The U.S. Bank Altitude Reserve (USBAR) is a premium travel card which also works well for everyday usage. It closely competes with the the Chase Sapphire Reserve, Capital One Venture X, and other luxury cards. The USBAR might have lower earning potential than certain competitors, but it’s often easier to use and more convenient. This is a card worth exploring even if it can potentially be tough to get U.S. Bank credit cards.
FEATURES AT A GLANCE
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- $400 annual fee
- Zero foreign transaction fees
- 5x points on hotels and car rentals booked through U.S. Bank’s website
- 3x points on travel
- 3x points on mobile wallet transactions
- 1x points on everything else
- $325 annual credit (for travel or restaurants)
- $100 credit towards Global Entry or TSA PreCheck (once every 4 years)
- Metal card
SIGN UP BONUS
Earn 50,000 points (worth up to $750) by spending $4,500 in 90 days after opening an account. This is the standard Altitude Reserve welcome bonus and isn’t likely to change.
U.S. Bank has occasional sign-up bonuses for checking accounts, up to $400. If you check with your friends who already use the bank, there may be referral offers too.
OTHER BENEFITS OF THE ALTITUDE RESERVE CARD
- Visa Infinite benefits and offers
- Car rental insurance (primary coverage) plus perks with Hertz, Avis, National, and Silvercar
- Limited Priority Pass (4 free visits per year)
- Some purchase protections
- Various trip insurance protections
- 24/7 concierge
- Hotel perks with the Visa Infinite Luxury Hotel & Resort Collection and Relais & Châteaux
- NetJets benefits
- Troon Golf benefit
- NortonLifeLock ID Navigator
- Instant point redemptions (Real-time Rewards) with 500-point bonus for enrolling
- 12 free Gogo Inflight Wi-Fi passes (benefit discontinued after March 31st, 2022)
RESTRICTIONS AND CREDIT SCORE
Recommended credit score: 740+
U.S. Bank (USB) is reportedly difficult to get approved with. On top of that, they have regional restrictions. Some people may find it difficult (or impossible) to get credit cards or bank accounts (especially NY and FL residents). If you don’t live within 50 miles of a bank branch, they may automatically deny your application. People have reported that opening a brokerage account (IRA) can get around this requirement, and start a banking relationship, but YMMV.
To apply for the Altitude Reserve, you first need to be a banking customer for 5+ business days. Aside from this, U.S. Bank doesn’t have a hard limit on how many credit cards you can have with them. Just that the more USB cards you have, the more difficult it becomes to get more USB cards. Some people list their data/experiences on sites like Reddit.
For the Altitude Reserve’s Real-time Rewards, the car rental redemption minimum is $250 and hotel minimum is $500.
MAXIMIZING REWARDS WITH THE ALTITUDE RESERVE CARD
The Gold Checking account is free for anyone with an open U.S. Bank personal loan or credit card. Some people start their U.S. Bank relationship by opening a no-fee card like Altitude Go or Cash+. Then getting a checking account sign-up bonus later. Since the Reserve is only available to U.S. Bank customers, it’s mandatory to start somewhere.
Points can be redeemed for cash, gift cards, travel expenses, and more. Travel expenses or real-time rewards are the best options, because points are worth $0.015 (1.5 cpp) that way. Redeeming points for cash is just 1 cent per point. Slightly better than cash is the option to use 35,000 points to cover the annual fee (1.1 cpp or $0.01143 each) but travel expenses are still best outside of Real-time Rewards.
3x points becomes 4.5% cash back if you’re always redeeming points for $0.015 each. USBAR can be a high earner for everyday transactions if it earns 4.5% cash back on all mobile wallet and travel transactions. The downside is that mobile wallets aren’t supported everywhere, especially overseas.
Mobile wallets are most often supported at:
- Grocery stores and supermarkets
- Gas stations and some electric vehicle charging stations
- Fast food locations along with certain restaurants and bars
- Retail stores (Macy’s, Target, etc.)
The effective annual fee of the USBAR is $75 after taking the $325 travel/dining credit into account. Compared to a 2% cash back card, you’d need to spend $3,000+ annually to offset the fee (when redeeming points for 4.5% cash back). Versus a 3% card instead, you need to spend $5,000+ per year. This isn’t a difficult goal since the average American spends over $20,000 a year, according to intelligence firm Esri.
ALTERNATIVES TO THE ALTITUDE RESERVE
The closest travel alternative is the Chase Sapphire Reserve or the Capital One Venture X. These cards are all Visa Infinite, with flexible annual credits and good travel benefits. The Sapphire card can potentially earn more cash back, but it depends on personal spending habits. The Venture X depends on effective use of Capital One’s transfer partners. The USBAR can earn up to 4.5% on everyday transactions, compared to the Venture’s 2x base rate.
The alternative for mobile wallet purchases is one of the Kroger Family Mastercards, earning 5% cash back, up to $3,000 spent each year. Low spenders benefit more from the Kroger card. High spenders shouldn’t bother with Kroger because of the low limit. For a slightly higher limit, in one category, the Citi Custom Cash Card is often best. It earns 5% cash back up to $6,000 per year.
Most no-fee cards cap out at 5% cash back in a particular category. Although the USBAR is less, it’s only a 0.5% difference and lightens wallets. Instead of 3-4 cards earning 5% back, you can have 1 card earning 4.5%. Trading 0.5% for extra convenience is a good deal for most people. The only question is whether the $75 effective annual fee is offset by spending.
American Express Gold is a reasonable option for dining/groceries depending on usage of their monthly credits. It’s a no-fee or low-fee card for some people. The Platinum card is better than Gold for travel.
Other credit card options include anything on our list of best no-fee travel cards, or our list of the best everyday cards.
CONCLUSION
The U.S. Bank Altitude Reserve (USBAR) is a solid premium card. It doesn’t have as many credits or long-term perks as most other luxury travel cards, but it’s decent. Getting up to 4.5% cash back on mobile wallet purchases is the most attractive benefit. Unlike cards which are only for a couple of categories at most, USBAR can be used for high cash back rates in several categories. It isn’t just a travel card. It’s a grocery, gas, transit, retail, etc. credit card.
The downside is limited benefits and regional restrictions. Other premium cards offer unlimited free lounge visits, while U.S. Bank limits people to 4 free Priority Pass visits every 12 months of membership. Other benefits are more YMMV to justify the $400 annual fee. However, that’s much less than Chase ($550) or American Express ($695) and the $325 annual credit cuts USBAR’s AF down significantly. The Altitude Reserve is versatile and easy to use, so it’s worth considering if you’re eligible to apply.
We rate the Altitude Reserve card 5 out of 5 stars. ⭐⭐⭐⭐⭐
Note: This review was last updated in November 2022. Details may have changed since then. Please do your own research where applicable, to ensure you’re getting the best deal. Or contact us directly to take advantage of our personalized consulting services!