Which Credit Card to maximize value for $100K expense

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Topic Author
naveen
Posts: 62
Joined: Sat Jan 03, 2015 12:35 am

Which Credit Card to maximize value for $100K expense

Post by naveen » Wed Feb 12, 2020 3:18 pm

I have a big expense ($100K+) coming up in less than 2 months, that I can put on a credit card.

In the past, I would put it on the Alliant Credit card to get 3% back. Now they have limited it to max $250/300 cash back per month.

What is the best way to maximize the value of this spend?

I am looking to pay it off right away and not looking for low-interest rate deals, but really looking to maximize on the rewards (Travel - American/United, Hotel or cash).

I have real good FICO score, so applying for and getting new cards should not be an issue. If I get a card with lower than 100K limit then I intend to pay it off within a day of the transaction and then use it again. I am open to getting multiple cards with the best new promo rewards.

The current plan is to use Fidelity that gives 2% cashback.
Last edited by naveen on Wed Feb 12, 2020 3:30 pm, edited 1 time in total.

MotoTrojan
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Joined: Wed Feb 01, 2017 8:39 pm

Re: Which Credit Card to maximize value for $100K expense

Post by MotoTrojan » Wed Feb 12, 2020 3:24 pm

I would open 4-6 credit cards (apply all at once to maximize odds, or split with a spouse if applicable) with high bonuses.

https://www.doctorofcredit.com/best-cur ... n-bonuses/

Depending on what category this would fall in to the best you may get on most cards is 1% in addition to the bonus, so you will probably want to limit how much you put on those cards to whatever the bonus requires, and put the rest on a 2% cash back card (Fidelity, Citi DoubleCash, etc...).

You can further arbitrage the situation by using some cards with 0% APR bonuses to give you 12-15 months to pay them back, and then use the cash for bank account bonuses. This is usually taxable and takes more effort, but can pay-off. I used both of these methods to achieve around $4K after-tax in a matter of months last year.

https://www.doctorofcredit.com/best-ban ... t-bonuses/

deltaneutral83
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Re: Which Credit Card to maximize value for $100K expense

Post by deltaneutral83 » Wed Feb 12, 2020 3:26 pm

You could parlay this into several cards really. I'm guessing since this is $100k it's a business expense and there are some fantastic bonuses out there for business cards. Notably, the Southwest business card is offering 100,000 RR's for $25k in spend. This will get you the companion pass with SW for a total of 125,000 RR's + companion pass through Dec 2021. The Chase Ink Preferred offers $80,000 UR upon spending $5k as well.

Also, I am not at all familiar with a 3% cash back credit card, even with cash back limits of $250 as that would still be over $8k in spend per month?

Jags4186
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Re: Which Credit Card to maximize value for $100K expense

Post by Jags4186 » Wed Feb 12, 2020 4:22 pm

Hold out and see if Capital One comes back with the Spark $2000 bonus after $50k spend. You can get two Spark cards (cash & miles, or you and spouse both get cash or miles), put $50k on each, and walk away with $6000.

Topic Author
naveen
Posts: 62
Joined: Sat Jan 03, 2015 12:35 am

Re: Which Credit Card to maximize value for $100K expense

Post by naveen » Wed Feb 12, 2020 6:18 pm

Jags4186 wrote:
Wed Feb 12, 2020 4:22 pm
Hold out and see if Capital One comes back with the Spark $2000 bonus after $50k spend. You can get two Spark cards (cash & miles, or you and spouse both get cash or miles), put $50k on each, and walk away with $6000.
Any idea, how often can we apply. I used them last year and then closed the account.

Do they have any Chase like rules e.g. 24/5?

Financologist
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Re: Which Credit Card to maximize value for $100K expense

Post by Financologist » Thu Feb 13, 2020 12:33 am

Depends on where you live and how much you travel. If in a Southwest Airlines hub, you could get signup bonus, then earn a companion pass with an additional ~50k of spend. Then chase sapphire + bonvoy boundless + others that offer best sign on bonuses at the time of expenditure.

Xov581
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Re: Which Credit Card to maximize value for $100K expense

Post by Xov581 » Thu Feb 13, 2020 3:42 pm

Since you mentioned united, the new united business card is offering 100k miles for 10k spend.

If you're talking about a single purchase of 100k, the amex business plat or gold might be good options since those are designed for really high spending. The plat should have tiered 100k offers available plus 1.5x base MR since the purchase is over 5k. I mention the business gold in case your purchase would fall into one of the 4x categories as you could get 450k MR (50k signup plus 4x100k).

Topic Author
naveen
Posts: 62
Joined: Sat Jan 03, 2015 12:35 am

Re: Which Credit Card to maximize value for $100K expense

Post by naveen » Thu Feb 13, 2020 4:52 pm

Xov581 wrote:
Thu Feb 13, 2020 3:42 pm
Since you mentioned united, the new united business card is offering 100k miles for 10k spend.

If you're talking about a single purchase of 100k, the amex business plat or gold might be good options since those are designed for really high spending. The plat should have tiered 100k offers available plus 1.5x base MR since the purchase is over 5k. I mention the business gold in case your purchase would fall into one of the 4x categories as you could get 450k MR (50k signup plus 4x100k).
It does not fall in the 4x category.

MichCPA
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Re: Which Credit Card to maximize value for $100K expense

Post by MichCPA » Thu Feb 13, 2020 5:21 pm

IMO, if you have a travel card that gives progress toward status for higher spend (ex: Delta Reserve, Marriott Brilliant, Hyatt). That might be a decent option too IF you travel a ton.

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