Whether you’re going on a far-flung adventure this spring or plan on sticking closer to home, the quarterly bonus categories on the Chase Freedom Flex℠ and the original Chase Freedom® give you plenty of opportunities to earn elevated rewards on everyday purchases and maybe some splurges, too. And if you have the Flex version of the card, the quarterly categories are especially rich.
Holders of the Chase Freedom Flex℠ and the Chase Freedom® earn 5% cash back on up to $1,500 in combined spending in bonus categories that change every three months. From April 1 through June 30, 2024, the bonus categories are:
Select hotel bookings.
If you have the Chase Freedom Flex℠, you may notice that a couple of those categories already earn extra cash back because of the card’s fixed bonus rewards. The quarterly bonus rates “stack” on top of those. That means Flex cardholders (but not holders of the original Freedom) can earn up to 9% back on hotels booked through Chase, and up to 7% back on dining purchases. More on that below.
To receive elevated rewards, cardholders need to activate the bonus categories online by June 14. Rewards will apply retroactively, so as long as you activate by the deadline, you’ll earn extra cash back on all eligible purchases made throughout the quarter.
Chase Freedom® and Chase Freedom Flex℠ bonus rewards categories for 2024
Q1 (Jan. 1-March 31)
Grocery stores.
Fitness clubs and gym memberships.
Self-care and spa services.
Q2 (April 1-June 30)
Select hotel bookings.
Restaurants.
Amazon.com.
Q3 (July 1-Sept. 30)
TBD (In 2023: Gas stations and electric vehicle charging; select live entertainment).
Q4 (Oct. 1-Dec. 31)
TBD (In 2023: PayPal; wholesale clubs; select charities).
Stacked rewards let Flex cardholders score big
Amazon is a mainstay bonus category for quarterly rewards, and the sheer breadth of items you can buy through the online marketplace makes it an easy way to earn extra rewards. But the other two categories — dining and select hotel bookings — have the potential to be much more valuable for Chase Freedom Flex℠ cardholders, thanks to the card’s ongoing rewards. Here’s how.
In addition to the bonus cash back cardholders can earn in rotating categories, the Chase Freedom Flex℠ also has the following “fixed” bonus categories that don’t change:
3% back at restaurants.
3% back at drugstores.
5% back on qualifying Lyft services purchased through the Lyft app (through March 31, 2025).
1% back on all other purchases.
Hotels booked through Chase already earn elevated rewards throughout the year (5% back), as do dining purchases (3% back). The quarterly bonus doesn’t replace those rewards; it “stacks” on top of them, meaning you can earn up to 9% back on hotels booked through Chase, and up to 7% back on dining purchases.
The original Chase Freedom® (which is no longer available to new applicants) has the same 5% rotating bonus calendar but does not have the fixed categories. So holders of that card will earn 5% in all of the quarterly categories.
🤓Nerdy Tip
Why 7% and 9%? When Chase awards 5% cash back in its quarterly categories, it does so using this logic: Purchases that normally get 1% cash back are now earning an additional 4% cash back — so the quarterly bonus is 4% on top of the usual rewards. So for the second quarter of 2024, restaurant spending that usually earns 3% with Chase Freedom Flex℠ earns 4% on top of that, for a total of 7%. Hotels booked through Chase usually earn 5%, so adding 4% to that gets you to 9% cash back.
Watch out for foreign transaction fees
These elevated rewards on dining and hotels booked through Chase make the Chase Freedom Flex℠ and Chase Freedom® ideal travel companions for spring and early summer trips. But if you’re traveling internationally, you might want to think twice before you whip out either card to pay for a meal or a hotel reservation.
Chase generally charges a 3% foreign transaction fee on its nontravel credit cards, which will cut into the value of any rewards you earn. The reward rates are high enough that you can still come out ahead, but you may need to do a little math first.
The information related to Chase Freedom® credit card has been collected by NerdWallet and has not been reviewed or provided by the issuer of this card.
Congratulations on becoming a homeowner! Embarking on this journey marks a significant milestone in your life. As you step into your new abode, it’s essential to lay down the groundwork for a smooth transition and a happy home. To help you navigate this exciting time, we’ve curated a comprehensive checklist of essential first steps for settling into your new home.
Enjoying our content? Subscribe to our free weekly newsletter to get real estate market insights, news, and reports straight to your inbox.
Change the Locks
Your home’s security should be a top priority. Change all exterior door locks and consider installing a smart lock system for added convenience and peace of mind.
Update Address and Utilities
Notify relevant parties, including the post office, banks, subscription services, and utility companies, of your new address. Set up new accounts or transfer existing ones for essential utilities like electricity, water, gas, internet, and cable. Make sure to receive the key to your community mailbox to access your mail if needed.
Inspect and Clean
Before moving in your belongings, conduct a thorough inspection of your new home. Look for any damages or issues that need immediate attention. Plan a deep cleaning session to ensure a fresh start in your new space.
Familiarize Yourself with Safety Features
Locate fire extinguishers, smoke detectors, carbon monoxide detectors, and emergency exits. Test each device to ensure they are in proper working condition. If your home lacks these safety features, consider installing them as soon as possible.
Organize Important Documents
Keep all essential documents, including mortgage papers, insurance policies, warranties, and home improvement receipts, in a safe and easily accessible place. This ensures that they don’t get lost during your move-in and that they are always there when you need them.
Set Up Home Maintenance Schedule
Create a schedule for routine home maintenance tasks such as HVAC servicing, gutter cleaning, and lawn care. Staying on top of maintenance will help prevent costly repairs down the line.
Get to Know Your Neighborhood
Take some time to explore your new neighbourhood. Locate nearby amenities such as grocery stores, schools, hospitals, and recreational facilities. Introduce yourself to your neighbours and start building connections within the community.
Make It Your Own
Personalize your space by unpacking and arranging your belongings to reflect your style and preferences. Consider adding a fresh coat of paint, hanging artwork, or incorporating decorative elements to make your house feel like home.
Plan for Emergency Preparedness
Develop an emergency plan for your household, including evacuation routes and designated meeting points. Stock up on emergency supplies such as non-perishable food, water, first aid kits, and flashlights.
Celebrate Your New Home
Finally, take a moment to celebrate this significant milestone in your life. Host a housewarming party to share the joy with friends and family, or simply enjoy a quiet evening in your new home, savouring the sense of accomplishment and the beginning of a new chapter.
Are you looking to own a home this spring? Give us a call today! Our real estate agents are more than happy to help you move into your new home!
Wondering how to stay at hotels for free? I have stayed in many hotel rooms for free over the years by using many of these same strategies below. Finding ways to get free hotel stays is a great way to travel on a budget or simply just save money on hotels. This can allow you…
Wondering how to stay at hotels for free? I have stayed in many hotel rooms for free over the years by using many of these same strategies below.
Finding ways to get free hotel stays is a great way to travel on a budget or simply just save money on hotels. This can allow you to go on more vacations and use your money for other things in life.
Whether it’s a fancy resort or a specific hotel brand, the trick is to know where to find these opportunities and make the most of them.
Key Takeaways
Loyalty programs are a direct path to earning free hotel stays. This is because they tend to give a free night after a certain number of paid stays. You accumulate points for each stay that you can redeem for free nights.
Credit card points can be used for free hotel stays. Many credit cards partner with hotel brands to give sign-up bonuses. By meeting the minimum spending requirements, you can earn points for free hotel stays. These points can be substantial, so choose a card aligned with your preferred hotel chain.
Earning gift cards from rewards platforms can be a way to make money to put toward free hotel stays.
Best Ways To Get Free Hotel Stays
Below are ways to get free hotel stays.
Take surveys for free hotel stays
You can get free gift cards by answering paid online surveys, and you can use these gift cards to help you get a free hotel stay.
So, this would work like this – you could get free gift cards to places like Hotels.com, Marriott Hotels, Holiday Inn, or even a Visa gift card (that you can use anywhere) as a reward for answering online surveys. You then collect gift cards until you reach the amount that you need to book the hotel that you want.
To get started, you’ll want to find a survey site that you trust. Some of my favorites are:
I recommend signing up for all of them so that you can get the most surveys possible to answer, which will then pay you with more gift cards.
There are also other apps that you can use as well to get free gift cards, such as Fetch Rewards and Ibotta.
I get free gift cards all the time, and recently, I logged into several of the accounts that I am signed up for and turned in my points. This led to me getting $275 in free gift cards. I personally like to wait until I have a lot of gift cards that I can redeem all at once.
Now, this would take a decent amount of time. You won’t get a free hotel stay in one day. But if you keep doing surveys, your gift cards will add up.
Recommended reading: 16 Real Ways To Earn Free Gift Cards (Amazon, Target, Visa)
How to get free hotel stays as an influencer or blogger
As a blogger and social media influencer, I have received many hotel stays for free over the years. From luxury hotels and all-inclusive resorts in the Caribbean to RV campgrounds and more, I have partnered with many different types of accommodations over the years.
And, I know of many other people who have received free hotel rooms through this as well.
Getting free hotel stays as an influencer means partnering with hotels and showing them why you’re valuable to their brand.
This may include sharing your hotel stay on your blog, Facebook, Instagram, Twitter, YouTube, TikTok, or somewhere else that you have followers and readers.
Here’s a quick guide on how to stay at hotels for free as a social media influencer or blogger:
Assess what you can offer. Hotels are looking for exposure and new customers, so your reach and engagement rates are important. How many people will see what you share about their hotel?
Customize your content to align with the hotel’s image and key messages.
Contact hotels professionally, usually through their marketing or PR department, and highlight how your content will benefit their visibility and attract potential customers. This is typically done through email.
Be clear about expectations – what you will provide and what you expect in return. Set deliverables, such as a number of posts, stories, or a video.
You can learn how to start a blog by taking my free How To Start A Blog Course. You can join over 80,000 people who have already taken the course. In this free course, I show you how to create a blog, from the technical side to earning your first income and attracting readers.
