More free credit card money. $500

[Fedup]

Heads up: 100,000 point Chase Ink Business Preferred. Bit of a struggle to get as it currently has to be submitted by a Chase Business Relationship manager, and they often are servicing multiple branches. In branch or online the offer is for 80,000; but through the Business Relationship Manager the offer is 100,000 points after $5000 spend in three months time.

There is a pretty good rumor that in branch is also going to go to 100,000 points early next month. $95 annual fee, but those 100,000 points can be exchanged for $1,000 plunked into your checking account, so...

Wow 100,000 points? Is there a time frame in between cards? They turned my husband down recently because he did close his Chase Sapphirre preferred card last year after getting the points. But I wonder if I'm qualify. Maybe I should talk to them but I've been avoiding Chase.

 

[calmloki]

Wow 100,000 points? Is there a time frame in between cards? They turned my husband down recently because he did close his Chase Sapphirre preferred card last year after getting the points. But I wonder if I'm qualify. Maybe I should talk to them but I've been avoiding Chase.

Fewer than 5 new cards in the last 24 months and I think no other new Chase cards in the last 2 months; it is a business card, so you need a business. We have the rentals in Oregon - applied here in California and they made noises about wanting a Chase business account and business license, but as a special deal and seeing as it was me... We'll see - the gal got her card in mid March, but she applied as a single entity and I'm not on her card. We do both file separate tax returns for the rentals, not joint.

 

[Fedup]

We have a business. But no checking account under that business. But we have an EIN number.

 

[CaptTom]

5% on Amazon (Amazon Store Card, also got a signup bonus)
5% on Gas (PenFed, from before they went to "points")
5% at Lowe's (Lowe's card)
2% on everything else (Citibank Double Cash)

That's hard to beat, with just four cards. The PenFed cards stay in the vehicles, I'm not even sure I have a physical Amazon card, so it's really just 2 we carry, along with a few "spares" we never use.

We don't do much international travel, and rarely use cash, but also carry one credit card with no exchange fees, and a debit card in case we ever need to use an ATM. Can't remember the last time I pulled out the debit card.

 

[calmloki]

Of course none of us carry credit card balances - I'm mean that way and only want the banks to pay me instead. Still, here's a motivational video on credit cards:

 

[erkevin]

Heads up: 100,000 point Chase Ink Business Preferred. Bit of a struggle to get as it currently has to be submitted by a Chase Business Relationship manager, and they often are servicing multiple branches. In branch or online the offer is for 80,000; but through the Business Relationship Manager the offer is 100,000 points after $5000 spend in three months time.

There is a pretty good rumor that in branch is also going to go to 100,000 points early next month. $95 annual fee, but those 100,000 points can be exchanged for $1,000 plunked into your checking account, so...

But taking the 1k in cash gets you 1099ed, right?

 

[calmloki]

Don't know - no 1099s from previous Chase or other cards cash bonus amounts. Have read tax pros on here saying that a business card means that bonus amounts reduce cost of business and thus increase taxable profit - at least I seem to recall such. Whether one will get a 1099 I do not know.

 

[audreyh1]

I don't think credit card rewards usually generate 1099s as they are considered discounts on purchases as you have to spend money to earn them. Now the Chase checking and savings account bonuses do show up on your 1099-INTs.

 

[Red Badger]

Fewer than 5 new cards in the last 24 months and I think no other new Chase cards in the last 2 months; it is a business card, so you need a business. We have the rentals in Oregon - applied here in California and they made noises about wanting a Chase business account and business license, but as a special deal and seeing as it was me... We'll see - the gal got her card in mid March, but she applied as a single entity and I'm not on her card. We do both file separate tax returns for the rentals, not joint.

I Opened a personal Chase Sapphire CC in Jan and got the 100K points after meeting the 3 month spend requirement ($3 or $4K). Don't know if that offer is still out there. Also opened a Marriott card (Chase) last month - 100K hotel point, plus silver status, plus 1 free night each year with renewal ($85 annual fee). Again, not sure if offer is still available...
Good luck!

 

[CaptTom]

The only PenFed card giving rewards on groceries (Platinum) gives them as points, and they don't translate to 3% cash back. It costs 2,940 points to get a $25 gift card, and then you have to receive the gift card to spend it. I don't want to hassle with that. 3x points becomes 2.55% cash reward on groceries and you have to go through the hassle of receiving a gift card.

