How To Choose A Credit Card That Fits Your Reward Goals And Spending Habits

Besides the obvious cashless benefits, credit cards can get you closer to your next free trip. To top it off, it will happen as you keep using them for your daily expenses. That is the objective behind having points and miles on your credit card. But how to choose a credit card that suits your need?

How To Pick A Credit Card Which Fits Your Spending Habits:

How to choose a credit card for the first time? When you are searching for credit card selection options, you will get hundreds of choices. But each of them is not worthy. Hence every credit card user’s preferences are different and based on these differences, the credit card utilities are also very different.

 There are tons of credit cards out there, and it can get confusing trying to decide which ones are suitable for you.

• Matching Goals And Habits

When choosing a credit card, the first thing you need to consider is your spending habits. Then think about how you already travel and intend to do so in the future. 

For example, if you make a lot of domestic trips, then how to choose a credit card that can fulfill your need? An international travel credit card isn’t of much value to you. Let’s say that you love eating out. In that case, a credit card that gives you points for spending at restaurants is the way to go. 

That makes it essential to think about your goals and match them to your spending habits. Credit cards that let transfer points to hotels and airlines are the best option. You will most likely need multiple credit cards to maximize the returns. 

Managing multiple credit cards can become difficult due to various phishing scams out there. Credit card phishing recovery organizations can help you if you ever become a victim. 

To be safe, before embarking on this journey, familiarize yourself with the recovery process and the types of scams prevalent at the moment.

Related Resource: 5 Tips to Increase Your Credit Score Fast

4 Examples Of Credit Card Options:

When you want to know how to choose a credit card, You also have to know some of the market’s best credit cards. For example, based on your requirements, you have to select your card. 

Many of the users are asking about how to choose a business credit card? My opinion is first to analyze what types of requirements you are having and then match them up with the credit card facilities.

1. Chase

Chase is a fantastic credit card issuer for beginners. Some of their cards offer cash back, while others let you redeem points for travel directly from the issuer. 

They also have several hotel and airline partners to whom you can transfer points. United Airlines, British Airways, Marriott, and Hyatt are some of Chase’s preferred partners.

2. The Sapphire Reserve And Preferred

The introductory offer on Preferred gives you 60,000 points for opening your account. That is equivalent to about $1200 in travel expenses. 

The annual fee is $95. The card gives you five points for travel, three for dining, and two for other traveling expenses. 

You earn these points for each dollar you spend. You get one point on expenses in other categories. Travel insurance and car rental insurance are also offered on the card. 

The Reserve works similar to Preferred but has a higher annual fee of $550. However, you earn almost twice the points in all the categories mentioned above. You will also get a 50% higher value on redemption.

3. American Express

The good old American Express has some exciting reward programs and great travel partners. Some of them are Delta Airlines, JetBlue, and Mariott. How to choose a credit card for your business purpose?

This is the right business card for traveling. So you can select the card with a blindfold.

4. The Gold And Platinum

The annual fee on the Gold card is $250, and it has a sign-up bonus which is the same as the Chase Sapphire. The card is more focused on spending on restaurants and groceries. 

It has four points for dining out and supermarket expenses. It will also give you three points for every dollar spent on Amex Travel. 

Also, you will also get a $120 credit on several restaurants and food delivery apps. You will get the same amount of credit on Uber as well.

Facilities Of These Credit Cards 

• The Platinum card fee is higher at $695, but it gives you 100,000 sign-up points. That is equivalent to about $2,000. You get five points on travel expenses with bookings on American Express travel. You also get five points on direct airline bookings. 
• The best part about this card is the concierge service. You can use their services to get reservations at premium spots. They will even help you with your holiday destinations. They can pick out premium and unexplored destinations.
• American Express is known for its luxury offerings. With the Platinum card, you will get access to Centurion Lounges. Also, you will get immediate elite status at the Hilton and Marriott group hotels. 

As you can see from the four types of credit cards listed above, they are geared toward different individuals. The point redemption and earning schemes, along with the additional benefits that they offer, are all different.

Conclusion:

Make sure you study these details carefully before selecting the right card. Note that these are not ranked. You need to go through all the options and decide which one is the most compatible for you.

Now you know How to choose a credit card but before signing any card-related documents, always read through all points prior to signing.

Read Also:

• 5 Proven Ways to Reduce Your Credit Card Debt
• 5 Next Steps When You Find a Credit Report Error
• Improving Your Future: 10 Need-to-Know Tips to Help You Improve Your Credit Rating