Travel credit card rewards
If you want to learn how to stay at hotels for free, this is one of the top ways.
I have earned several free hotel stays over the years by using the rewards points I have earned from my credit cards toward my hotel room. I’ve been using rewards credit cards for years, and they are pretty much all that I use now. It helps me save money on travel, earn cash back, and more.
A rewards credit card lets you earn points, miles, or cash back that you can use for almost free travel. These cards usually give you points that you can use for things like airline miles, booking hotels, gift cards, or cash back. You earn these rewards just by using your credit card for everyday purchases like groceries, gas, and shopping. But remember, it’s important to pay off your full balance each month to make sure the rewards are worth it and avoid paying extra for interest charges.
Here’s a quick summary to help you understand how rewards credit cards work:
Choose a credit card with rewards that interest you, like points, cash back, or travel rewards.
The card may require you to spend a certain amount, for example, $3,000 in the first 90 days, to get a sign-up bonus. Some don’t have any minimum requirement, and you can simply earn points for your purchases.
Use these points for rewards like cash back, hotel stays, airfare, or other options.
You can learn more about my favorite cards at Best Rewards Credit Cards, such as the Chase Sapphire Preferred Card (Chase Ultimate Rewards Points are the best!), Chase Sapphire Reserve, Marriott Bonvoy Boundless, Hilton Honors American Express Surpass Card, and others.
I also recommend reading How To Take A 10 Day Trip To Hawaii For $22.40 – Flights & Accommodations Included.
Note: Credit card rewards and even the best travel credit cards are not worth it if you go into debt. Remember to pay off your monthly bill in time (and the full amount) before interest charges accrue. Also, many of the good rewards credit cards have an annual fee each year on your card anniversary, so take that into account as well. So, you should always be careful!
Sign up for hotel loyalty programs
Hotel rewards programs are your way to get free stays and room upgrades. When you join these programs, you can earn points for a free night’s stay, and as you climb the levels, you can get additional benefits such as getting your resort fees waived.
Programs like Marriott Hotels, IHG Rewards Club, and Hilton Honors are free to join and sometimes give you a free night after a certain number of stays or points earned.
Some examples of hotel rewards programs include:
Marriott Bonvoy – Combines former Marriott Rewards, Ritz-Carlton Rewards, and Starwood Preferred Guest programs.
IHG Rewards Club – Allows you to earn points for stays which can be used for free nights.
Hilton Honors – Provides exclusive member deals and guarantees the lowest rates when booking directly.
Many travel booking sites also have rewards programs, such as Expedia even. These programs give valuable benefits like this to get you to book through them as much as possible so that they can make more money.
You can earn points in several ways beyond just booking hotel rooms:
Stay at hotels – Every night you stay earns you more points, with the amount varying by hotel and the rate you book.
Promotions – Look out for and register for periodic promotions that have bonus points.
Partnerships – Earn points through partners, for instance, by booking car rentals or flights with associated airlines.
Your accumulated points can be redeemed for free hotel nights, among other rewards. The number of points needed for a free night certificate varies by hotel brand, location, and the room’s price.
Find mystery shopping jobs at hotels
Mystery shop companies sometimes need secret shoppers to evaluate a hotel for them. I have seen these types of jobs pop up several times, and I have personally done a few as well.
These are typically just one or two-night stays in your local area, but it can make for a fun and free staycation.
This can be a great way to vacation on a budget.
Become a travel agent if you’re traveling with a group
If you often travel with groups, becoming a travel agent can be a smart choice. As a travel agent, you get industry discounts and may earn commissions on your bookings. To become one, you need accreditation, usually from a trusted program that teaches you important industry knowledge.
Here’s how you can benefit:
Access to discounts – As a travel agent, you can unlock special rates not available to the public. When traveling with a group, this can translate into significant savings.
Earn commissions – Booking for multiple people means the potential for earning commissions from hotels increases. This can sometimes offset the cost of your own accommodation.
Though this role comes with perks, it also means handling travel details professionally and responsibly for others. It’s not just about getting free stays; it’s also about making sure that your group has great travel experiences.
Work at a hotel
Working at a hotel can be a way to get free accommodation. As an employee, you can usually get discounts or even stay for free, depending on your job and the hotel’s policy.
This may include jobs such as working the front desk, being in management, and more.
Policies vary, so it’s important to know what’s available to you and to ask about the hotel’s policy on employee stays. For example, some hotels have a set number of free nights as part of the employment package. Plus, discounts on rooms can sometimes extend to family and friends.
Attend a timeshare presentation
Going to a timeshare presentation can lead to complimentary hotel stays.
These can sometimes be brutal, though, so if you think that you may end up buying a timeshare that you don’t need – then DO NOT DO THIS! Timeshares can be quite expensive and they are lifelong with annual costs.
But, if you think you can withstand the temptation, plenty of people sign up for these in order to get a free hotel stay all the time.
Here’s how this works:
Usually, your attendance at a 90-minute to 2-hour sales pitch is required.
Be prepared for high-pressure sales tactics, but remember you’re under no obligation to buy.
Incentives can range from free hotel stays, discounted travel, or even gift cards.
Make sure you understand the terms and conditions attached to the free stay.
If interested, consider the timeshare offer carefully. If not, politely decline and redeem your free stay or other perks.
Hotel promotions and deals
You can stretch your travel budget by taking advantage of different hotel promotions and deals to get the best room rates. Whether you travel often or are planning a one-time trip, there are several strategies you can use to get free hotel stays.
When you sign up for newsletters from your favorite hotel chains, you’ll receive emails on new promotions and deals (such as for seasonal sales on room rates) directly to your inbox. Some hotels might even offer a reward night, room upgrades, or welcome points just for joining at check-in.
Scan your grocery receipts for free hotel gift cards
Using grocery receipt scanning apps can be an easy way to earn free hotel stay rewards.
As you do your regular grocery shopping at grocery stores, these apps turn your grocery receipts into points, which can be exchanged for gift cards that can be used at different hotels.
Here’s how you can get started:
Download receipt scanning apps – Look for apps like Fetch Rewards (this is my favorite and the one that I use for every single one of my grocery receipts) that are known to offer hotel gift cards as a redemption option.
Scan your receipts – Every time you shop, take a second to scan your receipts using the app.
Earn points – Get points with every scanned receipt.
Redeem for hotel gift cards – Once you’ve earned enough points, browse the app’s reward section for hotel gift card options. Select your preferred hotel chain and redeem your points. With Fetch Rewards, you can get gift cards to places such as Airbnb, Hotels.com, Visa, and more.
While it will take some time to earn enough points, it can be a way to save some money on a hotel reservation.
Frequently Asked Questions
Below are answers to common questions about how to stay at hotels for free.
Is it possible to get a free night at a hotel?
Yes, you may be able to get a free night at a hotel through loyalty programs, which reward you with points for free night awards that can be redeemed for free nights. Additionally, some programs may give a free night after a certain number of paid stays or as a sign-up bonus.
How to get a hotel room for free?
You may get a free hotel room through loyalty programs, credit card rewards, by earning free hotel gift cards, and more.
How can I earn free hotel stays through surveys?
You can earn points by joining market research and filling out surveys on specific websites. These points might be traded for hotel rewards points, allowing you to book hotel stays for free.
Are there contests or sweepstakes that offer chances to win a stay at a hotel?
Yes, contests and sweepstakes run by hotels, travel bloggers, or travel websites tend to have hotel stays as prizes. You can start by possibly searching related hashtags on social media, such as #giveaway.
How can I travel luxury for free?
Traveling in luxury for free can be done by maximizing credit card sign-up bonuses and rewards, leveraging elite status with hotel loyalty programs for upgrades, and possibly collaborating with luxury hotels as an influencer if you have a strong online following.
How to get a free hotel room by complaining?
If you honestly had a bad stay at a hotel, you may be able to talk to management. Sometimes, they will give you a free hotel stay to make up for the bad review. But, you should never lie about a stay just to get a free room, as you can cost someone their job.
How To Stay at Hotels for Free – Summary
I hope you enjoyed this article on how to stay at hotels for free.
There are many ways to get free hotel stays, as you learned above.
Joining hotel loyalty programs at major hotel chains is a simple way to get free night rewards. These programs give you points for staying often, and you can use these points for free hotel nights.
Travel credit cards and hotel credit cards also give rewards that can be used for hotel stays.
If you’re an influencer or booking for a group, this may result in you getting a hotel stay for free. Other ways, like joining hotel promotions, being a mystery shopper, or attending timeshare presentations, can also get you free or cheaper stays at different places.
I have personally done many of the ways listed above to get free hotel stays at places in many states and countries. The stays have been great and have allowed me to save so much money over the years!
Many of us are looking for ways to trim our grocery bills, and for good reason: Americans spent about $5,700 a year on food at home in 2022, according to the U.S. Bureau of Labor Statistics. While earning more rewards on grocery purchases can help, the Meijer credit card unfortunately falls short, even for loyalists of the Michigan-based retailer. Issued by Citibank, the Meijer card’s rewards rate is a shade higher than 1%, but any potential savings can easily be negated by the card’s outrageous interest rate.
For better options, check out our list of best credit cards for groceries, some of which earn as much as 6% cash back. Admittedly, the cards with the best rates require at least good credit (690 and above) to qualify, but there are solid options on the market for lower credit scores, too, such as the Citi Double Cash® Card.
1. There are two versions of the card
If your Meijer credit card application is approved, you’ll end up with one of two versions of the card:
The Meijer Card. A closed-loop card, it can only be used at Meijer grocery stores and gas stations.
The Meijer Mastercard. As an open-loop card, it can be used anywhere Mastercard is accepted.
A Citi representative confirmed that creditworthiness is a factor in determining which card an applicant receives.
