Thursday, 21 May 2020

Best Credit Cards For Everyday Spending

We have talked a lot on our site about the credit cards you should use when you are going out to the supermarket, when you are going out for dining, and when you are going out traveling. And that is such an easy thing to write an article on. I decide I am going to write an article on the credit cards you should use in terms of the times you do not know which credit card to use.

What Credit Cards Do You Use?

Say you are going to the doctor's what credit cards do you use? Say you are going to the dentist what credit card do you use? Say you are going to Walmart or Target or Best Buy and you do not have any of those store cards, what cards should you use in those situations? What cards should you use if it does not fall into the popular category of travel, dining, supermarkets, and gas stations? What do you do? We are going to go over exactly what those cards are

I am going to split this article up into three parts

  1. Universal Rule
  2. Personal Cards
  3. Business Card

Let's get started

1. Universal Rule

We are going to start with universal law and what that rule is. Universal code of conduct in the world of credit cards points and miles is if you are signing up for a new credit card and you are working on that welcome bonus which is usually going to be spent X amount to get X amount of points that's the card you want to be using, no doubt about it until you get that welcome bonus until you hit that limit, that is a card you should be using. I could end the article right there, but we are going to talk about the cards you should be using when you are not going for that welcome bonus because there's a lot of people who are just using credit cards without signing up for a new one every few months.

For me personally, I like to strategize exactly how much money I am about to spend and what cards offer that welcome bonus that will match that spending habit. A good example of this is tax season

With taxes you can use your credit cards to pay online and it is very simple to do, all you have to do is go on IRS website and they have three different credit card entry forms, they have different providers you can use, some of them have varying processing rates, for me, I like to go with the lowest interest, maybe you do not, maybe you like to pay a little bit more money for no reason, but if you are someone like me who likes to save money that is the way I go about it. I know for me if I have to pay $20,000 to $40,000 worth of taxes annually, then I definitely want to get a credit card that is going to be able to maximize that amount for me, which is the universal law right there. just know that. Knowing that you will save a lot of money. I know there is a good majority of our reader who does not strategize which credit cards they should apply for with regards to what spending they are about to do, but if you are someone who is doing that if you know exactly what card you are going to get next and when you are going to get it. You are on it, that is how you should do it.

If you are not doing it do not beat yourself up, it is really easy to plan ahead for these things, everyone is in their own situations, some people have credit card debt, some people are over 5:24 rule, some people are under 5:24 rule. But here is my recommendation. All you have to do is educate yourself in terms of what you want. Do you want to travel for free, do you want to get the most cash back, do you want status, do you want hotel benefits and perks, what do you really value the most. Once you figure out those type of variables and then you understand hey, I am about to pay $5,000 in taxes in April, or I am about to buy a new car in six or twelve months or maybe they are in Christmas season I know I am about to buy my parents of this expensive TV. Know exactly what purchases you have coming up, and then try to time applying for your credit cards during those same times.

Because one of the most valuable benefits of a credit card is going to be the welcome bonus that it offers. You often won't find yourself being able to get 50 or 60,000 points in a lump sum immediately without doing anything, usually try to get that many points off personal organics spend takes a very long time, sometimes months, sometimes years, so I recommend you to sign up for a card to understand what the welcome bonus terms are and to make sure that you can hit it.

2. Personal Cards

Citi Double Cash Card

Let's talk about some of the best personal cards that I recommend and this is a card that I do not say too often on this site, it is going to be the Citi double cash card. Some people comment on my article like mininely, are you ever going to talk about a card that is not chase, American Express, Discover. But for the most part, chase and American Express they are the two leading top dogs in this industry, people keep asking me how come I do not talk about Citi or Capital One as much, it is because I do not see them in the competitive scene in terms of the two leaders we got, chase and American Express are doing well, they are dominating the market, I do not believe any of these other lenders come close and that's why I don't recommend it. But there are certain situations when I do and it is going to be situations like this.

You get 2% back with the Citi double cash card and if you also pair that card up with the Citi premier or the Citi prestige you could get an increased transfer rate on your points, I feel like this is going to be number one just because Citi double cash very easy to use, no annual fee, you do not worry about anything else. When we are talking about other credit cards that have 2% may fall under the business spending category.

The reason why I have Citi listed number one in this category it is only because of that transfer partner ability, if you are just getting a flat 2% back, the chase freedom unlimited might be comparable to this, 

Because you can use that Chase freedom unlimited card and although you are getting 1.5 X because those are worth ultimate reward points, you can find yourself getting an additional value that may outweigh the flat 2% cashback you would get with the Citi double cash card. 

Chase Freedom Unlimited
Because we are talking about the chase freedom unlimited I might as well just add this to the list, this is another great card in terms of getting 1.5 X back. I do believe that as long as you are getting at least 1% back in this category you are doing fine. Just because not everything is going to fall under the category of everyday spending, I feel like if you are getting 1% though that is the bare minimum, so 1.5% to 2% and up, that is the goal that you want to go for. The chase freedom unlimited and the city double cash both have no annual fees which put it in their own tier, out of all those cards I mentioned I do have a personal favorite it would probably be the chase freedom unlimited card or the city double cash card. Those are the best personal credit cards for everyday spending.

3. Business Card

We just covered the best personal credit cards for everyday spending, what about business credit cards. I know before you click out of this article you might be thinking why should I read this? I do not qualify for business credit cards, that is where you might be wrong, a lot of people do qualify for business credit cards and you can find yourself getting away higher return with some of these credit cards.

American Express Blue Business Plus Card

This card offers you 2% back on everything up to $50,000 and you can redeem those points for more value inside of American Express's membership reward program. Regardless of if we are talking about personal or business credit cards, this is the most superior. You get 2x instead of 1.5 X which is like the industry standard right now, and you can transfer your points out for even more value.

Chase Ink Unlimited Card

Another card that has no annual fee and another card that competes with the blue business plus card is the chase ink unlimited card. This is just the business version of the freedom unlimited, so you can make the discretion when you want to use the freedom unlimited versus the ink unlimited. I know that in certain situations business credit cards are better than personal credit cards because you get better protection, better warranty, and sometimes even better customer support. These are things that I do consider a lot in terms of the value and the things I look within a credit card.

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