Are you on the hunt for the perfect travel credit card? Look no further than the American Express Gold and Capital One Venture cards. These two cards have a lot in common, but they also have some key differences that might sway your decision. So, how do you choose? Let’s take a closer look at how these cards stack up and help you decide which one is best for your needs.
How the Cards Stack Up
Both the American Express Gold and Capital One Venture cards offer flexible rewards programs. However, the earning rates, perks, redemption values, and reward options vary between the two. To make the right choice, you need to consider how each card’s earning rate aligns with your spending habits, the usefulness of the points for your travel style, and the annual fees.
Here’s a breakdown of the key features of each card:
American Express Gold Card:
- 4x points at restaurants worldwide
- 4x points on up to $25,000 spent at U.S. supermarkets per calendar year (then 1x points)
- 3x points on flights booked directly or through AmexTravel.com
- $120 dining credit
- $120 Uber cash
- Global Assist hotline
- Baggage insurance plan
- Secondary auto rental coverage
Capital One Venture Rewards Credit Card:
- 2x miles on all purchases
- 5x miles on hotels and rental cars booked through Capital One Travel
- Two free Capital One airport lounge visits per year
- Hertz Five Star status
- Fee credit toward Global Entry or TSA PreCheck®
While the American Express Gold card shines in certain categories, it’s important to dig deeper into the rewards programs offered by both card issuers. Capital One Miles and American Express Membership Rewards points have their own set of transfer partners, which may work better or worse for your specific needs.
Welcome Bonus Winner
When it comes to welcome bonuses, the Capital One Venture card takes the prize. With this card, you can earn a generous bonus of [bonus_miles_full]. The American Express Gold card also has a generous offer, but it’s easier to earn the bonus with the Capital One Venture card. If you can easily spend $4,000 within three months, the American Express Gold card is a great choice. If you need more time to meet the spending threshold, the Capital One Venture card is a better option.
Rewards Winner
In terms of rewards structure, the Capital One Venture card comes out ahead. It offers a flat rate of 2x miles on all purchases and 5x miles on hotels and rental cars booked through Capital One Travel. While the American Express Gold card has great earning rates for specific categories like restaurants, U.S. supermarkets, and airfare, it may not be as rewarding if you don’t spend a significant amount in those areas.
According to our calculations, the average household can earn more miles with the Capital One Venture card compared to the American Express Gold card. However, the difference is relatively small.
When it comes to redemption options, both cards have transfer partners in the airline and hotel industries. While there is some overlap, it’s important to consider which partners you actually use. The Capital One Venture card allows for more flexibility in redeeming miles for travel statement credits, travel through Capital One, gift cards, and more, at a rate of one cent per point. The American Express Gold card offers lower redemption values for gift cards and other redemption options.
Annual Fee Winner
In terms of annual fees, the Capital One Venture card wins this category. It has a [annual_fees] annual fee, while the American Express Gold card has a [annual_fees] annual fee. Although both annual fees can be justified if you earn enough rewards or take advantage of cardholder benefits, the lower annual fee of the Capital One Venture card might make it more appealing for long-term use.
Which Card Earns the Most?
The answer to this question depends on your spending habits. The Capital One Venture card’s flat rate of 2x miles on all purchases makes it easier to rack up rewards quickly. On the other hand, the American Express Gold card’s bonus categories can be more advantageous if you spend a significant amount on dining out and groceries. Consider your own spending patterns and how they align with the earning rates of each card.
Our Recommendations
Based on our analysis, we recommend the Capital One Venture card. It has a lower annual fee, plenty of rewards flexibility, and attractive perks. The first-year welcome offer is hard to beat, and the redemption options offer good value, especially if you decide not to transfer to Capital One’s partners.
However, the American Express Gold card is still a strong contender. Its bonus categories can be more rewarding for those who spend a lot on dining out and groceries. If your spending aligns with these categories, the American Express Gold card could leave you with a bigger rewards haul.
Ultimately, the best card for you depends on your specific spending habits, travel preferences, and redemption goals. If neither card seems like the perfect fit, there are plenty of other credit cards and rewards programs to explore. Take the time to compare different options and find the one that works best for you.
For more information on the American Express Gold card, please visit Personal Finances Blog.
Disclaimer: The content provided in this article is for informational purposes only and should not be considered financial or legal advice. The author is not affiliated with any credit card issuer or bank mentioned in this article.