If you're like most people, you use your credit card for everything, from groceries to gas. It's a convenient way to pay and it can also help you rack up rewards points and cashback. But if you're not careful, you might not be getting the most out of your credit card rewards.
In this article, we will discuss 4 ways to maximize your points and rewards on your credit card. Follow these tips and you'll be racking up the rewards in no time!
Use Your Card for Everyday Purchases
Using your credit card for regular purchases is one of the most effective methods to earn points. Groceries, gasoline, and even your daily coffee are all eligible. You'll get points or cash back every time you use your card. These incentives will stack up over time into a significant amount of money.
If you're not utilizing your credit card for everyday purchases, you'll be missing out on easy rewards. Make sure to use your card for all of your regular costs; you'll have plenty of rewards in no time.
Make bill payments with Credit Cards
Make sure to look for other bills you can pay with a credit card that you weren't aware of, such as ones you wouldn't expect. You may be able to pay your car insurance or your utilities using a credit card. The more bills you can pay with your card, the more points or miles you'll get over time. However, keep an eye out for any extra processing fees that may be incurred when you pay your bills using your credit card.
American Express® Platinum Card
Best for Experienced Users
Sign-up bonuses are provided to customers by credit cards companies who spend a certain amount of money within a specific period. And sign-up bonuses are usually enough to make a significant dent in your next vacation's cost. There's no way around it: there is no faster or easier method to earn that many miles and points quickly. Credit card companies offer these bonuses to attract new customers, so don't hesitate to take advantage of them.
However, make sure you understand the terms and conditions associated with sign-up bonuses before you start spending. Credit card companies will often require you to spend a certain amount of money within a specific period, usually three months. They may also place restrictions on what types of purchases qualify for the bonus.
Be sure you know what you're getting into before signing up for a new credit card just for the bonus. It's not worth it if you can't meet the requirements or if the bonus isn't that great. You must seek a card that has a high bonus for a lower minimum spend requirement.
For example, Capital One Venture X is offering 75,000 miles as their bonus when you meet their $4000 minimum spend requirement within the first 3 months of accepting their card.
Applying for cards around major purchases is a great way to meet the minimum spend requirement, such as a new refrigerator, or around the holidays when buying gifts.
Just remember, only apply for the credit card if you think you will use it after the bonus period. It's not worth getting a new credit card and then forgetting about it afterward.
While the sign-up bonus is usually the best way to earn a majority of your points, that is not the only way.
Authorized User bonuses
Some credit cards provide bonuses for enrolling new users on the account as authorized users. If you have a trustworthy individual that you'd trust to use your card, this may earn you extra points. Keep in mind that the authorized user is not required to make purchases; rather, the cardholder is responsible for any transactions made by the authorized user.
If you have a credit card that you love, most issuers will offer referral bonuses for every new customer that you bring in. The individual you refer must be approved for the card for the referrer to earn the bonus points. These bonuses come in the form of points, cashback, or even miles.
Make sure to keep an eye out for any special opportunities to earn points, as they can help you rack them up quickly.
Using shopping portals
To earn the most points possible, you'll need to be strategic about your spending. Credit card companies will often have shopping portals that offer additional points for purchases made through their site.
To take advantage of these offers, simply login to your credit card's website and look for the portal. Once you're there, browse through the different stores and see which ones are offering the most points. Some stores might offer double or even triple points on specific items.
If you do a lot of online shopping, this is an easy way to rack up extra points. Just make sure that you go through the portal every time you make a purchase; otherwise, you won't get the bonus points.
The bottom line
By following these four simple tips, you'll be well on your way to earning more rewards from your credit card. Credit card rewards can offer a great benefit, but only if you're using them correctly. Use your credit card for everyday purchases, make bill payments when possible, and look for bonus opportunities. By following these tips, you'll be racking up the rewards in no time!