Heads up one of the better reward credit card I've seen.
Heads up one of the better reward credit card I've seen.
This Amex blue cash preferred gives 6% off grocery stores up to $6000 annual and 3% off gas and department stores unlimited.
I use my fidelity CC for 2% off everything, but we spend a lot on gas! this card has a $75 annual fee but gets a free $100 cash back bonus if you spend $1000 in the first three months
http://www.nextadvisor.com/credit_cards ... review.php
I use my fidelity CC for 2% off everything, but we spend a lot on gas! this card has a $75 annual fee but gets a free $100 cash back bonus if you spend $1000 in the first three months
http://www.nextadvisor.com/credit_cards ... review.php
Last edited by rai on Tue Nov 18, 2014 3:43 pm, edited 1 time in total.
"Life is what happens to you while you're busy making other plans" - John Lennon. |
|
"You say that money, isn't everything |
But I'd like to see you live without it." - Silverchair
Re: Heads up best reward credit card I've seen.
An additional 6% off of groceries would be nice. However, I already save 20%-40% by buying my groceries at Aldi's, which does not accept credit cards. 3% on gas year round is nice, but there are other offers out there. I walk to work, so likely wouldn't be able to outpace the $75/year fee too easily.
I'll gladly pay you Tuesday for a hamburger today.
Re: Heads up best reward credit card I've seen.
Sure it's not for everyone, but we spend $10,000 in gas a year, ( less now that gas prices have lowered) which would be $300 cash back ($100 more than my current 2%)Impromptu wrote:An additional 6% off of groceries would be nice. However, I already save 20%-40% by buying my groceries at Aldi's, which does not accept credit cards. 3% on gas year round is nice, but there are other offers out there. I walk to work, so likely wouldn't be able to outpace the $75/year fee too easily.
Also if you spend $1000 in the first 3 months it gives you an additional $100 plus free Amazon prime membership which more than covers the annual fee for the first year at least.
Again, I don't necessarily want to hear about people who make their own clothes or don't own a car. I am more just pointing this out for people like me who spend multi thousands on credit cards every month.
"Life is what happens to you while you're busy making other plans" - John Lennon. |
|
"You say that money, isn't everything |
But I'd like to see you live without it." - Silverchair
Re: Heads up best reward credit card I've seen.
rai wrote:... we spend $10,000 in gas a year...
INSERT PITHY QUOTE HERE
Re: Heads up best reward credit card I've seen.
rai wrote:Sure it's not for everyone, but we spend $10,000 in gas a year, ( less now that gas prices have lowered) which would be $300 cash back ($100 more than my current 2%)Impromptu wrote:An additional 6% off of groceries would be nice. However, I already save 20%-40% by buying my groceries at Aldi's, which does not accept credit cards. 3% on gas year round is nice, but there are other offers out there. I walk to work, so likely wouldn't be able to outpace the $75/year fee too easily.
Also if you spend $1000 in the first 3 months it gives you an additional $100 plus free Amazon prime membership which more than covers the annual fee for the first year at least.
Again, I don't necessarily want to hear about people who make their own clothes or don't own a car. I am more just pointing this out for people like me who spend multi thousands on credit cards every month.
Doubletacster wrote:rai wrote:... we spend $10,000 in gas a year...
Back of the envelope calculation.
$10,000 / $3.50/gal (a reasonable approximation of the previous years price) x 30 mpg (probably a bit generous) = ~85,000 miles. In a year??
Re: Heads up best reward credit card I've seen.
4 cars, two kids in private school no bus, kids activities, two working adults, our parents both live 2-4 hrs drive away we drive (est.) 60-65k miles a year. I'm saying our gas mileage is closer to 23 mpg we are in large vehicles.tacster wrote:rai wrote:... we spend $10,000 in gas a year...
I know this is off topic, but some days my wife can drive 200 miles just kids to school, pick up kids bring to doctor or dentist back to school, kids to activities etc..
We have been known to drive to Orlando and back 2000 miles for 7-8 day vacation.
"Life is what happens to you while you're busy making other plans" - John Lennon. |
|
"You say that money, isn't everything |
But I'd like to see you live without it." - Silverchair
Re: Heads up best reward credit card I've seen.
Penfed Cash Rewards gives 5% off gas and it is credited every month, rather than having to redeem points.
- TomatoTomahto
- Posts: 17158
- Joined: Mon Apr 11, 2011 1:48 pm
Re: Heads up best reward credit card I've seen.
Back when both kids were playing travel hockey and going to a private school, we racked up the miles also.
I like my Amex Blue Preferred too, especially in conjunction with a Fido 2%, Amazon Visa for Amazon, and PenFed for gas.
