What's the advantage of a Discover card?

Asked by: Clark Cassin  |  Last update: June 13, 2025
Score: 4.5/5 (16 votes)

Relief from fees: Some rewards credit cards may charge you an annual fee to use them and take advantage of their rewards, but Discover has no annual fee on every credit card. Discover Cards also have no late fee on your first late payment, and no interest increase for late payments.

Are there any benefits to having a Discover card?

Discover Card advantages

Discover® Cardmembers can earn cash back from purchases made using their Discover credit card. Different cards offer different rewards programs, such as cash back or Miles, so you'll want to choose the one that rewards your spending habits.

What are the downsides of a Discover card?

  • Categories aren't always lucrative.
  • Rotating categories require activation.
  • There's a cap on the higher cash back rate.
  • You can't increase the value of rewards.
  • Other benefits are limited.
  • Discover has limited acceptance.

What are the benefits of having a Discovery credit card?

A state-of-the-art credit card that comes with up to 55 days of interest-free credit for select credit card transactions and built-in full transactional capabilities. Dynamic Discounts, like up to 75% back on HealthyFood purchases and more. The bundled fee payment option. Even better Dynamic Interest Rates.

Is it better to have a visa or Discover?

Key takeaways. Where Discover credit cards shine for their lack of fees, they come up short in terms of global acceptance and available cardholder perks. Visa credit cards stand out for their rewards rates and cardholder benefits, but only with the top cards available within the network.

Discover It Review - $1,000 Bonus?!

34 related questions found

Is it smart to get a Discover card?

Discover credit cards can be a good option for those looking to earn cash back rewards. Discover it® Cash Back lets you earn 5% cash back on everyday purchases at different places you shop each quarter like grocery stores, restaurants, and gas stations, up to the quarterly maximum when you activate.

Where is the Discover card not accepted?

As an example, you might wonder “Does Costco take Discover Card?” Costco is the only major retailer that does not accept Discover based on a partner contract with another major card carrier.

Does a Discover card build credit?

With the Discover it® Secured Credit Card, after 7 months, we begin automatic monthly account reviews to see if you qualify to upgrade to an 'unsecured' card and get your deposit back. Apply for a Discover it® Secured card today, and if approved begin to build your credit with responsible use.

Who qualifies for a black card?

Generally, a card issuer invites only their most loyal customers who spend upwards of six figures or more a year to become a black cardholder.

What credit score do you need for a Discover card?

Discover's FICO score requirements typically range from 640 to 700, depending on the specific card, making it the credit score for Discover card approval criteria.

Does canceling a Discover card hurt your credit?

Key Points: You need to notify your credit card company to cancel a credit card. Canceling a credit card can impact your credit score because it will change your credit utilization ratio. A canceled credit card account can stay on your credit history and credit report for up to ten years.

Does Walmart take Discovery card?

Earn Rewards with Every Purchase

Paying with Walmart Pay is easy. Using it with Discover allows you to earn rewards on every purchase - just as you would with your card.

Why does no one use Discover card?

Merchants Pay More

It may come as no surprise that the reason many merchants opt-out of accepting Discover cards (and American Express, for that matter) is about the bottom line. The Discover card is also like American Express in that they both charge a bit more to store owners to accept their cards.

What happens if I don't use my Discover Card?

Your credit card could be closed due to inactivity

That's partly because closing a credit card account can reduce your overall available credit, which increases your credit utilization ratio. Closing an older credit card may also hurt your score by reducing the average age of your accounts.

Is Discover Card good for gas?

Discover is a great choice if you prefer a credit card with great cash back for eligible gas purchases across many gas station brands. You earn 2% Cashback Bonus® at Gas Stations and Restaurants on up to $1,000 in combined purchases each quarter, automatically. Plus, earn unlimited 1% cash back on any other purchases.

What is the biggest disadvantage of using a credit card?

Cons
  • Interest charges. Perhaps the most obvious drawback of using a credit card is paying interest. ...
  • Temptation to overspend. Credit cards make it easy to spend money — maybe too easy for some people. ...
  • Late fees. ...
  • Potential for credit damage.

What card do billionaires use?

The American Express Centurion Card, colloquially known as the Black Card, is a charge card issued by American Express. It is reserved for the company's wealthiest clients who meet certain net worth, credit quality, and spending requirements on its gateway card, the Platinum Card.

What is the most expensive credit card?

What is the most expensive type of credit card? The American Express Centurion Card is among the most expensive, with a high initiation fee and annual fee, reflecting its premium services.

What credit score do you need for a black card?

Keep in mind that the Mastercard® Black Card requires good credit, which means you need a 700+ credit score for high approval odds. Also note that applying for the card triggers a hard inquiry, which may temporarily...

Is Discover card difficult to get?

None of the cards have a minimum credit score required for approval. Discover also offers a pre-approval form, so people can see whether they would be approved for a credit card and what APR they would receive before they apply.

What is the best card to build credit?

NerdWallet's Best Credit Cards to Build Credit of January 2025
  • Chase Freedom Rise®: Best for No-annual-fee card with rewards.
  • Chime Secured Credit Builder Visa® Credit Card: Best for Easy account management and guardrails.
  • Discover it® Secured Credit Card: Best for Secured card with clear upgrade path.

What is a good credit score?

There are some differences around how the various data elements on a credit report factor into the score calculations. Although credit scoring models vary, generally, credit scores from 660 to 724 are considered good; 725 to 759 are considered very good; and 760 and up are considered excellent.

Does Walmart take Discover?

Walmart accepts most major credit cards, including Visa, Mastercard, American Express, and Discover.

Does Amazon not accept Discover card?

Credit cards currently accepted include Visa, Mastercard, Discover, American Express, Diners Club, and JCB. The Amazon.com store card is available for use with selected merchants. In some circumstances, you might be limited to using Visa and Mastercard credit cards.

Do gas stations accept Discover cards?

Most major gas stations accept credit cards

At most major gas-station chains, you can use your credit card — whether it's from Visa, Mastercard, American Express or Discover. A notable exception is ARCO. ARCO only allows you to pay for gas using your debit card or cash — not your credit card.