Credit Card Strategies (Churn/MS/Points!)

[btk2333]

Another tip - have a specific goal in mind. It's easy to fall into the trap of accumulating points "just because". I try to have specific things I want to redeem for and plan it all out before I do the work of earning the points.

This is a great tip. I always find myself wanting to apply for another card just to get the bonus- but then I ask myself what would I actually use the points for? If I can't come up with a good answer then I hold off on the application.

That being said we currently have a goal of flying myself, my wife and 2.5 year old twins to Korea in business class summer 2016- so we have a lot of churning to do! Over halfway there!

This year we've done two trips to WDW with flights on points and nights at Swan and Dolphin on SPG points, flight to Atlanta on Delta points (hate them, but had some to burn), 4 nights in Chicago at the Waldorf on points and are saving up for the Asia trip next year right now! I love to travel and wouldn't be able to travel nearly as much without credit card churns.

 

[elaine amj]

Question for those with Redbird - it's max $5k load a month, right? When does the month start? Is it calendar month?

 

[calypso726]

Question for those with Redbird - it's max $5k load a month, right? When does the month start? Is it calendar month?

Yes. $5,000 per calendar month. The max is $2500 per day and $1000 per swipe.

 

[disneymagicgirl]

So the best way to save cash off of a Disney cruise would be to use a credit card (that you trade points for $ off your statement balance) to load a redbird. Then buy the Disney gift cards at target for 5% off. Use those thru Disney savings account for the $20 back per $1k to pay for the cruise...correct?
I will have to research the chase ink. I already have 3 chase cards (SW visa I love, Disney visa is meh, and another one that is really old). Maybe they could product change that old one. I think it is my oldest acts so I wouldn't want to cancel it and shorten my length of credit history.

ETA: after investigating looks like ink is for business. Bummer.

 

[sunshinehighway]

So the best way to save cash off of a Disney cruise would be to use a credit card (that you trade points for $ off your statement balance) to load a redbird. Then buy the Disney gift cards at target for 5% off. Use those thru Disney savings account for the $20 back per $1k to pay for the cruise...correct?
I will have to research the chase ink. I already have 3 chase cards (SW visa I love, Disney visa is meh, and another one that is really old). Maybe they could product change that old one. I think it is my oldest acts so I wouldn't want to cancel it and shorten my length of credit history.

ETA: after investigating looks like ink is for business. Bummer.

You could look into getting the Sapphire Preferred. I applied for it and didn't get instantly approved so I called Chase and asked to close my Southwest card and British Airways card and have the limits combined on the Sapphire Preferred. I just explained that I wanted the Sapphire because I could transfer into both Southwest and British Airways and having one card and one annual fee just made more sense.
Just make sure you'll get the sign up bonus.
It was no problem and so far I'm loving the card.

 

[calypso726]

So the best way to save cash off of a Disney cruise would be to use a credit card (that you trade points for $ off your statement balance) to load a redbird. Then buy the Disney gift cards at target for 5% off. Use those thru Disney savings account for the $20 back per $1k to pay for the cruise...correct?
I will have to research the chase ink. I already have 3 chase cards (SW visa I love, Disney visa is meh, and another one that is really old). Maybe they could product change that old one. I think it is my oldest acts so I wouldn't want to cancel it and shorten my length of credit history.

ETA: after investigating looks like ink is for business. Bummer.

Many travel hackers have an Ink card for their "business." A "business" can be selling stuff on Ebay or Craigslist or Amazon, pet sitting and grooming, organizing garage sales etc. If you are the sole proprietor of your home based "Business" then you can use your social security number to apply for a business card as opposed to needing a business tax ID number.

 

[disneymagicgirl]

Interesting, thanks! I I have a tiny home based business. I haven't researched how to make it legal yet so no tax ID number, etc. I don't sell much yet, so just haven't taken the time.

 

[havaneselover]

So the best way to save cash off of a Disney cruise would be to use a credit card (that you trade points for $ off your statement balance) to load a redbird. Then buy the Disney gift cards at target for 5% off. Use those thru Disney savings account for the $20 back per $1k to pay for the cruise...correct?
I will have to research the chase ink. I already have 3 chase cards (SW visa I love, Disney visa is meh, and another one that is really old). Maybe they could product change that old one. I think it is my oldest acts so I wouldn't want to cancel it and shorten my length of credit history.

ETA: after investigating looks like ink is for business. Bummer.

How much would you save doing this? I save almost 40% on Disney cruise by booking onboard, transferring to Costco, buying target gift cards at Kroger when they run 4x fuel points using my Amex blue preferred, and going through ebates to buy Disney gift cards from target with my red card as a default. Finally drop the gift cards in a DVA.

