What’s In My Wallet?

I carry three credit cards in my wallet on a normal day, besides my debit card and some cash. Although I own many more cards which I acquired for various reasons, they are not part of my daily strategy to accrue points. However, each card that I own is evaluated every so often to determine if it still has value to me. All my cards, even if not carried or used regularly, still serve a purpose in my credit card portfolio. Some cards are for earning points and some cards have built in perks that really make a difference, particularly when traveling. As a side note–credit cards should be used responsibly. Based on each individual’s financial circumstances and/or their restraint on spending, credit cards can be either a very positive aspect in your life or an absolute nightmare. If you can’t pay off your balance in full each month, with rare exception, you should almost never use a credit card unless it’s a true emergency. Use cash or debit. However, if credit cards are right for you, then you can benefit greatly.

Chase Sapphire Preferred Card–$95 Annual Fee

This is my go-to card for everyday purchases. There are a dozen or so perks, but these are the highlights.

• 2X points on travel and dining at restaurants worldwide & 1 point per dollar spent on all other purchases.
• Get unlimited deliveries with a $0 delivery fee and reduced service fees on orders over $12 for a minimum of one year on qualifying food purchases with DashPass, DoorDash’s subscription service.
• Earn 5X points on Lyft rides through March 2022. That’s 3X points in addition to the 2X points you already earn on travel.

American Express Platinum Card–$550 Annual Fee

This is my favorite credit card. The $550 annual fee is hefty, and the card isn’t right for everyone. This is primarily a travel credit card. If you travel at least a few times per year, then it may be worth consideration. If not, then you will not recoup the cost of the annual fee. The benefits are numerous and some of the most generous of all premium credit cards.

• 5X Membership Rewards points per dollar spent on airfare booked directly with airlines or through Amex Travel.
• 5X Membership Rewards points per dollar spent on prepaid hotel bookings through Amex Travel.
• Annual airline-fee credit of up to $200.
• Annual Uber credits of up to $200.
• The American Express Global Lounge Collection. This airport lounge program is the most comprehensive offered by any credit card on the market today.
• Elite status with Marriott and Hilton.
• Car rental program elite status.
• Global Entry or TSA PreCheck application fee credit (up to $100) every 4 years.
• Annual statement credit of up to $100 at Saks Fifth Avenue.
• Travel and shopping protection.
• International Airline Program. A discounted method for premium class airline tickets when booking a trip with at least one other person.
• American Express concierge service.
• American Express Fine Hotels & Resorts.

Unfortunately, other than using your card for airfare or prepaid hotels, you only get 1 point for all other purchases. That’s the reason I don’t use the card for everyday spending. American Express does have a program called, ‘Amex Offers,’ which provide either discounts or extra points. Some of these offers can be valuable.

American Express Hilton Honors Aspire Card–$450 Annual Fee

I just added this card to my wallet a few months ago, and I’m already loving it. Once again, it has a high annual fee. This card is only worthwhile if you travel often and like staying at hotels within the Hilton chain. But, if you meet that criteria this card is great. The key benefits include.

• 14X Hilton Honors points for every $1 of eligible purchases on your card directly with a participating Hilton hotel or resort.
• 7X Hilton Honors points for eligible purchases: on flights booked directly with airlines or amextravel.com; on car rentals booked directly from select car rental companies; and at U.S. restaurants.
• 3X Hilton Honors points for other purchases.
• Diamond elite status. This is the highest tier offered by Hilton, and it comes with a host of perks–free breakfast, premium internet access, and upgrades to a suite to name a few.
• A free weekend night at any hotel in the Hilton group once a year. This includes the Waldorf Astoria collection. One night there can easily offset the $450 annual fee.
• $250 Hilton Resort credit.

It should be noted that Hilton Honors points are far less valuable than American Express or Chase points. For that reason, I really don’t use the card unless I’m earning the 14X benefit for purchases directly at Hilton.

Bottom Line

I am very strategic about which cards I own and when I use them. Some of my cards offer little to no value as far as the points are concerned, but come with valuable perks just for having them. The normal ratio for earning points is 1:1. That is, one point for each dollar spent. I make every effort to increase that ratio with each purchase. Therefore, I’ll use a few different credit cards throughout the month, depending on each specific charge, to maximize my points. The points can add up quickly.