I like my Amex Blue Preferred too, especially in conjunction with a Fido 2%, Amazon Visa for Amazon, and PenFed for gas.
I get the FI part but not the RE part of FIRE.
Re: Heads up best reward credit card I've seen.
Wow thanks, didn't know about pen fed glad I started this thread. I've been missing out on a lot of free money.
Is there a limit on pen fed gas rewards?
Is there a limit on pen fed gas rewards?
"Life is what happens to you while you're busy making other plans" - John Lennon. |
|
"You say that money, isn't everything |
But I'd like to see you live without it." - Silverchair
- dodecahedron
- Posts: 6607
- Joined: Tue Nov 12, 2013 11:28 am
Re: Heads up best reward credit card I've seen.
6% gas/grocery card sounds like a good deal for you given the lifestyle you have chosen.rai wrote:4 cars, two kids in private school no bus, kids activities, two working adults, our parents both live 2-4 hrs drive away we drive (est.) 60-65k miles a year. I'm saying our gas mileage is closer to 23 mpg we are in large vehicles.tacster wrote:rai wrote:... we spend $10,000 in gas a year...
I know this is off topic, but some days my wife can drive 200 miles just kids to school, pick up kids bring to doctor or dentist back to school, kids to activities etc..
We have been known to drive to Orlando and back 2000 miles for 7-8 day vacation.
I don't make my own clothes, I do own a car (two actually), and I do spend multi thousands on credit cards (though fortunately for me, relatively little goes to gas) but *I* am very interested in hearing everyone's perspective. There are many ways to skin a cat.Again, I don't necessarily want to hear about people who make their own clothes or don't own a car. I am more just pointing this out for people like me who spend multi thousands on credit cards every month.
Very interested to hear about the Amex card and I appreciate your bringing it to my attention, but I am also interested in hearing about alternative ways to hold down the underlying expenses. I am not sure there is an Aldi's around here. Are there other stores that give large discounts but don't take credit cards?
My primary approach to saving money on gas is that I hate to drive, so I try to do it as little as possible. The university where I am taking a graduate class gives me free unlimited public transportation 24/7 with a swipe of my university ID and I am trying to use that as frequently as possible. Taking the bus is less stressful on me and I can actually get productive things done on the bus (as opposed to driving.) Plus I save money on gas and help the environment too. I had been driving about 6,000 miles per year before I started taking the bus. Eventually I would like to cut that in half.
Bottom line: I am happy gas prices are down (for the moment at least), happy to be getting an additional 5.25% off gas purchases and 3.5% off groceries from my no-fee B of A credit card (Platinum Preferred Honors just because I let Merrill Lynch have custody of $100K of Vanguard ETFs I previously held at Vanguard.) It is automatically direct deposited in my bank account each month. I use my 2% Citi Double Cash for pretty much everything else. (Technically I guess it is 1.99% because I apply rewards as a statement credit.)
Works for me--but I do like hearing ideas.
Last edited by dodecahedron on Tue Nov 18, 2014 9:14 am, edited 1 time in total.
Re: Heads up best reward credit card I've seen.
If I did my arithmetic right, that is like 4 days of driving overhead for a one-week vacation.rai wrote:We have been known to drive to Orlando and back 2000 miles for 7-8 day vacation.
I always wanted to be a procrastinator.
Re: Heads up best reward credit card I've seen.
Check the fine print as the cards issued today may have changed from when we got it, but the one we have - Penfed Visa Cash Rewards - has no limits and the 5% on gas (is credited automatically to the balance monthly.rai wrote:Is there a limit on pen fed gas rewards?
Re: Heads up best reward credit card I've seen.
We used to do a one-week vacation every year in Colorado that was 2600 miles round trip, doing the ~20 hour drive in one day each way, sometimes in blizzard conditions. Not saying it was smart, but some families just roll that way...Sidney wrote:If I did my arithmetic right, that is like 4 days of driving overhead for a one-week vacation.rai wrote:We have been known to drive to Orlando and back 2000 miles for 7-8 day vacation.
Retirement investing is a marathon.
Re: Heads up best reward credit card I've seen.
For us, the Sallie Mae Mastercard is working well to fill in gaps in our optimal Cash Back plan. We don't spend that much on gas, so that $250/month limit (5% before, 1% after) on gas is immaterial. Wouldn't work well for you. I wish the groceries limit were a bit higher, as we blow through the $250 limit there, but the 5% on amazon is very nice.
Retirement investing is a marathon.
Re: Heads up best reward credit card I've seen.
Best is always highly subjective. BCP can be a good fit for many (and is what I and my wife use) but the Sallie Mae can be a better fit for others. Everyone's spend in these categories is not identical. For those with high enough category spend the old Blue Cash can be a better fit (IIRC break even with the BCP is ~$12,500) and it does not have caps.rai wrote:Heads up best reward credit card I've seen.
