Though credit cards offer a plethora of perks like welcome bonuses, access to airport lounges and rewards on everyday spending, there are some downsides to holding a credit card, like paying late fees and sky-high interest rates on revolving balances. In Nov. 2021, the average APR for credit cardholders paying interest on their balances was 16.44%, according to Federal Reserve data.
For people who are prone to overspending, credit cards can be a bad choice because of high APRs, late fees and annual fees. For some, the interest and late fees end up costing more than the benefits they earn through welcome bonuses and rewards. Patrick Mrozowski was determined to solve this issue by creating a debit card that would earn rewards.
“I realized that rewards and the incentives of credit cards are very misaligned because credit cards are fundamentally designed to get you into debt since credit card companies monetize off of the interest [that customers pay],” says Mrozowski.
Mrzowski — with the help of Sid Parihar and Kenan Pulak — went on to found the Point Card, a debit card that was launched in 2020 which caters to individuals considered HENRYs or ‘high earners, not rich yet.’ With the Point Card, debit cardholders can earn generous rewards on subscriptions, ridesharing and food delivery services and select companies.
Below, Select takes a look at what makes the Point Card different from credit cards and other debit cards, as well as its fees and rewards.
