CC strategy (cash, miles, churning, etc.)

[lemoncupcake]

We use a credit card for nearly every purchase we make, using 2 main cash back cards.

I was thinking of being a little more strategic in how we use credit cards to either maximize our cash back or to start using it to supplement travel.

What are the best resources to dip my toes in here? We have excellent credit, debt to income, etc. and aren’t planning any upcoming purchases where we are concerned with the minor drops in score from opening or closing cards.

[mich1]

We pretty much put all of our expenses on Costco's Citibank card and get the cash back for it. As travel is the largest line item in our budget, we get a big check yearly. This gives us flexibility for where we want to go and what we want to do - and are not limited by airlines or hotels.

[keweenawlove]

I got to the Points Guy the most. My current stagey is mostly Chase based (hope you don't mind the referral links).

I have the Chase Sapphire Reserve that has a 50% bonus on points when redeemed for travel. They recently added the "pay yourself back" which gives you statement credit on travel or dining. I use the card for travel, restaurants, and groceries (3x points, plus the 50% bonus gives you 4.5% back on these). I transfer my other Chase points to this account to get the 50% bonus (super easy to do). Sign on bonus is generally ~$900.

The Freedom and Freedom Flex give you 5x points on revolving categories, currently gas. So transferred to the Reserve = 7.5% back. Generally $200 "welcome" offer that turns into $300 transferred. 
www.referyourchasecard.com/18f/XDQ73PM3VI

Everything else goes to the Freedom Unlimited which is 1.5x points on everything. Transferred = 2.25% back. Generally $200 "welcome" offer that turns into $300 transferred.
www.referyourchasecard.com/18f/8UCBVG6J1B

I also have the Delta credit card (current bonus is 90,000 miles) mainly for boarding/status perks
refer.amex.us/KARENkTM7P?xl=cp106h

Also just got the Southwest card for the sign on bonus (currently 65,000 miles)
www.referyourchasecard.com/257p/3YS0WZH6DF

Typing that out, I may have a problem but I treat cards like debit cards and pay them off in full and credit score has been fine in the 10 years I've been playing the game. 

[gt7301b]

I like the southwest card for the companion pass. With the sign on bonus it is pretty easy to get a companion pass in your first year. We are hoping to get the companion pass for next year because of bonuses this year.

I try and keep it simple with just a primary card for points. I know I could get more, but honestly, churning cards is too much for me to keep up with.

[just]

It seems that you’re looking to do your own research rather than to hear personal experiences - which is good. If your credit score is good you can create a strategy that works right for your use.

This is the second recommendation for Reddit it as many days but honestly if you can sift through the idiots there’s some great advice on r/creditcards, r/personalfinance, r/churning (if you’re interested in that - too much work for me.

The Points Guy and Nerd Wallet websites are a good read too

[Deleted]

I’m partial to the blog and fb group 10x travel. I’ve learned a ton and the mods are super responsive. They basically lay it out for you. There are quirks and rules about how many you can apply for and in what order, and they’re really knowledgeable about it.



We have a goal to earn as many points as possible in 2 years, and we are well on our way.

[lemoncupcake]

Jun 18, 2021 21:24:42 GMT -5 gt7301b said:

I like the southwest card for the companion pass. With the sign on bonus it is pretty easy to get a companion pass in your first year. We are hoping to get the companion pass for next year because of bonuses this year.

I try and keep it simple with just a primary card for points. I know I could get more, but honestly, churning cards is too much for me to keep up with.

How often will you travel/use the companion pass to justify that being your goal? We would like to travel more now that are kids are a bit older, but I’m not sure how many trips we could commit to in a calendar year under the pass.

Although I guess it depends on if you think you can not only earn the pass one year but keep it going every year going forward.

[lemoncupcake]

Thanks for all the info! Right now we have an Amex blue cash preferred (biggest selling point is 6% on groceries) and an Amazon card that we use for everything.

We also have a Chase Freedom unlimited that we used for some pieces of a renovation a few years ago and haven’t touched since then. At least in the meantime I need to flip some of our “other” spending to that one since it’s 1.5% rather than the other two cards that are 1% for their non-targeted categories.

Our travel at this point is definitely much more of a theoretical desire rather than a concrete need. But having a way to supplement the travel costs for our family may help to push us over the edge.

[lemoncupcake]

Ugh! While I was typing out my responses above I was also ordering pizza, which by default I paid with on the Amex (the card I have memorized and in my Apple Pay). That one is just 1% vs the Amazon which is 2% for dining.

Maybe I just need to get better at using what cards I already have!

[gt7301b]

Jun 19, 2021 16:39:17 GMT -5 lemoncupcake said:

Jun 18, 2021 21:24:42 GMT -5 gt7301b said:

I like the southwest card for the companion pass. With the sign on bonus it is pretty easy to get a companion pass in your first year. We are hoping to get the companion pass for next year because of bonuses this year.

