Ok, I think I have my finances in order and my $5500 credit card debt is going to be paid off within 6 months (Chase Card transfered to CITI for 2.9% until paid off). Actually, I have some I-Bonds that I think I'll be cashing in (when the statement comes in) and putting right towards the credit card. I am moving my home insurance and car insurance from AAA to Citizen's Insurance and saving just over $1,000 between the two. My vehicle lease is up in August and I plan on getting something smaller, less expensive (compared to an explorer) and better on gas.

So, I've been thinking of other ways to simplify my life and get rewarded while doing it. I now have this Platinum Chase Credit Card that doesn't offer me any rewards at this time. I would like to call Chase (or get another card from another bank) and change my card to a no-fee rewards card. This card would be used to pay all (or as many as I can) my Bill's such as utilities, phone, cell phone, insurance, grocheries, internet purchases, etc. This card would be paid in full once a month. In return, I am hoping to find a card that would allow me to get Cash Back (to put towards the balance), hotels, airfare, etc. My wife and I really don't travel much so it would be nice to get 1-2 free airline tickets a year along w/ hotel discounts even if it's only for a few days.

Also, this would allow me to only need to write 1-2 checks a month.

Anyone have any suggestions on which credit card I should be looking at that will not overcharge me fee's and offer me a great rewards program?

Thanks!
Bill

I'm confused, which isn't hard. A cash back card? Or a rewards card? I didn't know there were cards that offered both on the same card. I use nothing but cash back cards.

Well, my fleet card, which I canceled 1-2 years ago used to give me POINTS... Those points I could put towards Rental Cars, Hotels, Airfare, Cluttery Stuff and I could put $$$$$$ credit towards my ballance. I guess your right, you can have a rewards card or a cash back card. Which is better? Also, how do you get the cash back? Via credit card? or via check?

Cash back hands down. Hate Rewards.

Discover, and a Chase card gives the same 1% on purchases plue you get 5% on gas, groceries and Pharmacy. Check out <www.creditcards.com> for deals

Do most gas stations accept Discover cards? That 5% cash back gas card looks like a good deal.

I have a card that puts 2% back in the kid's 529e account. I used to use a Yahoo! points card, but the return was nowhere near 2% and I just got stupid crap from their limited selection anyway.

An obvious comment...

You currently have debt that you are having to work out of. If you go the route you mention, you MUST pay off the card every month. Even one month of interest will kill your cash back for most of a year. And that is a best case scenario. Worst case, you "borrow" against next month's cash flow, start carrying a regular balance, and get back right in the pickle you're trying to get out of now.

If you are going to put your entire expenses on a card, you need to make sure you can operate with this "pay it off" discipline from now on, since you may not have been able to in the past. It requires living within your means with enough cash balance to handle unforseen expenses.

(And don't even THINK about using a second card to charge unforseen expenses on so that you can keep your primary card paid... That is a REALLY slippery slope that leads to TWO cards with balances you can't pay off.)

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Don't ask who the bell's for, dude. It's you.



Edited 1 time(s). Last edit at 05/31/2006 08:32AM by sscutchen.

Bill,

I pay nearly all my bills with a credit card. Chase offers one that gives 1% cash back on general purchases and up to 5% cash back on groceries, gas and what not. Amex Blue for Cash is pretty similar. USAA offers one that is 1% cash back but has a fee. I happen to really like USAA and have chosen to stay with them despite a better deal from Chase. I use my Amex for groceries and gas and USAA for everything else.

I don't like rewards cards or air miles/points cards. The reason? you have to spend a great deal of money to earn enough points/miles to get a free airline ticket. In the process, you'll spend more to get it than if you'd just searched around on the Internet for a great price. So, to me, air miles/points cards just aren't cost effective. I'd rather spend my money as I normally would and get cash back and be done with it.

If I remember correctly, wiith USAA, it used to be that you could get a check but that's changed. Now it becomes a credit on your card. You just have to call and ask for it.

Robert

I now use a CitiCard. They'll issue a check whenever the cashback amount hits $50. They don't give 5% on gas purchases and pharmacy, but I do get 5% on groceries, and they run occasional "specials." The one now is good for 5% at Lowes, so I'm thinking of heading over there today and getting the sealer I need for the decks.

The two cash back cards that I use regularly are CitiCard and my Costco Amex. I haven't checked Amex lately, but try to get a card that will generate a discreet account number that can be used for online purchases. CitiCard does that, and I think quite a few of them do. I tend to use the CitiCard more, since Amex only issues the cash back checks once a year. However, the Amex does have something like a 3% cash back on travel and dining out, and it's the only one Costco takes.

Watch out for Discover. I had to apply for a new Discover card after my husband died. They are now "stepping" the cash back percentage. On the card anniversary date of each year, you go back to zero, then you get only 1/4 of 1% on the first $1,000 of purchases, it goes to 1/2 of 1% for the next $1,000, then 3/4, and finally you get the "whole" 1%. I'll quit using it as soon as I accumulate enough to get one more check for $20. Frankly, I don't remember this little gotcha, and I'm wondering if the rules were changed when I got that new card.

