fees to offset the perks offered.
The exact added benefits remain unannounced, but currently, cardholders get a complimentary Priority Pass Select Membership, up to $120 for Global Entry or TSA PreCheck, up to $100 in annual airline incidental credits, 3X to 4X points on eligible travel purchases, and more.
There’s a Complimentary Priority Pass airport lounge membership, too.
PenFed also often provides a sign-up bonus for new cardholders at around 50,000 points.
These points are awarded after $3,000 in purchases are made with the card within 90 days of the account opening.
“If you don’t mind joining a credit union first, this card packs a big punch, even when compared with more expensive competitors,” NerdWallet wrote in a five-star review for the PenFed Pathfinder Rewards Visa Signature credit card.
There were only two downsides.
“But point values vary, and you can’t redeem for cash back,” the review added.
Citi recently implemented a $695 annual fee on a popular travel card.
Last fall, Chase Bank increased the annual fee on a beloved option to $245.
What's a good credit score?
FICO, the most widely known credit scoring system, and its rival VantageScore both use a range of 300-850 points.
Below we list what’s considered a good and bad credit score, according to both systems.
FICO
- Poor: 300-579
- Fair: 580-669
- Good: 670-739
- Very good: 740-799
- Exceptional: 800 or above
VantageScore
- Very poor: 300-499
- Poor: 500-600
- Fair: 601-660
- Good: 661-780
- Excellent: 781-850