I try and keep it simple with just a primary card for points. I know I could get more, but honestly, churning cards is too much for me to keep up with.

How often will you travel/use the companion pass to justify that being your goal? We would like to travel more now that are kids are a bit older, but I’m not sure how many trips we could commit to in a calendar year under the pass.

Although I guess it depends on if you think you can not only earn the pass one year but keep it going every year going forward.

I only have one kid and in per-pandemic times I flew with him at least 6x a year and the flights are 200-300 each, so it is a pretty good return for us.  I don't plan to keep it up every year, but you can open a new southwest card every two years and get the sign up bonus.  (To make it easier to hit the points needed for the companion pass)

I know there are other cards with better deals, but I have never been able to max my points and get all the great deals on them

[Poppy]

I also do the Chase points shuffle thing. I have a Chase Freedom and try to utilize it for the 5% on the quarterly categories. I have a Chase Freedom Unlimited that I've been using for 1.5% elsewhere. And I just added a Chase Sapphire Preferred so I can get the big sign up bonus and also redeem my other points at a higher rate for travel and with the pay yourself back thing keweena mentioned. I did the math on the Preferred vs Reserve and the Preferred made more sense for us (similar to this analysis: thepointsguy.com/guide/chase-sapphire-preferred-vs-chase-sapphire-reserve/).


We do not travel regularly enough or with enough brand loyalty to figure out transferring points out to another rewards program. But Chase is a nice middle ground because their travel booking system is actually pretty good and there is lots of flexibility for other ways to use points.

It is kind of a lot to keep track of in terms of which card to use for what, and my H only tries half-heartedly. I put sticky notes on our wallets each quarter to help remember.

[sent]

I have 3 buckets via 4 cards. Capital One Venture, 2 Chase cards earning UR points, and a Mariott-branded Amex earning only Marriott points. I own a business and spend stupid amounts of money across all 3. The Amex is redundant for me to have since Marriott points can be had by converting UR points from Chase, but I haven't had the time to research which Amex I want to replace it with.

I enjoy tracking where to use which card but my husband is so bad at it. I have to put the card in his hand as he walks out the door to spend it. If I tell him ahead of time "oh use this card for gas this month" he will do something wrong.

As far as strategy, I do signing bonuses periodically when they're really good. Typically that means 100K in a decent points currency.

For years I read FlyerTalk before the blogs came around. These days I follow a handful of groups on FB to just keep a pulse on what's happening but it's hard for me to take them seriously since they always have some ulterior motive.

[jlt19]

I'm very similar to keweenawlove . I was talking about this to my sister the other day and looked it up. Since 2015, between DH and I, we've opened 36 cards (30 of them are closed). I think the lowest our score got was in the 730's at one point, and that was before the scoring "changed". The only cards I keep open are the Chase Freedom, Chase Ink (old version), Fidelity Visa, and AmEx Hilton. Only the Ink has an annual fee, but I keep it b/c of Rewards conversions. Now, a lot of the ways to spend the money or the ability to get the cards have changed since then, but here's a list of all we've done. 

Just DH and I:
2015- Dreams in Costa Rica for a wedding (pd with old Barclays travel cash back)
2016-San Francisco, SW pts with companion pass; Hyatt pts
2017-NYC, SW pts w/CP; Hyatt pts
2018-Maui, AA pts 1st class; Hyatt pts
2019-Dominican Republic AI (pd with old Barclays travel cash back)
2019-Minneapolis, SW pts w/CP; Hyatt pts
2021-Panama City Beach-SW pts w/CP; OOP for condo

With 2 kids:
2016-Jacksonville SW pts w/CP; Hilton pts and LegoLand (OOP)
2016-Denver SW pts w/CP; Hyatt pts
2018-Chicago (took a train OOP) Hyatt pts
2018-Universal Studios, just DD and I; SW pts w/CP; Hyatt pts; Ultimate Rewards Points paid for tix
2019-Orlando SW pts w/CP
         3 night cruise (pd with old Barclays travel cash back), 2 nights in Cocoa Beach (hilton pts), 2 nights at LegoLand (OOP) but tix were via UR pts
2021-Already have 4 first class tix to the big Island and a room at the Hilton Waikoloa Village

Plus there's been a few random in town nights at Hyatts (BEST conversion rate with Ultimate Rewards) and a couple random flights to Florida to visit friends.

I've never carried a balance on any of the cards, and my current score is 785 on TU and 801 on Equifax

Thankfully Hawaii is already "paid" for b/c we're getting ready to buy a new house and I think the underwriters wouldn't enjoy my usual churning...