I was very disappointed in PenFed when they changed from cash back (direct credit on the account) to "points." When I called to complain, they offered to let me keep the cash back option, but only one one of the three categories; 5% on gas 3% on groceries and 2% on everything else (IIRC.) I was going to cancel the card, but I decided the 5% deal was too good to pass up so DW and I each put our PenFed card in our car, and only use it for fuel.

Not to disparage folks who enjoy traveling for "free" on points, but that's not for me. Points have no set value; they are worth what the company decides they're worth that day. It's impossible to comparison shop.

I don't like the hassle of having to shop from their catalog, or request a gift card. I have one CC which allows me to take my 2% as a direct credit to my account, although I'm a little peeved that I have to go on line each month and navigate through a few screens to do so.

My suspicion is that small CC companies like PenFed were sold this "points" system by a third party. A middleman who manages the whole thing for them and makes a profit doing so. Maybe PenFed gets a kick-back too, but for whatever reason, they thought it would be a good thing... for them.

But it's not a good thing for customers.

The worst part is, processing that cash back probably cost PenFed next to nothing. Just a batch job that was set to run on a schedule. To set up a "points" system requires relationships with other vendors, new web sites, printing gift cards, etc.

You know all that added expense is coming from somewhere. And you know it's not the CC company or the company who manages the points.

Still, people vote with their wallets. Apparently I'm in the minority in not finding the points game "fun."

 

[calmloki]

I was very disappointed in PenFed when they changed from cash back (direct credit on the account) to "points." When I called to complain, they offered to let me keep the cash back option, but only one one of the three categories; 5% on gas 3% on groceries and 2% on everything else (IIRC.) I was going to cancel the card, but I decided the 5% deal was too good to pass up so DW and I each put our PenFed card in our car, and only use it for fuel.

Not to disparage folks who enjoy traveling for "free" on points, but that's not for me. Points have no set value; they are worth what the company decides they're worth that day. It's impossible to comparison shop.

I don't like the hassle of having to shop from their catalog, or request a gift card. I have one CC which allows me to take my 2% as a direct credit to my account, although I'm a little peeved that I have to go on line each month and navigate through a few screens to do so.

My suspicion is that small CC companies like PenFed were sold this "points" system by a third party. A middleman who manages the whole thing for them and makes a profit doing so. Maybe PenFed gets a kick-back too, but for whatever reason, they thought it would be a good thing... for them.

But it's not a good thing for customers.

The worst part is, processing that cash back probably cost PenFed next to nothing. Just a batch job that was set to run on a schedule. To set up a "points" system requires relationships with other vendors, new web sites, printing gift cards, etc.

You know all that added expense is coming from somewhere. And you know it's not the CC company or the company who manages the points.

Still, people vote with their wallets. Apparently I'm in the minority in not finding the points game "fun."

I have as my main card the Fidelity Visa. No annual fee, 2% back on everything, and was able online to have the points convert to a 1ccp deposit into a Fidelity savings account automatically - much like the old PenFed worked. Think I went to the Fidelity card as the primary when PenFed did its card shakeup. I agree with your feeling on points - mostly they get converted into $$, but when Chase Sapphire Reserve offers a 1.5ccp on travel when using points and the travel is something I am going to do anyway... Mr. Thrifty uses the points instead of getting cash.

 

[Fedup]

I didn't play these games when I was working. Heck I didn't care about even cash reward points except for the Fidelity VISA cash back for 529 accounts. I paid for kid number 1 4-year college tuition and net about $5k for kid #2 529 account. That's a pretty good way to get free money.
But now I'm retired, it's sort of fun to play. But I must admit, you have to travel to enjoy these rewards.
I'm going to spend at least $5k in Hawaii and Canada, so that's how I'm going to earn 75,000 reward points from American Express. Next year, I'm sure I will spend $30000 at least and that's another free first class ticket to U.K. On British airways credit card. It would be nice if I get a bonus on top of this free ticket. But I'm having too much fun spending money.

 

[audreyh1]

We're pretty much cash back only, and only look at how the cash back or statement credit is rewarded when we sign up for a card.