Instead of relying on "Best reward credit card I've seen" posts, people need to crunch the numbers and consider how their own preferences and priorities factor in.
Already mentioned above but PenFed Platinum Cash Rewards would get you 5% (with qualifying product) or $500 for the same amount of spend. No minimum redemptions like the $25 increments with the BCP. Statement credits are automatically issued each month. No cap.rai wrote:Sure it's not for everyone, but we spend $10,000 in gas a year, ( less now that gas prices have lowered) which would be $300 cash back ($100 more than my current 2%)
Then you shouldn't post or you should be running your own site where you can make all the stipulations you want. People are free to reply despite whatever you want or don't want to hear.rai wrote:Again, I don't necessarily want to hear about people who make their own clothes or don't own a car.
Again, spend and potential rewards can vary. You can''t just assume that all "who spend multi thousands" are identical to you.rai wrote:I am more just pointing this out for people like me who spend multi thousands on credit cards every month.
Try spending some time on some credit card sites.rai wrote:Wow thanks, didn't know about pen fed glad I started this thread. I've been missing out on a lot of free money.
Last edited by takeshi on Tue Nov 18, 2014 10:10 am, edited 14 times in total.
- tuningfork
- Posts: 885
- Joined: Wed Oct 30, 2013 8:30 pm
Re: Heads up best reward credit card I've seen.
I've had the Amex Blue Cash Preferred for a few years, mainly for the 6% cash back on groceries. The $75 annual fee reduces the reward a bit, but it's still higher rewards for groceries than any other card I've seen. For gas, the Amex is my fallback when my Chase Freedom card isn't offering 5% back on gas, which it does one or two quarters per year.
One note about the Amex, after $6000 of grocery purchases in a year it drops back to 1%. Doesn't affect me, but it's a negative for some people.
One note about the Amex, after $6000 of grocery purchases in a year it drops back to 1%. Doesn't affect me, but it's a negative for some people.
Re: Heads up best reward credit card I've seen.
Capital One Quicksilver seems to be pretty good for me overall with 1.5% cashback on everything and not having to mix and match credit cards.
Would consider switching to Capital One Venture if a good deal comes up since its 2% on everything but you need to use the points for travel, which I intend to do more of going forward.
Would consider switching to Capital One Venture if a good deal comes up since its 2% on everything but you need to use the points for travel, which I intend to do more of going forward.
Re: Heads up best reward credit card I've seen.
Averaging 65mph is impressive.kenyan wrote:We used to do a one-week vacation every year in Colorado that was 2600 miles round trip, doing the ~20 hour drive in one day each way,
I always wanted to be a procrastinator.
Re: Heads up best reward credit card I've seen.
Speed limit in Nebraska and eastern Colorado is 75, which made for 85-mph driving for much of it . We took shifts, as well.Sidney wrote:Averaging 65mph is impressive.kenyan wrote:We used to do a one-week vacation every year in Colorado that was 2600 miles round trip, doing the ~20 hour drive in one day each way,
Retirement investing is a marathon.
Re: Heads up best reward credit card I've seen.
We started to use the Amex card one year ago, with a little bit of reluctance about the $75 fee, but since the 6% deal is so advantageous (this is $360 of savings over a year), we went for it, and this worked real well for us. MANY people use this card for groceries & gas.
When we reached the $6k limit, we just switched to our CapitalOne card with 1.5% cash back on everything. And used the Amex only for gas since then. We'll resume using the Amex for groceries next month. Doesn't take that much care to make it all work.
Do check that your favorite grocery stores take the Amex though... Some don't.
When we reached the $6k limit, we just switched to our CapitalOne card with 1.5% cash back on everything. And used the Amex only for gas since then. We'll resume using the Amex for groceries next month. Doesn't take that much care to make it all work.
Do check that your favorite grocery stores take the Amex though... Some don't.
Re: Heads up best reward credit card I've seen.
For us, the math on groceries is:siamond wrote:We started to use the Amex card one year ago, with a little bit of reluctance about the $75 fee, but since the 6% deal is so advantageous (this is $360 of savings over a year), we went for it, and this worked real well for us. MANY people use this card for groceries & gas.
~$400/month on groceries purchased at grocery stores (other groceries from Target, Sam's Club ineligible) = $4800/year
1. Amex blue cash = $4800 * .06 = $288 - 75 = $213
2. Barclays + Fido Amex = $3000 * .05 + $1800 * .02 = $186
No benefit for gas (Barclays 5% > 3% Blue Cash).
