Best Cash Back Cards and How to Earn up to 20% Back on Everything

Cashback Tips

Chris Hutchins explores various strategies to maximize cashback rewards from credit cards. He highlights the importance of selecting cards that offer more than 4% cashback, such as those with rotating categories or specific spending categories, like the Bank of America Customized Cash or Citi Custom Cash 1. Chris notes that while earning an extra 1% on $10,000 might not seem significant, it can add up over time. He also discusses the potential benefits of choosing points over cashback in certain scenarios, emphasizing that the value of points can sometimes exceed the equivalent cashback rate 2.

If you're buying something online from a random retailer and the best points card you have is going to earn 2x points, I really think for all those transactions, you should consider whether cash back is a better option.

--- Chris Hutchins

Ultimately, Chris suggests that the choice between points and cashback depends on individual spending habits and preferences 3.

   

Sign-Up Bonuses

Sign-up bonuses play a crucial role in maximizing credit card benefits, as Chris Hutchins explains. He reveals that many cards offer effective cashback rates exceeding 20% on initial spending, with some bonuses reaching up to 61% 4. Chris emphasizes the potential of combining multiple cards to achieve significant returns, noting that spending $307,000 across 59 cards could yield nearly $42,000 in bonuses 5.

If you have a partner or a player too, you can double all those numbers.

--- Chris Hutchins

He also highlights the importance of staying informed about the best offers and using referral links to maximize rewards, suggesting that even a single referral can offset membership costs 6.