Hall of Shame: 5 of the Worst Credit Card Perks Ever

When you're looking for a new credit card, perks will probably be a big part of your decision. But not all benefits are that helpful. Some don't offer much value, and some are a pain to use.

It helps to know about these dubious perks so they don't convince you to get the wrong card. Below, you'll find five that are fairly common and are more trouble than they're worth. It doesn't mean that every card that offers them is bad, but you should make sure the card has benefits of more value before you apply.

1. Monthly spending credits

Spending credits are popular, especially on cards with annual fees. A card may offer a credit for travel, dining, or ride-hailing services. For example, if a card has a $300 annual travel credit, then it covers your first $300 a year in travel purchases.

These are fine when they're annual credits. Some cards offer monthly credits, and that's where it gets annoying. They're doled out in smaller increments, such as $10 a month. You need to remember to use them every month, or you miss out.

It's better for the card issuer, but worse for the cardholder. I always look for perks that are easy to use. I'm not interested in remembering to spend a $10 credit for The Cheesecake Factory every month.

2. Sign-up bonuses on store credit cards

Store credit cards usually aren't a great choice, with a few exceptions. One of the drawbacks is their sign-up bonuses, which tend to be much less than what you can get from other cards.

The bonus offer I see most often for store credit cards is an introductory discount. For example, get 20% off your first purchase made at that store. That's a big discount, and it sounds like a fantastic deal. But let's put that in perspective.

If you spend $200, and get a 20% discount, you've saved $40. Some cash back cards offer sign-up bonuses of $200 after you spend $500 in the first three months. You could just put your regular bills on one of those cards for an easy $200 in bonus cash. That's a bigger bonus than I've seen from any store card.

3. Rotating bonus categories

Most rewards credit cards have fixed bonus categories. If you get a gas and groceries card, it always earns bonus cash back or points on gas and groceries.

There are also cards that offer rotating bonus categories. The bonus categories change every quarter. That could be Amazon.com purchases one quarter, gyms and movie theaters the next, and so on. They also typically require that you go into your account and activate the new bonus categories every quarter. If you don't, you don't earn bonus rewards.

I've always thought this was another frustrating, overly complicated perk. If you don't spend much in a quarter's bonus categories, you're out of luck. And needing to activate your bonus categories makes no sense. It's just a way to trip up people who don't remember to do that.

4. Airline fee credits

One type of spending credit some travel cards offer is an airline fee credit. What does that cover? Good question!

That seems to vary based on the card issuer and the airline. It doesn't cover tickets. Some cardholders have found ways to get around this by purchasing airline gift cards, but this doesn't always work. It normally covers baggage fees, seat upgrades, in-flight purchases, and lounge passes, to give you a few examples.

You might like this perk if you regularly pay airline fees. I don't, and there are plenty of other ways to avoid fees when you fly, so this perk can end up being a pain to use.

5. Extravagant designs

This one is a specialty of every fintech company launching its own credit card. They give it a gaudy design to make it seem more luxurious than it is. Here are a few horrifying examples I've seen online recently:

• A metal black card with the words "BLACK CARD" on the front in giant letters
• A metal card with a unicorn on it
• A card made with 24-karat gold (available for just $995 a year!)

It's nice if your credit card has a design you like. But what's really important are the financial benefits you get from it. Pick a card based on perks that could help you save money, such as cash back, travel rewards, or a 0% intro APR.

Depending on your lifestyle and spending habits, some of these perks could work for you. Just make sure you consider how much value you'll get from them and how easy or difficult it will be to use them.