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Laminar · Jan 15, 2009, 01:03 PM

Okay, at the advice of my supervisor, I need to get a new credit card, preferably one with some sweet benefits. I'm going to be spending at least $50-60K that my company will reimburse, so it was suggested that I get a credit card with an excellent rewards programs. Most of the money will be spent on airline tickets, hotels, and restaurants, so if possible, it's be nice to get a card that gave me advantages there. Right now, I have a Chase card from Amazon that gives me a $25 gift certificate for every $2500 I spend, with triple points for dollars spent at Amazon.

Any suggestions?

waxcrash · Jan 15, 2009, 01:09 PM

I recommend American Express. Awesome rewards. I use my rewards primarily for iTunes songs. For every 5,500 points I get 50 songs.

http://www.membershiprewards.com/

Laminar · Jan 15, 2009, 01:32 PM

I'm looking for something more substantial than free music, like airline miles or hotel stays. But I'll be able to keep all of the frequent flier miles and benefits from hotels stays that I accrue, so maybe a nice cash-back plan would be good, too, especially one that favors the kind of spending I'll be doing.

nonhuman · Jan 15, 2009, 01:39 PM

You could get a cash-back card. 3% shouldn't be hard to manage and that would get you $1500-1800.

turtle777 · Jan 15, 2009, 03:09 PM

American Blue Cash: You get between 1.25% and 5% cash back.

TrueEarnings® Card from Costco and American Express: 3% for gasoline, 3% for restaurants, 2% for travel, 1% everywhere else

Other cards may charge you a yearly fee, but it might be worth it if you can get more than 2% cash back.

-t

turtle777 · Jan 15, 2009, 03:10 PM

Originally Posted by nonhuman

You could get a cash-back card. 3% shouldn't be hard to manage and that would get you $1500-1800.

There are no cards that pay 3% flat on all purchases.

-t

nonhuman · Jan 15, 2009, 03:12 PM

Originally Posted by turtle777

There are no cards that pay 3% flat on all purchases.

-t

It's been a while since I've bothered to look at the cash back rewards...

Laminar · Jan 15, 2009, 03:17 PM

Originally Posted by turtle777

American Blue Cash: You get between 1.25% and 5% cash back.

TrueEarnings® Card from Costco and American Express: 3% for gasoline, 3% for restaurants, 2% for travel, 1% everywhere else

Other cards may charge you a yearly fee, but it might be worth it if you can get more than 2% cash back.

-t

I like it:

The only potential issue is that my current credit rating is "good," and some of the better cards require "excellent."

Gregg · Jan 15, 2009, 03:21 PM

Originally Posted by turtle777

There are no cards that pay 3% flat on all purchases.

Maybe not, but Discover rewards you with 5% on travel purchases.

Laminar · Jan 15, 2009, 03:31 PM

Originally Posted by Gregg

Maybe not, but Discover rewards you with 5% on travel purchases.

It looks like that is only for the first $800 you spend in that area, and only applies to purchase made from January to March.

E's Lil Theorem · Jan 15, 2009, 03:33 PM

Originally Posted by Gregg

Maybe not, but Discover rewards you with 5% on travel purchases.

Not all of the time, though. Discover does their 5% cashback by quarters. This quarter is airlines, hotels, etc. Next quarter it will home and fashion.

Anywho, I say for that kind of cash, the AMEX Blue may be best. For regular joes like me, there's the Charles Schwab Visa that gives back a flat 2% cash back on everything. EVERYTHING. And they pay the following month unlike some other places that give you your rewards once a year. You do need a Schwab account, though (that's where they deposit your rewards into).

E's Lil Theorem · Jan 15, 2009, 03:36 PM

Originally Posted by Laminar

I like it:

The only potential issue is that my current credit rating is "good," and some of the better cards require "excellent."

Wait...something is not proper with this. You entered what you plan to spend total...but it wants you to enter monthly amounts. That's why your annual rebate is coming out at $15k or so. It's probably closer to $1200.

Laminar · Jan 15, 2009, 03:58 PM

Originally Posted by E's Lil Theorem

Wait...something is not proper with this. You entered what you plan to spend total...but it wants you to enter monthly amounts. That's why your annual rebate is coming out at $15k or so. It's probably closer to $1200.

Ohhhh...I was trying to figure out what was broken about the calculator, but it turns out the problem was me.

mduell · Jan 16, 2009, 03:25 PM

Originally Posted by waxcrash

I recommend American Express. Awesome rewards. I use my rewards primarily for iTunes songs. For every 5,500 points I get 50 songs.

http://www.membershiprewards.com/

If you get 1 point per net dollar spent, that's a poor value. With a 1.25% cash back card you could get 70 songs.

shifuimam · Jan 16, 2009, 03:38 PM

Is cash back on those cards taxed?

Cold Warrior · Jan 16, 2009, 03:40 PM

Originally Posted by shifuimam

Is cash back on those cards taxed?

The companies don't do any withholding, but I imagine the IRS would expect you to file it as additional income.

andi*pandi · Jan 16, 2009, 03:41 PM

chase has a subaru card, I use the rewards for the yearly maintenance.

I'm going to drop my amazon card soon.

E's Lil Theorem · Jan 16, 2009, 04:39 PM

Originally Posted by Cold Warrior

The companies don't do any withholding, but I imagine the IRS would expect you to file it as additional income.

The IRS hasn't come out with any guidance yet. I believe most folks, including myself, treat these cashback rewards as discounts on the items we purchase, not as income.

Laminar · Jan 16, 2009, 04:46 PM

Originally Posted by andi*pandi

chase has a subaru card, I use the rewards for the yearly maintenance.

I believe there's a $500 limit on those rewards though, right?

waxcrash · 05:34 PM

Originally Posted by mduell

If you get 1 point per net dollar spent, that's a poor value. With a 1.25% cash back card you could get 70 songs.

Yeah, I understand, I didn't get it just for the iTunes rewards. The card I have is an AMEX "In-Chicago" card and the rewards are primarily specific to Chicago - free food/drinks at local restaurants and clubs, which is why I got the card. Unfortunately, AMEX is discontinuing the "In-Chicago" card and will be giving me a Blue card.

Funny thing about the "In-Chicago" card is the card is physically all black and on a couple of occasions the establishments where I was using the card thought it was a Centurion Card (Black Card).

Originally Posted by Laminar

I'm looking for something more substantial than free music, like airline miles or hotel stays. But I'll be able to keep all of the frequent flier miles and benefits from hotels stays that I accrue, so maybe a nice cash-back plan would be good, too, especially one that favors the kind of spending I'll be doing.

I've found AMEX has the most diverse rewards program. If you want rewards specific to travel/lodging, your best bet is to get a VISA/Mastercard through one of the major Airlines. For example, Southwest has a Rapid Rewards Visa.