2. Rewards are underwhelming
Many credit cards earn rewards based on certain spending categories. You might find a card that earns 4x points on dining and another that gets 3% cash back on gas. The Meijer card keeps things much simpler, though this simplicity comes at a price in the form of meager rewards.
Meijer cardholders get a $10 reward for every $750 spent with the card, which works out to an earnings rate of 1.33% cash back on every purchase. It’s not hard to find a card that earns more. If you had the Citi Custom Cash® Card, for example, you could get 5% cash back at grocery stores as long as that’s your highest spending area for the month. (The 5% rate applies up to $500 per billing cycle; after that, the card earns 1%.)
Rewards earned with the Meijer credit card are issued either as paper or digital certificates; the former expires 60 days from the issue date while the latter expires after 45 days. Furthermore, those $10 rewards certificates can’t be redeemed on alcohol, prescriptions, gift cards, store pickup orders and home delivery orders.
3. The sign-up bonus is skimpy
As of February 2024, the Meijer card has a sign-up bonus, albeit a really small one. New cardholders can get up to $50 off a Meijer purchase. They’ll get a $10 discount off the first in-store purchase made within 30 days of account opening, plus an additional $40 off if that purchase is made by March 2, 2024. There’s no minimum purchase requirement to get the sign-up bonus.
For a better welcome offer, consider this one from Blue Cash Everyday® Card from American Express: Earn a $200 statement credit after you spend $2,000 in purchases on your new Card within the first 6 months. Terms Apply. And the Blue Cash Everyday earns 3% cash back at U.S. supermarkets on up to $6,000 per year in purchases; 1% thereafter. Terms apply.
To view rates and fees of the Blue Cash Everyday® Card from American Express, please visit this page.
4. The interest rate is sky-high
As of January 2024, the purchase APR on the Meijer card was 34.24%, more than 10 percentage points higher than the average APR on interest-accruing credit cards in November 2023, according to the Federal Reserve. That means that carrying a balance on the Meijer card can be costlier than on other cards.
To avoid paying interest on any credit card, pay off balances in full whenever possible.
5. Cardholders get a small discount on gas
You’ll get 10 cents off every gallon when you fill up at a Meijer gas station and pay with a Meijer credit card. Those savings aren’t terribly exciting on their own; however, the discount from the Meijer card is stackable with points earned through mPerks, Meijer’s loyalty program. Members of mPerks earn 10 points for every $1 spent at Meijer stores and 1,000 points for every qualifying prescription filled.
The information related to the Meijer credit cards has been collected by NerdWallet and has not been reviewed or provided by the issuer or provider of this product or service.
Moving to Detroit is a unique experience. Unlike other major cities across the country, Detroit almost feels tucked away. But what many out-of-towners overlook is all the neighborhoods that make up Detroit.
For instance, Detroit is home to amazing gastropubs, five-star restaurants, historical sites, great vintage shops, Belle Isle Park, the Riverwalk and more than one marina.
Keep on reading if you want to find out what the buzz is all about and why you’ll absolutely love living in this city.
Detroit overview
You don’t need to ask a local to know that Detroit has a complicated past.
Founded in 1701 by French traders, this city gets its name from a French word meaning “strait.” Through much of the 18th century, Detroit was a trading post that was the subject of several conflicts including the French and Indian War (1756-1763), and years later with the British. In fact, it wasn’t until the 1800s that Detroit saw an influx of settlers and a somewhat conflict-free playing field.
Around the 19th century, Detroit finally became an industrial hub, and the city started to expand outward. Fast forward to the 1950s, civil rights, environmental racism, riots and gentrification came to the forefront, which the city struggled with well into the 1990s.
In many ways, Detroit is still recovering from its past. But it’s safe to say that today’s Detroit is revitalized, reimagined and its commerce spirit is renewed.
Population: 670,031
Population density (people per square mile): 5144.3
Median income: $31,283
Studio average monthly rent: $982
One-bedroom average monthly rent: $1,416
Two-bedroom average monthly rent: $1,876
Cost of Living Index: 104.2
Popular neighborhoods in Detroit
A list of top apartments for rent in Michigan, unsurprisingly, includes several Detroit apartment communities and complexes. That said, first-rate apartment homes are available throughout the 20+ neighborhoods that make up the city.
Thus, to assist you in your search, here are a few popular neighborhoods that you should definitely consider when looking for your next home.
Downtown: In the last five years, this neighborhood has completely transformed into a great Detroit destination. Here, you have easy access to Lafayette Park, Elwood Park, Rivertown and Greektown. As a result, there’s no shortage of outdoor activities, restaurants or entertainment.
Midtown: This part of town offers art, culture, higher learning, music and more. Here, you’ll find a bohemian vibe/atmosphere, Wayne State University, the DIA and Little Caesars Arena. This thriving neighborhood is also very walkable and family-friendly.
Corktown: This is the oldest neighborhood in the city and is rather affordable. People are drawn to this community’s somewhat hipster vibe and the wide range of available cuisine.
Eastern Market: Here, you’ll fall in love with one of the country’s largest open-air farmer’s markets. Besides having access to a secret garden of sorts, this district also offers an eclectic community, with nice housing, restaurants, bars and ample shopping.
Rivertown-Warehouse District: This up and coming area of Detroit has it all with waterfront apartments, restaurants, nearby casinos and indoor luxury shopping centers. Here, you can find some of the best views in the city.
The pros of moving to Detroit
There are more than a few advantages to moving to Detroit. As briefly mentioned, the city continues to transform itself. Moreover, with new construction and more businesses making their way downtown, Detroit is truly becoming one of the best cities around.
Entertainment
One obvious reason for moving to the D is the wealth of entertainment. Detroit has a lively nightlife, new restaurants, music venues, sports arenas and casinos. Plus, if you’ve never checked out Campus Martius Park, then you don’t know what you’ve been missing. This park is known as Detroit’s gathering place and offers beach bars with real sand, outdoor ice skating in the winter, live music and good eats.
Thriving economy
Detroit also has a thriving economy that’s projected to grow over the next couple of years. Thanks to the increase in commerce, start-up companies, restaurants and various entertainment venues, Detroit will expand. Plus, with continued efforts to revamp and improve less populated areas of the city, even in the face of a global pandemic, Detroit should have no trouble at all taking its economy to the next level.
Cost of living
As briefly touched upon, living in Detroit is affordable. In fact, in comparison to other major U.S. cities, you can’t beat Detroit’s cost of living. Most apartments are available for less than $2,000 a month, and the majority of residents’ everyday expenses are reasonably priced.
Overall, Michigan ranks as one of the best places to live if you’re looking for inexpensive housing and a lower cost of living, which is what Detroit is all about.
The cons of moving to Detroit
Of course, there are some drawbacks to living in Detroit. For one, the rate of auto insurance is higher than it is in other cities, which is an additional expense that many people are not looking forward to.
Besides paying more for insurance, there’s also a clear lack of public transportation, only a few nearby grocery stores and there are the winters.
Public transportation is lacking
When you live in most major urban cities, there’s usually ample public transportation like buses, bikes for rent, subway stations, streetcars, and more. But, here in the D, public transport is not as great as it could be. Despite the recently built Q line and the good old People Mover, there really isn’t much in the way of convenience or inexpensive public transit.
Lack of grocery stores
Yet another downside to moving to Detroit is you have to go out of your way for groceries. In order to correct this problem, a Whole Foods Market was built just a few years back. However, any organic food shopper will tell you that Whole Foods is not cheap. Thus, the city still needs to find ways to incorporate more affordable food options.
Winter, winter, winter and summer
Lastly, winter is a real problem in the entire state. Michigan seems to get more snow than it knows what to do with. This leads to icy roads, possible unplowed side streets, and months of cold snowy weather. Better still, you can expect to experience all four seasons in one day even in the springtime or fall.
How to get started on your move to Detroit
Ultimately, when you balance the pros and cons of living in the city, you’ll likely find that Detroit is a great place to put down some roots. So, if you need assistance, finding the apartment of your dreams in the D or just need help making the big move, then check out our Moving Center. Here, you’ll find free quotes and more information about planning out your move. Whether you’re looking for apartments to rent or homes to buy, we have what you need.
Rent prices are based on a rolling weighted average from Apartment Guide and Rent.’s multifamily rental property inventory of one-bedroom apartments. Data was pulled in December 2020 and goes back for one year. We use a weighted average formula that more accurately represents price availability for each individual unit type and reduces the influence of seasonality on rent prices in specific markets.
Population and income numbers are from the U.S. Census Bureau.
Cost of living data comes from the Council for Community and Economic Research.
The rent information included in this article is used for illustrative purposes only. The data contained herein do not constitute financial advice or a pricing guarantee for any apartment.
What is a prepaid debit card? These cards are similar to standard debit cards, with a few exceptions. Just like standard debit cards, you can use prepaid cards to make in-person purchases at most locations that take Visa or Mastercard. In many cases, you can even use these cards to make online purchases.
Instead of depositing money into an account at your local bank, you load money directly onto a prepaid debit card. Some cards also let you set up a direct deposit so you can have the funds from your paycheck directly loaded onto your card.
You can only spend up to the amount of money you have on your card. This may help prevent hefty overdraft fees that some banks and credit unions charge. However, most prepaid debit cards charge other fees, such as monthly maintenance and transaction fees.
Why Would You Want a Prepaid Debit Card?
There are many reasons you might want to consider purchasing a prepaid debit card. For starters, prepaid cards are often more convenient and safer than carrying cash around. These cards can be a good option for those having trouble getting a standard bank account or facing excessive overdraft fees.
Because prepaid debit cards only allow you to spend the value on your card, they can help you curb your spending and gain better control of your finances. It’s important to note that prepaid debit cards don’t help build your credit. They also don’t accrue interest no matter what your balance is.
How Can You Get a Prepaid Debit Card?
