Best rewards credit card.

[PAkev]

I have a handful of credit cards which were aquired by provoking offers. ie. 10% off first order, free merchandise, etc. Any single one has never really afforded a significant reward and I am considering only using one card to maximize rewards (preferrably cash back instead of $ off if purchase is only with a specific retailer) I pay off my card every month and other than a home mortgage and small car loan have no outstanding credit card balances.

Helpful advice appreciated

 

[Skiuseme]

Re: Best rewards credit card.

I just get the miles for Northwest but, I pay most of my bills with my credit card. ( The ones that they will let me) Energy, Dish, Gas, Cell & Home Phone, you get the idea. They wont typicly let you pay your mortgage or auto loans with these but still the other little ones add up. Set up up on automatic and just pay the balance off once a month with the saved money. It does take disapline but, your credit shoots up and you get great rewards. $1 per mile so I average about 1 free ticket per year.


If you set everything up right you can use the system to work for you.

 

[tommays]

Re: Best rewards credit card.

I use a GM master card and have gotten back over 6000 dollars on GM cars the 5% adds up and has a 7 year life



Tommays

 

[PAkev]

Re: Best rewards credit card.

double post

 

[PAkev]

Re: Best rewards credit card.

Funny you mention the GM card since it is one we have and knocked about $1400 off the cost of my truck a few years ago. However you may or may not know the tide has changed with this benefit and is one of the reasons I am considering an alternative.

GM has changed the maximum amount of rewards dollars for specific vehicle models instead of applying your entire rewards toward any vehicle purchase. From the info I read, you are limited to the maximum rewards allowance which is $2000 for a HHR. For instance a $55,000 Yukon may qualify you to only use $1500 maximum rewards of the $6000 you have accrued and therefore a vehicle you anticipated would cost you $49,000 will actually cost 53,500.

The old way seemed to be alot better to maintain "Brand Loyalty" but they aren't paying me the big bucks for my opinion. Therefore, I can feel a lot better at keeping my options open when selecting my next vehicle.

 

[rogerwa]

Re: Best rewards credit card.

I had the GM card and cashed it out on my Suburban. I got lucky and received a promo in the mail when I bought it that doubled the points if I bought within their window.

I now use a Citibank Mastercard professional card. It gets 3 points for every dollar at restaurants and gas stations and 1 everywhere else. It uses their ThanyouNetwork.

The Thankyounetwork is cool because it has all sorts of rewards including integrated Expedia travel that you can book online directly from the points.

I rack up between 5K-8K points a month and have around 172K points which I will be using for xmas presents and still have enough leftover for a trip for my wife and I.

You can check out ThankyouNetwork by adding a .com on the end. For me its a pretty good deal..

 

[bruceb58]

Re: Best rewards credit card.

American Express Business card through Costco does 5% on gas, including Costco gas, 3% at restaurants, 2% on travel and 1% everywhere else.

 

[JB]

Re: Best rewards credit card.

Before making any purchase or paying any bill with my credit card I ask the vendor how much they have to pay the bank for using the card. I then ask for that much discount for cash. I always get it.

 

[aspeck]

Re: Best rewards credit card.

Do you have any young children? I use the Upromise card - saving for college ...

 

[bamafutbal]

Re: Best rewards credit card.

amex gold with membership rewards. stayed at 4 star ski in/out hotel for 4 nights and got free lift tix at breckenridge. doing it again this year

 

[srothfuss]

Re: Best rewards credit card.

We have a Disney card from Chase. We just went down to Disney world last week and used the $450.xx rewards dollars for things at / around the park.

I think the important thing about any rewards card is to just pick one and use that card for all of your large purchases. Pay it off and keep racking up the points...

 

[tommays]

Re: Best rewards credit card.

I got the Whole 6000 dollars over over a LONG period of time on 3 cars with the last NEW car in 2005


My wife and I each have cards and we swap use of them based on maxing the per year points



Tommays

 

[JB]

Re: Best rewards credit card.

Anyone who thinks they are not paying for the "rewards" is pretty naive.

 

[rogerwa]

Re: Best rewards credit card.

JB, you are absolutely correct that the rewards are being paid by the vendors who have to pay 1-3% for the convenience of offering the CC (more for Amex) and also by the people who do not pay off the CC at the end of the month and only making minimums. Unfortunately there is a lot of the latter and in my view is a sinking ship..

I also agree to your approiach at negotiation for the large items. However, for folks likes myself who like the convenience of charging everything and paying once a month, this works out pretty good.

For me it helps to regulate the cash flow and smooth out the bumps of big purchases. Ihave never paid a finance charge and do not buy anything I do not have the cash to buy. In this scenario, why not get something back? A couple years ago I was using a card and getting $50 cash back a month that I would not have had I paid cash, check or debit card.

Other than the idea that increased use of these programs will ultimately drive higher merchant fees and then higher prices, I do not see a negative.

 

[PAkev]

Re: Best rewards credit card.

Anyone who thinks they are not paying for the "rewards" is pretty naive.

I agree to a point .... BUT

Credit cards have become a lifestyle reality that EVERYONE pays for. For instance gas could be 15 cents a gallon cheaper if gas stations didn't have to forward credit companies their discount rate. Folks don't find it convenient to go into a gas station and stand in line to pay their bill and not too many folks working the cash register that have authority to make a price concession for cash paying customers. 20 years ago gas stations were robbed with regularity but today the pizza delivery man carries more cash than a robber can make off with from a gas station.

My point is the cost of credit is now built into the price you are paying for everything so the way I look at it is the "rewards" are a way for me to get a smidge of the inflated costs back.

 

[OLDSPUD]

Re: Best rewards credit card.

Companies are not in business to give away or lose money. Anyone who thinks they are getting something for nothing are fools.

I use credit cards for everything. This is the reason:

I travel, I used to use my debit card for most things,now I rarely use it except for purchases on line and on line payments.

I use a medium balance card, limit around $3,000.00 for all purchases. I had trouble once when a charge went through twice on my debit card, it took a month to get worked out. Now I figure if I have trouble, I let the credit card fight the battle, also if the card is stolen and I'm stuck with the charges, the limit is only around $3,000.00. If it were my debit card, who knows what problems I would have.

I travel with an AMEX platimun, good benifets to travel with. But when I shop in the different places, I go back to the smaller balance card.

As far as points or cash back, it is almost a joke. I I heard last week that only about 10% of the points people have built up are ever used. to me, the points are a non factor, I look for the best interest rates. Cash back is a joke when your paying 18%.