 

[pjlla]

Just looking at this thread reminded me that I need to remember to do any online shopping through the southwest airlines portal. I don't shop online much, but this is something I need to remember when I do.....so I found exactly what I was looking for as a gift for Mother's Day, bought it through the portal, discovered I had a few cents coming back from a reward from this particular store AND hit free shipping.... plus they were having a bonus day of 4 pts/per $1 spent AND I didn't have to spend $10 in gas driving into town!! I'd say it was a win-win!.......P

 

[calypso726]

Interesting, thanks! I I have a tiny home based business. I haven't researched how to make it legal yet so no tax ID number, etc. I don't sell much yet, so just haven't taken the time.

You don't need a tax ID number. You are the sole proprietor of your home based business so you use your social security number instead of a tax ID number. That was how I got my Ink card for my tiny home based business

How much would you save doing this? I save almost 40% on Disney cruise by booking onboard, transferring to Costco, buying target gift cards at Kroger when they run 4x fuel points using my Amex blue preferred, and going through ebates to buy Disney gift cards from target with my red card as a default. Finally drop the gift cards in a DVA.

I guess that depends on the tactics and strategies used as well as the points being accumulated and redeemed. Straight cash back is always a fixed value. How much you save or can redeem will vary upon how you stack your points and redemption options. Your example is perfect for maximizing fixed value and cash back. We don't have Kroger's in South Florida so those fuel points are never an option for us.

The only time we've really focused on a straight cash back strategy was just in the last couple of months. We wanted to do a helicopter excursion over Pulpit Rock on our Disney cruise this summer. DCL's excursion was $379 for a 30 minute flight. Then, we found an outside operator that takes credit cards and does a one hour flight with more sightseeing and it was $447 per person. This cruise and ABD add-on is already the most expensive vacation we have ever taken so by this time I wanted to save some money since we have plenty of miles. DH and I decided to each apply for a Capital One Venture - $460 cash back per card, a Barclay Arrival Plus - $500 cash back per card and Amex World Propel $430 cash back per card. Go big or go home Now, we have the points to "pay" for our helicopter tour, plus nearly $2K more in points to "pay" for on-board expenses and all of the cards are no foreign transaction fee cards with chip and pin or chip and signature. Obviously this strategy won't work long term but it was a nice option to go for under the circumstances.

Points used for miles and hotels are variable and depending how they are redeemed can be worth far more than straight cash back. For our example, getting 5 Chase UR points per dollar for our Disney Frozen Cruise with Adventures by Disney pre Copenhagen trip this summer earned us over 66K UR points. These can be transferred 1:1 to British Airways or United Air. Those airline miles will get one of us to Budapest next year in first class when we go on the new Adventures by Disney river cruise trip next year. The ticket would cost over $7,000 one way. Not that we'd ever pay that for airfare LOL However, we prefer to use the points so we can "afford" to fly first class when we go overseas or have a longer domestic flight.

 

[alymae1010]

We don't have Kroger's in South Florida so those fuel points are never an option for us.

Same in STL. Makes me so jealous when I see people talk about this!

 

[Friendlyadvice2]

Same in STL. Makes me so jealous when I see people talk about this!

The Giant Eagle fuel perks deal is great as well. I'm up to over 36% discount on all my disney cards with my current strategy. This covers all my Disney needs!!

 

[Friendlyadvice2]

On a side note, things not looking good for the RBird!! Stay tuned, but too many datapoints emerging. I'm gonna try to get a final load today. Reassess when the dust settles.

 

[SUSIEQ]

On a side note, things not looking good for the RBird!! Stay tuned, but too many datapoints emerging. I'm gonna try to get a final load today. Reassess when the dust settles.

Darn......... and I planned to get one tomorrow. Please post any updates!

 

[elaine amj]

UGH - I had planned on another load this weekend. I'll be paying attention.

 

[jhoannam]

Does having too much open credit hurt? I have about 35% of my gross income in open credit card limits (2 cards). If i open more lines of credit will that hurt? Does that make sense?

 

[sunshinehighway]

Does having too much open credit hurt? I have about 35% of my gross income in open credit card limits (2 cards). If i open more lines of credit will that hurt? Does that make sense?

No. I think it's the opposite. Utilization seems to be an important factor.
Let's say you have two people. Each have $2000 per month in credit card bills. Person A has credit limits totaling $4000 and person B has credit limits totaling $8000.
Person A has a higher utilization (50%) and that will hurt their credit score more than person B.

 

[SUSIEQ]

On a side note, things not looking good for the RBird!! Stay tuned, but too many datapoints emerging. I'm gonna try to get a final load today. Reassess when the dust settles.

What's going on? I did a quick Google search and didn't see anything negative...... unless I just missed it.

 

[elaine amj]

What's going on? I did a quick Google search and didn't see anything negative...... unless I just missed it.

There is talk on a couple of places that Target will no longer allow credit card loads starting tomorrow. Apparently one blogger spoke with a Target employee who read out a memo given out at one particular store.

 

[SUSIEQ]

There is talk on a couple of places that Target will no longer allow credit card loads starting tomorrow. Apparently one blogger spoke with a Target employee who read out a memo given out at one particular store.

Thanks for the info!