The Wells Fargo Signify Business Cash Card is a no-annual-fee business credit card that offers unlimited 2% cash rewards on all purchases. Launched in 2024, this card aims to provide small business owners with a simple way to earn rewards on their everyday spending without having to track bonus categories. But is this card really worth getting for your business? Take a closer look at the pros, cons, and potential pitfalls to be aware of before applying.
Let’s Cut To The Chase!
DON’T BUY IF
- You want a simple, flat-rate 2% cash rewards card for your business spending
- You can take advantage of the $500 welcome bonus
- You’ll benefit from the 0% intro APR offer on purchases
- You want free employee cards to earn rewards on their spending too
- You occasionally use airport lounges and will benefit from the Priority Pass membership
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DON’T BUY IF
- You travel internationally often (3% foreign transaction fee applies)
- You want to transfer a balance from another card (balance transfers not allowed)
- You’re looking for higher rewards rates in specific bonus categories
- You want complimentary airport lounge access (fees apply for Priority Pass visits)
- You don’t already have a Wells Fargo checking or savings account (required for online application)
The Bottomline
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The Wells Fargo Signify Business Cash Card offers a solid 2% cash rewards rate and some useful perks for no annual fee. However, it lacks some benefits found on competing cards and has some notable restrictions. For many small businesses, it can be a good option for simplifying rewards earning. But you’ll want to carefully compare it to other business cards to ensure it’s the best fit for your specific spending patterns and needs.
Now, Let’s Detail Things For You
The annual fee is $0. The regular APR ranges from 18.49% to 26.49% variable, with an introductory APR of 0% for 12 months on purchases, after which the variable APR applies. The foreign transaction fee is 3% of each transaction converted to U.S. dollars. Employee cards are free, with no additional cost. The late payment fee can be up to $39, and the returned payment fee can also be up to $39. The cash advance fee is either $10 or 5% of the amount of each advance, whichever is greater.
You can earn unlimited 2% cash rewards on all purchases. There is a welcome bonus of $500 cash rewards after spending $5,000 in purchases within the first 3 months.
WHAT'S THE CATCH WITH THE WELLS FARGO BUSINESS CREDIT CARD?
Be cautious of the Wells Fargo Signify Business Cash Card’s attractive 2% cash rewards rate, as there are some potential “catches” to be aware of; specifically, to apply online, you must already have a Wells Fargo checking or savings account, and if you don’t, you’ll need to visit a branch in person, which can be inconvenient for many potential applicants.
While the card advertises a complimentary Priority Pass membership, it’s important to note that this doesn’t include free lounge visits. You’ll still need to pay a fee (typically around $32) each time you want to access a lounge. This is less generous than some competing cards that offer a set number of free visits or unlimited access. The 3% foreign transaction fee makes this card less than ideal for businesses that frequently make purchases abroad or in foreign currencies. Many competing business travel cards waive these fees entirely.
Unlike some other business credit cards, the Wells Fargo Signify Business Cash Card does not allow balance transfers. This limits its usefulness for consolidating debt from other business credit cards. While the 0% intro APR offer is attractive, the regular APR range of 18.49% – 26.49% can be quite high, especially if you end up with an APR on the higher end of that range. It’s crucial to pay your balance in full each month to avoid costly interest charges.
Compared to some premium business cards, the Signify Business Cash Card offers relatively few additional perks or protections. While it does include some travel insurance and rental car coverage, it lacks benefits like purchase protection or extended warranty coverage that some businesses might find valuable. Although cash rewards can be redeemed for statement credits, bank account deposits, or travel, there’s no option to transfer rewards to airline or hotel partners for potentially higher value. This limits the flexibility of your rewards compared to some competing cards. Wells Fargo doesn’t publicly disclose the exact credit score requirements for this card. However, it’s generally marketed towards those with good to excellent credit. This means it may be harder to qualify for than some other business cards designed for those with fair or average credit.
