@Wylder
US Bank Cash+ also gives 5% back on two categories of your choice, and the list of options is quite different from other cards (so it complements said other cards nicely) — it includes utilities, TV/Internet/cell phone providers, ground transportation, and others.
@Ridge
If you’re interested in some more possibilities, my current line-up of no-AF, non-rotating cards is:
5% groceries — Citi Custom Cash #1
5% gas — Citi Custom Cash #2 (PC’d)
5% utilities — US Bank Cash+
5% gym/fitness — US Bank Cash+
4% dining — US Bank Altitude Go
3% online shopping — BoA Customized Cash
3% in-store Walmart purchases (BoA CC, when paid via WalmartPay)
2% catch-all (currently WF Active Cash, but sometime I’ll get one with no FTF)
For travel, I use one of the CCCs for 5% on smaller purchases (in which case I switch to a different card for gas), or I use whatever travel card I might have at the time for churning purposes.
My remaining aims are a no-AF travel card (I think 3-3.2% is the best available), a 5% back-up gas card (current no-AF back-up is 2%, although I temporarily have 4% with a card I’m churning) and a card for 5% on transit/ground transportation.
My spend in other categories that exist averages less than $15/mo, so I haven’t prioritized those yet 
@Wylder
Between overlapping revolvers like Discover It and Freedom Flex and two Citi Custom Cards, I can get 5% on the major categories.
If you’re team CB, I think of it as tiers:
5% Single Category Cards (CCC, CFF, Discover)
3% Multiple Category Cards (Autograph, Savor)
1.5-2% Catch All Cards (C1 QS, CDC, CFU, WF AC)
You only need one catch-all card. Then you can add 3-5% cards for as many categories that you regularly spend on (or are willing to deal with)
@RewardsRanger3
Important caveat: 5% cards typically have capped rewards. Those 3% cards, in addition to having multiple categories, often have uncapped rewards. For high spenders, this is a meaningful distinction.
@Blaise
This doesn’t get mentioned enough. 5% back on $500/mo on something like gas wouldn’t be bad if you don’t drive a ton, but you can easily spend more than $500 on something like groceries.
@RewardsRanger3
So you don’t swap them out regularly if at all? You just found your best one in each category and stuck with it?
Wylder said:
@RewardsRanger3
So you don’t swap them out regularly if at all? You just found your best one in each category and stuck with it?
I’d think of it as a journey. Initially, 1.5% cash back was the best I could do, leaving me with a bunch of cards that get sock drawerered now. Eventually, I got a Double Cash and 5% revolvers and my Citi Custom Cash Cards which cover most of my spend. If something new and/or better comes out, I’ll probably apply. Otherwise, my current setup works.
I get 4-5% in all my categories.
5% groceries, 5% dining, 4% gas and travel, 5% Apple Pay (for miscellaneous).
AAA daily advantage ($10k/year cap), Citi Custom Cash ($500/mo cap), US Bank Altitude Connect (travel uncapped, $1k/quarter gas cap), Harris Teeter ($3k/year)
At my current stage I’m less interested in chasing every penny and more interested in building a solid, high-limit credit portfolio with banks and credit unions I actually like.
I’ll take a lower rewards rate with a bank that has a good app, good fraud algorithms without false positives, good banking products, generous limits, customizable notifications, etc.
So I guess you could say I commit to a rewards card as long as I feel it’s worth committing to. I’m not interested in churning.
@jordansmith
I find this approach respectable. Now I’m curious. Which cards fit your criteria?
Tyson said:
@jordansmith
I find this approach respectable. Now I’m curious. Which cards fit your criteria?
Also curious to know!
Less a matter of time and more a matter of how long it takes for something better to show up. When you’re getting started, those first few cards can each make a big impact. If, for example, you’re adding a 5-6% category card on something you spend a lot on. Later on in the journey, it’s harder to find incremental gains.
I have one card in my current rotation I opened in 2012, and another I opened this June, and everything in between. And plenty that have gotten sock-drawered over the years because they got outclassed by a new offering.
I stick with my cards until I run into an issue. I probably open a new card every 3-4 years. I also refuse to pay a yearly fee. I just pay attention to the rotating categories some of the cards offer and then the general cash back rates on things like gas and groceries.
Discover, Amex, and Chase have done well for me for the last 10 years or so, but I had problems with foreign fees, as I travel abroad quite a bit and Discover isn’t accepted everywhere. I ended up going for a Capital One Venture card, and it’s been pretty good.
I don’t churn–if I’m putting in that much work, it becomes a job and I quantify it. It would take a lot of churning to make it feel worth my time and effort.
It also becomes unwieldy at a certain point–all these apps, accounts, etc. I check my accounts daily for anything unusual. Could be overkill, but just for peace of mind.
The fine print in my welcome mail says I’m a valued customer for life, ‘or else.’
Honestly, churning is a better use of your time. That being said, a handful of CCC should cover most of your 5% categories and a 2% or better cash back card as a catch-all.
I commit until the 0% teaser rate ends. I’ll run up a balance, pay only the minimum, and toss the rest into a HYSA. At the end of the 0%, I pay off the balance, let the 0 balance report, and then start looking for a better card. Eventually, you find a combination of cards that are top tier for you. For me, USBAR, Chase Freedom Flex, Discover It, and Citi Custom Cash cover the vast majority of my spending at a 4.5-5%, and the rest of my cards fill in the rest.
@kenrick
So you take a different route entirely. You’re getting your 5% by leveraging the money market at 0%. Nice!
Wylder said:
@kenrick
So you take a different route entirely. You’re getting your 5% by leveraging the money market at 0%. Nice!
I get the SUB and whatever points come along with it. Then, once it is earned, I put spending that doesn’t make sense elsewhere on so I can take advantage of HYSA or Treasury Bills. It just adds a little bit extra.
In general, 5% back in points is going to be better than the HYSA because money earned in the HYSA is taxable, whereas 5% cashback isn’t taxed. As a rule of thumb, I toss anything where I’d get 2% or less on the 0% card. To maximize the benefit, I try to put as much spend on the 0% card in the first month or two as possible. It does make my credit score over time jump around, as there is often a 20-50 point swing between having a $0 balance and being at 70%+ utilization on a 0% card. However, I’m not in a situation where I’m looking to buy a house, car, etc. anytime soon, and I know it’ll bounce back as soon as I pay it off. So, an extra ~3% after taxes on say $10,000 winds up being about $300 in addition to the SUB.
> that might pay a little bit better
It’s a tiny amount of money, usually just a few dollars, maybe $15 per category card.
I highly recommend skipping the category minmax game and stick with either
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churning (opening the account for the signup bonus, spending it, and closing the card) or
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one flat rate card. List of flat cashback cards
Keeps it simple.
Beware a lot of influencers on platforms like here and YouTube are looking for referrals. They’re in the business of selling credit cards (a very good business!). It’s a major conflict of interest, and most of the blogs/videos/etc. are thinly veiled advertisements.