Navy Fed More Rewards Review: Rich Rewards on Everyday Spending

For an everyday rewards card, the Navy Federal Credit Union® More Rewards American Express® Credit Card is an excellent choice: Cardholders earn a high rewards rate on supermarket spending, gas and transit spending and restaurants — a wide swath of daily spending — all for no annual fee.

There's also a richer-than-usual sign-up bonus, plus the card is available to people with average credit, which is not always the case with rewards cards.

As an American Express product, international acceptance may be somewhat limited. But as long as you can qualify for it by being eligible to join the Navy Federal Credit Union, it’s hard to find a better card for daily use.

» MORE: NerdWallet’s best Navy Federal Credit Union cards

Navy Federal Credit Union® More Rewards American Express® Credit Card: Basics

Annual fee: $0.

Sign-up bonus: You can earn 20,000 bonus points (a $200 value) when you spend $2,500 within 90 days of account opening. Expires on May 01, 2022.

Ongoing rewards:

• 3 points per $1 spent on groceries, gas, dining and transit. (The transit category covers rideshares, tolls, railways, parking lots, taxi services, bus lines, limos and more. )

• 1 point per $1 spent on everything else.

You can redeem points for things like cash back, gift cards and travel, including airlines, cruises, car rentals, hotels, tours and attractions, and events. Points are generally worth 1 cent apiece.

APR: The ongoing APR is 9.65%-18.00% Variable APR.

Balance transfer fee: None.

Foreign transaction fee: None. (Note, however, that American Express isn't as widely accepted internationally as Visa or Mastercard.)

Other benefits:

• Up to 25% off car rentals, plus car rental loss and damage insurance.

• Roadside assistance.

» MORE: NerdWallet’s best credit union credit cards

Benefits of the Navy Federal Credit Union® More Rewards American Express® Credit Card

Bonus rewards on everyday spending

The Navy Federal Credit Union® More Rewards American Express® Credit Card makes it easy to earn back some value on your purchases whether you're shopping for one or a large family. You get an unlimited 3 points per $1 spent at supermarkets and gas stations; 3 points per $1 spent on dining and transit; and 1 point per $1 spent everywhere else. A card that offers top rewards in all of these everyday spending categories is rare, and some that do offer them put a cap on those higher rates. But there's no limit to the rewards you can earn with this card.

A generous sign-up offer

The card features a rich bonus offer for a $0-annual-fee product: You can earn 20,000 bonus points (a $200 value) when you spend $2,500 within 90 days of account opening. Expires on May 01, 2022. That's more generous than you'll find on many other cards in its class.

Average credit is welcome

With average credit — also known as fair credit, meaning FICO scores of at least 630 — your pool of options is limited when it comes to rewards cards. Some of those options even charge annual fees. The Navy Federal Credit Union® More Rewards American Express® Credit Card is an exception. It's surprisingly generous with a high rewards rate, introductory incentives and low fees. Another option that is accessible to those with fair credit is the Discover it® Secured Credit Card.

» MORE: NerdWallet's best credit cards for fair credit

Flexible redemption

The card offers a variety of redemption options: cash back and travel, yes, but also merchandise, gift cards, event tickets and more.

» MORE: NerdWallet’s best credit cards for groceries

Why you might want a different card

Credit Union membership requirement

To get this card, you'll have to join the Navy Federal Credit Union. Typically, membership is limited to current or former members of the military, Department of Defense employees, or their qualifying family members. If you don't qualify or if it's just one too many hoops to jump through, remember that general rewards credit cards usually don't require membership with the issuing bank.

The Wells Fargo Propel American Express® card offers similar rewards categories and doesn't require a credit union membership. You might also want to consider other cards that reward spending on restaurants, gas and grocery stores.

Lack of 0% intro APR offer

The card doesn't offer a 0% intro APR period on balance transfers. True, there are no balance transfer fees, and the card's ongoing interest is potentially lower than you might find on other cards (depending on your creditworthiness). But the Navy Federal Credit Union® Platinum Credit Card is a better balance transfer option. You get a $0 annual fee, no balance transfer fee and an intro 0% intro APR on balance transfers for 12 months, and then the ongoing APR of 5.99%-18.00%, Variable APR.

Limited global acceptance

Even though it doesn’t charge foreign transaction fees, this card isn't the best travel companion. As an American Express, you'll face limited merchant acceptance abroad compared with the Visa and Mastercard networks. If you are in the military or belong to a military family that moves from country to country, you’ll need a backup payment method. The Capital One SavorOne Cash Rewards Credit Card runs on the Mastercard network and is an ideal option with no foreign transaction fees. It earns 8% back on Capital One Entertainment purchases; 3% cash back on dining, grocery stores and entertainment, including streaming services; and 1% on all other purchases.

Set rewards categories

Perhaps you would benefit from the ability to choose your own rewards categories. The Bank of America® Customized Cash Rewards credit card earns 3% cash back on a chosen category (from a list of six) and 2% back at grocery stores and wholesale clubs (up to $2,500 in combined choice category/grocery store/wholesale club quarterly purchases), and an unlimited 1% back on all other purchases. Possible 3% options include gas, dining, online shopping, travel, drugstores, or home improvement/furnishings. Or consider the U.S. Bank Cash+® Visa Signature® Card. It earns 5% back on the first $2,000 in combined purchases in two categories of your choice from the issuer's approved list; 2% unlimited cash back on an everyday category of your choice (such as gas stations, grocery stores or restaurants); and 1% back on other non-bonus-category purchases.

» MORE: NerdWallet’s best credit cards for gas

Is the Navy Federal Credit Union® More Rewards American Express® Credit Card right for you?

If you can qualify for membership at Navy Federal Credit Union, the Navy Federal Credit Union® More Rewards American Express® Credit Card can reward you handsomely for your everyday purchases.

But if you're looking to pay down debt or for a good travel buddy, consider another option. See how the card stacks up with others by visiting NerdWallet's roundup of the best credit cards to get.