Credit Cards: A Wealth-Building Tool

Introduction

• Credit cards can help build wealth and offer perks when used responsibly.
• Essential to pay in full and on time every month.
• Finding the right card depends on your spending habits.

Built Credit Card

• Target Users: Renters.
• No Annual Fee.
• Rewards: Earn points by paying rent without processing fees.
• How It Works:
  • Unique routing and account number bypasses fees.
  • 5 transactions per billing cycle needed to keep rewards.
• Points:
  • 3x points on dining
  • 2x points on travel
  • 1x point on all other purchases
  • Average ~2.1 cents per point.
• Not For: Those who can’t pay off their card monthly.

Carrot Card

• Target Users: Content creators, freelancers, digital media workers.
• No Annual Fee.
• Rewards: Customizable categories for cash back, flexible spending limits.
• Points: 1-3x back in eligible categories.
• Additional Benefits: Build personal credit with business expenses.

AMEX Platinum Card

• Annual Fee: $695.
• Perks Value: ~$1,500 (if fully utilized).
• Luxury Perks:
  • Access to AMEX Centurion lounges.
  • Advanced access to concert/event tickets.
  • Hotel and travel credits.
  • TSA Pre-check/Global Entry reimbursement.
  • Travel insurance, hotel status, fitness memberships reimbursements, cell phone insurance.
• Points:
  • 1x point per dollar on eligible purchases
  • 5x points on air travel/hotels
• Target Users: Frequent travelers and high spenders.

Chase Sapphire Reserve

• Annual Fee: $550.
• Perks:
  • Airport lounge access.
  • Trip protections, $300 annual travel credit, partnerships with Instacart, DoorDash, etc.
  • Warranty protections and item return reimbursement.
• Points:
  • 3x on dining and travel
  • 5x on air travel
  • 10x on hotel bookings
  • 1x on all other purchases
• Target Users: Frequent travelers.
• Personal Tip: Authorized user setup to save on fees.

Chase Sapphire Preferred

• Annual Fee: $95.
• Beginner Travel Rewards:
  • Welcome bonus: 60,000 points ($600-$750 in value).
  • $50 annual travel credit.
  • Free DoorDash membership.
• Points:
  • 5x on travel booked via Chase
  • 5x on Lyft rides
  • 3x on dining, streaming, online groceries
  • 2x on travel
  • 1x on other purchases
• Target Users: New credit card users interested in travel rewards.

Capital One Venture X

• Annual Fee: $350.
• Perks: Airport lounge access, travel insurance, Global Entry/TSA fees coverage.
• Introductory Offer: 75,000 miles ($750 value).
• Rewards:
  • 10x on hotels and rental cars booked through Capital One
  • 5x on flights
  • 2x on other purchases
  • 10,000 bonus miles every year
• Points Value: ~1.7 cents per point.
• Target Users: Intermediate travelers.

Cash Back Cards

• Options: Chase Freedom Unlimited, Citi Double Cash Card
• Simple Rewards: 2x points per dollar, no annual fee.

Key Takeaways

• Select a card based on your needs and spending habits.
• Understand the terms and manage payments responsibly.
• Be informed to set the foundation for financial well-being.

Conclusion

• Aim for responsible credit card usage.
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