Prepaid debit cards are fairly easy to obtain. Many major retailers, such as Walmart and Target, sell these cards. Prepaid cards are also available through some banks and credit card companies. You may be required to provide proof of identification and incur a one-time activation fee.
When choosing a prepaid debit card, be sure to compare your options. Most prepaid cards charge a variety of fees, such as monthly maintenance and transaction fees. Be sure you understand all the costs involved when choosing the right prepaid debit card.
You also want to compare added features. For instance, if you want a prepaid card that allows you to have your paycheck directly deposited onto your card, make sure it offers this feature before purchasing it. Other features you may want to consider are the ability to link your bank account to your debit card so you can transfer money quickly or the ability to give a family member access to your account.
How Do Prepaid Debit Cards Work?
Using a prepaid debit card is pretty simple. Once you purchase the card, follow the activation steps before using it—keep in mind that you may incur a one-time activation fee. If you didn’t load money at the time of purchase, you must do so before using it.
Most prepaid cards allow you to add money by phone, online, or in person at the location you purchased the card. Depending on the type of prepaid card you purchase, you may also be able to set up a direct deposit to have your payroll check load directly on your card.
Once you have money on your card, you can make purchases at most locations that accept Visa or Mastercard, such as retail stores, restaurants, and grocery stores. You can also use ATMs to withdraw cash.
Additionally, you can use your card to pay bills or shop online. However, some cards require you to register your card before making online purchases. To register your card, you just need to follow the instructions that came with it.
Keep in mind that your purchases can’t exceed the balance on your card. For instance, if you try to purchase an item for $300 but only have $275 on your card, the transaction will be denied. The good news is that you won’t face any overdraft fees, and you can’t spend more money than you have available.
Pros and Cons of Prepaid Debit Cards
Before you purchase a prepaid debit card, it’s important to consider the advantages and disadvantages of using this card.
Pros of Prepaid Debit Cards
Reloadable prepaid debit cards have several great benefits, including:
Having an easy approval process that doesn’t require good credit
Serving as a convenient and safe alternative to carrying cash
Preventing overdraft fees
Keeping you from overspending so you can develop good spending habits
Being accepted at most places that accept Visa or Mastercard, including in-store and online purchases
Withdrawing cash from ATMs
Cons of Prepaid Debit Cards
These cards also have numerous disadvantages that you should be cautious of, including:
Numerous fees, including activation, monthly maintenance, transaction, and ATM fees
Not helping repair or build your credit
Not accruing interest no matter what your balance
Having the possibility of transaction and balance limits
Not being accepted by many hotels and car rental companies
Before purchasing a prepaid debit card, it’s important to understand its fees and limitations. Be sure to read the fine print so you understand exactly what fees you might incur while using the card. Additionally, read through the policies to see if the card includes any deposit, withdrawal, or balance limitations that may hinder your ability to use and save funds.
Because prepaid debit cards don’t help you build credit, you may want to consider applying for a credit card instead. Start by checking your Free Credit Score to see if you might qualify for a credit-building credit card.
If your credit score is too low to qualify for a credit card, a prepaid debit card may be a good solution while you work on rebuilding your credit. Credit.com’s Extra Credit® subscription has tools that can help you take steps to build your credit and track your success.
Credit card rewards can help you get some money back on every dollar you spend, but they can also be confusing. First, there’s deciding which card to apply for if you don’t yet carry a rewards card. Then, there’s how and where best to use it. And finally, the good stuff: cashing in your earned rewards.
Rewards program rules can get intense. Points may be worth a certain value when redeemed for travel but have another value if traded in for cash back. Sometimes you can transfer points to airline or hotel loyalty programs, or combine them with someone else’s points. Airline miles might be worth more for international travel bookings, but if you just want a cheaper ticket for a domestic flight, your points wouldn’t be reaching their full potential.
It’s enough to make anyone want to toss their wallet out a window. But with some gentle strategizing, maximizing rewards is possible. (And, yes, if what you want most is discounted domestic travel, go for it.)
Match your lifestyle and desired level of effort
Friends may have strong opinions about which card is best, but your ideal card doesn’t need to be trendy. Think about where you spend money the most, how much effort you’re willing to put in to manage cards and rewards, and what you’d like to redeem rewards for.
If what you want is simplicity, opt for a card that earns a high flat rate on everything. If you’re comfortable with some additional complexity, select cards that earn higher rates for your specific spending, such as at grocery stores, gas stations or restaurants, or on travel-related purchases.
Cash-back cards offer the easiest redemption options, typically a statement credit that lowers your next credit card bill, or perhaps a direct deposit into your bank account. Travel cards offer the glamorous promise of cheaper vacations, but using points and miles requires some longer-term planning.
“Try to avoid groupthink and allowing others to influence what card is right for you,” says Juan Ruiz, co-founder of JetBetter, a travel concierge and award booking service. “Picking the right card is like being prescribed medication by a doctor.”
Spend with a strategy
Generous sign-up bonuses make rewards cards extra appealing. If you hit a certain spending target, like $3,000 in the first three months you have the card, you can earn a bonus worth hundreds of dollars.
As exciting as this can be, proceed with caution. Think of rewards as something you earn when you buy the things you would have purchased anyway, like groceries or gas. Racking up a big credit card bill just for the points could leave you owing more than you can afford to pay back, in which case interest will outweigh rewards. A spending minimum that’s out of your budget is a sign that a card isn’t right for you.
“Don’t twist yourself into knots to try and buy things that you shouldn’t,” says Robert Walker, founder of AwardCat, a service that helps travelers find and book award travel. “Think ahead and be strategic with it.” Walker recommends looking for regular expenses you might not have thought to put on a credit card, such as utility bills or even taxes. If you don’t incur an extra fee to pay with a credit card, or if the fee is negated by a sign-up bonus, this is another way to make everyday costs work harder for you.
Enjoy your rewards
Credit card rewards are worth nothing if unredeemed, so there’s no reason to admire your pile of points for too long. With some cash-back cards, you can redeem any number of points, though some cards require you to save up a certain minimum number before making a redemption.
For travel, you can certainly spend months agonizing over how to best use your points, but don’t get lost in the research for long. “People get caught up trying to do the smartest thing, but the value of the reward is what you get out of it,” says Matthew Goldman, founder of Totavi, a financial technology consulting firm.
Goldman suggests establishing the minimum value you’d accept per point and aim for a redemption that meets that. So if you can redeem points for 1 cent each for travel, but only 0.8 cent each for gift cards, skip the gift cards. Still, even a less-than-perfect redemption is worthwhile compared with holding onto your points forever. “They’re not part of your legacy or your estate,” Goldman says. “Don’t stress yourself out so much. Do something that’s enjoyable.”
This article was written by NerdWallet and was originally published by The Associated Press.
Welcome to NerdWallet’s Smart Money podcast, where we answer your real-world money questions. In this episode:
Get answers to common questions that will allow you to maximize your credit card rewards points and avoid common point planning pitfalls with our Nerdy expert tips.
How can you travel more while spending less? How could changes in airline loyalty programs affect your travel plans? What are the benefits of co-branded airline or hotel credit cards versus flexible rewards cards? NerdWallet’s Sean Pyles and Erin Hurd dive deep into credit card rewards points, addressing a range of topics that will resonate with anyone eager to maximize their credit card points and travel perks. They discuss recent changes in airline loyalty programs, including Delta and Alaska Airlines, and explore the advantages and drawbacks of co-branded airline or hotel credit cards and the benefits of using flexible rewards cards.
They also present strategies for maximizing credit card sign-up bonuses while avoiding common mistakes that can lead to fewer rewards, and offer tips for how you can track and manage credit card points and perks. Sean and Erin also explain the pitfalls of carrying a balance on travel credit cards, the implications of credit card fees and surcharges at local stores, potential industry changes, such as interest rates and fee structures, and the potential impact of the Credit Card Competition Act on rewards programs.
Check out this episode on your favorite podcast platform, including:
NerdWallet stories related to this episode:
Episode transcript
This transcript was generated from podcast audio by an AI tool.
Sean Pyles:
Airline points, restaurant points, retail points, rental car points, hotel points, points, points, points, points, points. Wrap them all up in credit cards and sometimes it can be head spinning.
Erin Hurd:
My guidance is generally pretty similar for most people, even if they have pretty different travel goals, and that all really goes back to the idea of just earning flexible points. If you have a stash of flexible points that aren’t locked into any one travel brand, you have a lot of options.
Sean Pyles:
Welcome to NerdWallet’s Smart Money Podcast. I’m Sean Pyles.
Erin Hurd:
And I’m Erin Hurd.
Sean Pyles:
This is the final episode of our nerdy deep dive into your money in 2024. Erin, we’re almost a month in, so how is your 2024 going so far?
Erin Hurd:
So far, so good. I can’t believe we’re already into 2024, but all is going well.
Sean Pyles:
Love to hear it.
Erin Hurd:
How about you, Sean?
Sean Pyles:
It’s been alright so far. I’m just glad the days are getting longer at this point, however slowly. So, Erin, we’ve brought you back onto the show because you are a nerdy points pro. How did you come to be so interested in credit card points programs and do you have a degree in complex mathematical equations? Because sometimes it seems like you need one to figure out how to use all of these.
Erin Hurd:
That sounds like it could be true, but actually it’s quite the opposite. I majored in English and math was always my least favorite subject. I’ve always been a deal seeker. I’m always looking for sales, I’m finding coupons, I’m figuring out how to get more, but how to pay less for it. So my husband and I have always loved to travel and I started dabbling in points and miles many years ago to help defray our travel costs so that we could travel more. But I really fell down the rabbit hole with the points and miles when we grew our family, and now we needed four seats on the airplane and in some circumstances, we need two hotel rooms for our family of four. So that’s when I really got serious about earning enough points and miles so that our family could travel more than just to the local campground, because that’s all that I would be willing to pay for.