Actual CB will be slightly lower than ideal with second scenario, since we won't spend exactly $250/month on the Barclays (Sallie Mae), and the overshoot will only get us 1%. So...the Amex blue cash would get us a few extra bucks a month, but we're complicated enough already - also use a Discover card for rotating 5% categories + ShopDiscover cash back, as well as Capital One Quicksilver 1.5% for anything not captured by Fido Amex or categories. Plus, there is that hatred of annual fees I have.
Retirement investing is a marathon.
Re: Heads up best reward credit card I've seen.
Yes, for sure, this works much better if you do reach $6k a year. With 3 teenagers in the household, it goes real fast in our case!
- White Coat Investor
- Posts: 17409
- Joined: Fri Mar 02, 2007 8:11 pm
- Location: Greatest Snow On Earth
Re: Heads up best reward credit card I've seen.
6% at grocery stores is nice, and perhaps reason enough to get it. But why take 3% for gas when you can get 5% with Pen Fed. And why not use the Fidelity AmEx 2% for everything else?rai wrote:This Amex blue cash preferred gives 6% off grocery stores up to $6000 annual and 3% off gas and department stores unlimited.
I use my fidelity CC for 2% off everything, but we spend a lot on gas! this card has a $75 annual fee but gets a free $100 cash back bonus if you spend $1000 in the first three months
http://www.nextadvisor.com/credit_cards ... review.php
How does this card pay the cash? I hate having to redeem it. I'm also not a fan of annual fees reducing the awards and making it hard to compare cards.
1) Invest you must 2) Time is your friend 3) Impulse is your enemy |
4) Basic arithmetic works 5) Stick to simplicity 6) Stay the course
Re: Heads up best reward credit card I've seen.
It accumulates until you direct them on what to do with it. Need at least $25 to redeem and you redeem in increments of $25. You can apply it to your balance, buy merchandise off their site (no idea if any of it is a deal, I never looked), or buy gift cards for dozens of different establishments (sometimes on sale... right now $100 Macy's card is $90). I always just apply it to our balance.EmergDoc wrote:6% at grocery stores is nice, and perhaps reason enough to get it. But why take 3% for gas when you can get 5% with Pen Fed. And why not use the Fidelity AmEx 2% for everything else?
How does this card pay the cash? I hate having to redeem it. I'm also not a fan of annual fees reducing the awards and making it hard to compare cards.
Re: Heads up best reward credit card I've seen.
Keep in mind to check your various grocers and call to see if they still are exempting places like Costco, Sams Club, and Walmart as "not grocery stores" for the 6%. The main reason I don't get it is that literally no one counts as a grocer around here, except for one store that only takes cash/check/debit/food stamps.
Re: Heads up best reward credit card I've seen.
pays cash, by being able to credit your account statement.EmergDoc wrote:6% at grocery stores is nice, and perhaps reason enough to get it. But why take 3% for gas when you can get 5% with Pen Fed. And why not use the Fidelity AmEx 2% for everything else?rai wrote:This Amex blue cash preferred gives 6% off grocery stores up to $6000 annual and 3% off gas and department stores unlimited.
I use my fidelity CC for 2% off everything, but we spend a lot on gas! this card has a $75 annual fee but gets a free $100 cash back bonus if you spend $1000 in the first three months
http://www.nextadvisor.com/credit_cards ... review.php
How does this card pay the cash? I hate having to redeem it. I'm also not a fan of annual fees reducing the awards and making it hard to compare cards.
One thing of note, it does not consider discount store like Costco as 'Gas Station' or 'Supermarket'.
"Life is what happens to you while you're busy making other plans" - John Lennon. |
|
"You say that money, isn't everything |
But I'd like to see you live without it." - Silverchair
Re: Heads up best reward credit card I've seen.
There's a tipping point in spending where the annual fee for BCP becomes worth it. I can definitely see it being appropriate for a family.
If you don't spend enough to reach that tipping point, their Blue Cash Everyday is an option (half the cash back but no annual fee) as well as the Sallie Mae card (5% on up to $250 gas, $250 groceries, and $750 bookstores aka Amazon per month, 1% everything else). With just the two of us, we max out the $250 per month caps on 5% grocery and gas shortly before the statement cuts on our Sallie Mae card and the Amazon cash back is a nice perk if we happen to get stuff from there. I have to agree with kenyan that a bigger grocery cap would be nice, maybe even swapped with the Amazon cap, since we tend to hit that one earlier. Even hitting those caps we're still averaging $50/month into our vacation fund that wouldn't otherwise be there.
