Yep. For example, I charge my car insurance bill for the entire year on my card and pay it off asap. That one payment alone have me approx $25 back
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Americans to Leave $152 Million in Credit Card Rewards on the Table This Holiday
- Thread starter Black Republican
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Yep. For example, I charge my car insurance bill for the entire year on my card and pay it off asap. That one payment alone have me approx $25 back
SlickShoes
Member
I live in the UK and have a credit card for emergencies and big purchases like a holiday so it is covered by the bank.
I don't know anyone that uses a credit card as a day to day thing, is this normal outside the US too and I'm missing something?
I don't know anyone that uses a credit card as a day to day thing, is this normal outside the US too and I'm missing something?
Applesauce
Boom! Bitch-slapped!
I got an AMEX Blue Cash a month ago to go with another AMEX I have and a MasterCard. The benefits are so good that everything I've purchased the past month has been that card. In one month I probably accumulated $25-30 of rewards... and of course I am paying it off. Hell I have a negative balance. Its free money if you know how to use it
The Amex blue cash is a really good card even if you have a small annual fee. 6 percent in groceries, 3 percent for gas, I get so much in rewards on those 2 not counting all of the bills I pay with it. It's a really good card.
I also use a Discover card for office supplies and Sam's Club purchases for company expenses. You can get a lot if you take advantage of their ShopDiscover program which is basically 5% back at many online retailers.
You're one of my favourite GAF posters for doing shit like this. <3
CrocMother
Banned
Credit is bad because, it's like money but you can't see it you know?
Like, how do you know it's really there?
Like, how do you know it's really there?
This made me LOL!
Could be used for many posts on this forum.
Well, as a responsible adult you should pay that off everyday off before it gains any interest. When I use it in my mind I make sure I am debiting off my actual bank account.
That would depend on how much you spend on your card and what type or rewards you get.
Between my Amex cash back card (1.25% + bonus for some purchases) and my Costco Executive membership (not a credit card, but including it here for cash back example) I get more than $500 a year back.
diffusionx
Gold Member
If Americans took that $152 million then the credit card companies would lower rewards.
It basically amounts to a subsidy for the people who do.
It basically amounts to a subsidy for the people who do.
My main card gets 1.5% cash back that never expires. I use it for most everything and pay it off every two weeks to keep the average balance low. I have a BestBuy card that earns 5% (only at BestBuy) but the rewards expire after a year. I use it for larger purchases, and then use the reward credit before it expires. I don't do a lot of shopping there, but it saves me on a purchase or two.
I've heard that each transaction costs the seller a small amount though. So retailers might not be thrilled at the idea of more consumers using their cards.
I've heard that each transaction costs the seller a small amount though. So retailers might not be thrilled at the idea of more consumers using their cards.
MikeHattsu
Member
Mostly an American thing I guess.
Zaraki_Kenpachi
Member
Every day? What?
Not everyday but monthly. It doesn't gain any interest if you pay your balance before the due date.
You really should dump that Sony card.
Retailers don't pay different amounts based on rewards cards just different types. Amex cost them more the Visa/MasterCardfor example. They pay a per transaction fee and then a %. It's why a lot of small restaurants and cheap gas stations would have $10 minimums on credit transactions. For a long time Visa made it part of their agreement that you couldn't charge a fee for credit card use. That went away in 2012 I think when the cc companies settled for something like $6 billion for over charging retailers. But it was really to late as any retailer that tried to do it now would look like the bad guy instead. Credit card companies make huge amounts of money for doing jack shit and we all pay for it.
Saving up my points for a new sound system. Last time I used my points I bought an iPad Air 2. People should be smart about their credit card use when it comes to points. I just got 10 points per dollar on an Amazon purchase using my Chase Freedom and I get no less than 2 points on all my other purchases using my Citi Double Cash. As long as you pay in full ON TIME then it's worth it.
entremet
Member
Yeah. It doesn't seem like that much when framed like that.
I don't use my points until I hit 50 dollar increments. I have 30 right now sitting pretty.
Gotdatmoney
Member
I barely use my card but its once a month lol. Everyday. Man why?
Yeah, I need too. It's a holdover from when I first started getting credit cards and it's terrible. It has my highest credit limit though but I think you're right, I need to start looking elsewhere.
Walter White Walker
Member
I've been doing almost all of my shopping on Amazon with my Discover It card. 5% cashback now plus additional 5% cashback for everything I got for the year in like May = winning!
XiaNaphryz
LATIN, MATRIPEDICABUS, DO YOU SPEAK IT
Some people use their credit card for every transaction they do, and to be diligent about paying it off they go online daily as well to make sure it gets paid off so that you're essentially treating it as a debit card, but get the various advantages of using credit and not worrying about carrying a balance on your statement.
I think every day is a bit much, but I definitely try to lay everything off after I get paid (which is twice a month).
Free money, as far as I'm concerned.
