Capital One® Venture® Rewards Credit Card Review: Everything You Need To Know

Capital One® Venture® Card is among the most popular credit cards with frequent travelers who shop a lot and appreciate flexible redemption options, not to mention the card’s generous sign-up bonus.

Still, this credit card isn’t for everyone since its annual percentage rate (APR) and annual fee are on the high side. Read the Capital One® Venture® Card review to learn more about this payment card and decide whether it suits you.

Capital One® Venture® Card Overview

The Venture rewards travel credit card allows its owners to earn miles consistently and easily amass enough for their next trip if they travel regularly. The way the card works is easy to understand, its redemption options are flexible, and its welcome bonus is generous.

The redemption options range from booking flights and hotels through Capital One® to transferring miles to partner loyalty programs and exchanging them for gift cards. Also, new cardholders qualify for a one-time sign-up bonus after spending at least $4,000 in the first three months.

Though redemption options are ample, you should weigh them carefully, as the value of accrued miles varies significantly outside Capital One®. Some partners value Capital One®'s rewards points at a 2:1 ratio; on the other hand, exchanging them for cash back halves their value to 0.5 cents apiece.

How Big Is the Sign-Up Bonus?

As a new cardholder, you qualify for the sign-up bonus of 75,000 miles by spending at least $4,000 within the first three months of opening an account. At 1 cent per mile, the total value of the sign-up bonus is $750. If this doesn’t sound great, you can check out other companies offering the best sign-up bonuses.

The best way to redeem these miles is to transfer them to partners that value each mile at 1.85 cents. The next best option is to use the mileage through Capital One Travel, at 1 cent apiece.

Related Fees

Capital One® Venture® Rewards Credit Card’s price policy includes the following rules:

• The annual fee is $95. However, spending at least $396 per month offsets the fee.
• There is no foreign transaction fee.
• The company doesn’t charge fees on balance transfers, including the transfer APR.
• The cash advance fee comes in at $10 or 3% of the cash advance amount, whichever is higher.
• The late payment fee is up to $40.

Capital One® Venture® APR

The APR (annual percentage rate) is the interest rate the company charges per year. Capital One® Venture® Rewards Credit Card's APR is 16.24%-24.24%, slightly above average.

The card doesn’t feature an introductory 0% APR, which means any balance you carry from month to month will incur costs and may even be neutralized. Redemption is, therefore, a better option than carrying balances.

Rewards and Earnings

Holders of the Capital One® Venture® Card earn two miles per every $1 spent on travel-related and other purchases. This feature makes this credit card stand out among many others that earn their holders rewards only on travel-related spending.

Furthermore, renting a car or booking a hotel via Capital One Travel will earn you five miles for every $1 spent; this benefit is unlimited.

Capital One Venture® Redemption Options

Capital One Venture® Rewards Card holders have several redemption options, as listed below.

Mileage Usage

The first option is to use your miles to book travel through Capital One® Rewards Center at 1 cent per mile, though this option is not the best for comparing prices, as you’re limited to Capital One’s pricing.

Miles Transfer

You can also opt to transfer miles to one of the partner loyalty programs. As mentioned earlier, Capital One® Venture® points’ value differs significantly depending on the airline or hotel partner program. How you redeem transferred miles matters too. 

Refer to the following table for Capital One® partners and their current transfer ratios:

As you can see from the table, Venture® Credit Card does not boast US airline partners, so you should consider this option only if traveling abroad (the more frequently, the better). We should also mention transaction fees are for the most part uniform across the partners.

Cash Back and Gift Cards

Finally, you can request direct cash back instead of travel rewards, though this may cost you half the points’ value. This option includes redeeming your miles for gift cards or purchases made via Amazon.com or PayPal.

Required Credit Score

To apply, your credit score for the Capital One® Venture® Card should preferably be excellent. While they vary depending on the model, the score ranges are typically the following:

1. Good: from 670 to 739
2. Very Good: from 740 to 799
3. Excellent: 800 and over

You can ask for reconsideration if you don’t get approved after the initial application.

Capital One® vs. Chase Sapphire: Extra Points

Worth noting is the sign-up bonus Venture® and Sapphire Preferred® cards offer. While Chase offers 60,000 miles compared to Capital One®’s 75,000 miles for $4,000 spent in the first three months, their overall value is the same — $750.

That means Chase Sapphire’s miles are worth 1.25 cents apiece compared to Venture®’s 1 cent when redeemed for travel purposes. To match that value with this Capital One® Card, you’d need to transfer Venture®’s miles to a partner with a better redemption value and transfer ratio.

Furthermore, Chase may be a better option if you have multiple credit cards issued by the company. If so, you can unlock a higher reward-earning potential through a Chase trifecta multi-card strategy that multiplies bonus rewards. That might be a long-term advantage for Preferred® over Venture®, depending on your spending routine and plans.

Capital One® Payment Card Pros and Cons

Now for a brief overview of the Venture® Card's benefits and downsides.

Advantages

The most significant benefits this card offers are:

• A big sign-up bonus for spending at least $4,000 in the first three months
• Two miles for every dollar paid, regardless of what it’s spent on, and five miles for car rentals and hotel bookings via the Capital One Travel portal.
• Various redemption options, including miles usage, mileage transfer to partner travel loyalty programs, and cash back. The redemption ratios range from 1.85 cents to 0.5 cents per mile.
• Miles never expire, and there is no limit to how many you can earn.

Bonus Perks

• Up to $100 credit for the Global Entry or TSA Precheck application fee when you pay with the card
• Coverage for cars you rent
• Travel accident insurance at no additional charge when you book travel with the card
• Perks for exclusive wineries and hotels
• Privileged entry rates for the Capital One® Lounge 
• Lost luggage reimbursement

Drawbacks

Some significant Capital One® Venture® Rewards Credit Card cons are:

• High annual fee, and you’ll have to spend at least $396 every month to offset the cost.
• Cashback options are not great since you may get as little as 0.5 cents per mile, well below the average 1:1 ratio for mileage usage.
• All partner carriers are foreign, meaning you benefit from mileage transfers only when travelling abroad.
• APR charges are potentially on the high side, and there’s no promotional APR.
• Finally, there are no bonus rewards categories.

Is This Card Right for You?

In conclusion, Capital One® Venture® Card is worth it for the following categories:

• Frequent or at least moderate travelers flying abroad regularly, since transfer partners are foreign carriers; this is among the top cards for cosmopolitan young adults.
• Customers who prefer a wide variety of redemption options.
• People relying on everyday spending to earn miles toward their next trip.
• Customers who value a significant sign-up bonus and can spend $4,000 in the first three months to benefit from this perk.
• Cardholders that can afford to spend at least $396 per month to offset the Capital One® Venture® Rewards Credit Card fees.

On the other hand, owning this credit card might not be a great deal for the following categories:

• Domestic travelers
• Infrequent travelers
• People who don’t spend much
• Those who can’t maintain a good credit score

Summary

The Capital One® Venture® travel card offers quite a few benefits to its owners, provided they can spend a certain amount of money monthly:

• Flexible redemption options
• Earning miles through everyday spending
• No limit to how many miles they can earn or by when they have to use them
• Attendance and privileged treatment at upscale locations (wineries and hotels, for example) and events

Consequently, if you don’t travel abroad a lot and struggle with monthly expenses, you'd better consider some other card.