If you don't spend enough to reach that tipping point, their Blue Cash Everyday is an option (half the cash back but no annual fee) as well as the Sallie Mae card (5% on up to $250 gas, $250 groceries, and $750 bookstores aka Amazon per month, 1% everything else). With just the two of us, we max out the $250 per month caps on 5% grocery and gas shortly before the statement cuts on our Sallie Mae card and the Amazon cash back is a nice perk if we happen to get stuff from there. I have to agree with kenyan that a bigger grocery cap would be nice, maybe even swapped with the Amazon cap, since we tend to hit that one earlier. Even hitting those caps we're still averaging $50/month into our vacation fund that wouldn't otherwise be there.
Re: Heads up best reward credit card I've seen.
I would love for someone to come up with a program that you can plug all your expenditures into and it would tell you which cards to use for what. I don't know how I'd do that on my own.
For the groceries, one of the issues is that they don't usually recognize Wal Mart as a grocery store and therefore you don't get the cash back on Wal Mart groceries. Is this true of the AMEX card?
We put ~$6K/month on our credit card. Approximately $1,500 of that is groceries. We have another $600-$800 gas/month.
We use our classic Discover card for all of this. Not sure I"m getting the best deal.
For the groceries, one of the issues is that they don't usually recognize Wal Mart as a grocery store and therefore you don't get the cash back on Wal Mart groceries. Is this true of the AMEX card?
We put ~$6K/month on our credit card. Approximately $1,500 of that is groceries. We have another $600-$800 gas/month.
We use our classic Discover card for all of this. Not sure I"m getting the best deal.
Re: Heads up best reward credit card I've seen.
Everyone has their own way of pinching a penny. I am interested in the psychology of using a credit card. The studies that show people who use credit cards typically spend about 12-18% more than those who use cash, which negates the 1% - 5% cash rewards. I am certain I am not exempt from that tendency.rai wrote:Sure it's not for everyone, but we spend $10,000 in gas a year, ( less now that gas prices have lowered) which would be $300 cash back ($100 more than my current 2%)Impromptu wrote:An additional 6% off of groceries would be nice. However, I already save 20%-40% by buying my groceries at Aldi's, which does not accept credit cards. 3% on gas year round is nice, but there are other offers out there. I walk to work, so likely wouldn't be able to outpace the $75/year fee too easily.
Also if you spend $1000 in the first 3 months it gives you an additional $100 plus free Amazon prime membership which more than covers the annual fee for the first year at least.
Again, I don't necessarily want to hear about people who make their own clothes or don't own a car. I am more just pointing this out for people like me who spend multi thousands on credit cards every month.
Does getting this rewards card mean that my bank account will be lower at the end of the year than it otherwise would have? Am I going to work hard to spend the proper amount to meet the special bonus criteria? Or am I going to use it for my otherwise essential purchases, which are not going to increase in response to the tantalizing idea of free money? If it does not increase your spending habits and you actually end up with more money at the end of the year, then pursue the bonuses.
I'll gladly pay you Tuesday for a hamburger today.
-
- Posts: 15368
- Joined: Fri Dec 31, 2010 8:53 am
Re: Heads up best reward credit card I've seen.
The two grocery stores we exclusively use both take AMEX, but they are not credited as grocery stores by AMEX. Took me a little while to figure this out. Now, instead of using AMEX for groceries, we use our MangoMoney prepaid because the max balance is $10k, which we hit a few months ago, so we have to spend the $500/month direct deposit to continue earning the 6% on the attached savings. I guess it is worth it for the ~$320 we earn annually from the savings account, but anything more complicated than that and it is a headache.siamond wrote: Do check that your favorite grocery stores take the Amex though... Some don't.
Re: Heads up best reward credit card I've seen.
I suppose if I were younger and went from spending cash to a credit card, I could see maybe that I'd spend a little more. But, I've been using nothing but credit cards for many years. I don't think there is anything that I buy that I wouldn't buy if I paid cash. It's just a means for my family to take practically free vacations every year.Impromptu wrote:Everyone has their own way of pinching a penny. I am interested in the psychology of using a credit card. The studies that show people who use credit cards typically spend about 12-18% more than those who use cash, which negates the 1% - 5% cash rewards. I am certain I am not exempt from that tendency.rai wrote:Sure it's not for everyone, but we spend $10,000 in gas a year, ( less now that gas prices have lowered) which would be $300 cash back ($100 more than my current 2%)Impromptu wrote:An additional 6% off of groceries would be nice. However, I already save 20%-40% by buying my groceries at Aldi's, which does not accept credit cards. 3% on gas year round is nice, but there are other offers out there. I walk to work, so likely wouldn't be able to outpace the $75/year fee too easily.
Also if you spend $1000 in the first 3 months it gives you an additional $100 plus free Amazon prime membership which more than covers the annual fee for the first year at least.
Again, I don't necessarily want to hear about people who make their own clothes or don't own a car. I am more just pointing this out for people like me who spend multi thousands on credit cards every month.
