BP Charge card Review – Credit Sesame

BP Credit Card Snapshot

Editor’s Note: The BP Credit Card, BP Visa Signature(R) card and BP Visa(R) offers mentioned in this article are expired and are no longer available

The next time you need to fill up, think twice about how you pay. If you've got the right rewards card in your pocket, you could save some serious dough on every gallon.

The BP credit card may be a good choice if you are a frequent BP gas station customer. When you use this card to make gas purchases at BP, you'll earn $0.10 off per gallon for every $100 you spend. If you want a shot at earning even more rewards on gas as well as other purchases, you can apply for a BP Visa(R) credit card. Both cards can provide value for someone who spends a lot on gas each month. (Depending on your creditworthiness, you might be approved for a BP Visa Signature(R) card, which has the same rewards program as the BP Visa(R) card and additional Visa Signature(R) benefits.)

Keep reading Credit Sesame's review to learn more about how the benefits of the BP credit card and the BP Visa(R).

BP Credit Card Highlights

BP Credit Card Basics

The BP credit card and the BP Visa(R) are both designed to be used at BP gas stations, although the BP Visa(R) gives you a little more flexibility in terms of where else you can earn rewards. We'll break down the details of how the BP Visa(R) works a little later on.

As far as the APR and fees go, neither card has an annual fee. The same regular variable APR of 27.24% applies to purchases made with either card. The regular variable APR for cash advances for both cards is 29.99%.

If you take a cash advance with the BP credit card or BP Visa(R), you'll pay a cash advance fee of either $10 or 5% of the advance amount, whichever is greater. Cash advances, in general, are very expensive loans and should be considered with extreme caution. The late payment fee is up to $37 on both cards. The BP Visa(R) charges a 3% foreign transaction fee if you use it outside the U.S.

Earning Rewards with BP Credit Cards

BP gives you three ways to earn rewards on your gas purchases. The first is the BP Driver Rewards program which is free to join and not a credit card.

Second, the BP credit card. As mentioned earlier, this card allows you to earn $0.10 off per gallon on every $100 in BP purchases. If you charge $500 a month in gas at BP stations, for example, your rewards would add up to $0.50 off per gallon.

The BP Visa(R) credit card gives you a chance to earn even more savings on gas. With this card, you can earn rewards at three different levels:

• Earn $0.25 per gallon for every $100 you spend at BP
• Earn $0.15 per gallon for every $100 you spend on eligible grocery, dining and travel purchases
• Earn $0.05 per gallon for every $100 you spend anywhere Visa is accepted, excluding non-BP gas stations

Those rewards can add up very quickly if you're using your card on a regular basis. Here's an example. If you were to use the card to spend $500 a month at BP gas stations, $1,000 a month on groceries, travel and dining and $1,200 a month on other purchases, your total monthly rewards earned would be worth $3.35 off per gallon.

The BP Visa(R) offers a one-time, introductory bonus to qualifying members who open a new account. For the first 90 days, you can earn $0.25 off per gallon for every $100 you spend anywhere Visa(R) is accepted, except purchases made at gas stations other than BP.

So how much can these cards really save you? When gas prices are low, the BP credit card and the BP Visa(R) could almost wipe out your gas costs (BP will never reduce the price per gallon to zero). Even when gas prices increase, you'd still be able to enjoy a healthy discount if you're spending frequently with either one of these cards, and particularly if you stick with the BP Visa(R).

Redeeming BP Gas Station Credit Card Rewards

While both the BP credit card and the BP Visa(R) can yield some major rewards on gas, there are some rules to keep in mind about you can use them. With either card, your rewards expire 12 months after the month they're issued. That means if you procrastinate using them, you could lose them.

You're also limited in terms of the number of gallons you can apply your rewards to in a single gas purchases. Rewards can be redeemed in one cent increments, up to a maximum of 20 gallons per transaction (in a one-time fill-up). The lowest possible price per gallon is $0.109 (10.9 cents). Redemptions are only good at participating BP stations, and rewards remaining after a fill-up at 10.9 cents per gallon will roll over for future use.

If you have the Visa(R) version of the BP card, rewards can also be redeemed as a statement credit. In that case, rewards are multiplied by 15. For example, if you have earned $0.10 off per gallon, you can get a credit for $1.50 on your statement. If you choose the statement credit option, you're limited to the equivalent of a 15 gallon fill-up. If your vehicle holds more than that, you'll lose a little bit of value choosing this option. If your vehicle holds less than that, you might get more value by saving unused rewards for future fill-ups.

Unused rewards are forfeited, and rewards cannot be redeemed at BP-branded locations in Alabama (but can be redeemed for Visa(R) statement credits). As with any rewards program, terms and limitations apply, so read them and call customer service (1-844-832-0035 for the BP Credit Card or 1-844-887-1945 for the BP Visa(R) Credit Card) if you have any question about how to use the program.

What are the BP Credit Card Pros?

The most obvious benefit associated with the BP card and the BP Visa(R) is the gas rewards. With two cards to choose from, you can pick the one that stands to offer the most rewards, based on your spending style. Not having to pay an annual fee to earn rewards is also a nice incentive to opt for a BP gas credit card over a cash back or rewards credit card that comes with a price tag attached.

What are the BP Credit Card Cons?

The biggest drawback of the BP credit card and BP Visa(R) is that you can only use them to earn gas rewards at BP stations. If you're not as particular about where you buy gas, you may not get much mileage out of either one.

Another potential downside is that rewards are only redeemable for savings on gas. If you'd like to have different redemption options, like cash back, gift cards, merchandise or travel, you might be better off taking a look at what else is available in Credit Sesame's credit card marketplace.

Should You Get a BP Credit Card?

If you're loyal to BP over other gas stations and you spend a decent amount of your budget on gas each month, then signing up for a BP credit card or BP Visa(R) might make great sense. There is one thing we'd caution you to remember, however. The regular variable APR for purchases is quite high so if you're going to carry a balance from month to month, the interest will quickly wipe out the value of the rewards you earn.

<br