Aven's New Rewards Combo: 5% Back on Everything (If You've Got $25K Lying Around)

Aven just dropped a new rewards checking account and credit card combo that's turning heads. The headline? You can earn 5% cash back on all your purchases—up to $25,000 in spending each year. But there's a catch: you need to park $25,000 in an Aven account and keep it there. Let's dig into the details and see if this is the right move for you.

What's the Deal?

Aven is pairing a high-yield checking account with a rewards Visa card. The card gives you 5% cash back on everything you buy, but only on the first $25,000 of purchases each year. After that, you still earn 2% on all spending, which is solid on its own. The checking account also earns 3.25% APY, which is competitive in today's rate environment.

To qualify for the 5% rate, you need to deposit $25,000 into an Aven account within 25 days of opening it. And you have to keep that $25,000 balance every single day. If your balance dips below that, you might lose the 5% rate for that period—though the exact mechanics are a bit fuzzy.

The card itself is a premium metal card, which is a nice touch. No annual fee, either. So if you're already sitting on $25K in cash, this could be a no-brainer.

Crunching the Numbers: Is It Worth It?

Let's say you max out the 5% category with $25,000 in annual spending. That's $1,250 in cash back. If you instead kept that $25,000 in a regular savings account earning 3.25%, you'd earn $812.50 in interest over the year. So the card's cash back is on top of that, but you have to meet the balance requirement.

But here's the thing: you could also just park the $25K in the checking account and earn 3.25% APY on it, which is $812.50. Add that to the $1,250 cash back, and you're looking at over $2,000 in total value. Not too shabby.

However, if you don't have $25K sitting around, this isn't for you. And if you do, you might want to compare with other high-yield accounts. Some online banks offer 4% or more on savings, so you'd be giving up some interest. But the 5% cash back could more than make up for it, depending on your spending.

• Potential annual earnings: $1,250 cash back + $812.50 interest = $2,062.50
• If you had the $25K in a 0% account, you'd only get the cash back
• The 3.25% APY on checking is decent but not the highest out there

What to Watch Out For

First, the $25,000 daily balance requirement is strict. If you dip below, you might lose the 5% rate for that day or month. Make sure you understand the terms before jumping in.

Second, it's not clear if the $25,000 can be in the checking account itself or if it needs to be in a separate account. The fine print says 'deposit $25,000' but doesn't specify which account type. You might need to contact Aven to clarify.

Third, there's a possibility that you could spend $25,000 in a single month, then move your funds out. But that's risky—Aven might have spending limits or other restrictions that prevent this. Don't count on it unless you've confirmed with them.

Finally, remember that this is a new product. Aven is still rolling out features, so things might change. Keep an eye on your statements and any updates from Aven.

How Does This Compare to Other Aven Cards?

Aven has been busy launching several cards. There's a Bitcoin-backed card, a card that offers up to 10% cash back with referrals (4% without), a grocery/gas card with 6% back on up to $10,000 in spend, and a flat 3% card on up to $100,000 in purchases. This new rewards checking combo is another option in their lineup.

If you're a big spender, the 3% flat card might be more straightforward. But if you can meet the $25K balance, the 5% rate on this new card is hard to beat. Plus, you get the checking account interest on top.

Also, Aven has a popular deal where you can get a $5 weekly Starbucks gift card if you have a $700 credit score and are a homeowner. That's a separate perk, but it shows Aven is trying to sweeten the pot for customers.

Bottom Line

• 5% cash back on up to $25K in annual spending, then 2% unlimited
• Requires $25K deposit within 25 days and daily balance maintenance
• Checking account earns 3.25% APY, adding to potential earnings
• No annual fee and a premium metal card
• Consider your cash flow and spending habits before committing

Common Questions