I think you should do what you feel comfortable doing.
I will say that some of the best ways to use travel points may require for you to figure out how to access them (like flying on a foreign airline for particular areas, etc). Additionally, and/or alternatively, the best deals may be for those who have some travel flexibility (whether in destination, or particular dates, etc). If you want to give it a go, sure, go on ahead and get the #1 card. See how easy it is for you to take advantage of the points.
But if after the year it’s too much “trouble” for you to find good ways of redeeming the points, then I would find a good cash back card (or 3 ) and then use that money however it works best for your family.
Just remember. It’s a credit card, not a marriage. You don’t have to keep it forever if you don’t like it! Just make sure you can charge (and pay off in full every month - that’s probably the most important thing) the amount needed to get your bonus.
The travel ones are good if you’re like us. We travel a decent amount, but not near as much as many here. No way have we ever had any kind of special status. And I’m too lazy to keep up with a half dozen hotel chains and don’t want to be locked into one type.
So our venture X gives us the passport card and for the first time in ours lives we can go into the airport lounges and eat for free!! We did this for both breakfast and lunch on the way home yesterday. We felt so special lol. And saved a lot of $$$ because nobody ever eats anything I bring from home. Including myself to some degree.
Does anyone have suggestions on how best to use Citi reward points? Or Capital one rewards? We’ve accumulated these over the years, but haven’t “cashed” in.
My H and his business partners started using Amex Business Platinum for all their travel about ten years ago. We’ve had good luck getting reward flights with that card because it (among other things) allows you to transfer points from this card to partner airlines award programs. When we first started there were way more partner airlines, especially domestic airlines. Now, there are fewer partner airlines in the partner program, because many of the airlines have their own credit cards. However, Jet Blue, Delta, and Virgin Atlantic are still Amex partners. (I haven’t used points this year, so I’m assuming those are still partner airlines.
When I had citi reward points years ago I could never find anything I actually wanted to use them for and ended up canceling that card. My husband and I both got Capital one cards this year and used the introductory bonus points for flights to Italy (transferred to Air France and found a good deal). We used additional Capital one points that we have accumulated this year for close to $1,000 worth of Airbnb costs in Italy. You can charge any travel expenses to your card and then use your points to pay off that charge (or a portion of it) on the cars.
I like the simplicity of one main credit card. (Ours gives United frequent flier point, because my husband used to also accumulate points flying to Japan for work.) The annual role-up by category is helpful too, since most purchase are by credit card.
Wouldn’t it come down to whether the rebate percentage for the travel cards is greater than for the cash-back cards by enough to be worth the restrictions (e.g. can only be spent on travel) and the difference in any applicable fees and costs?
I just don’t know exactly how much I’ll be traveling in the next few years - I hope it is a lot (as look for next living location and spend time with kids). Not sure, though; so it’s not neat math (it seems?). It might depend on how these points all work, lol.
You may want to do the math for the high, medium, and low travel scenarios to see how it comes out.
Also, if a travel card is tied to a particular airline or hotel, consider whether the benefits may be outweighed by potential savings through choosing whatever the best value is per trip, rather than having to stay loyal to a particular airline or hotel.
If you aren’t interested in changing around and chasing sign up bonuses, the three Chase cards seem to be universally considered the best long term setup. You get the chase freedom unlimited for 1.5 points back on every purchase. then the chase flex card just to leverage the 5% bonus categories when they make sense. amazon, target, wholesale and gas are frequent 5% categories for up to 1500 in spend that quarter. Finally, one of the chase sapphire cards. these provide elevated points for travel purchases, and also allow you to transfer the points from the other two cards to hyatt, southwest and a handful of other airlines. the sapphire does carry an annual fee, either 99 or 550 depending on the card you select.
It’s super easy to get at least 1.5c per point value and sometime much higher. so everyday purchases earn a pretty flexible 2.25% in value.
By Citi reward points, do you mean the ones they call Thank You points now?
I had a lot accumulated on my Double Cash card but it only offers a few travel partners, so I opened a Citi Premier card that has 14 airline and three hotel partners. I can aggregate Thank You points from the Double Cash card with points from the Premier card. The Premier card carries a $95 annual fee, but I received 60K points after spending $4K.
I certainly play credit card games, but don’t have as many rules and strategies as some of you. At times of economic stress, credit card bonuses can be great. During the pandemic I was able to get Chase Sapphire with 100,000 points, and a Hyatt card with a hefty point balance. Early last winter after the SW debacle, I was able to get a good number of points with a new SW card.
With a new card, I am very careful to set up minimum payment automatic withdrawal to avoid accidently missing deadlines. As I have a number of Chase cards, it is relatively easy to pay cards off regardless. I fly enough with checked luggage that I can justify saving luggage fees and the Chase United reimburses for Global Entry as well as gives a few lounge passes. The Hyatt card gives me a free night per year for my $95 fee. Most of the Chase cards give primary car rental insurance. That’s my logic anyhow. Cancel every 2 years or so, and if not flying the routes, cancel the card. When working, with my mom alive, I flew to AZ frequently, an American market. Now I have grandkids in other parts of the country, so gave up American for SW.
) and then use that money however it works best for your family.