Introduction
A reader asked me recently which card I use on Raise.com since they thought it earned 3X on ATT, which it does NOT. I told them I stopped buying from Raise since there have been too many issues with them lately and their support is shit. Anyway, I figure I’ll give you a quick rundown on what card I use at X location. Just because I use a certain card doesn’t mean you should use that card too; you do you. If you know of a better route, please let me know.
Gas – 41.7% off
Discounted gift cards I bought on eBay that are about 8% off these days. However, because I got those eBay gift cards at 5%+, then I’m usually getting about 13% off. Added to that, I usually get $1 off of gas up to 35 gallons due to fuel rewards so if gas is $3 a gallon, that’s a 33% discount due to the fuel points. Thus, if I pump 15 gallons at $3 per gallon, the normal customer would pay $45. I’d pay 15 * $2 = $30 * .95 = $28.5 * .92 = $26.22. That’s a discount of 41.7% on gas.
“Real” Groceries – 10% off
Our grocery budget every month is low, so it’s around $200 or so. I like to buy the grocery gift cards from a 3rd party exchange, which usually has a 1-2% discount + 5X Ink, so let’s call that about 10% off.
Restaurants – Varies
Depends on the restaurant. If it’s Olive Garden or somewhere that has GCs on discount, I’ll usually buy those GCs. If it’s a mom-and-pop restaurant, I’ll use the Hyatt Visa card instead for 2X, which I value at around a 3% discount. I value Hyatt more than TYP so that’s why I don’t use the Citi Prestige. Of course I’ll also prefer to use the quarterly spend bonuses from the Freedom or Discover before the Hyatt Visa though.
Online Shopping – Varies
Once again, I’ll check to see if the vendor has gift cards available to buy. If it’s Amazon, I’ll go big when there is an AMEX Offer. If not, you should at least be able to get 5X UR at Office Depot or other online places, so that’s the lowest I go. If it’s a store that doesn’t have GCs I can buy, I’ll then default back to the ATT card for 3X. Backup options would be a 3% card (Discover Miles) and lastly the SPG card (esp if I need a return protection.)
Cell Phones and Cable – 10%-20% off
The default card is the Ink for 5X; however, the recent AMEX Offers of spend $300 and get $30 back nets you 10%. Plus, last year’s Discover Apple Pay was 20% off with your cell phone. I try to prepay about 1-3 years worth, especially if it’s an AMEX offer. This requires a lot of float, bit if you have it, go for it.
Movie Theaters – 20+% off
Don’t be fooled by those silly quarterly spend 5% bonuses. You should load up on Fandingo and/or theater chain gift card sales for 20+% off, or use the card exchanges.
Electronic stores – Depends
While it’s tempting to use a Best Buy GC at 10% off, it depends on what you’re buying. If it’s something like a USB drive that you don’t care about return protection or ‘oops i broke it’ protection, then use the 10% gift card. However, if it’s something like a TV, I’d lean towards putting it all on a credit card with good return protection or extended warranty.
Unbonused spend – 3% card
I’ve been going back and forth on this. On one hand, a 3% card works, but a Visa card that you got at 4% (5% – 1% fee) would be better. While the VGC has a higher net, I just worry about the card number being stolen and fraudulently used, so I just use the 3% card.
Vinh,
A little off topic but I tried sending an email. Did something happen to the board? Seems my account was deleted
check your email/spam
Hi Vinh – I just recently discovered your site, and it’s like a breath of fresh air. Just the straight info and math without all the marketing BS like other blogs out there…keep up the great work!
Thanks Craig. Appreciate the feedback.
Unbonused spend – what is the 4% visa?
If you have a cc that gives 5% off at say grocery or drugstores, then you buy a VGC that costs you 1%, so now that VGC is a 4% card that you can use anywhere. Most people turn the VGC into MO or cash, but you could spend it down as well.
The only supermarket chain that used to sell $500 VGC’s in my neck of the woods has recently taken them off the rack. Nothing greater than $100. The good times have come to end.
Enjoy it while it lasts!
I get temp serve cards at OD for .8%, giving me 4.2% back. Wish it was a vgc. Haven’t found a reasonable way to scale the amex card, unfortunately, so it remains my unbonused spend card for places that accept amex…
I do the 4% thing, but haven’t taken into account the risk of the number being stolen. Do you use Discover It for the 3%?
Disc Miles
What gas station brand is that generous with their fuel rewards?
I’m thinking it’s Shell, but the $1 off a gallon is very intriguing.
Kroger grocery. Here in Seattle, they have an agreement with Shell as well. Don’t think that exists elsewhere in the nation.
Same deal in S. Oregon and one of my local Shell stations almost always has some of the best prices.
You can get more than 20cents off in S oregon? What station?
But you don’t get Kroger gift cards on ebay at a discount do you? Isn’t it usually BP/Exxon etc. so the fuel rewards wouldn’t count towards your figures. Unless I am missing something.
It should be $1 off per gallon plus rewards from whatever credit card.
Then the ebay version would be (.92x.95)xfuel amount.
They should be 2 separate calculations.
No, I use it at Shell and there have been Shell GC on eBay in the past (not lately though).
Gotcha…our shell only allows 20 cents off per gallon max here. I wish they let us do more!