Charging my wedding costs instead of paying directly (which we could have done) got me a free ticket to Europe for our honeymoon. Most good rewards cards offer 1-3% back on every purchase, in addition to larger cashback deals in categories, certain merchants, etc... you'll be making back a lot more than enough for a Tupperware set. As a bonus my bank gives me twice the value if I decide to redeem my rewards into my savings account.
People who don't use rewards credit cards are leaving money on the table.
Don't forget better protection from fraud.
Yeah I'm reticent about annual fees just because overall my normal purchases aren't really enough to make a $50–100 fee to use the card worth it for me. It's also far easier to track costs and transfer balances using my bank card then it is to pay another vender, so that keeps me from going for a lot of other cards (that, and I'd rather not have a bunch of cards I need to watch for fraud.)
These statistics are a little old, and as always, statistics usually misrepresent data in some way.
According to this article (American Household Credit), 46% of households in the U.S. had an outstanding credit card debt.
Data was sourced from U.S. Census (2012), Aggregate Revolving Consumer Debt Survey (2015), Survey of Consumer Finances (2015).
The article states the average amount of debt to be ~$7,500. I will assume that the rewards of the cards are not enough to offset the the interest accrued over the lifetime of the credit card.
So, if you have a credit card, are you one of the 46% that are currently (or will be) in debt? If so, I personally do not believe the rewards from the credit card are worth the expense.
This report doesn't cover worldwide stats, so there is definitely room for variation. 46% is pretty high though, damn near 1/2 of everyone posting here (assuming you fit the demographic) should probably not be using credit cards for the rewards. A lot of people say they would never carry a credit balance.
According to this article (American Household Credit), 46% of households in the U.S. had an outstanding credit card debt.
Data was sourced from U.S. Census (2012), Aggregate Revolving Consumer Debt Survey (2015), Survey of Consumer Finances (2015).
The article states the average amount of debt to be ~$7,500. I will assume that the rewards of the cards are not enough to offset the the interest accrued over the lifetime of the credit card.
So, if you have a credit card, are you one of the 46% that are currently (or will be) in debt? If so, I personally do not believe the rewards from the credit card are worth the expense.
This report doesn't cover worldwide stats, so there is definitely room for variation. 46% is pretty high though, damn near 1/2 of everyone posting here (assuming you fit the demographic) should probably not be using credit cards for the rewards. A lot of people say they would never carry a credit balance.
I've always paid off my balance in full, so not using reward credit cards is like leaving money on the table. It's not much but it does add up over time, and sometimes Chase runs special deals, like 10% cash back at Amazon. Did all my holiday shopping there and saved quite a bit - around $100.
apieceofstrange
Member
I have about $1,200 in rewards on my blue cash that I'm about to use to offset my recent PC build. Even though there is a fee, I still come out way ahead. The 6% back on groceries is really huge. Not to mention, there are other useful benefits of having AMEX like extended warranties, free shoprunner and random cash back offers throughout the year.
So much free money down the drain . It's crazy though like last week I was talking CCs with some family and they thought I was rich or that I'm automatically in debt for having 4 CCs and using them. I explained why you should use em but I got the impression they were terrified of using CCs for anything.
. It's crazy though like last week I was talking CCs with some family and they thought I was rich or that I'm automatically in debt for having 4 CCs and using them. I explained why you should use em but I got the impression they were terrified of using CCs for anything.Team Alucard
Banned
I always sign up for a bunch of cards with introductory cashback offers (such as $100 statement credit if you spend $500 within the first 3 months) before the start of each semester and then charge my tuition and books to them. I've saved probably close to $700 by doing that so far.
While it sounds kind of disturbing to advocate more debt for consumers, people need to realize how much they can actually put on their credit card and still afford to pay it off the following month to reap these kind of benefits. Card benefits are worthless if you're paying interest charges on that $600 of gifts.
This is essentially what I do as well, though I spend my rewards throughout the year on Amazon. I bought a bunch of stuff on Black Friday and only paid maybe $40 after applying my credit card credit. Good times.
This is essentially what I do as well, though I spend my rewards throughout the year on Amazon. I bought a bunch of stuff on Black Friday and only paid maybe $40 after applying my credit card credit. Good times.
If that's the case, then get a better card.
As a baseline, you should have a card that offers a minimum of 1.5% or 2% cash back on all purchases with no annual fee. Anything less than that is a waste.
1) Pay all bills via CC so you can get points or cash back.
2) Pay CC bill in FULL every month when you get your statement.
That will maximize rewards and you will pay $0.00 in interest and fees.
These folks know how to do it right.
Transaction costs are built into the sale price. You pay them (as a buyer) no matter if you use cash or credit. So you might as well use credit and get the rewards.
What expense?
If you are using a card for rewards and doing it right, you aren't carrying a balance. There is -zero- cost associated with using a CC. In fact, if you use it right, your credit cards should be paying you to use them.
I completely agree. However, it appears a high percentage of people carry a balance, and a significant balance at that. I'm merely recommending caution in understanding what you can afford prior to paying for it with a credit card. Most people on this forum seem to have zero issues paying off balances in full, and that is outstanding, if not outside the norm.
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