One exception is airline miles since these cards tend to give other travel perks such as free checked luggage and priority boarding. The miles earned are held in the airline customer loyalty account, not the credit card or bank - but then the airlines have been known to devalue those kinds of perks too.

But we tend to use the mileage cards for only very specific things, not in general. Good for primary insurance on car rental though!

 

[Fedup]

I just checked price that I got for free on my Bora Bora Trip. 2 free one way business class tickets from HNL to PPT, that $1800 per ticket. 2 free one way economy tickets from PPT to Maui for $900 per ticket. And 2 free economy one way tickets from LAX to HNL, must be at least $300 per ticket. Almost $6500 worth of free tickets. But I spent about $2000 on 2 Hawaiian Airlines credit cards. Plus when I did I got 50% discount on a second ticket which I used to pay for tickets for my kids to Hawaii 2 years ago. And I spent about $12000 on the Citybank credit cards for American Airlines miles awards. So all in all I spent less than $15,000 for nearly $7000 free tickets. I probably would have gotten a lot less if I get cash back only.

 

[Chuckanut]

If you can get the big pile of bonus miles/points offered for new card owners, that can certainly beat cash back. But, once that pile of points is exhausted, replacing it by normal spending is difficult for most of us. If one has a business it might be possible to funnel a lot of the bushiness expenses through a card and earn tens of thousands of points every year.

But, for most of us, it would take many many years to earn a pile of points equal to the initial bonus. And given the tendency for the controlling companies to devalue the points by raising requirements, slow long term point collection is problematic, IMHO. Slow and steady may win the race if one is a turtle in a fixed environment, but when they can keep moving the finish line any distance at any time, one needs to be able to speedily cross it before it moves again. My 2¢.

 

[Fedup]

I closed most of my credit cards that I opened for points. I guess I'm in churner category. I have not had miles devalued yet. Maybe it's coming. But I also gave my points to my kids for free traveling. They don't mind economy seat either. I extend my miles by booking hotels on Rocketmiles every once a while.

 

[athena53]

I have as my main card the Fidelity Visa. No annual fee, 2% back on everything, and was able online to have the points convert to a 1ccp deposit into a Fidelity savings account automatically - much like the old PenFed worked.

That's my tactic. Back when I was traveling for business it made more sense to have an airline- and hotel-based credit card because it helped add to the points/miles I was racking up on business travel but we were paying almost $400/year in annual fees. I like the freedom of flying whatever airline fits my route and schedule and if I'm flying Business Class (which I do on long-hauls), I get better perks than the credit card holders get.

I still have a Marriott card because I always need a backup, but maybe I ought to look at replacing it at the next renewal with a new card that offers a big sign-on bonus.

 

[audreyh1]

I have to buy my tickets with my mileage credit card to get the free checked baggage benefit for me and a companion, so that's pretty much the only thing I use it for. At least they give me 2x miles (for giving up my cash back on the ticket).

And car rental for the primary insurance benefit.

 

[calmloki]

The signup bonus amounts are worthwhile: my no-brainer Fidelity 2% card needs me to spend $47,500 to earn $950; nice, and better than paying with a check. The Chase Business Ink needs me to spend $5000 to earn 105,000 points, or $1050 minus annual fee of $95 = $955. After spending $5000 on the Ink card I could shift spending to the Fidelity, spend $42,500 and collect $850 more. So just doing money rewards the reward amount can be about doubled. If travel works the rewards can be even more dramatic.

I wait for worthwhile ($500+) bonus amounts and take them. We have a $4200 insurance bill due on a building - using the Ink card will get that bill paid at about a 20% discount.

 

[Sunset]

I have to buy my tickets with my mileage credit card to get the free checked baggage benefit for me and a companion, so that's pretty much the only thing I use it for. At least they give me 2x miles (for giving up my cash back on the ticket).

And car rental for the primary insurance benefit.

I thought CC's gave secondary car rental insurance, except Amex if you paid the $25 extra ??

 

[Fedup]

I just got two offers from Capital One, but in the past I just throw them away because frankly I don't understand how you use their award fees. what are your thoughts on this?

 

[audreyh1]

I thought CC's gave secondary car rental insurance, except Amex if you paid the $25 extra ??

Several Chase credit cards give you primary car rental insurance automatically with no additional fee.
https://thepointsguy.com/2015/07/credit-cards-that-offer-primary-car-rental-coverage/