With no annual fee, caps, or limits on rewards, the Fidelity Retirement Rewards American Express Card offers a 2% earn rate on retail purchases when card members redeem their cash rewards as a current year contribution into their Fidelity IRA, according to a release. Cash rewards from the Fidelity Retirement Rewards Card can be swept into several types of Fidelity IRA accounts, including Traditional IRAs, Roth IRAs, and SEP IRAs.
According to the release, using the new Fidelity Retirement Rewards Card, investors earn two points for each dollar spent on purchases. Once a card member reaches a minimum of 5,000 points, or $2,500 in purchases, points can be automatically swept as a $50 current year contribution into the user’s designated Fidelity IRA.
If card members have maxed out their IRA contribution for that year, they can continue to accrue points and restart automatic deposits to their IRA the next year. Members also have the flexibility at any time to automatically redeem their rewards as cash into other Fidelity accounts or accumulate rewards and redeem them for travel, merchandise, and other rewards, according to the release.
The card will be available starting December 10.