ABOC Platinum Rewards Review: 5X Back in Rotating Bonus Categories

(NOTE: THIS CARD HAS CHANGED ITS ELIGIBILITY RULES AND NOW REQUIRES EXCELLENT CREDIT.)

The ABOC Platinum Rewards Mastercard® Credit Card earns bonus rewards in popular spending categories that change each quarter. Plus, there's a sign-up bonus, as well as a 0% intro APR period for purchases, all for an annual fee of $0.

One big caution, however: While you'll get good value from your rewards if you redeem them for travel, points are worth significantly less if you redeem for cash back. Other 5X-bonus-category cards don't have that problem, allowing you to redeem for travel or cash back (or other options) at the same rate of a penny per point no matter what.

Plus, those cards are also largely available to those with only good credit (FICO scores of 690 or higher). The ABOC Platinum Rewards Mastercard® Credit Card requires excellent credit (FICO scores of at least 720).

» MORE: NerdWallet's best cash-back credit cards

ABOC Platinum Rewards Mastercard® Credit Card: Key features

Card type: Rewards.

Annual fee: $0.

Sign-up bonus: Earn a $150 Statement Credit after you spend $1,200 on purchases within the first 90 days from account opening.

Rewards: Earn 5 points per $1 spent on up to $1,500 in combined spending on categories that change each quarter. All other spending earns 1 point per dollar. Those 5X categories are:

» MORE: Which 5% rotating bonus category card should you choose?

Redemption options: Points can be redeemed for travel, statement credits, merchandise and gift cards. You can also gift points to other ABOC Rewards members. Points don’t expire as long as your account is open and in good standing.

Redemption values vary, but travel (including flights, hotels, car rentals and vacation packages) generally offers the best value at about 1 cent per point. (If you don’t have enough points for a particular travel redemption, you may use a combination of rewards and charges to your card to cover it. But in those cases, minimum redemption thresholds apply.)

Statement credit and merchandise redeem for about 0.75 cent per point; gift card rates vary between 0.7 cent and 1 cent per point.

APR: 0% on Purchases for 12 months, and then the ongoing APR of 12.90% - 22.90% Variable APR.

Balance transfer fee: 3% of each balance transfer (minimum $5).

Foreign transaction fee: None.

Additional perks: Mastercard benefits such as extended warranty and price protection — offerings that have become harder to find in recent years.

» MORE: The 3 levels of Mastercard benefits

Why you might want the ABOC Platinum Rewards Mastercard® Credit Card

Rotating 5X bonus categories

If you're in the market for a rotating-bonus-category card, you may have heard of two big names in that space: the Chase Freedom Flex℠ and select Discover cards like the Discover it® Cash Back. Like the ABOC Platinum Rewards Mastercard® Credit Card, those cards also feature 5X-back rewards, up to a quarterly maximum, on categories that change each quarter (1% back on all else). But you must activate those bonus categories every quarter, unlike with the ABOC card.

Sign-up bonus, 0% intro APR period

Earn a $150 Statement Credit after you spend $1,200 on purchases within the first 90 days from account opening. Plus, you'll get an intro APR of 0% on Purchases for 12 months, and then the ongoing APR of 12.90% - 22.90% Variable APR. That's a solid time frame.

$0 annual fee

Cards with high reward-earning potential often charge high annual fees. But the ABOC Platinum Rewards Mastercard® Credit Card is an easy card to hold onto for a long time, given its $0 annual fee.

It travels well

As a Mastercard with worldwide acceptance and no foreign transaction fees, the ABOC Platinum Rewards Mastercard® Credit Card makes a good travel companion.

Why you might want a different credit card

Cash redemption value is poor

If you're not interested in travel, this card isn't the best choice because all its other redemption values are poor. A cash-back card like the Citi® Double Cash Card – 18 month BT offer could be a better pick. It's also aimed at those with higher credit scores, but it earns 2% cash back on every purchase — 1% back as you make purchases, and 1% back as you pay your bill. The annual fee is $0 and you’ll pay 0% intro APR on Balance Transfers for 18 months, and then the ongoing APR of 13.99% - 23.99% Variable APR. However, the card doesn’t have a sign-up bonus.

It requires excellent credit

While previously an option for consumers with fair and good credit scores, the ABOC Platinum Rewards Mastercard® Credit Card now requires applicants to have excellent credit to qualify. The aforementioned Chase Freedom Flex℠ and Discover it® Cash Back require only good credit, and rewards you earn with those cards are worth 1 cent each when redeemed for cash back or travel.

There’s no 0% intro APR period for balance transfers

The ABOC Platinum Rewards Mastercard® Credit Card has eliminated its 0% intro APR offer on balance transfers, though ABOC indicates this may be temporary, explaining it this way: “Please note: Amalgamated Bank of Chicago has temporarily suspended its balance transfer offer for new accounts due to the current economic environment. ABOC expects to reinstate this benefit in late 2020; in the meantime, new cardmembers can still receive a 0% intro APR on purchases for 12 months and have the opportunity to earn a $150 statement credit when they spend $1,200 within 90 days after account opening."

Rotating rewards create complexity

With the ABOC Platinum Rewards Mastercard® Credit Card, you'll have to keep track of its rotating bonus categories every three months. If you would prefer to keep things simple, a flat-rate cash-back card like the above-mentioned Citi® Double Cash Card – 18 month BT offer will be more your speed.

Is the ABOC Platinum Rewards Mastercard® Credit Card right for you?