Disadvantages of a Metal Credit Card

Unlike plastic cards, metal credit cards are difficult to destroy. You can’t put them in a standard paper shredder or use scissors to cut them up.

Metal credit cards typically come with higher annual fees and elite benefits, which can add up to a heavy price tag. Ultimately, you should weigh up the card’s rewards rate and benefits before committing to one.

Aesthetics

A metal credit card adds an element of prestige, but that’s not the only reason to seek one out. Many metal cards offer welcome offers that allow you to earn loads of rewards in a short period, potentially adding more upfront value than plastic cards with comparable earning potential.

There are more than 20 metal credit cards available, made from brushed stainless steel, brass, copper, titanium or a mix of alloys. Some of these cards have a sleek design that sets them apart from their plastic counterparts, while others have more elaborate designs, such as 24K gold trim and logos.

The most popular metal cards Metal Card tend to have a premium price tag, though some card issuers also offer more affordable options with similar aesthetics and functionality. It’s important to consider how you plan to use your card before making a decision on whether or not to get a metal credit card.

For example, the Centurion Card from American Express* has long been a status symbol for the wealthy, but it’s now available to people with good credit who pay their bills on time. Similarly, the X1 Card from Mastercard* is designed to appeal to millennials with its unique metal design and rewards programs that focus on travel and dining.

Security

Despite the fact that metal credit cards look flashier and feel more durable than their plastic counterparts, there are some disadvantages. The biggest one is that they are difficult to destroy when they expire or you close your account. Since they are much sturdier, they require industrial-grade tools to cut them or shred them. Most carry a “do not shred” warning because cutting them yourself could lead to injury or damage your card issuer’s equipment.

This means that you may need to relinquish your metal credit card to a third party for safe disposal when the time comes. This isn’t ideal because it increases the risk of your personal information falling into the wrong hands.

Metal credit cards can be a great option if you want to impress your friends or co-workers with something fancy and unique, but it’s important to remember that they do come at a cost. Most of them have high annual fees and only work for those with good-to-excellent credit. They also tend to have more perks than traditional plastic cards, but you’ll want to make sure that these extras are worth the cost before you sign up for a metal card. The best thing to do is to compare the benefits of each type of card and choose the one that fits your needs and budget.

Convenience

Metal credit cards offer the same functionality as plastic ones, and they’re typically designed to be a stylish addition to your wallet. While many metal cards are a status symbol for high-spenders, they’re also available to everyday consumers who meet the card issuer’s lending criteria.

Metal cards may come with premium perks and benefits to complement their luxury look. They may provide concierge services, airport lounge access, exclusive memberships and higher cashback rates. For some consumers, this is enough of a selling point to offset the card’s annual fee.

Some metal credit cards are a mix of stainless-steel and PVC layers, which adds to their aesthetic while allowing the card to be swiped, tapped or insertable just like a regular credit card. Others have a more solid metal plate with the same contactless certification as plastic credit cards.

Whether you’re considering a metal credit card or another option, it’s important to weigh the pros and cons carefully before making a decision. We recommend focusing on the rewards programs, bonuses and other perks, rather than the material of the card itself. Regardless of what type of credit card you choose, you should always be vigilant and follow best practices when it comes to security and privacy. For example, avoid handing your credit card to third parties for disposal, as it could leave you vulnerable to fraud and identity theft. In most cases, it’s more convenient to call your card issuer and request a pre-paid return envelope for your old credit card.

Disposal

Metal cards look slick and can make you feel like a high-roller, but they also have a few additional challenges when it comes to disposal. While a plastic card can be cut up when it’s lost or expired, a metal card requires more special tools to destroy.

Many companies that offer metal credit cards will provide a prepaid envelope to send the old one back for proper destruction. This is the best option, especially if you’re concerned about identity theft or security issues.

You can also try destroying a metal credit card at home with some tin snips, which are shears designed for cutting sheet metal. These can be purchased at a hardware store or crafts shop for around $10-15. A blow torch can also work, but it’s nxp mifare desfire not the safest or most environmentally-conscious way to dispose of a metal card.

Be aware that even if you cancel your metal credit card, the account number remains on your credit report. This can be used to commit fraud in the future, so it’s important to destroy your old credit card properly and only use a replacement when necessary. It can also be a good idea to keep your old accounts open for some time, as credit scoring models reward you for having long-standing credit card accounts with high amounts of available credit.