It’s always nice when, instead of taking away benefits like some people, a company decides to add some perks to their offerings. That’s what happened to me this week as SoFi announced that customers can earn 20% cash back when they use their SoFi Money debit cards for Lyft rides now through February 18th, 2020. Notably, there is a cap on this offer, but each cardholder will only be able to earn up to $1,000 cash back over the life of the promotion.
To me, this particular perk is interesting for a few reasons. For one, it shows a rising trend among FinTechs that not only finds them launching their own debit cards but also partnering with various brands to make said cards more attractive. For example, Square’s Cash Card boasts “Boosts” where customers can (currently) earn cash back from such brands as AMC Theatres, Taco Bell, Target, and others. Moreover, Venmo recently rolled out a rewards program of its own, featuring deals from 5% back at Sephora, Wendy’s, Chevron, and others.
What’s also interesting about these offerings in general is that they begin to give debit cards some of the benefits of credit cards. Everyone knows that, while credit cards can be risky in the hands of some, they can also be quite rewarding. Thus, by adding perks to debit products, those who don’t have good enough credit to obtain a card or just don’t trust themselves with them can at least enjoy some kickbacks. At the same time, despite some pushes to improve the protections that debit cardholders have, it’s worth noting that credit cards are traditionally better when it comes to things like fraud protection and liability.
Anyway, while I may or may not be taking advantage of this offer myself, I’m excited about what it could mean for the future of SoFi Money. Although I don’t anticipate ditching my credit cards in favor of the card anytime soon, I’d certainly welcome additional deals like this Lyft one. Of course, even without such things, I’m already a fan of how the hybrid account allows me to get reimbursed for fees I might incur while using ATMs at home or overseas, use my debit card without any foreign transaction fees (it’s come in handy in a pinch), and earn a decent APY without having to move my money between multiple accounts.
All in all, if you’re a frequent Lyft user, it may be worth joining SoFi Money just to take advantage of this offer. While it may be short-lived, hopefully it will just be the beginning. Speaking of offers, SoFi Money is currently giving out a $50 bonus when you open an account and fund it with at least $100 (disclosure: I’ll get $50 too if you use this link). If you do join, hopefully you’ll enjoy the account as much as I have.