Microsoft Launched an Xbox Mastercard

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If you've ever worried that your credit card doesn't immediately identify you as a gamer, we have some good news for you. As of September 21, 2023, Microsoft has launched its new Xbox Mastercard, which claims to allow cardholders to "earn more value for gaming."

Members of the Xbox Insider Program who live in the continental US, Alaska, and Hawaii can apply for the new Xbox Mastercard. The card, issued by Barclays, has no annual fee, and allows cardholders to earn points on purchases that can be redeemed on games and extras at xbox.com. 

New cardholders are able to choose between one of five epic card designs, including the option to personalize the Xbox Mastercard with your gamertag. At long last, you’ll be able to impress your nieces, nephews and random store clerks with proof that you are “xXDemonBlaster1983.”   

While the card is currently only available for Xbox Insiders, Microsoft has announced that it plans to extend the offering to all Xbox players sometime in 2024. 

Xbox Mastercard Benefits 

Although it's ostensibly a store credit card, the Xbox Mastercard actually includes some rewards categories that go beyond Microsoft purchases to include everyday spending.

Cardholders will be able to earn 5x points for every dollar spent on eligible products at the Microsoft store, 3x points on select streaming services like Netflix and Disney+, 3x points on eligible delivery services such as Doordash and Grubhub, and 1x points on all other everyday purchases. Barclays values these points at one cent each, so a new $60 video game would be worth 6,000 points.

New cardholders also receive a bonus of 5,000 points (a $50 value) after they make their first purchase. The other major sign-up benefit is three months of Xbox Game Pass Ultimate for new members, around a $51 value. Existing Game Pass members can also gift the three free months to a new user. 

Unfortunately, this card suffers from a lack of redemption options. Points can only be redeemed for games and add-ons on Xbox's website, meaning you won't be able to redeem them for cash. On top of that, even though Microsoft already offers a rewards program that allows users to rack up and redeem points for games, the Xbox Mastercard system functions separately from Microsoft Rewards; anyone who wants to pool points is out of luck.

Is the Xbox Mastercard Worth It? 

While the allure of having an Xbox-branded credit card is undoubtedly exciting for some core gamers, the Xbox Mastercard is hard to recommend for most people. Outside of the 5x card points on eligible Microsoft store purchases, all of this card's rewards categories are similar to what you'd find in many of the best no annual fee cards, only most of those offer considerably more rewards redemption options.

If you frequently spend a lot of money on Xbox.com – and imagine yourself continuing to do so well into the future – you could find some value in this card. For everyone else, you're likely better off using a different rewards credit card. You'll likely earn more rewards overall, which you can choose to redeem for Xbox games (or anything else you want).