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Credit cards are typically known for offering travel rewards or cash back as their main incentive for consumers to use them. In recent months, earning cryptocurrency has become a new reward system for emerging credit cards.
But what if you could spend money at your favorite brands where you hold stocks, and be rewarded for it at a premium? That is what M1 Finance, an investment and banking platform, announced Wednesday.
Select analyzed the card itself, what you need to know to apply for The Owners Rewards Card, and who this card is a good match for.
Owners Rewards Card by M1 highlights
The Owners Rewards Card by M1 is (potentially) a no-annual-fee credit card where you can earn up to 10% cash back by spending with the brands you have an investment in through M1 Finance, including Amazon, Target, Starbucks, Delta Air Lines, Tesla, Netflix and more. Dozens more companies are planning on being added to the list in the near future, based on the most popular investments among M1 users.
By holding fractional shares of the below companies in your M1 brokerage account, you will earn the following cash-back rates:
The card also earns a solid cash-back rate on purchases made outside your respective stock holdings, as it gives 1.5% cash back on all purchases. However, you can only receive a maximum of $20 cash back per transaction.
The cash back earned can be automated to invest back into your portfolio, known as “Pies”. The pie you have set up for your portfolio can automatically take your earned cash back after each statement cycle, and allocate the funds accordingly 一 making the credit card earnings akin to passive long-term investing.
Ben Reid, M1’s general manager of credit cards, echoed the ethos of M1 as an investment platform, rather than day…