Many people are probably familiar with this Capital One Venture Rewards credit card (Review), a straightforward, well-rounded travel rewards card. It’s also one of the best Capital One credit cards and is currently offering a phenomenal limited time welcome bonus for new card members.
However, fewer people are likely to be familiar with the no-annual fee version of the card Capital One VentureOne Rewards credit card.
In this post, I wanted to compare the two cards and help people decide which of these two cards made the most sense for their spending patterns.
Differences between Venture & VentureOne Card
There are several factors to consider when deciding which of these cards makes the most sense.
In this section, I wanted to take a look at the key differences between cards, including annual fees, welcome bonuses, ROI, and more, so that you can decide which card makes the most sense based on your credit card needs.
Annual fees comparison: $ 95 versus $ 0
To compare the annual fees on the cards:
Compare New Card Member Bonuses: Up to 100,000 Vs. 20 km miles
Spending bonuses for new card members are a great incentive to apply for credit cards, and there is a significant difference between the bonuses on the two cards:
- The Risk card offers up to 100,000 Venture Miles if you spend $ 20,000 on purchases in the first 12 months of opening your account, or alternatively, you can earn 50,000 Venture Miles if you spend $ 3,000 on purchases in the first three months . 100,000 Venture Miles can be redeemed for travel for a minimum of $ 1,000
- The VentureOne card Offers 20,000 Venture Miles after $ 500 is spent in three months; 20,000 Venture Miles can be redeemed for travel for a minimum of $ 200
The $ 200 VentureOne Travel Bonus is great for a no annual fee card. However, the 100,000 point bonus on the venture is far superior and is worth at least an additional $ 800 for travel.
In other words, the difference in bonuses could more than cover the annual fee on the Venture Card for the first eight years.
The difference in bonus between the two cards is $ 800 in travel rewards
Return on Spend Comparison: 2x miles vs. 1.25x miles
Both cards have simple reward structures that give you a lot of flexibility in your travel rewards:
Venture Miles can be redeemed for a penny each against the cost of a travel purchase or transferred to a venture airline or hotel partner at a ratio of up to 2: 1.5 (and sometimes even better they offer transfer bonuses).
Until June 30, 2021, it is also possible to redeem Venture Miles for one cent each for the cost of buying restaurants or streaming services. This is intended to give card members more flexibility during the pandemic.
In other words, for every dollar spent:
- The venture offers 2.0 cents for travel or up to 1.5 air miles
- The VentureOne offers 1.25 cents for travel or up to 0.9375 air miles
Redeem Venture Miles for the cost of virtually every travel purchase
Capital One VentureOne does not charge any fees for foreign transactions
When it comes to spending money on the cards, I think it’s especially worth noting that the VentureOne doesn’t charge any fees for overseas transactions.
I understand that those with premium cards don’t get excited about this, but the reality is that this is the only personal card with no annual fee that earns transferable points and also has no international transaction fees.
Is the Venture or VentureOne card better?
For those who are between the Risk card and VentureOne cardwhat should you pay attention to? Below are the things I should consider.
Breakeven point on spending
Taking the welcome bonuses out of the equation, what is the breakeven point between the two cards in the long run?
There is a $ 95 difference in annual fees and the win odds difference is 0.75 risk miles per dollar spent. Let’s say you value venture miles at one cent each (and some may value venture miles more. In that case, you can tweak your math, but I’ll try to be conservative).
If you spend at least $ 12,667 on the card, you’ve won the venture through Venture One.
This doesn’t even take into account that the Venture Card offers TSA Pre-Check or Global Entry credit while the VentureOne doesn’t.
Temporary benefits of coronavirus
With Capital One, you can redeem points for both Venture and VentureOne for eligible purchases in restaurants, takeaway and streaming services through June 30, 2021. You can use them in the same way that you redeem them to offset the cost of travel purchases.
Tip: Get the Venture, you have the option to downgrade to the VentureOne
Here’s how I would go about it, regardless of your situation:
- I would apply for the Venture Card. It has a much better bonus (around 80,000 venture miles worth at least $ 800 for travel), the award structure is 60% better, and you can take advantage of TSA pre-check credit
- After the first year, decide how you like the Venture Card:
- If you get value from it, keep using it
- If you don’t get any benefit, after a year you can call Capital One and downgrade it to VentureOne. You keep all Venture Miles that you have already earned
I think many may find that it is worth keeping the venture through VentureOne, and that way you have the flexibility to choose after a year.
You can get the Venture Card at any time and downgrade later
For someone who wants a simple travel rewards card with no overseas transaction fees, this is the Risk card and VentureOne card are both good at their respective competitive groups.
The Venture offers flexible rewards that I value with a return of 2% +, while the VentureOne is the only personal credit card with no annual fee that earns transferable points and does not charge international transaction fees.
While any card could make sense, I would recommend applying for the Venture Card to almost anyone – it offers a welcome bonus of up to 100,000 Venture Miles and earns miles faster.
If after a year you find that the card doesn’t make sense to you, you can always downgrade to VentureOne.