Advice From the TopEven after all these years of following personal finance trends, reading books, and trial and error, it took a passing comment by a mentor to get me to focus on the aforementioned benefits. At a business lunch, he was boasting about his free trip to Mexico. This, of course, perked my ears up as I conjured up a sense of curiosity.
When I asked him to elaborate, he mentioned that he put every penny of his monthly expenses on a credit card in order to stockpile credit card points. This had gone against everything I had ever learned! How could he be so reckless!
It took a step back for me to realize, wait … am I wrong? He’s rich and successful, he must be doing something right.
TravelBank of America Travel Rewards Credit Card: I’ll be honest, in researching the best travel cards, I found myself applying for this one personally. I guess that’s a good sign! See rewards below:
- 1.5 points for every $1 spent on purchases
- 20,000 online bonus points after you make at least $1,000 in purchases in the first 90 days—which can be redeemed for a $200 statement credit toward travel purchases
- No annual fee
- The introductory rate of zero percent for the first 12 billing cycles
- 20,000 bonus points if you spend $1,000 in the first 90 days
Cash BackAmerican Express Blue Card Preferred: If you’re a big online shopper, the current deal offered for this card will entice you. Ten percent of your Amazon purchases up to $200 is what they are advertising. On top of that see the additional perks they are offering:
- 3 percent Cash Back at U.S supermarkets up to $6,000 (then 1 percent)
- 2 percent back at U.S gas stations and department stores
- 1 percent other purchases (subject to terms and limitations)
Final ThoughtsHonestly, as long as you are paying your bills every month, there is no wrong answer here. At the end of the day, it all comes down to personal preference. Only now, you will not be able to plead ignorance to leaving money on the table when it comes to making the most out of your credit cards.
Despite the stigma against credit cards, these types of incentives reward those who are financially responsible and disciplined. It is no surprise why these types of folks continue to get ahead.
Lastly, there are a couple of additional reasons to employ the strategy of dumping all of your monthly expenses onto your credit card or cards.
Personal Finance BenefitsAs far as personal finance benefits, it will be an asset to know exactly what percentage you are spending on certain types of expenses. It’ll give you the “big picture” of your money.
The only thing that will throw a wrinkle into this is if you make a lot of ATM withdrawals, as cash is hard to track.
Don’t become a statistic!