By: Dan

Dan — Fri, 12 Sep 2008 20:07:00 +0000

I've never cared about the interest rate on any of my cards because
I've never paid any interest on my cards. They can raise it to 99%
for all I care. I see no point in paying interest on my day-to-day
purchases. Why ever carry a balance? And why consider a card with
an annual fee at all? I charge everything I can on my three rewards
cards. One does 5% cashback at grocery stores, gas stations, and
drug stores. Another does 3% cashback at restaurants and office
supply stores. The last switches what you get 5% cashback on every
three months. This totals to over $1000 in tax-free money each year
on purchases I would have made anyway. As I said, I pay it all off
every month and never pay any interest or fees. Another advantage
to charging everything I can on these cards is that I use a
third-party account aggregator to track all of my month to month
spending with data directly from the credit cards' websites. I just
go to this third-party website and get a pie chart of my spending
on groceries vs restaurants vs rent vs everything else. This has
helped me know when I need to cut down on eating out, etc. As long
as you use them like you would cash and don't use them to actually
borrow, rewards cards are awesome!

Comments on: Is Your Rewards Card Worth It?

By: Dan