The GM BuyPower card does not have an annual fee and can be used to earn rewards for purchasing or maintaining a new or pre-owned Buick, Cadillac, Chevrolet, or GMC from any participating GM dealer. For the first $5,000 you charge on your card each year, you'll earn 5% back in rewards; after that, you'll earn 2% back.

Those bonuses are only redeemable for purchasing or leasing a new GM-branded car and for service and accessories purchased from an authorized GM dealer. New purchases also come with 12 months of zero per cent interest.

Benefits Described

No-annual-fee card with generous rewards rates: The GM BuyPower Card is an excellent option for those in the market for a new GM vehicle because it does not charge an annual fee and provides generous benefits. If you charge the maximum amount each year, you'll receive 5% of what you spend, or $250, towards a new automobile.

Once you hit that mark, your rewards on subsequent purchases will increase to a flat 2%, which is still quite good. The rewards rate is more than you'd get with the average credit card.

The GM BuyPower Card features an annual promotional rate (APR) of 0% for the first six months. After the initial 12 months of account opening, your variable APR will range from 15.24% to 24.24%. This initial deal enables you a full year to make payments on any large purchases or trips you make without being charged any interest.

The Downsides, Exposed

There is no sign-up incentive for the GM BuyPower. Because nearly all other business cards include similar bonuses, that is a major downside.

The GM BuyPower only offers two ways to redeem points, while most business credit cards offer various possibilities. Both need you to redeem your points with General Motors. Bonuses can be applied toward purchasing or leasing a new GM car or up to $250 per year toward purchasing GM parts, services, and accessories at an authorized GM dealer. Vehicle expenses, like SiriusXM or OnStar memberships, are also redeemable for points.

High APR and late payment fee: The annual percentage rate (APR) for this card goes as high as 24.24%, and the late fee can be as much as $38. In light of this, you must make all payments on time and in full.

Brand Advocate Character Model

Customers' emotional investment in a brand increases their propensity to seek out and use its benefits and privileges. General Motors BuyPower is intended solely for those interested in purchasing a GM car shortly or who currently own a GM vehicle that requires routine maintenance. If either of these situations describes you, having this card has almost no disadvantage.

To earn $250 annually in GM credits, you'd need to charge at least $5,000 in purchases, at which point you could put that money toward service at a GM dealership. If you intend to purchase a GM vehicle in the future, it may be worthwhile to keep using the GM BuyPower as your primary credit card even after you reach the spending threshold that triggers the end of the annual 5% rewards rate.

The card's allure grows if you intend to make several significant purchases the first year after acquiring it. You won't be charged interest on any purchases during the promotional APR period.

Specifics on Claiming Rewards

There are only two methods to cash in on your rewards: A new Buick, Cadillac, Chevrolet, or GMC can be yours with a lease or purchase. Parts, service, and optional extras like SiriusXM and OnStar can be purchased at a discount from the dealership in the form of annual statement credits of up to $250.

Maximizing Your Gains

You can use your GM BuyPower card to earn rewards like groceries, gas, and auto maintenance after the first $5,000 is spent annually. With a 2% rebate on such purchases, you may put that money toward a new car or use it toward repairs, maintenance, or extras like Sirius XM, up to a $250 annual maximum.

Practically anybody who drives a GM vehicle, especially anyone planning to upgrade to a new model, can benefit monetarily from applying for a GM BuyPower card. Spending just $5,000 a year on the card will earn you $250, which may be used to pay for a significant portion of or perhaps all of the routine maintenance on your GM vehicle. Here's how the perks from this card could help you out.