Charge Big Ticket Purchases To Your Credit Card
Welcome to Saving Money with Andrew!
A recurring theme in my tips is saving a few percent here and there. Whether it’s saving a few percent on your online purchases using cashback, or making sure you are earning at least 2% credit card rewards (and 5% on your Amazon.com purchases), small percentages on large amounts of money can make a big difference.
And so a quick and easy tip this week—take advantage of every opportunity to earn credit card rewards on big-ticket purchases. Two great recent examples:
Last week, we made several energy-efficiency improvements to our home, including having the attic and crawl space insulated. Although our utility company is paying the first $1000, our portion still amounted to about $5000 out of pocket. When they asked me to pay via check, I asked two critical questions: “Do you take credit cards?” and “Is there any credit card fee?”. After confirming there was no fee, I paid the whole balance with our credit card, earning a quick $100 in cash rewards.
Last year, we bought a new car. The dealership asked us to make an initial deposit, settling the rest of the balance with a bank check. After asking if we could use a credit card and confirming there was no credit card fee, I charged as much of the price as possible to our credit card, racking up substantial credit card rewards.
Big ticket purchases like these are uncommon, but putting large portions of them on a 2% cash reward card can easily save you hundreds of dollars per year. Don’t forget to ask!
And now…Andrew’s pick(s) of the week:
If you or anyone you know has been looking for a new home lately, you know how crazy things are. Bloomberg’s excellent Odd Lots podcast recently took on the topic with an interesting episode discussing some of the root causes of the current hot housing market.
Also enjoyed this week:
How AIM Changed the Internet 4ever: If you are in your 30s or 40s, this podcast episode will probably *really* resonate with you. If not, well, it’s still pretty fun.
Your New Couch Should Arrive This Year. Meantime, It’s Lawn Chairs or the Floor
I hope this has been helpful. If you liked it, please share it on social media! Also, please send me your feedback, requests, and success stories.