Sean Pyles:
Yeah. And when you’re wrangling kids, I’m sure you don’t want to spend time doing math, but the good news is nobody needs a math degree because all they have to do is go to the NerdWallet site, poke around with our very handy calculators, and all will be revealed. But let’s give everyone a rundown of things they might want to think about when managing their credit card points. Now, would you say that the start of a new year is a good time for listeners to take stock of where they are with their points programs? Or is that something they should be monitoring all year round?
Erin Hurd:
Great question. Well, in a perfect world, ideally you do want to be giving your points some attention more than once a year, especially if you’re trying to save them up to take a big trip, because the amount of points that you’ll need for that trip can fluctuate. Often it requires more than you think that you’ll need and it can take time to earn those points and then to find great redemptions for them. But don’t fear, it’s never too late, so the new year is a fantastic time to check in if you haven’t been already.
Sean Pyles:
Well, we are going to give everyone a head start by taking a look at what we can expect from 2024 in Point Land. But before we get started, a reminder that we always want to hear what you think, too, listeners. To share your ideas, questions, concerns around credit card points, or anything else, leave us a voicemail or text the Nerd hotline at (901) 730-6373. That’s (901) 730-NERD, or email a voice memo to [email protected]. Stay with us. We’re back in a moment with the future year in credit card points.
So Erin, let’s start with a look back at last year in Point Land and see if there are some lessons that we can learn from 2023 to take into this year. And before we get too deep into the conversation, I want to flag that we are going to mention some companies that are NerdWallet partners, but that does not influence the way that we talk about them. So, Erin, in this conversation, we’re mostly going to focus on maximizing credit card points, but I want to briefly touch on the fact that at least two of the major airlines, Delta and Alaska, changed their point reward systems toward the end of last year. What did that mean for flyers and were there any kind of bigger messages about point systems that came out of that?
Erin Hurd:
Yeah, those were big headlines in the travel world. Now, they were pretty different in scope. Delta changed the requirements to earn elite status in future years, this won’t actually take effect just yet, but they also put limits on some of the benefits that credit card holders can use, like airport lounge access.
Now Alaska, on the other hand, made big changes to its award chart and an award chart is what determines the number of miles you’ll need to pay for a ticket. But these are both examples of a bigger takeaway that we see over and over again, and that is that you should never have all your proverbial eggs or points in one basket. So what I mean by that is that even if you fly a certain airline often because that’s what serves your home airport, having only a credit card that earns points or miles for that one brand really limits your options. The truth is that, unfortunately, travel loyalty programs change or get devalued relatively often and sometimes with little to no notice. So that means if you’ve racked up a nice chunk of say, Alaska miles for an upcoming trip, but they suddenly change their award chart, as they just did, and decide that the flight you want to book will now cost double the miles, you’re pretty hamstrung if all you’ve got is a chunk of Alaska miles.
Sean Pyles:
Yeah, having multiple different cards from different brands is a way of having credit card dollar cost averaging in a way, where you’re spreading your risk across different kinds of products. So, that is one way to offset the ups and downs of what these companies are doing. But I can see these changes making some folks wary of using these cards that are co-branded with an airline or hotel. Do you still think they’re worthwhile given recent changes?
Erin Hurd:
I do. For travelers, carrying a co-branded airline or hotel credit card, it can be really beneficial for certain perks. Some of the airline cards, for example, will give you free checked bags for you and sometimes, depending on the card, up to eight traveling companions every time you fly. So, that can add up to a huge value if you’re flying relatively often, even if you’re flying a couple times a year and you’re checking a bag, that can make it worth it. And especially because you’ll earn, generally, a welcome bonus when you open up the card.
But I advise leaning more on what we call flexible rewards credit cards, and they can give you a lot more options for your travel, plus they often earn more rewards on everyday purchases.
Sean Pyles:
Can you tell us what you mean by flexible points? How do they work and how do you earn them?
Erin Hurd:
Oh, sure. As the term suggests, they are flexible. So, there’s a number of credit cards that have their own travel points. Instead of earning Delta miles or Alaska miles or Marriott points, for example, there are several Chase cards that earn points called Ultimate Rewards. There are many different American Express cards that earn something called Membership Rewards. There’s City Thank You points, ect. And the beauty of these flexible points is that they can be used to book all kinds of travel, not just a Delta flight or not just an Alaska flight.
So generally, these credit card issuers have their own travel portal and you can book your travel there and pay directly with your points and you don’t have to involve any cash. And many of these programs also allow you to transfer those points to certain airline and hotel travel partners, usually at a one-to-one ratio, which is great because often you can get more value from your points when you transfer them to the airline or the hotel and book directly. But really, the biggest benefit is just having so much more flexibility. So instead of being locked into a Delta flight, like you probably would be if you only had a Delta miles earning credit card, flexible points just give you lots of options.
Sean Pyles:
Okay. Well let’s get to cards. First, anything from last year stand out to you? Any program changes you saw that were worth paying attention to or new ways to use them?
Erin Hurd:
Yeah. Well, the good news is that we’re still seeing some pretty juicy bonuses offered for new card holders who sign up for a card and meet certain spending requirements in the first few months. And we’re excited that those seem to be sticking around. Years ago, it used to be that a credit card welcome bonus of around 30,000 or 40,000 points was really generous, but over time those numbers have crept up and up, and it became not uncommon to see bonuses of 60,000 points or 80,000 points or even 100,000 points offered to new cardholders.
Now, that trend continued throughout COVID, even when people weren’t traveling as much, the banks kept offering big bonuses to keep travel credit cards interesting. And we’ve been wondering, all this time, if we’d start to see the bonuses start to shrink back down as people return to travel, as inflation and recession fears crept in. But the good news is we have not seen that happen so far. Right now, there are several six figure welcome bonuses out there for various travel credit cards and welcome bonuses are an important part of the travel credit card strategy for a lot of people.
Now, I don’t open credit cards just for the welcome bonus. I don’t advise doing that, but I also know that I’ll earn more rewards from that bonus than I probably will from a year or more of regular spending on that card. So it’s definitely a factor.
Sean Pyles:
Yeah. And these signup bonuses are often folks’ best chance at getting a huge amount of points since points can take a long time to accrue through daily purchases alone. And we’ve also seen new ways to use rewards, right? What’s the latest on that front?
Erin Hurd:
As far as new ways to use rewards, we’ve seen a steady stream of options evolving to use your points to pay for merchandise at various stores. At Amazon, for example, when you check out, you may have noticed you have the option to pay using several different kinds of points, credit card points. It makes it really easy and it can feel like you’re getting stuff for free if you’re using points instead of actually charging your card or paying cash. But really be careful because the downside is that you’re often getting poor value for your points when you use them this way. You’re paying for convenience and they’re betting on people not really understanding or questioning the value of the points.
So for example, if you use Chase Ultimate Rewards at Amazon to check out, they’re worth 0.8 cents each, but those same points can be worth up to 1.5 cents each when you use them to book travel through Chase, depending on which card you have, or often even more than 1.5 cents each if you transfer them to travel partners.
Sean Pyles:
Wow, that breakdown is really eye opening. I’ve seen that at Amazon checkout and I’ve been a little tempted to use my points in that context, but after that, I definitely won’t be doing so. So, thank you for that. So Erin, I think one of the most common questions people have is how to know which card and point program is not only best in class, but best for them and their specific situation. So, if you’re looking to maximize points, how do you figure out which card to get in the first place?
Erin Hurd:
Yeah, it’s a great question and there are so many options, and I know it can be really overwhelming for people who aren’t immersed in credit cards all day long like we are here at NerdWallet. And it may seem like there are many different factors, maybe you think it’s going to be different if you want to use points for travel, which airlines are most convenient for you? What style of travel do you enjoy? What kind of trips are you planning for? But really my guidance is generally pretty similar for most people, even if they have pretty different travel goals. And that all really goes back to the idea of just earning flexible points. If you have a stash of flexible points that aren’t locked into any one travel brand, you have a lot of options.
So I also encourage people who really want to get the most from their points to not get scared off by credit card annual fees. I know it can seem silly to pay a fee just to have a card, I hear resistance from people, and I get it, but the rewards and the perks that you get from the cards that charge annual fees often far outweigh the fee itself. In a lot of cases, you get what you pay for, and yes, there are lots of excellent no-fee cards out there, but if you really want to up your points game and take it to the next level, it’s really worth considering the more premium cards that do charge a fee.
Sean Pyles:
Yeah, I, for a long time, was really opposed to annual fees on credit cards because I just didn’t want to pay for access to a credit card and the fee-free option seemed to be sufficient for me. But I recently actually acquired a travel credit card that does have an annual fee because I looked at all of the perks that it was going to offer me and then compared that to how much the card costs on an annual basis. And the perks, by far, outweighed the cost. So you’re really getting something that’s worth more than you’re paying an annual fee if you make it worth it. You do have to do a bit of work to make sure you’re taking advantage of all of the benefits that these cards offer you.
Erin Hurd:
That’s right.
Sean Pyles:
So Erin, since you are deep in the points world, I would love to hear how you have approached this thought process in the past. Are you the type to be selective with cards in your wallet, or do you have a small collection of cards at your disposal?
Erin Hurd:
Well, both. So personally, I am selective, but I have also collected a pretty large portfolio of cards over time. Our family does travel a lot, and so we make pretty full use of the credits and the perks that the cards give us, but I also reevaluate each and every year to make sure every card still makes sense for me and for our family. And I really recommend that people go slowly and have a strategy. It’s really easy to get excited by the big welcome bonuses and people can be tempted to open lots of cards all at once, but please just slow down. Be aware that each credit card issuer has their own set of guardrails. They won’t extend excessive amounts of credit to any one person, and they want to make sure that you’re going to be a good long-term customer.
One issuer, for example, won’t approve you for a new credit card if you’ve opened more than five cards across any card issuer in the past 24 months. So I really like to hammer home that this is a long-term game and it pays to have a strategy. Don’t just go opening cards willy-nilly without a plan.
