Cash Back vs. Points: Are We Playing the Wrong Credit Card Game?

All the Hacks with Chris Hutchins

#170: Chris makes a case for cash back in your credit card strategy based on some recent changes in the points and miles world. He goes deep on strategies for every spending category and shares his analysis of how to optimize points vs. cash back for the best ROI.

Link to Full Show Notes: https://allthehacks.com/cash-back-vs-points-credit-cards

Partner Deals

Mint Mobile: $15/mo for unlimited wireless on the nation's largest 5G network

Vuori: 20% off the most comfortable performance apparel I've ever worn

Superhuman: Free month of the fastest and best email with code ALLTHEHACKS

Bilt Rewards: Earn the most valuable points when you pay rent

1Password: Free 2-week trial of my favorite password manager

For all the deals, discounts and promo codes from our partners, go to: allthehacks.com/deals

All the Hacks

• Credit Card Optimization Tool v2 (w/ $10 Discount)
• All the Hacks Membership
• Credit Cards Page

Credit Cards Mentioned

Overall Spend

• Robinhood Gold Card
• Bank of America® Premium Rewards® Credit Card
• Discover it® Miles
• Chase Freedom Unlimited®

Higher Cash Back in 1-2 Categories

• U.S. Bank Cash+® Visa Signature® Card
• Citi Custom Cash℠ Card
• Bank of America® Customized Cash Rewards Credit Card

Rotating Categories

• Discover it® Cash Back Credit Card
• Chase Freedom Flex℠

Dining/Restaurants

• Capital One® Savor® Cash Rewards Credit Card
• U.S. Bank Altitude® Go Visa Signature® Card
• American Express® Gold Card

Travel

• The Platinum Card® by American Express
• U.S. Bank Altitude® Reserve Visa Infinite® Card
• Wells Fargo Autograph Journey℠ Card
• Chase Sapphire Reserve®

Grocery/Supermarkets

• Blue Cash Preferred® Card from American Express
• AAA Daily Advantage Visa Signature ® Credit Card
• American Express® Gold Card
• Verizon Visa® Card

Internet/Cable/Phone Bills

• Chase Ink Business Cash® Credit Card
• BMO CashBack® Mastercard®

Gas

• Abound Visa® Platinum Card

Entertainment/Streaming

• Capital One® Savor® Cash Rewards Credit Card
• Capital One SavorOne Cash Rewards Credit Card

Drugstores

• Chase Freedom
• Chase Freedom Unlimited®
• Chase Freedom Flex℠

Rent

• Bilt Mastercard®

Office Supplies

• Chase Ink Business Cash® Credit Card

Amazon/Whole Foods

• Amazon Prime Rewards Visa Card

Mobile Wallet:

• U.S. Bank Altitude® Reserve Visa Infinite® Card + Real Time Rewards

Resources Mentioned

Wealthfront: Get $5k managed free & get a 0.5% APY boost

Copilot: Free 2 months access to my favorite personal finance app with code HACKS2

X (Twitter) post: Couple opened 26 credit cards in 2017 and earned 2M points

Full Show Notes

(00:00) Introduction

(01:55) Chris' Personal Points & Miles History

(02:48) 3 Big Changes to Chris' Credit Card Strategy

(04:29) How to Take Advantage of Transfer Bonuses to Book Flights

(11:49) The Basics of Cash Back

(12:50) Best Cash Back Cards for Overall Spend

(14:06) Cards for Higher Cash Back in Certain Categories

(15:11) Other Category Spend

(19:42) Best Cards for Dining

(20:40) Travel Category

(21:44) Uncapped Card for Gas

(21:56) Cards for Groceries

(22:26) Internet, Phone Bill, and Cable Category

(22:35) Chris' Revamped Card Optimization Spreadsheet

(26:35) Main Cards for Team Points Vs. Team Cash Back

(27:44) Chris' Analysis & Category Run Through

(33:42) The Biggest Takeaway on Cash Back

(36:24) Cards for Spending Categories Like Rent, Entertainment, and Office Supplies

(39:32) The Big Wrench: Welcome Bonuses

(41:58) The Points & Miles Game With Player 2

(43:14) Credit Card Issuer Rules for Welcome Bonuses

(48:03) Quick Summary and Chris’ Final Takeaway

Editor’s Note: The content on this page is accurate as of the posting date; however, some of our partner offers may have expired. Opinions expressed here are the author's alone, not those of any bank, credit card issuer, hotel, airline, or other entity. This content has not been reviewed, approved or otherwise endorsed by any of the entities included within the post.

Learn more about your ad choices. Visit megaphone.fm/adchoices