M1 Finance Announces “Owner’s Rewards Card” Credit Card

Following a flurry of FinTech debit cards that have debuted in recent years, it seems as though we’re now seeing a steady flow of intriguing FinTech credit cards. The latest example of this is the Owner’s Reward Card from investment platform M1 Finance.

What makes the M1 Owner’s Rewards Card unique is that it will offer cardholders up to 10% cashback. Enhanced rates can be achieved when a cardholder makes a purchase at an eligible retailer that they own stock in. What’s more, according to Business Insider, a customer needs to own as little as a one-cent fractional share of said company to qualify. However, each eligible company will have a different cashback rate, falling into either the 10%, 5%, or 2.5% cashback category. Nevertheless, some of the eligible company’s listed in M1’s press release include:

  • Amazon
  • Netflix
  • Starbucks
  • Spotify
  • Nike
  • Target
  • AMC
  • Tesla
  • Delta
  • DoorDash

Outside of that up to 10% potential cashback, the card will earn 1.5% cashback on all other purchases. This puts it in line with some other flat-rate cash back credit cards such as the Chase Freedom Unlimited, the Capital One Quicksilver, and the newly-released Bank of America Unlimted Cash Rewards card among others. Still, the M1 Owner’s Rewards Card will stand out from those options by offering a metal card design.

Another potential benefit of the Owner’s Rewards Card by M1 is the integration with the M1 platform. For example, the company notes that customers will be able to automatically invest the cashback they earn from the card. Additionally, customers will be able to pay off their balance using their M1 Spend checking account if they so choose.

In terms of downsides, the card is only available to M1 Finance customers. More specifically, at this time, the card is offered to M1 Plus plan members who will be able to obtain the card for free. M1 Plus is free for the first year but costs $125 a year after that. If a Plus user should choose to downgrade their membership, then the Owner’s Rewards card would charge a $95 annual fee.

Commenting on the new offering, M1 Finance founder and CEO Brian Barnes said in a statement, “We started M1 as a free investment platform, but our vision from day one was to give clients a single, integrated platform for all of their financial needs. With the launch of the Owner’s Rewards Card by M1, we’re further connecting that whole system, from M1 Invest to M1 Borrow to M1 Spend, and empowering people to make the decisions to put them on the path to financial wellness.”

Barnes went on to thank the company’s loyal fans, saying, “M1 is incredibly fortunate to have investors and partners who’ve seen and believe in our long-term vision to digitize the private money management experience. Their support enables us to invest in the right talent to build the next phases of our product, and today, the team’s hard work is coming to fruition in the form of industry-changing innovation that reimagines what a credit card is supposed to be.”

Overall, the Owner’s Rewards Card from M1 is definitely an interesting concept — and one that could prove popular with the increasingly investment-savvy market. That said, there are still a few unknowns that could impact the viability or appeal of this clever offering. In any case, existing or new M1 customers can now join the waitlist for the card, which is expected to be released publically this fall.

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Also published on Medium.

Author

Jonathan Dyer

I'm a small town guy living in Los Angeles looking to make solid financial decisions. I write for a number of finance websites, including HuffingtonPost and Business2Community. I founded DyerNews.com in 2015 to focus on personal finance and the emerging FinTech markets.

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