Does getting this rewards card mean that my bank account will be lower at the end of the year than it otherwise would have? Am I going to work hard to spend the proper amount to meet the special bonus criteria? Or am I going to use it for my otherwise essential purchases, which are not going to increase in response to the tantalizing idea of free money? If it does not increase your spending habits and you actually end up with more money at the end of the year, then pursue the bonuses.
Re: Heads up best reward credit card I've seen.
Classic Discover is 1% on everything, and then some quarters with 5% gas or 5% on-line stores (usually cap of $1500)Bacchus01 wrote:We use our classic Discover card for all of this. Not sure I"m getting the best deal.
I only use Discover now when it's those 5% periods, and even then I run out of gas room in 5 weeks.
I have Fidelity Amex and Visa which give 1.5% to 2% on all purchases (need a fidelity account) it deposits the money into a fidelity account but you can transfer it out.
I think Fidelity Amex is 2% all the time with no limits, Fidelity Visa is 1.5% for the first $6000 and then 2% on everything with no limit.
I put a lot on my CC even such things as power or cable bills so I can capture more of the discounts.
"Life is what happens to you while you're busy making other plans" - John Lennon. |
|
"You say that money, isn't everything |
But I'd like to see you live without it." - Silverchair
Re: Heads up best reward credit card I've seen.
if you don't travel overseas, the City Double Cash card is 2% on everything w/ no limits.DAK wrote:Capital One Quicksilver seems to be pretty good for me overall with 1.5% cashback on everything and not having to mix and match credit cards.
Would consider switching to Capital One Venture if a good deal comes up since its 2% on everything but you need to use the points for travel, which I intend to do more of going forward.
Re: Heads up best reward credit card I've seen.
Yes, there are many ways to make one's clothes.dodecahedron wrote: I don't make my own clothes, I do own a car (two actually), and I do spend multi thousands on credit cards (though fortunately for me, relatively little goes to gas) but *I* am very interested in hearing everyone's perspective. There are many ways to skin a cat.
OP, thanks for pointing out this card. We also drive a bunch of miles and put most of our transactions through reward credit cards every month.
Never underestimate the power of the force of low cost index funds.
Re: Heads up best reward credit card I've seen.
Yes. IMO, the advertising from credit card companies is very misleading.Zecht wrote:Keep in mind to check your various grocers and call to see if they still are exempting places like Costco, Sams Club, and Walmart as "not grocery stores" for the 6%. The main reason I don't get it is that literally no one counts as a grocer around here, except for one store that only takes cash/check/debit/food stamps.
You don't get 6% cash back on groceries or gas. You get that on merchants that they decide are in these categories.
Something which you often don't know ahead of time.
Re: Heads up one of the better reward credit card I've seen.
I recently switched from the Blue Cash Preferred to the Sallie Mae Mastercard. Gas, Groceries, and Amazon are luckily where I spend the most money. The gas and amazon 5% back make the Sallie Mae worth it to me. I like that you can redeem instantly with the Sallie Mae anything over $25 right after the transaction posts. With the BCP, you have to wait until the following statement for points to post (November spending can't be redeemed until January) and can only redeem in $25 increments (you have $49.99 in rewards, but can only redeem $25) . However, the BCP does have a lot of bonus cash back offers and the yearly grocery limit is better than the low monthly limit with the Sallie Mae. If you are just comparing groceries, the Sallie Mae actually has a higher rate 5% vs the BCP $360-$75 fee=285/6000=4.75%, but Sallie Mae does have a lower limit $250/month (3k/year vs 6k/yr BCP). The Blue Cash Preferred Card has an annual fee so you may subconsciously want to spend more to make the $75 annual fee worth it.
I agree with the psychology point. You do spend more with a credit card without realizing it. Especially those sign up promos for some cards: spend $5,000 in three months and get $500 back! Luckily car insurance and utilities take credit card payments and you can pay in advance/buy gift cards. Online shopping especially Amazon is way too easy with a credit card especially after a couple of beers. Also, handing over cash money at a store vs. a piece of plastic is much different. However, for things you have to buy, why not get points back? A good 2% card is also nice to have for bills and non category spending.
Here is a chart comparing the two cards on grocery spending (doesn't include gas/amazon):
http://www.reddit.com/r/personalfinance ... yday_blue/
http://i.imgur.com/pLHIO9B.png
I agree with the psychology point. You do spend more with a credit card without realizing it. Especially those sign up promos for some cards: spend $5,000 in three months and get $500 back! Luckily car insurance and utilities take credit card payments and you can pay in advance/buy gift cards. Online shopping especially Amazon is way too easy with a credit card especially after a couple of beers. Also, handing over cash money at a store vs. a piece of plastic is much different. However, for things you have to buy, why not get points back? A good 2% card is also nice to have for bills and non category spending.