Quote
sscutchen
An obvious comment...
<br />

<br />
You currently have debt that you are having to work out of. If you go the route you mention, you MUST pay off the card every month. Even one month of interest will kill your cash back for most of a year. And that is a best case scenario. Worst case, you "borrow" against next month's cash flow, start carrying a regular balance, and get back right in the pickle you're trying to get out of now.
<br />

<br />
If you are going to put your entire expenses on a card, you need to make sure you can operate with this "pay it off" discipline from now on, since you may not have been able to in the past. It requires living within your means with enough cash balance to handle unforseen expenses.
<br />

<br />
(And don't even THINK about using a second card to charge unforseen expenses on so that you can keep your primary card paid... That is a REALLY slippery slope that leads to TWO cards with balances you can't pay off.)<br />
<br />
<img src="[home.earthlink.net]; />
<br />

Actually, I haven't paid interest on credit cards for 5-6 years... And when I did, it was only for a month or two... Now, why do I have $5500 on a credit card? Well, no excuse... While I had my 0% for 15 months chase card, my wife and I where unexpectedly expecting our first child, she couldn't work for the first trimester... then, she couldn't work the last trimester... she stays home w/ our little one... unexpected expenses came up... Life caught me a little off guard for the first time ever (I'm 31) when it came to debt. I'm in a very good position right now and many of you offered some good suggestions. Actually, I belonged to a private club up until last month (took a year off and if I don't miss it I will not be going back), getting a lower cost car which is better on gas millage, cut my insurance rates almost 30-40% and my wife is working 6-8 hours a week cleaning (extra cash).

All my bills are 99% paid on time... All the ones that can effect my credit are paid 100% of the time... If something is late such as a car payment it's by accident and I ALWAYS CALL and plead my case and get the late fees waived and make sure they note why I was late (such as, never got the statement even though I know it needs to be paid).

Really, I can pay off that credit card tomorrow but I would totally strip my savings account which is there for a rainy day. I should just do it, but, it still makes me very nervious.

Also, thanks for the suggestions everyone.

Bill

> My vehicle lease is up in August and I plan on getting something smaller,
> less expensive (compared to an explorer) and better on gas.

Unless driving a new car is important to you, consider purchase. It's a relatively small amount more per month, but (assuming you buy something that will last) years 5-10 or so are free. When you start paying more in yearly maintenance than you'd pay for the next car, it's time to trade it in.

As to cards, I'm with Lux. You can't beat 2% cash directly into the kid's 529 college fund. You've got 18 years to put away about 200K (plus inflation) for you newborn. Getting started now gives you the advantage of compound returns.

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Embarassing myself on the Internet since 1978.

Spacescape, if you haven't already checked w/Chase, call them and see if your platinum card is eligible to enroll in their Flexible Rewards plan. Mine was, you sign up on the phone, and the plan has recently been remade to also offer cash-back reward options at a 1% rate (per $100 check min). I just cashed mine in after getting a flyer in the mail noting the new offerings in the plan. It was formerly known as Chase Rewards (or something).
You might get your current month's charges counted for points, and if you've had that card for a while, you could possibly get a higher credit line for it than starting fresh w/another.



Edited 1 time(s). Last edit at 05/31/2006 11:14AM by Psurfer.

i have a Citibank cash reward card. in the last 6 years i've gotten back probably $2000. all my business expenses and medical expenses go on it plus a few other incidentals.

for the last year or so i've been charging all my groceries, gas and phone to an ATT cash reward card. probably gotten back over $300. this card is actually run by citibank and i just received notice that they are discontinuing the card effective the end of june. bummer.

i also have a costco/amex card which pays 3% on dining out which is great when i travel. heck, i even charge at burger king now. it's 1% on all other purchases. i guess i'll move groceries and gas to this card. unlike the citibank cards that will pay once it reaches $50, Amex/costco gives a once a year rebate total in february. oh well, i'll get a nice gift in the dead of winter.

of course, this is all worth it because the bills are paid in full at the end of each month. if you have the discipline to do that, it's worth it. groceries, gas, utilities, medical bills, and business expenses are costs i have whether credit or cash. it's nice to get something back!

Ok, talked to a Chase person and they can just upgrade my card however I want it upgraded... He suggested 4 cards but these are the two I'm thinking about moving to... I'm leaning towards the CASH rewards based on I can just get a check and do whatever I want w/ it.

Chase Free Cash Rewards

[www.chase.com]

$25 check, or 2. a $25 gift certificate to leading national merchants.
That's a full 1% cash back on each $2,500 in purchases and interest!



Chase Flexible Rewards

[www.chase.com]

Travel - For just 25,000 points, claim a free round trip coach airline ticket2 on any major U.S. airline with no blackout dates, or redeem your points for hotel night stays or car rentals.

Cash - Get a $25, $50 or $100 check3

Merchandise - With redemption levels beginning at 2,500 points, there is a lot to choose from! Redeem from top brand names like Sony®, Weber® and Coach®.

Gift Certificates/Gift Cards - Starting at 3,000 points, you can redeem from some of the country's top restaurants and stores including Olive Garden®4, Best Buy5 and Borders Books & Music®6.