Say Goodbye to Fidelity’s 2% 529 College Rewards Card
FIA has replaced its existing 529 College Rewards card that earned 2% cash back into a qualified 529 account with another card that earns only 1.5%. While the previous card was a MasterCard, the new incarnation is an American Express. Unfortunately this means that one of the best cash back cards on the market is no longer available to new customers. With these changes, there’s really no compelling reason anymore to apply for the 529 card as opposed to the Fidelity Investment Rewards Visa Signature® Card with WorldPoints, as it will also earn an effective 1.5% cash back.
Existing cardholders will be able to keep their accounts and continue earning 2%, but the card with those terms is no longer available on Fidelity’s credit card page. The new 529 card offer can be found here. Thanks to CardRatings for pointing this out.
I have good news.
You are not obligated to get a 529 credit card through Fidelity at all. If you apply first for the 2% cash back mastercard with MBNA directly and hook this card up with a fidelity account afterwards, you can avoid the american express 1.5% cashback.
I did it as described, it works flawlessly.