Here is a chart comparing the two cards on grocery spending (doesn't include gas/amazon):
http://www.reddit.com/r/personalfinance ... yday_blue/
http://i.imgur.com/pLHIO9B.png
You can't stop the waves, but you can learn to surf
Re: Heads up one of the better reward credit card I've seen.
Regarding the sallie Mae CC, that is better in regards to gas up to $250/mo but in my situation I'm better off using a combination of cards.
My reckoning for gas is $700-$800 a month, groceries maybe $200-300 a month which is harder to say since we do a lot of purchases as Costco which is not eligible.
If I used my old card 2% for everything just counting gas and groceries I'd save $240 a year but with amex blue I'd save $450 - $75 = $375. Plus the first year is covered with the instant $100 instant bonus if you spend $1000 in the first month.
Now if I add in Sallie Mae for the first $250 in gas 5% I'd save another $60 a year over and above the amex blue. One way to think of that would be it would almost pay for the amex annual fee, but another way to think is that it would add some complexity for a net gain of $5 a month. Also, hard to judge exactly $250 a month so I'd have to go under more likely or risk being pushed down into 1% for he overage as opposed to 3% for amex.
However, would also take advantage of the book store savings on Sallie Mae.
In the end I think I'll do
Sallie Mae for book stores and first $200-250 in gas
amex blue cash preferred for groceries and remainder of gas
My fidelity 2% back for everything else.
Discover for their periodic promotions like theme parks, on-line sales etc.. Up to their allowable limit.
My reckoning for gas is $700-$800 a month, groceries maybe $200-300 a month which is harder to say since we do a lot of purchases as Costco which is not eligible.
If I used my old card 2% for everything just counting gas and groceries I'd save $240 a year but with amex blue I'd save $450 - $75 = $375. Plus the first year is covered with the instant $100 instant bonus if you spend $1000 in the first month.
Now if I add in Sallie Mae for the first $250 in gas 5% I'd save another $60 a year over and above the amex blue. One way to think of that would be it would almost pay for the amex annual fee, but another way to think is that it would add some complexity for a net gain of $5 a month. Also, hard to judge exactly $250 a month so I'd have to go under more likely or risk being pushed down into 1% for he overage as opposed to 3% for amex.
However, would also take advantage of the book store savings on Sallie Mae.
In the end I think I'll do
Sallie Mae for book stores and first $200-250 in gas
amex blue cash preferred for groceries and remainder of gas
My fidelity 2% back for everything else.
Discover for their periodic promotions like theme parks, on-line sales etc.. Up to their allowable limit.
Last edited by rai on Wed Nov 19, 2014 7:23 am, edited 4 times in total.
"Life is what happens to you while you're busy making other plans" - John Lennon. |
|
"You say that money, isn't everything |
But I'd like to see you live without it." - Silverchair
Re: Heads up one of the better reward credit card I've seen.
I have a question about the Sallie Mae CC when it says 'book stores' does that include Amazon and everything they sell for instance electronics etc..?
Edit: asked and answered:
I looked it up, seems as if Amazon sales count as long as they are sold directly from Amazon and not a third party operating inside or fulfilled by Amazon.
Edit: asked and answered:
I looked it up, seems as if Amazon sales count as long as they are sold directly from Amazon and not a third party operating inside or fulfilled by Amazon.
"Life is what happens to you while you're busy making other plans" - John Lennon. |
|
"You say that money, isn't everything |
But I'd like to see you live without it." - Silverchair
-
- Posts: 8421
- Joined: Tue Aug 06, 2013 12:43 pm
Re: Heads up best reward credit card I've seen.
Why do you spend more with a credit card?Impromptu wrote:The studies that show people who use credit cards typically spend about 12-18% more than those who use cash, which negates the 1% - 5% cash rewards. I am certain I am not exempt from that tendency.
-
- Posts: 8421
- Joined: Tue Aug 06, 2013 12:43 pm
Re: Heads up one of the better reward credit card I've seen.
You might but I don't because I carefully analyze every purchase before I make so I have no impulsive spending.mbk734 wrote:I agree with the psychology point. You do spend more with a credit card without realizing it.
-
- Posts: 15368
- Joined: Fri Dec 31, 2010 8:53 am
Re: Heads up one of the better reward credit card I've seen.
Several studies have shown that the average consumer spends more with CC's than with cash; a lot easier psychologically to hand over the plastic than it is to count and hand over the bills. I suspect most people on this board do not fit into that average category and purchasing decisions don't really change either way.placeholder wrote:You might but I don't because I carefully analyze every purchase before I make so I have no impulsive spending.mbk734 wrote:I agree with the psychology point. You do spend more with a credit card without realizing it.
