The Best Reward Credit Cards

This week’s money matters post is all about credit cards! Stan and I love ours. We have been able to take some really nice trips because of the airline miles we’ve accumulated. However, I know many of you are trying to get out of debt or use the cash only system. You can just file this post away for a time if/when you decide credit cards are right for you.

Before I go over the best cards, first ask yourself, do you carry a balance month to month? If the answer is yes, if you’re the kind of credit card user who carries a balance, then reward cards are NOT for you. Any benefit you get from a rebate card is swamped by the added interest costs when you carry a balance. Instead, you should look for the lowest-rate card you can find so you can pay off your debt as quickly as possible. Don’t get sucked in by 0% offers on rebate cards. After they expire, you’ll typically pay a much higher interest rate than you could find if you looked for a low-rate, non-rebate card.

But for those of you who pay off in full every month and are looking for the best credit card for you. I have a pretty good rundown of them. There are several different categories of rewards. You’ll have to pick what you think will work best for your needs.

Stan and I have the Capital One No Hassle card and it lives up to its name. It is so easy to claim rewards. We put EVERYTHING on the card and pay it off in full every month. All our bills, groceries, doctor visits, everything. We always pay it off in full and never carry a balance. We’ve taken several nice vacations and used our miles to pay for hotels and airlines.

Enough intro, here’s the skinny on the cards:

Airlines

Capital One No Hassle Miles

·         Earn 1.25 miles for each dollar spent on purchases

·         No blackout dates or seat restrictions

·         No expiration date on miles and no limit on the miles you can earn

http://www.capitalone.com

Miles by Discover

·         1 mile for every dollar spent on all your other purchases

·         Unlimited miles that never expire

·         Redeem for travel credits to your account, gift cards from partners or cash starting at just 1,000 miles

·         No annual fee

http://www.discover.com

Chase TravelPlus Visa Card

·         Miles can be redeemed for airline tickets, hotel stays, cruises and car rentals

·         Travel domestically or internationally with no blackout dates

·         Earn two miles per dollar spent on travel purchases

·         Earn one mile per dollar spent on all other purchases

http://www.chasecreditcards.com

Platinum Delta Skymiles Credit Card

·         Earn 20,000 bonus miles after first purchase

·         Earn double miles on every eligible dollar spent at supermarkets, drugstores, gas stations, home improvement/hardware stores and the U.S. Postal Service

·         Earn one mile for every dollar spent on other eligible purchases

·         Miles never expire, and there is no cap on the miles you can earn

·         $135 annual fee

http://www.americanexpress.com/cards

Hotels

Hilton HHonors Platinum Credit Card

·         Get three bonus points for each eligible dollar spent everywhere else

·         No annual fee

·         No blackout dates

http://www.americanexpress.com/cards

Starwood Preferred Guest Credit Card (American Express)

·         Use Starpoints for free nights and upgrades at over 860 participating Starwood hotels and resorts in 95 countries

·         Transfer Starpoints to select frequent-flier programs

·         Earn one Starpoint for every dollar spent and double Starpoints at participating Starwood properties and retail partners

·         No annual fee for the first year and $45 thereafter

http://www.americanexpress.com/cards

Maximum Rewards Platinum Edition Visa Card (for travel) (from First National Bank of Omaha)

·         Earn three points for every dollar spent on air travel and hotels

·         Earn rewards with every purchase

·         Huge array of redemption rewards

·         No annual fee

http://www.firstnational.com

Restaurants

True Earnings Card from Costco and American Express

·         Earn cash back: 3% for gasoline, 3% for restaurants, 2% for travel, 1% everywhere else, including Costco

·         No annual fee with your paid Costco membership

http://www.americanexpress.com/cards

Chase Freedom (3% cash back could apply to restaurants if you eat out frequently)

·         Receive $50 after you make your first purchase

·         3% cash back in your top three everyday spending categories

·         1% cash back for every dollar spent on all other purchases

·         Receive an extra $50 each time you save and redeem $200 in rewards

http://www.chasecreditcards.com

Entertainment

American Express Rewards Rewards Gold Card

·         Earn 10,000 bonus points after your first purchase with the card

·         No preset spending limit

·         Earn one point for virtually every dollar spent

·         Redeem points for travel, shopping and entertainment rewards

·         Gold Card Events: exclusive access to tickets for select concerts, shows, major sporting events and more, in cities nationwide

·         No annual fee the first year; $125 thereafter

http://www.americanexpress.com/cards

Disney Rewards Visa Card from Chase

·         Earn 1% in Disney Dream Reward Dollars for every $1 you spend

·         0% introductory annual percentage rate for up to 12 months

·         0% vacation financing

·         No block-out dates

·         No annual fee

http://www.chasecreditcards.com

Gas

·         Capital One No Hassle Miles Rewards for Travel and Gas

·         Earn three miles per dollar spent on travel and gas purchases

·         Earn one mile per dollar for all other purchases

·         No blackout dates or seat restrictions

·         No expiration date on miles and no limit on the miles you can earn

http://www.capitalone.com

BP Visa Rewards Card

·         Double rebates for two months

·         5% rebates on all participating BP location purchases

·         2% rebates on all eligible travel and dining purchases

·         1% rebates on all other eligible purchases

·         No limit on rebates

·         No annual fee

http://www.chasecreditcards.com

The Chase PerfectCard

·         Earn rebates on all of your gas purchases

·         6% rebate on all gas purchases made at any gas station for the first 90 days

·         After that, you’ll earn a 3% rebate on all gas purchases

·         Earn a 1% rebate on all other purchases everywhere MasterCard or Visa is accepted

http://www.chasecreditcards.com

Cash Back

Chase Freedom Credit Card

·         Receive $50 after you make your first purchase

·         3% cash back in your top three everyday spending categories

·         1% cash back for every dollar spent on all other purchases

·         Receive an extra $50 each time you save and redeem $200 in rewards

http://www.chasecreditcards.com

Capital One No Hassle Cash Rewards Card

·         2% cash back on purchases at gas stations and major grocery and drug stores and 1% cash back on all other purchases

·         No limit on cash back, and rewards won’t expire for the life of your account

http://www.capitalone.com

Blue Cash from American Express

·         Up to 5% cash back with unlimited cash rewards

·         Earn unlimited cash back

·         No annual fee

http://www.americanexpress.com/cards

This list should not be your only source of information. Use it to narrow your choices and then do a little more research to make sure you are choosing the best card for your circumstances.

Good Luck!