Sean Pyles:
And then with the cards that you use, how do you keep track of the points and perks that you have and the fees associated with them? Do you have a spreadsheet? Are you using a notebook? What’s your process for that?
Erin Hurd:
Yeah, I have a simple spreadsheet. As a credit cards Nerd, I’m also pretty engrossed in it all day long. NerdWallet has a lot of resources to keep everyone up to date, we cover all the news. So you can always check NerdWallet, but I recommend just a simple spreadsheet, taking note of what cards you have, when you opened it, what signup bonus you earned when, and then just what categories that bonus is on.
So another tip is to make sure you can meet the minimum spending requirements when you do open a new credit card. In order to earn the bonus, you’ll typically need to spend anywhere between $1,000 and $5,000 or even more on that card in the first three to six months. Make sure you have a plan to meet those spending requirements without spending any more money than you intend to or would otherwise.
Sean Pyles:
Yeah, and one big thing to watch out for is bonus categories. You can look for specific spending areas, say travel or groceries or gas, and get more points for those than for other purchases. Walk us through how to make sure we’re using each card in the most efficient way to rack up those points and rewards.
Erin Hurd:
Yeah, that’s a great point. And honestly, that’s another reason why many brand-specific cards, like a Delta card, probably won’t be your best bet because they tend to offer only 1x rewards on most everyday spending categories, except purchases on their brand. So if you really want to ramp up your points earning, don’t just blindly use one card for every purchase. I like carrying a few cards that can work together to earn the most rewards across many different categories. So you could use one card for groceries, but have a different card for restaurants.
Now, the good news is many of the major credit card issuers offer several cards that have synergy. They all earn the same bucket of flexible points for you, but one card is better for some categories and another is better for different kinds of purchases. Now, in the show notes, we’ll include our articles about some three-card combos you can have that can really help you ramp up your rewards.
But I know there’s a lot of people out there who don’t want to futz with having a lot of cards, and that is completely fine, but I would ask you to at least consider two cards. That way, if the largest spending in your budget is on grocery stores, say, you could choose a card that earns good bonus rewards at grocery stores, and then you could use another card that earns a flat 2% on all other purchases, and you’ll be good to go.
Sean Pyles:
When you’re thinking of which card to use or which card to take out, it really helps to know yourself and where you’re spending the most amount of money. So the card is helping you earn points on those categories that you’re spending on.
Erin Hurd:
That’s right.
Sean Pyles:
So Erin, what are some common mistakes that people make when trying to maximize their points? Can you run down a few of those for us?
Erin Hurd:
Absolutely. I think one of the problems I see a lot are that people don’t really understand the value of their points. And please do not feel badly if this is you, because it is a pretty complex scenario. Not all points are created equal.
The good news is NerdWallet has a full breakdown of baseline values for your points, and it shows you how you should expect to redeem them. Consult that guide before you redeem your points and it’ll help give you a gut check to see, is this a good use of my points or is this a poor value? I think it helps to think of points like a currency, right? So there are many different kinds of points and they all do have some kind of value, and that value is equivalent to an amount of money. And once you start thinking of them like a currency, and not just something that you get for free, you’ll be apt to spend them more wisely.
Sean Pyles:
And we should also mention that carrying a balance on a credit card that offers points, especially travel credit cards, can be a really costly mistake. Credit card interest rates are really high right now, and paying interest on your balance can negate any benefit that you get from the points that you earn.
Erin Hurd:
Yes, that is the number one rule in this game. The interest that you’ll pay on balances that aren’t paid in full every month will far outweigh the rewards that you’ll earn. Now, if you need a breather on interest, there are many cards on the market that offer a 0% intro APR period, and they also earn rewards. Another reminder is that it also rarely makes sense to pay more in order to use your credit cards. Like sometimes at local stores or restaurants, you may have to pay a surcharge in order to use that credit card, and the reality is that that surcharge that you’ll pay usually outweighs the reward that you’ll earn.
Sean Pyles:
That’s a great point and something that I am guilty of, because I just want the convenience of using my credit card and getting those points. But like you said, it negates the point of doing that in the first place. So, I’m taking that with me into 2024.
So Erin, if you could look into your plastic credit card crystal ball, is there anything you think is worth watching for this year in particular besides possible changes in interest rates?
Erin Hurd:
Yeah, we’ve seen several cards raise their annual fees, creep up the fees in exchange for adding more perks and benefits to the cards. And I think that’s a trend we could see continue. But just be careful because oftentimes these perks require some hoops. For instance, some offer credits towards certain purchases, but those credits are doled out monthly or quarterly, and they’re use it or lose it in that short timeframe. So just make sure you’re taking a look at the value you personally receive from a card each year when it’s up for renewal and not just its potential value on paper. If you are not using the perks, then it may not make sense for you any longer, even if it still makes sense for others.
Sean Pyles:
Erin, I also want to ask you about the Credit Card Competition Act, which has been making headlines for over a year at this point, but it seems like we might finally see some movement on this legislation that could change how we use points. Can you give us a rundown on that and what it might mean for point fanatics?
Erin Hurd:
Yeah. So, the Credit Card Competition Act is definitely something we’re keeping close tabs on here at NerdWallet. For those who aren’t familiar, this is proposed legislation that could really affect the rewards you earn from your credit cards.
See, merchants pay transaction fees as a cost of doing business for accepting credit cards. They’re called interchange fees, and this is where a lot of the money comes from that fund the credit card rewards. So if credit card issuers get less money from these fees, they may be forced to cut back on the rewards that they offer to consumers. So, we could be having a pretty different conversation about credit cards this time next year if it passes.
Sean Pyles:
We will all be keeping close eyes on this, and folks listening, we’ll let you know what happens as there’s any updates on this. Well, Erin Hurd, thank you so much for joining us and getting to the point.
Erin Hurd:
Thanks, Sean. And that’s all we have for this episode. Do you have a money question of your own? Turn to the Nerds and call or text us your questions at (901) 730-6373, that’s (901) 730-NERD. You can also email us at [email protected] and also visit nerdwallet.com/podcast for more info in this episode. And remember to follow, rate, and review us wherever you’re getting this podcast.
Sean Pyles:
This episode was produced by Tess Vigeland and Erin. I helped with editing. Kenley Young helped with fact checking. Kaely Monaghan mixed our audio. And a big thank you to NerdWallet’s editors for all their help.
Erin Hurd:
And here’s our brief disclaimer. We are not financial or investment advisors. This nerdy info is provided for general education and entertainment purposes and may not apply to your specific circumstances.
Sean Pyles:
And with that said, until next time, turn to the Nerds.
Inside: Are you looking to maximize your rewards and credit card hacks? This guide will teach you the most effective methods for using your hacking, signing up for bonus rewards, and making efficient card purchases.
Credit card use extends beyond just making purchases. Savvy credit card users understand that with the right set of hacks and optimal usage, there’s a world of rewards that are ripe for the picking.
Money saved can be money earned, and this simple philosophy forms the cornerstone of these 25 credit card hacks you’ll be learning about today.
Why do credit card hacks matter? Well, I just received a $700 check for credit card rewards. That is enough to pay for a weekend trip away.
What are Credit Card Hacks?
Credit card hacks are creative strategies employed by credit card users to maximize the benefits and rewards offered by their credit cards while also potentially saving more money.
This trend has become more popular in recent years due to the rise in premium travel and cashback cards that offer lucrative ongoing rewards programs. Users who learn about these hacks can save you money on travel or just put cold hard cash back in your wallet.
With strategic approaches, these hacks provide an avenue to optimize rewards and navigate the financial landscape more effectively.
Proven Credit Card Hacks to Maximize Rewards
Tip #1 – Utilize sign-up bonuses
One of the most attractive features of credit cards is the sign-up bonuses they offer, which are essentially rewards that cardholders can earn after meeting a certain spending threshold within a specified timeframe. The bonuses can range from hundreds to even thousands of points, miles, or cash – favorably impacting your rewards balance.
To illustrate, if you take the Chase Sapphire Preferred® credit card, both partners in a household can get up to 50,000 extra points each as part of the sign-up bonus.
Bonus tip: Stagger your applications, so once one person gets the bonus after meeting the spending requirement, the other person can then apply and achieve the next round of bonuses.
Tip #2 – Increase credit limit
The principle behind this is simply buffering your “credit utilization ratio”, which is how much of your total available credit you are utilizing.
To illustrate how a credit limit increase will work, let’s consider an example: with a credit limit of $10,000 and a credit usage of $3,000, your utilization ratio stands at 30%. But once your credit limit increases to $15,000 with the same credit usage, your utilization ratio drops to 20% – which is a noticeable improvement.
Remember, when requesting a credit limit increase, some card issuers might execute a hard inquiry on your credit report, which could temporarily decrease your score. Hence, you should try to find out beforehand whether your issuer is likely to perform a hard or soft credit pull. Soft inquiries won’t affect your credit score, making them the preferable approach.
Tip #3 – Master balance transfers
A balance transfer, executed proficiently, can be an effective way to handle significant credit card debt. By focusing on reducing the cost of debt through lower interest rates, balance transfer can accelerate your debt repayment process while saving you considerable money over time.
This is what one of my clients did and the date when the 0% interest ended was very motivating to pay off their debt.
This process entails the shuffling of debt from one card (usually one with a high interest rate) to another card—preferably with a 0% promotional APR offer. With this interest-free period, you can focus on repaying the principal balance, hence clearing your debt faster.
As a finance expert, make sure balance transfers are only beneficial if you’re mindful of the terms, like how long your 0% rate will last and what fees are involved in the transfer to the new card.
Tip #4 – Purchase prepaid cards with credit
Need a way to spend a certain dollar amount by a certain deadline? Then, look at purchasing prepaid cards with a credit card as a strategy to earn extra rewards points. This method entails buying prepaid cards or gift cards using your credit card, and later using these prepaid cards to cover those expenses you typically will use.
