There are many different types of rewards cards available in the market today. These cards offer various benefits and perks to cardholders, such as earning points or miles on purchases that can be redeemed for travel, cash back, or other rewards. With so many options to choose from, it can be overwhelming to determine which card is best for you.
One of the challenges that arise when you have multiple credit cards is remembering which one to use for each transaction. Different cards may offer higher earning rates or bonus categories for specific types of purchases. To maximize the points and miles earned on your everyday spending, it’s important to use the right card for each transaction.
In this article, we will look at some common bonus categories where you may be making purchases and highlight cards with strong earnings in these categories. However, we will focus only on consumer rewards cards. If you prefer a cash-back rewards card or a business card, you can refer to our other articles on the best cash-back cards and best business cards for each bonus category.
Let’s start by understanding what a bonus category is. A bonus category refers to when you earn extra points or miles on certain types of purchases with your credit card. For example, you may earn bonus points on purchases at supermarkets, gas stations, or restaurants. The bonus categories offered by different cards can vary greatly, so it’s important to choose a card that aligns with your spending habits.
Now, let’s look at some common bonus categories and the best cards for each category.
Airfare Purchases:
If you frequently travel by air and make a lot of airfare purchases, there are certain credit cards that offer higher earning rates on these purchases. Some of the best cards for airfare purchases include the Citi Prestige, American Express Green Card, and Chase Sapphire Preferred. These cards offer excellent rewards and benefits for travelers, including bonus points on airfare purchases and travel perks.
Amazon and Online Shopping:
With the rise of e-commerce, many people make frequent purchases from online merchants like Amazon. There are credit cards that offer higher earning rates for online shopping. The best cards for Amazon and online shopping include the Citi Double Cash Card, Chase Freedom Unlimited, and Discover it Cash Back. These cards offer cash back or rewards on all purchases, including online shopping.
Cell Phone Bills:
Paying your cell phone bill with a credit card that offers cellphone insurance can be a smart move. It not only helps you earn rewards on your bill payments but also provides protection for your device. Some of the best cards for cell phone bills include the Citi Prestige, Wells Fargo Propel American Express, and Capital One Venture X Rewards Credit Card. These cards offer cellphone insurance and rewards on cell phone bill payments.
Commuting Expenses:
If you commute to work using public transportation, pay for parking, or incur toll charges, there are cards that can help you earn rewards on these expenses. The best cards for commuting include the Chase Sapphire Reserve, Capital One Venture X Rewards Credit Card, and American Express Green Card. These cards offer bonus points or miles on travel-related expenses, including commuting.
Dining and Restaurants:
If you frequently dine out or order food from restaurants, it’s worth having a credit card that offers bonus rewards on dining purchases. Some of the best cards for dining and restaurants include the American Express Gold Card, Chase Sapphire Preferred, and Capital One Savor Cash Rewards Credit Card. These cards offer higher earning rates on dining purchases and may also provide additional perks like dining credits or discounts.
Food Delivery:
With the popularity of food delivery services like Uber Eats and Grubhub, it’s important to have a card that considers food delivery purchases as restaurant and dining purchases. The best cards for food delivery include the American Express Gold Card, Chase Sapphire Preferred, and Capital One Savor Cash Rewards Credit Card. These cards offer bonus rewards on food delivery purchases and may also provide monthly credits that can be used for these services.
Gas Purchases:
For those who spend a significant amount on gas, there are credit cards that offer bonus earnings on gas purchases. The best cards for gas include the Blue Cash Preferred Card from American Express, Citi Premier Card, and Chase Freedom Flex. These cards offer higher earning rates on gas purchases, allowing you to maximize your rewards.
General Travel Purchases:
If you travel frequently and spend a lot on various travel expenses like trains, rental cars, and tolls, it’s worth having a credit card that offers rewards on general travel purchases. Some of the best cards for general travel include the Chase Sapphire Reserve, Capital One Venture X Rewards Credit Card, and American Express Green Card. These cards offer bonus points or miles on travel-related expenses, including general travel purchases.
In conclusion, there are many different types of rewards cards available, each offering various benefits and perks. To choose the best card for you, it’s important to consider your spending habits and determine which bonus categories align with your purchases. By using the right card for each transaction, you can maximize the points and miles earned on everything you buy.