If you own a credit card and don’t know about the existence of points, then you might be using it wrong! Some banks try to encourage their customers to spend money, in the form of rewards: the more you spend, the bigger they are.
Today, we will be explaining, quite briefly, what are points and their benefits, together with three of the credit cards that give out the best offers, as of October 2020.
What Are Credit Card Points?
As explained above, these points are a method that companies use in order to encourage their customers to spend money with their credit cards. The more money the customer pays, the better the reward. The points can, then, be replaced by travels, products and even the return of part of the money spent! Careful, though, as most offers include an expiration date for the points to be used, not to talk about possible annual fees and APR’s (annual percentage rates). Because of that, you should be extra careful on which plan to choose from. Usually, the client gets a point for each dollar they spend, but there are tons of different offers to have in mind. Let’s have a look at some of them:
1. Chase Freedom Flex SM
One of the biggest advantages this plan has to offer is the fact that it charges no annual fee. Plus, its welcome bonus is pretty generous: after spending $500, in your first 3 months after opening the account, you will get back $200. Almost half of it! Not to mention that you’ll have the opportunity to earn up to 5% of the cash spent back in selected categories upon activation.
Although this credit card does have its generous advantages, keep in mind that customers of this plan will have to activate the bonus categories each quarter and that your foreign transitions will be charged on 3%.
2. Southwest Rapid Rewards Plus Credit Card
Although it has a $69 annual fee, this credit card will keep your points forever. Plus, you will get 2 points for each dollar spent on Southwest and Rapid Rewards hotel and car rentals partner purchases (for other purchases, the plan is the same as usual: a point per dollar). You should also keep in mind that you will earn 40,000 points after spending $1,000 in the first 3 months after activating the account, not to talk about the 3,000 extra points you’ll get each year, to celebrate your membership anniversary.
3. Chase Sapphire Preferred Card
And here’s another Chase credit card. This one has more advantages than the one presented prior, but that is also because of its higher $95 annual fee. Don’t worry, though: the yearly $95 payment sure is worth it. Why? Well, to start off, you can gather a good amount of points if you purchase products from their partners: you’ll earn 5 points per dollar spent on Lyft through March 2022 and 2 points per dollar on travel and dining worldwide. Again, other purchases outside of these will give you a point per dollar spent. Besides that, you will get a $1,600 bonus value upon activation and you’ll have the right to earn 80,000 points after you spent $4,000 in the first 4 months as a member! Pretty good, right?
Well, if you are looking for an economic choice that’ll still allow you to get some points, Chase Freedom Flex SM is the best choice. It has no annual fees, even though that comes with a cost: the benefits are not as good as the other two we presented. Given that, if you don’t mind spending some extra money to get more points, Southwest Rapid Rewards Plus Credit Card is the best choice. The Chase Sapphire Preferred Card is even better in case you travel a lot.
Keep in mind, though, that these are only three of uncountable other plans available worldwide. Some are worth it, some aren’t. If these three plans are not your vibe, then do some research on points and on the whole bunch of different choices you’ve got, always keeping these three in mind as a model. If you want a site to begin your adventure through the world of credit card bonuses, start with Credit Karma. Have in consideration that offers are always changing, though. Be sure to keep yourself updated at all times before choosing one (or more plans) in a definite way.
Good shopping and may a lot of points come your way!