In other cases, customers have reported that their credit card companies have clawed back rewards points that were initially given for gift card purchases. Double check their terms and conditions, many issuers, including American Express, explicitly exclude such transactions from earning rewards. 1
Tip #5 – Harnessing the 15/3 Methodology
The 15/3 Methodology is a credit card hack that intends to optimize your credit utilization ratio—one of the significant factors that impact your credit score.
Here’s how it works: You pay off a majority of your card’s balance 15 days before your statement date, and then pay off the remaining balance three days before the statement date. By doing this, you create the illusion of a lower balance, which can positively impact your credit score.
There is still a debate about whether or not this strategy improves your credit card score. Paying your bill on time will definitely improve your score.
Tip #6 – Strategies to earn additional rewards through third-party programs
An often overlooked but highly effective credit card hack is utilizing third-party apps and websites that offer additional rewards when you shop at participating retailers and restaurants. These rewards are additional to the cash back, miles, or points awarded by your credit card.
One such app is Dosh, a cashback app. By linking your credit card to your Dosh account, you can earn up to 10% cash back from participating retailers on top of the rewards earned from your credit card. Similarly, apps like Drop and Bumped give users points for every dollar spent, and these points can be redeemed for gift cards.
Furthermore, many airlines and hotels participate in dining rewards programs where you’ll earn extra rewards at select restaurants. Airlines like United, Southwest, Delta, and hospitality giant companies like Marriott and Hilton actively participate in such programs.
Tip #7 – Earn a credit card sign-up bonus then canceling the card right away
Also known as credit card flipping or churning, the tactic of earning a credit card sign-up bonus and then canceling the card right away has been employed by some savvy credit card users to maximize rewards.
However, this practice isn’t as easy or beneficial as it appears. While it sounds like an accessible system to generate easy money, it comes with several potential pitfalls that could make it a risky move.
Firstly, numerous card issuers have, over the years, implemented stricter rules to deter this practice. Chase, for instance, has the 5/24 rule indicating you can have only five new credit cards within the last 24 months. 2
Repeatedly opening and closing the same card can result in a declined application or rescinded bonus and hurt your credit score-perceived as credit misbehavior by the issuer.
It can also be viewed as unethical and potentially lead to you being barred from opening accounts with that issuer in the future.
Churning can negatively affect your ability to get approved for future credit cards and loans because lenders may think you’re a risky borrower.”
Tip #8 – Develop a multi-card system
This method aims to cover all your spending by using different cards that offer elevated rewards for certain purchase categories.
For instance, we have one card that pays an unlimited flat rate of 2% on all purchases. Then, another rewards card offering increased category rewards, with travel and gas. Then a there card that rotates through various categories each quarter.
Diversifying your spending amongst several credit cards can help you to earn the maximum possible rewards. However, endowing yourself with several credit cards is not for everyone as it requires careful financial management. In some cases, the potential of overspending can outweigh the benefits.
Tip #9 – Transfer points between multiple cards
Transferring points between cards (provided they are from the same issuer) is another useful strategy whereby you can redeem them at their maximum possible value.
The goal is to make your spending work for you and maximize the rewards you can earn from daily expenses. However, people should employ this strategy responsibly and ensure they’re not overspending just to earn rewards.
In such a strategy, points on traditional cashback cards can be transferred to airline and hotel partners when you also have a transferable points card like the Sapphire Reserve or Sapphire Preferred. So, not only are you earning cashback on your purchases, but you’re also accumulating lucrative points that can be redeemed for travel.
Tip #10 – Don’t use cash
In the world of credit card rewards, cash is no longer king. Whenever feasible, you should consider using your credit cards instead of cash or debit to pay for everyday purchases. This allows you to earn rewards on purchases you’re making anyway.
The best way to implement this is for you to bills with their credit cards instead of cash or debit and set this up on autopay. This serves a dual purpose of potentially earning rewards on these payments whilst also conveying a positive message to the banks about your money management skills, leading to possible credit score improvements.
However, this method works best when your spending doesn’t increase as a result. Only use your credit card for expenses that you’d normally pay in cash and for which you already have the money set aside to pay.
Tip #11: Time your purchasing
Being strategic about when you make your credit card purchases can help you wring out some extra benefits.
One way to optimize your earning potential and maintain a healthy credit score is to plan your large purchases around your credit card’s billing cycle. Making your most significant purchases immediately after your statement date ensures that you have the longest possible repayment period, effectively offering you a short-term, interest-free loan.
Furthermore, if your issuer has a rewards cut-off at the end of a calendar year, you can make larger purchases ahead of time to push yourself into a higher rewards bracket.
Tip #12 – Make Micropayments
Rather than making one full payment, consider making multiple payments over the billing cycle, commonly referred to as ‘micropayments.’ This helps keep your running balance low and, in turn, your credit utilization ratio – the percentage of your available credit limit you’re using – also low, positively impacting your credit score.
Plus it helps to keep your checking account at a more accurate level.
Tip #13: Have your spouse apply for the same credit card
Known informally as the “two-player mode” amongst credit card hacking enthusiasts, having your spouse or partner apply for the same credit card can be an effective strategy to earn double the sign-up bonus. This approach is based on the idea that instead of just adding your spouse or partner as an authorized user to your card, they should apply separately.
For instance, if a card like the Chase Sapphire Preferred® offers a 50,000 points bonus on sign-up, both partners can potentially earn up to 100,000 points collectively, essentially doubling the bonus.
But remember, this hack should be used strategically – you should stagger your card applications and ensure each of you fulfills the spending criteria to qualify for the bonus.
Tip #14 – Importance of prompt payment
Quite possibly the hack with the most significant impact on both your credit score and your pocket, prompt payment of your credit card bill cannot be overstated.
Making on-time payments can drastically improve your credit score since your payment history is the most heavily-weighted factor that credit scoring models consider.
Plus paying your balance in full each month can help you avoid interest charges and penalties, effectively saving you money in the long run.
Tip #15 – Know What Rewards you Want
Rewards such as travel miles, discounts at partnered retailers, cashback, or access to premium experiences like airport lounges or concert tickets are available, depending on your card.
By understanding and leveraging these varied rewards, you can get the most excellent value out of your credit card expenses.
Cautionary Advice on Credit Card Hacks
While credit card hacks can undoubtedly offer substantial benefits when done right, pitfalls can ensue if one isn’t careful.
Pitfall #1 – Overspending
For starters, these hacks can inadvertently lead to overspending or unnecessary purchases. Be wary of making purchases you don’t need or can’t afford in an attempt to earn more rewards or meet the spend necessary for a sign-up bonus.
Consequently, the pursuit of credit card rewards could also lead to accumulated debt if you’re not diligent about paying off your balance in full each month. The interest that you need to pay on balances carried over can easily eat up the value of any rewards earned.
Pitfall #2 – Impact on your Credit Score
Applying for multiple cards can lead to hard inquiries on your credit report, which can temporarily lower your credit score. Similarly, canceling cards after acquiring the sign-up bonus could harm your credit utilization ratio and your length of credit history, both key factors in your credit score calculation.
Additionally, irresponsible habits like ‘credit card churning’ and ‘paying for everything with credit’ may risk your relationship with card issuers. Some companies might close accounts or even ban individuals from opening new ones if they’re perceived as abusing the system.
While some of the top-tier reward and travel credit cards often come with hefty annual fees, not all of them are worth paying. This is especially true when a card’s annual fees outstrip the value of the rewards earned.
Before you sign up for a credit card with an annual fee, it’s advised to read the fine print and estimate what you can earn from it. You should evaluate whether the perks, bonuses, rewards, and credits offered offset the annual fee cost.
Personally, I don’t use any cards that have an annual fee.
Pitfall #4 – Paying interest
Credit card interest can significantly impact your overall financial health if you’re not careful. The money invested toward paying it off could be better used elsewhere – for saving, investing, or spending on your needs and desires. Hence, one of the best “credit card hacks” out there is to simply stop paying interest.
You want to focus on debt free living.
Pitfall #5 – Avoiding counterproductive habits like “balance surfing”
Balance surfing is a strategy where you continually move credit card debt from one card with an ending 0% APR promotion to another card with a new 0% APR offer. While this approach can potentially delay interest payments, it can become a dangerous cycle if you find yourself simply transferring debt instead of reducing it.
Meanwhile, the total debt remains the same. Without a consistent debt repayment strategy, this method can lead to an endless cycle of balance surfing.
What are some of the best credit card rewards and hacks for 2024?
As we venture into the new year, some credit card reward strategies remain timeless while others evolve in response to new credit card offers and updated reward programs. In 2024, here are some of the best credit card hacks worth considering:
Take Advantage of Updated Card Offers: Credit card issuers frequently update their card offers and rewards programs. Ensure you stay updated on these changes to maximize your card benefits.
Focus on Cards with Flexible Reward Categories: Some cards, like the Bank of America® Customized Cash Rewards credit card, allow you to choose your highest cash-back category (like online shopping, dining, or grocery stores). These flexible category cards can be more advantageous as you can adapt them to your spending habits.
Leverage Rotating Categories: Cards like the Chase Freedom Flex℠ and Discover it® Cash Back offer 5% cash back on up to $1,500 in purchases in various categories that rotate each quarter, once you activate. Plan your spending in advance to leverage these rotating categories optimally.
Remain Alert on Loyalty Program Partnerships: Many credit cards and airlines have partnerships with other brands. This can mean increased rewards when shopping with those brands, so always watch for new partnerships or promotions.
Revisiting Annual Fees: If your credit card perks no longer justify its annual fee due to changes in lifestyle or spending habits, consider downgrading to a no-fee card from the same issuer. This way, you can save on annual fees without closing your account which could potentially harm your credit score.
Diversify Your Rewards: While it may be tempting to concentrate all your spending on a single card, diversifying your rewards can make you earn more. Consider employing a multi-card system to maximize rewards across different spending categories.