Re: Heads up one of the better reward credit card I've seen.
As to the Sallie Mae card and Amazon, non-tangible purchases generally do not get the 5 points. This includes Kindle purchases, online video, etc. They are sold by a different Amazon subsidiary that is not classified as a bookstore.
Re: Heads up one of the better reward credit card I've seen.
Just this past weekend, I bought used books from 3rd party sellers on Amazon using this card. One was fulfilled by Amazon, while the other was not. Both charges appeared as "AMAZON MKTPLACE PMTS." My 5x points for each purchase are already posted online.rai wrote:I have a question about the Sallie Mae CC when it says 'book stores' does that include Amazon and everything they sell for instance electronics etc..?
Edit: asked and answered:
I looked it up, seems as if Amazon sales count as long as they are sold directly from Amazon and not a third party operating inside or fulfilled by Amazon.
Re: Heads up one of the better reward credit card I've seen.
Increasingly, I see gas stations quoting two prices per gallon: one for cash and a higher one for credit. The differential usually more than offsets the benefits of a card like this one.
Re: Heads up one of the better reward credit card I've seen.
Thanks, I did not know just was looking at FAQ about the card, was not an official site just people giving their opinions. However it did say that money transfers via Amazon were exempt.The529guy wrote:Just this past weekend, I bought used books from 3rd party sellers on Amazon using this card. One was fulfilled by Amazon, while the other was not. Both charges appeared as "AMAZON MKTPLACE PMTS." My 5x points for each purchase are already posted online.rai wrote:I have a question about the Sallie Mae CC when it says 'book stores' does that include Amazon and everything they sell for instance electronics etc..?
Edit: asked and answered:
I looked it up, seems as if Amazon sales count as long as they are sold directly from Amazon and not a third party operating inside or fulfilled by Amazon.
Thing is, I'd hate to find out after the fact something was not covered.
"Life is what happens to you while you're busy making other plans" - John Lennon. |
|
"You say that money, isn't everything |
But I'd like to see you live without it." - Silverchair
Re: Heads up one of the better reward credit card I've seen.
Not around here, I have seen that happen but it's more rare than normal.lhl12 wrote:Increasingly, I see gas stations quoting two prices per gallon: one for cash and a higher one for credit. The differential usually more than offsets the benefits of a card like this one.
"Life is what happens to you while you're busy making other plans" - John Lennon. |
|
"You say that money, isn't everything |
But I'd like to see you live without it." - Silverchair
Re: Heads up one of the better reward credit card I've seen.
Digital purchases are not covered.rai wrote:Thanks, I did not know just was looking at FAQ about the card, was not an official site just people giving their opinions. However it did say that money transfers via Amazon were exempt.The529guy wrote:Just this past weekend, I bought used books from 3rd party sellers on Amazon using this card. One was fulfilled by Amazon, while the other was not. Both charges appeared as "AMAZON MKTPLACE PMTS." My 5x points for each purchase are already posted online.rai wrote:I have a question about the Sallie Mae CC when it says 'book stores' does that include Amazon and everything they sell for instance electronics etc..?
Edit: asked and answered:
I looked it up, seems as if Amazon sales count as long as they are sold directly from Amazon and not a third party operating inside or fulfilled by Amazon.
Thing is, I'd hate to find out after the fact something was not covered.
-
- Posts: 8421
- Joined: Tue Aug 06, 2013 12:43 pm
Re: Heads up one of the better reward credit card I've seen.
Sure I have no problem believing that the average consumer does spend more and in fact the average credit card user carries a balance too.stoptothink wrote:Several studies have shown that the average consumer spends more with CC's than with cash; a lot easier psychologically to hand over the plastic than it is to count and hand over the bills. I suspect most people on this board do not fit into that average category and purchasing decisions don't really change either way.
-
- Posts: 8421
- Joined: Tue Aug 06, 2013 12:43 pm
Re: Heads up one of the better reward credit card I've seen.
At one time Amoco stations in St .Louis did that but BP didn't carry it forward and currently no stations I've seen do that.lhl12 wrote:Increasingly, I see gas stations quoting two prices per gallon: one for cash and a higher one for credit. The differential usually more than offsets the benefits of a card like this one.
Re: Heads up one of the better reward credit card I've seen.
Yes, I see that more & more as well. It usually does NOT offset a 3% or a 5% cash back, but it certainly offsets the more usual 1% or 1.5% cash back.lhl12 wrote:Increasingly, I see gas stations quoting two prices per gallon: one for cash and a higher one for credit. The differential usually more than offsets the benefits of a card like this one.