Introduction to the Disney Credit Card
If you are the kind of parent who spends a lot of cash on Disney, Disney online shopping, Disney theme parks, Disney cruises, brick-and-store mortar stores, and Star Wars movies then the Disney Credit Cards might be something to consider. Disney offers two types of credit cards; the Disney Premier Visa Card and the Disney Rewards Visa Card. Both of the cards are tailored to make your Disney experience not just convenient but also rewarding. Unfortunately, neither of the two comes with something unique that you can’t find in other credit cards in the market. Actually, you are likely to enjoy better perks with other credit cards which increase your saving and earning possibilities.
Here is a brief but comprehensive review to help you understand why we believe that the Disney credit cards are “okay” credit cards with nothing really special.
Disney Credit Cards Features and Benefits
Disney Premier Visa Card
The Disney Premier Visa Card is supposed to offer you the premium experience. The card charges an annual fee of $49 which isn’t that high but is it really worth it?
If you use this card in Disney locations, you will earn a 2% cash back. The cash back rate is also extended to a few other purchases including grocery stores, gas stations, and certain restaurants. All other purchases will earn a 1% cash back.
The cash back rates here are very standards. Many regular credit cards offer the same rates and some of them do not charge any annual fees. If you are willing to spend several tens of dollars in annual fees, then you might as well get yourself a credit card which offers additional perks that are not found here. For instance, you could get a card with rotating category rewards where you can earn up to 5% in cash back in selected product categories in certain seasons while still getting 1% or 2% cash back on other purchases.
The Disney Premier Visa Card will also welcome you with $100 statement credit as a signup bonus if you spend $500 within the first 3 months of opening the account. $200 is not a lot of cash but it’s still a decent offer. It’s a good thing in that you don’t have to spend thousands of cash to be eligible for sign-up bonuses which makes the bonus accessible to more people.
The Disney Premier Visa Card qualifies you for a 10% discount in DisneyStore.com and Disney Stores whenever you make a purchase worth more than $50 (pre-tax). Unfortunately, most of the hot Disney items are not eligible for this discount. Some of the items excluded here are Disney INFINITY, Disney Electronics, Theme Park Passes, 3-D Printed Merchandise, Video games, Art & Collectibles, Gift Cards/Gift Certificates Vinylmation, Jim Shore, and Lenox merchandise among many others.
Disney Rewards Visa Card
Unlike the Disney Premier Visa Card, this particular Disney Credit Card does not charge any annual fees. This should make it easier for you to own the card but does that qualify it to take up some space in your wallet?
The visa card has a pretty low cash back rate of just 1% on all purchases. You can definitely get much better rewards with other cards that don’t charge any annual fees.
The signup bonus here is also pretty standard. You will only receive $50 after making your first purchase. It’s honestly not the kind of sign up bonus that will entice one into signing up for any card.
In terms of fees, the two cards have a foreign transaction fee of 3% (which may end up taking away a lot of your money if you are planning on using the card on oversea Disney locations) and an 18.24% APR (variable).
Benefits of the Disney Credit Cards
- 0% Intro APR
If you use this card to pay for a Disney vacation-ownership package, resort package or cruise, you will get an intro APR offer of 0% for the first six months. This is an excellent offer as it allows you to pay off the hefty Disney vacation costs over a more extended duration without losing so much money in interest rates.
However, you need to make sure that all the balances are cleared in time. That’s simply because once the 6 months are over, you will be subjected to the card’s APR of 18.24% (variable). It’s vital that you avoid this offer completely if you are not certain that you’ll manage to clear the entire balance within the six months as this will result in hefty interests where you will end up losing a lot of cash.
Other than the 10% savings that you will make when buying Disney products from their stores, you will also save an extra 10% in selected dining locations in Disney parks. Certain recreation experiences and the guided tour will also attract savings of up to 15%.
- Meet N Greets
Hardcore Star Wars fans will love the Disney Premier Visa card for the fact that it’ll give them access to private Disneyland Resorts and Walt Disney World where they can meet their favorite characters such as Darth Vader 1-on-1.
The fans will also have the opportunity to choose one of three credit card designs i.e. Yoda, Darth Vader, and C3-PO/R2-D2 themed cards. This may seem like a minor detail but hardcore Star Wars fans will definitely fall for such themes.
Drawbacks of the Disney Credit Cards
Poor Rewards Rates
It’ll make perfect sense to get a regular no-fee cash-back credit card with a higher earning potential instead of these Disney credit cards. With such a card, you will end up accumulating more rewards at a much faster rate as compared to the Disney Rewards credit card which has low cash back rates and limited earning potential.
The Disney Premier card offers a better cash back rate (2%) at selected Disney locations restaurants, grocery stores, and gas stations while other purchases will attract a 1% cashback. Unfortunately, the decent cashback of 2% is overshadowed with the fact that you will probably have to spend more than $2450 annually to get more cash back than the annual fees you are paying.
With the Disney Rewards Visa card, your earnings can only be redeemed on qualified Star Wars and Disney spending. Meanwhile, the Premier Visa card extends the redemption options to statement credit in airfare. As you can see, none of them really offer the sort of flexibility that most people desire. It would be more convenient if you can just get cash back that you can spend however you like i.e. to book hotels, cruises, flights, etc. The best credit cards in the market offer this kind of flexibility.
You should also know that the Disney Rewards Dollars usually expire after 5 years. Therefore, if you are planning on accumulating the points to get Disney trip then you should probably do so within this period otherwise you will end up losing all the points.
How does the Disney Credit Cards compare to other credit cards?
Citi Double Cash Card
The Citi Double Cash Card offers 1% cash back on all purchases and an extra 1% once you pay off the purchase. The Citi Double Cash Card will also earn you more rewards from your daily spending something that the Disney credit cards cannot match. Therefore, unless you value the Meet N Greet and the 10% Disney discount, then you’ll probably enjoy the Citi Double Cash Card more than the Disney Credit Cards. The only thing that you might find as a deal breaker with the Citi Cash Card is the absence of a welcome bonus.
Blue Cash Everyday Card from American Express
If you were considering getting the Disney Rewards Visa card because it doesn’t have any annual fees, then you might want to consider the Blue Cash Everyday Card from American Express first. This card is a lot more rewarding than the Disney Credit Card yet it also comes with 0 annual fees. It will earn you 3% cash back in U.S supermarkets until you hit $6,000 mark where the rate will be readjusted to 1% for the rest of the year. The card will also earn you 2% at US gas stations and selected department stores. All other purchases will get you a 1% cashback.
David is a financial expert who graduated from the University of Fordham (Master in Finance) in 2001. He has 10+ years of experience in private equity and wealth management. With strong expertise in senior-level financial planning, personal financial analysis, and mortgages, David knows his way around personal finance. Before working at CCR he used to be a financial analyst at McKinsey.
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