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WHAT YOU NEED TO KNOW
The primary appeal of the Wells Fargo Signify Business Cash Card is its straightforward rewards structure. You’ll earn an unlimited 2% cash rewards on all purchases, with no caps or categories to track. This makes it easy to maximize your rewards without having to strategize your spending. As a new cardholder, you can earn a $500 cash rewards bonus after spending $5,000 in purchases within the first 3 months of account opening. This is a fairly competitive bonus for a no-annual-fee business card, though it does require a significant amount of spending to achieve.
Cash rewards can be redeemed in several ways:
- Statement Credit: Apply your rewards directly to your credit card balance
- Bank Account Deposit: Transfer rewards to a Wells Fargo checking or savings account
- Travel: Book flights, hotels, and car rentals through the Wells Fargo Rewards portal
- Gift Cards: Redeem for gift cards from various merchants (may offer less value)
- ATM Withdrawal: If you have a Wells Fargo debit card, you can withdraw rewards in $20 increments
There’s no minimum redemption amount for most options, which adds flexibility. However, paper checks require a minimum $25 redemption. The card features a 0% intro APR on purchases for the first 12 months from account opening. This can be valuable for businesses looking to finance large purchases or manage cash flow. After the intro period, a variable APR of 18.49% – 26.49% applies.
You can add employee cards to your account at no additional cost. This allows you to earn rewards on their business spending while maintaining control over the account. You can set up account alerts to monitor employee card activity.
The card offers complimentary Priority Pass membership, although enrollment is required and lounge visit fees apply. Travel accident insurance provides up to $250,000 coverage when you pay for travel with the card, and you also receive a primary auto rental collision damage waiver. Additionally, there is zero liability protection for unauthorized charges.
Other benefits include free access to your FICO Score and cell phone protection with up to $600 per claim, $1,000 per year, and a $25 deductible. You can also utilize expense management tools through the Wells Fargo Mobile app.
WHAT ARE THE WELLS FARGO BUSINESS CREDIT CARD'S COMPETITORS OFFERING?
Review each of these to understand how the Wells Fargo Signify Business Cash Card compares with major competitors:
- American Express: This bank offers a variety of business credit cards with diverse features, including flat-rate cash back similar to Signify, but also tiered rewards and bonus categories offering up to 5X points. Its welcome bonuses are generally more generous, sometimes worth over $1000, and annual fees range from $0 to $695, with some cards offering 0% intro APRs. Unlike Signify, Amex often includes more comprehensive travel benefits, purchase protections, and no foreign transaction fees.
- Capital One: Capital One’s business card lineup includes flat-rate cash back cards ranging from 1.5% to 2% and tiered rewards structures. Its welcome bonuses are often higher than Signify’s, sometimes up to $1000, with annual fees from $0 to $150. It is less likely to offer 0% intro APRs but have no foreign transaction fees and offer annual bonuses for high spenders.
- Chase: Chase offers a mix of flat-rate cash back cards and those with bonus categories offering up to 5X points. Welcome bonuses are generally higher than Signify’s, often valued at $750 or more, with annual fees ranging from $0 to $195. Chase cards often include the ability to transfer points to travel partners and offer purchase protection and extended warranties.
- S. Bank: If you want a mix of tiered cash back structures and flat-rate options, with welcome bonuses comparable to or slightly higher than Signify’s, U.S. bank has your back. Its annual fees are primarily $0, and some cards offer longer 0% intro APR periods, including on balance transfers, which Signify lacks. U.S. Bank cards may also offer annual statement credits and generally allow balance transfers.
- Bank of America: Its business credit cards feature flat-rate cash back typically at 1.5% and customizable category bonuses. Its welcome bonuses are generally lower than Signify’s $500, with annual fees mostly at $0. It tends to offer shorter 0% intro APR periods compared to Signify but can provide significant rewards boosts for Preferred Rewards for Business members.
In comparison, the Wells Fargo Signify Business Cash Card stands out for its straightforward 2% cash rewards on all purchases, a solid welcome bonus, and a 12-month 0% intro APR on purchases, all with no annual fee. However, it lacks the premium benefits, travel perks, and rewards flexibility offered by some competitors, especially those with higher annual fees.
WHAT AFFECTS THE WELLS FARGO BUSINESS CREDIT CARD'S PRICES?
