What Pentagon Federal Credit Union Credit Cards Offer
Pentagon Federal Credit Union (PenFed) issues several credit cards aimed at military members, veterans, and civilians. The cards carry no annual fee, offer cash back or rewards on purchases, and come with fraud protection and purchase protections. PenFed is a federally chartered credit union, which means it operates under different rules than a bank and typically offers lower rates and fewer fees to its members.
To use a PenFed credit card, you must first become a member of the credit union. Membership is open to military members on active duty, retirees, veterans, Department of Defense civilians, and their families. Civilians can also join by making a donation to a military-focused nonprofit and maintaining a savings account with PenFed.
The specific card you can open depends on your military status and what rewards matter to you. PenFed offers cards focused on cash back, travel rewards, and military-specific benefits. Each card has different earning rates and bonus structures.
Key Takeaways
- PenFed credit cards require membership in the credit union, which is open to active military, veterans, retirees, and their families, as well as civilians who donate to a military nonprofit.
- Most PenFed cards carry no annual fee and offer cash back or travel rewards on everyday purchases.
- You can open a PenFed credit card online or by visiting a branch, but you must have a PenFed savings account first.
- PenFed cards come with fraud protection, purchase protection, and extended warranties on may be able to access items.
- Interest rates and rewards rates vary by card and your creditworthiness, so comparing the specific card options before opening is important.
How to Become a PenFed Member
You cannot open a PenFed credit card without first joining the credit union. If you are on active duty, a retiree, a veteran, or a Department of Defense civilian, you are already may be able to access. Visit PenFed's website, click "Join Now," and follow the membership steps. You will need to provide your military ID number or discharge papers to verify your status.
If you are a civilian without military ties, you can still join by making a one-time donation of $17 to the Armed Forces Benefit Association (AFBA), a nonprofit that PenFed partners with. After the donation, you become a member and can open accounts. This donation is separate from any credit card fees — it is a one-time membership requirement.
Once you are a member, you must open a savings account with PenFed before you can open a credit card. The savings account requires a minimum deposit, which varies but is typically $25. This account stays open as long as you hold the credit card.
Types of PenFed Credit Cards and Their Rewards
PenFed offers multiple credit card options, and the one you can open depends on your membership category and credit history. The most common cards include a cash back card, a travel rewards card, and cards designed specifically for active-duty military members.
The cash back cards typically earn a flat percentage back on all purchases or higher rates in specific categories like groceries or gas. The travel rewards cards earn points on every dollar spent, with bonus points on travel and dining purchases. Some cards offer a sign-up bonus in the form of cash back or points if you spend a certain amount in the first few months.
Military-specific cards may offer additional perks like discounts on travel, rental cars, or hotels. The exact rewards structure, earning rates, and any sign-up bonuses change periodically, so check PenFed's website for current offers before you open an account.
Interest Rates and Fees
PenFed credit cards have no annual fee, which is standard across their card lineup. The interest rate you receive depends on your credit score and credit history. PenFed publishes a range of rates on its website, but your actual rate is determined during the membership and card opening process.
If you carry a balance, you will pay interest at your assigned rate. PenFed also charges late fees if you miss a payment, though the amount varies. There are no foreign transaction fees on most PenFed cards, which can save money if you travel internationally.
Some cards offer an introductory period with a lower or zero interest rate on purchases or balance transfers, but this is not may provide on all cards and changes based on current promotions. Read the terms carefully before opening to understand what rate you will pay after any introductory period ends.
How to Open a PenFed Credit Card
Start by visiting PenFed's website and logging into your member account, or create one if you are new. Navigate to the credit cards section and select the card that matches your needs. You will see the current rewards rates, any sign-up bonuses, and the terms.
Click the button to open the card. You will answer questions about your income, employment, and existing debts. PenFed will pull your credit report to check your score and history. The entire process takes about 10 to 15 minutes online.
After you submit your information, PenFed will tell you when ready whether you are approved, denied, or pending review. If approved, your card will arrive in the mail within 7 to 10 business days. You can set up it online or by phone once it arrives. If you are pending, PenFed may contact you for more information before making a decision.
Using Your PenFed Credit Card and Managing Your Account
Once your card arrives, set up it through PenFed's website or mobile app. You can then use it anywhere Visa or Mastercard is accepted, depending on which network your card uses. Your rewards post to your account automatically as you make purchases.
You can view your balance, make payments, and track your rewards through PenFed's online portal or mobile app. Payments can be made online, by phone, or by mail. PenFed offers automatic payments if you want your bill paid on the same date each month.
Your credit card statement arrives monthly and shows your balance, minimum payment due, and interest charges if you are carrying a balance. Paying your full balance by the due date avoids interest charges. If you only pay the minimum, interest accrues on the remaining balance.
Protections and Benefits Included with Your Card
PenFed credit cards come with fraud protection, which means you are not responsible for unauthorized charges if your card is lost or stolen and reported promptly. You also get purchase protection, which covers items you buy if they are damaged or stolen within a certain timeframe after purchase.
Many PenFed cards include an extended warranty on may be able to access purchases, which extends the manufacturer's warranty by an additional year. Some cards also offer travel protections like trip cancellation insurance or emergency medical coverage if you charge your trip to the card.
The specific protections vary by card, so review the benefits guide that comes with your card or check PenFed's website for the full list. These protections are included at no extra cost and explore automatically when you use the card.
Frequently Asked Questions
Do I need to be military to open a PenFed credit card?
No. Active military, veterans, retirees, and Department of Defense civilians are automatically may be able to access. Civilians without military ties can join by making a one-time $17 donation to the Armed Forces Benefit Association. After that, you can open a credit card like any other member.
What happens if I am denied for a PenFed credit card?
If you are denied, PenFed will tell you the reason, which is usually a low credit score or a history of missed payments. You can reapply after improving your credit, typically by paying down existing balances and making all payments on time for several months. You can also contact PenFed to ask if a different card with lower credit requirements is available.
Can I transfer a balance from another credit card to my PenFed card?
Some PenFed cards offer balance transfer options, but not all. Check the specific card's terms before opening. If balance transfers are available, there may be a fee and an introductory interest rate period. Contact PenFed directly to confirm whether your card supports balance transfers.
How do I redeem my cash back or rewards points?
Cash back typically posts as a statement credit automatically or can be redeemed through your online account. Rewards points can usually be redeemed for cash back, travel bookings, or merchandise through PenFed's rewards portal. The exact redemption options depend on your card.
What should I do if my PenFed credit card is lost or stolen?
Contact PenFed when ready by phone or through your online account to report the card. PenFed will freeze the card to prevent unauthorized use and send you a replacement. You are not responsible for fraudulent charges reported within a reasonable time, and your replacement card typically arrives within 7 to 10 business days.