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Maximizing Cashback with Credit Cards

May 2, 2025

Lecture on Maximizing Cashback with Credit Cards

Introduction

  • Discussion on simplifying your wallet with a single cashback card.
  • Exploration of cards offering more than 2% cashback.
  • Introduction to earning strategies for maximizing cashback, potentially over 133% return.

Host Introduction

  • Chris Hutchins, aims to help upgrade life, money, and travel.

Best Cashback Cards Overview

  • Updates from episode 170 regarding cashback versus points.
  • Focus on cards offering more than 2% cashback.

US Bank Smartly Visa Signature Card

  • Cashback Rate: Up to 4%.
  • Requirements:
    • Unlimited 2% cashback base.
    • Additional 2% with $100,000 in US Bank or brokerage accounts.
  • Pros: $0 annual fee.
  • Cons: No signup bonus, foreign transaction fees apply, limited credit line.

US Bank Altitude Reserve Card

  • Cashback Rate: 4.5% on mobile wallet and travel purchases.
  • Features: 3x points on travel and mobile wallet; real-time rewards.
  • Annual Fee: $400 with $325 travel and dining credits.

Other Notable Cashback Cards

Robinhood Gold Card

  • Cashback Rate: 3% on all purchases.
  • Annual Fee: $60/year for Robinhood Gold.
  • Cons: Restrictions on type of purchases.

Discover It Miles Card

  • Cashback Rate: 3% back first year (1.5x miles doubled).
  • Features: No annual fee, no foreign transaction fees.

Bank of America Cards

  • Types: Unlimited Cash Rewards, Travel Rewards, Premium Rewards.
  • Preferred Rewards Program:
    • Boosts earning rates by 25%-75%.
    • Cashback Rate Example: Up to 3.28%.

Cashback Card for Businesses

  • Bank of America Business Cards: Good for higher limits and business-specific rewards.
  • Alliant Credit Union Visa Signature Card: 2.5% cashback on up to $10,000/month.

Complementary Cards

  • Difficult to significantly complement a 4% cashback card.
  • Potential Complementary Cards:
    • Verizon Visa Card: 4% on dining, grocery, and gas.

Welcome Bonuses Strategy

  • Welcome Bonuses: Offers effective rates significantly higher than standard cashback rates.
  • Example: Capital One Spark Cash Plus and Venture X offer high effective rates on initial spend.
  • Strategy: Open multiple cards annually to maximize return.

Closing Remarks

  • Emphasis on Welcome Bonuses: Potential for over 133% return.
  • Personal Experience: Host shares efforts to adapt strategy toward maximizing welcome bonuses.

Resources

  • All the hacks membership and other resources for further learning.

Note: These notes summarize the key points from the lecture on cashback credit cards and strategies to maximize rewards. For more in-depth information, refer to specific sections or related episodes mentioned.

Full transcript