Several factors can influence the “price” or overall cost of using the Wells Fargo Signify Business Cash Card:
- Credit Score: Your creditworthiness will impact the APR you’re offered within the 18.49% – 26.49% variable range. A higher credit score typically results in a lower APR, potentially saving you money on interest if you carry a balance.
- Spending Habits: While the card has no annual fee, your spending patterns will affect how much value you get from the rewards program. Higher spenders will naturally earn more cash rewards.
- Payment Behavior: Paying your balance in full each month avoids interest charges, maximizing the value of your rewards. Carrying a balance, especially after the intro APR period, can quickly erode the benefits of the cash rewards.
- Use of Additional Services: While employee cards are free, using services like cash advances or making late payments will incur additional fees.
- International Usage: The 3% foreign transaction fee can significantly increase costs for businesses that frequently make purchases abroad.
- Priority Pass Usage: While the membership is complimentary, the per-visit fees for lounge access can add up if used frequently.
WHAT AFFECTS PRICES IN THE WELLS FARGO BUSINESS CREDIT CARD INDUSTRY OVERALL?
Several broader factors influence pricing and offerings across the business credit card industry:
- Regulatory Environment: Laws and regulations, such as the Credit CARD Act, can impact how issuers structure their products and disclose information.
- Interchange Fees: These are fees paid by merchants to card issuers for processing transactions. Changes in interchange rates can affect the profitability of cards and influence rewards structures.
- Federal Reserve Interest Rates: Changes in the federal funds rate directly impact variable APRs on credit cards. As rates rise or fall, card APRs typically follow suit.
- Competition: As issuers vie for market share, they may introduce new features or boost rewards to attract customers.
- Economic Conditions: During economic downturns, issuers may tighten credit requirements or reduce rewards to mitigate risk. In strong economies, competition may lead to more generous offers.
- Cost of Funds: The rates at which banks can borrow money influence their ability to offer low APRs or generous rewards.
- Loyalty Program Partnerships: Changes in partnerships with airlines, hotels, or other reward programs can affect the value proposition of co-branded cards.
- Industry Consolidation: Mergers and acquisitions in the banking sector can impact card offerings and competition.
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HOW TO GET THE BEST DEAL WITH THE WELLS FARGO BUSINESS CREDIT CARD?
To make the most of the Wells Fargo Signify Business Cash Card and potentially save money, consider the following strategies:
- Meet the welcome bonus requirement
- Utilize the 0% intro APR
- Pay in full each month
- Use for all eligible business expenses
- Redeem strategically
- Avoid foreign transactions
- Leverage the cell phone protection
- Monitor your credit score
- Set up autopay
- Combine with other wells fargo products
CAN YOU AFFORD THE WELLS FARGO BUSINESS CREDIT CARD?
Evaluating whether the Wells Fargo Signify Business Cash Card fits your budget involves considering several factors related to your business finances and spending habits. Have you calculated your average monthly business expenses that can be charged to a credit card and estimated your potential cash rewards by multiplying this amount by 2%? For example, would a $7,500 monthly spend yield $150 in rewards, or would a $12,000 monthly spend yield $240 in rewards, and do these reward amounts seem valuable to your business? Additionally, have you considered factors like the ability to pay in full, the welcome bonus spending requirement, foreign transaction fees, cash flow management, credit score impact, and overall business financial health?
FINALLY: SHOULD YOU BUY THE WELLS FARGO BUSINESS CREDIT CARD OR NOT?
After thoroughly analyzing the Wells Fargo Signify Business Cash Card’s features, benefits, and potential drawbacks, the best recommendation is this:
Buy the Wells Fargo Signify Business Cash Card. Why?:
The card’s straightforward 2% cash rewards on all purchases and $0 annual fee make it a great option for small to medium-sized businesses, simplifying the rewards process without the need for tracking bonus categories. The $500 welcome bonus, achievable with $5,000 in spending over three months, and the 12-month 0% intro APR on purchases provide substantial initial value and flexibility for managing cash flow.
Free employee cards and complimentary Priority Pass membership add value for centralized business spending and travel, respectively. While the card has limitations like foreign transaction fees and lacks premium travel perks, its simplicity and ease of use offer significant benefits for domestic-focused businesses.
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