Your credit card should be a tool to enhance your financial flexibility, not a burden that leads to financial stress.
Frequently Asked Questions (FAQs)
Deciding whether to focus on paying off a single card or distributing payments over several cards can seem complicated, but there are a couple of methodologies to strategize your payoff.
The Debt Avalanche method suggests focusing on the card with the highest interest rate first. Once you’ve paid this card off in its entirety, you then move on to the card with the next highest interest rate. This can potentially save you more money in the long term as it targets high-interest debt first.
Alternatively, the Debt Snowball method, proposed by financial guru Dave Ramsey, recommends paying off the card with the smallest balance first, then moving on to the card with the second-smallest balance. While you may not save as much money in interest compared to the debt avalanche method, the psychological motivation of paying off a credit card balance entirely may be more important for maintaining consistent repayment.
Either method requires you to make minimum payments promptly on all cards to avoid late fees and possible credit score damage.
Getting credit card points without spending any additional money may seem like wishful thinking, but there are certain strategies that you can employ to achieve this. Strategically managing your credit cards can turn your everyday spending into reward points, miles, or cash back.
Referral Bonuses: Many credit card companies offer referral bonuses to their existing cardholders who refer friends or family members. If the person you referred gets approved for the card, you can earn bonus points.
Cardholder Perks: Credit card companies often run promotions offering bonus points for certain activities. These can range from enrolling in paperless billing, adding authorized users to your account, or completing an online financial education course. Check with your card issuer to view any current promotions.
Shopping Portals: Many credit card issuers, and even airline and hotel rewards programs, have their own online shopping portals where you can earn additional bonus points for every dollar spent. If you were already planning on making an online purchase, consider making it through these portals to earn extra rewards.
Sign-up Bonuses: Some cards offer sizeable sign-up bonuses for new cardholders who meet a required minimum spend within the first few months. Although this technically requires spending money, it doesn’t require spending more money if you use your card for purchases you were already planning to make.
While implementing certain credit card strategies can potentially earn you higher rewards or save money, they can also unintentionally harm your credit score if not executed responsibly.
Several factors can contribute to this potential downfall:
Opening and Closing Accounts: A high frequency of card applications can lead to multiple hard inquiries on your credit report, which might lower your score in the short term. Closing credit cards, especially older ones, can affect both your credit utilization ratio and the age of your credit history, two significant factors in your credit score calculation.
Carrying a Balance: Maintaining a high credit utilization ratio—i.e., carrying a large balance relative to your credit limit—can negatively impact your credit score.
Late Payments: If these deadlines are not strictly adhered to, they could result in late payments, which can seriously harm your credit score.
Excessive Spending: Some tactics lead to unnecessary spending to earn more reward points or meet an initial spend required for a sign-up bonus. Not only can this increase your credit utilization ratio and potentially lower your credit score, it can lead to debt if these balances are not paid off in time.
While both rewards cards and travel rewards cards offer perks to their users in return for spending, the primary difference lies in the kind of rewards they offer and their target user base.
A Rewards Card generally offers cash back, points, or miles for every dollar spent, redeemable in a variety of ways. This is the type of card I prefer. For example, you may redeem your accumulated rewards as cash back into your account, use them to purchase products or services, or exchange them for gift cards. The flexibility of rewards makes these cards are suitable for people with varied spending habits and prefer a variety of redemption options.
A Travel Rewards Card, on the other hand, is designed specifically for frequent travelers. These cards earn you points or miles on specific travel-related expenses, like booking flights or hotel stays. The redeemed rewards are typically used towards further travel-related expenses like airfare, hotel stays, or car rentals. Travel Rewards Cards often offer additional travel-centric perks like free checked bags, priority boarding, airport lounge access, and more.
Consider your spending habits, lifestyle, travel frequency, and preference in terms of reward redemption.
Protecting yourself from credit card fraud is an important aspect of managing your credit card usage effectively.
Monitor Your Accounts Regularly: Keep a thorough watch on your credit card statements for any unauthorized or suspicious charges. Report them to your credit card issuer as soon as possible.
Use Secure Networks: When making online purchases, only shop on secure websites (look for “https” in the web address), and avoid using public Wi-Fi networks for transactions.
Keep Your Personal Information Safe: It’s important to dispose of old credit card statements properly, and avoid giving out credit card information over the phone unless you initiated the call and you trust the recipient.
Protect Your PIN and Password: Don’t share these with anyone, and avoid using easily guessable combinations like birth dates or the last four digits of your social security number.
Enable Account Alerts: Most banks now offer optional security alerts that can be sent via text message or email whenever a charge above a certain amount gets made to your account.
Protect Your Computer and Phone: Make sure your devices are equipped with up-to-date antivirus software and that your phone is locked with a secure password or fingerprint identification.
In case you become a victim of credit card fraud, know the steps to protect yourself – report it to your bank or credit card company immediately, file a report with the Federal Trade Commission, and report it to the three major credit bureaus, requesting them to put a fraud alert or a credit freeze on your account.
Also remember, credit cards don’t have routing numbers.
Making the Most of Credit Card Hacking
When used wisely, credit card hacks and reward strategies can play a significant role in stretching your budget and rewarding your spending. These secrets of savvy credit card use — from aligning your card to your spending habits, making the most of sign-up bonuses and reward categories, to understanding the ins and outs of your credit card’s rewards structure — can help maximize your potential rewards and save money.
Personally, we use all of our credit card rewards to pay for our travel expenses.
However, it’s paramount to remember that these tips and tactics should not encourage unnecessary spending or carrying a balance. Only spend within your means, ensure you pay off your balances each month to avoid interest charges and remember to safeguard your credit score by handling credit card applications and closures cautiously.
Ultimately, credit card hacks and rewards should fit within your overall financial plan and goals, adding value to your everyday spending habits and rewarding you for well-managed financial practices.
Remember your goal is to reach your FI number.
Source
Reddit. “American Express Clawing Back Points Earned From Gift Card Purchases.” https://www.reddit.com/r/AmexPlatinum/comments/14hywaq/american_express_clawing_back_points_earned_from/. Accessed January 19, 2024.
CNN. “What is the Chase 5/24 rule?” https://www.cnn.com/cnn-underscored/money/chase-5-24-rule#:~:text=The%205%2F24%20rule%20is,your%20approval%20odds%20with%20Chase. Accessed January 19, 2024.
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With most things in life, what’s “best” is inherently subjective and depends on each person’s needs and perspective. It’s no different with credit cards. Even a card with tons of great perks won’t be the right fit for everyone.
When we pick the best credit cards each year, sometimes old winners are surpassed by new cards with superior benefits. In other instances, our picks reflect the new priorities of the people most likely to use the cards.
The three new winners in 2024 reflect both types of changes. Here are the cards that won and why they earned our votes this year.
Category: Best balance transfer credit card
Why the Citi Simplicity® Card won: Basic math tells the tale of the Citi Simplicity® Card’s triumph over last year’s winner, BankAmericard® credit card. The Citi Simplicity® Card gives cardholders 21 months without interest on balance transfers compared with 18 billing cycles on the BankAmericard® credit card.
The balance transfer fee on both cards is 3%, the industry standard. Note, however, that the transfer fee on the Citi Simplicity® Card increases to 5% if the balance transfer is made after the first four months of account opening.
As an added bonus, the Citi Simplicity® Card doesn’t charge late fees. Other cards, including the BankAmericard® credit card, can charge as much as $40 for a single late payment.
Category: Best airline credit card
Why the United℠ Explorer Card won: The Delta SkyMiles® Gold American Express Card had a long run as our top pick for airline credit card, and for good reason. Its perk of a free checked bag for you and up to eight (eight!) traveling companions each time you fly Delta is unmatched. Terms apply. But this year we named the United℠ Explorer Card as the 2024 winner by virtue of its credits and lounge access.
The United℠ Explorer Card offers up to a $100 credit every four years for Global Entry, TSA PreCheck or NEXUS, a nice perk that gets you through airport security faster. You can get a $100 statement credit with the Delta Gold, too — but you’ll have to spend a lofty $10,000 to qualify, and it’s only good toward a Delta flight.
United℠ Explorer Card holders also get two lounge passes a year, good for entry into any of the over 45 United Club lounges. For a mid-tier travel card, that’s a really luxurious benefit. By contrast, the Delta SkyMiles® Gold American Express Card eliminated the ability to access the lounge for a $29 fee (and other Delta cards will restrict lounge access in the future).
Category: Best credit card for college students
Why the Discover it® Student Chrome won: Yes, the Capital One SavorOne Student Cash Rewards Credit Card has a higher rewards rate in some eligible spending categories than the Discover it® Student Chrome. The Discover card earns 2% cash back at gas stations and restaurants up to $1,000 in combined purchases each quarter; 1% thereafter. The Capital One card earns 3% cash back on several popular spending categories, including dining and purchases at grocery stores, but it lacks some key benefits that appeal to many students. The Discover it® Student Chrome offers:
A waiver on the first late payment fee.
A breather on interest for new purchases. The card has the following promotional APR: 0% intro APR on Purchases for 6 months and 10.99% intro APR on Balance Transfers for 6 months, and then the ongoing APR of 18.24%-27.24% Variable APR. A break from interest, even for just a semester, can be a big help in financing major purchases like textbooks.
A potentially big sign-up bonus. The Discover it® Student Chrome has the same welcome offer found in any one of Discover’s nonstudent cards: INTRO OFFER: Unlimited Cashback Match for all new cardmembers – only from Discover. Discover will automatically match all the cash back you’ve earned at the end of your first year! So you could turn $50 cash back into $100. Or turn $100 cash back into $200. There’s no minimum spending or maximum rewards. Just a dollar-for-dollar match. Say you spent $300 a month on your Student Chrome. Assuming a 1% cash back rate, you would come away with $72 by your account anniversary.