Recipients of credit card offers can find a promo code among the paperwork that accompanies the offer. For example, Visa will send you a Visa promo code. X1, which is a new type of so-called smart credit card that launched in 2020, may offer an X1 card bonus code. Alternatively, you can search the Internet for Visa promo codes, X1 card bonus codes, and any other promo code you'd like though it may not always return a result.
Promo codes normally appear as a series of digits or letters. To use the codes, recipients must follow the directions accompanying the credit card offer. In most instances, you can enter a promo code via the card company's website. Most offers also allow you to apply by phone and enter the code during the phone call.
Generally, a promo code cannot be used by anyone other than the person who receives the credit card offer, though that may not be the case for offers available online. Once approved for credit, new customers receive cards in the mail. When customers use their cards, they automatically receive the promotional discounts.
What's a Promo Code's Purpose
Credit card companies use promo codes to draw in new customers. Companies maximize success by targeting promotions to those who are most likely to find value in certain discounts. Companies also use promo codes to limit the availability of the offers to those who meet certain criteria.
Primarily, companies want to ensure that offers are only extended to those most likely to possess solid credit history. This isn't always the case though. For example, new credit cards like X1 may simply be raising awareness with their X1 card bonus codes. The waiting list is what limits the use.
Generally, promo codes provide discounts. Some promo codes offer cash back on purchases made using the card, which is a common Visa promo code offer. Other codes entitle customers to low interest rates or give a certain number of points, which can later be converted into deals. Common discounts and deals include reduced prices for hotel stays and airline tickets.
When Do Promo Codes Expire?
Card offers with promo codes typically include an expiration date. Recipients of card offers must use the promo codes by the expiration date to take advantage of the promotions. Some promo codes also only provide promotional benefits for only a limited period of time.
For example, some promo codes provide customers with a low introductory interest rate that changes to a higher rate after one year. Credit card companies can nullify promotional benefits when cardholders fail to make timely payments on their credit accounts.
What's a Concern of Promo Codes?
While promo codes provide some attractive benefits, they can motivate you to make purchases for items that you may not need. Beware of buying simply to save money on purchases or to take advantage of low interest rates. Credit must be managed with great care: You are borrowing money and will be required to pay back all that you borrow. Interest rates and late fees can eliminate part or all of the promo code's savings.
It's also important to compare interest rates and annual fees to other cards before jumping into opening a card based solely on offers. It may not pay in the long run, and closing a card with a high annual fee may be detrimental to your credit.