My wife and I met some new friends last week during a neighbor’s backyard get-together. We’ll call them “Jack” and “Jill.” (We want to protect the innocent, after all. 🙂 )
Jack asked me a question I’m often posed in radio interviews, emails, text messages, meetings and appointments, and casual conversations:
“What’s the best credit card to get?”
It’s a great question. (Plus, I love discussing points, miles, credit cards, and travel!)
But answering it is rather difficult because (as I always say) everyone’s budgets, spending habits, travel goals, and travel needs are different.
This is sort of like, “What’s the best car?”
For example, I’m a Toyota Highlander guy: it works well for my family’s needs and our budget. Plus, I’m about the size of a football lineman. So it’s very comfortable for me. But someone else may say that a Porsche 911 or BMW Z4 is better. If they’re into sports cars and don’t have to transport a family (and all the strollers, bags, and everything else associated with that), then those cars are better for them. Neither of us are wrong. It’s all subjective.
See what I mean?
So here’s how we drilled it down for Jack and Jill.
First, she admitted she sometimes uses a debit card for some purchases. (She winced and said, “I know, I know!”) But she also occasionally pays with a Chase Freedom Unlimited®.
I asked her a few questions about rewards interests them.
Jill wants something that features bonus points categories. She and Jack aren’t necessarily loyal to one airline or hotel chain. So co-branded airline or hotel cards won’t really do them any good. She’s fine with annual fees that aren’t too outrageous — as long as the card comes with good earnings potential and some decent benefits.
I suggested two cards.
What are the Best Credit Cards for Jack and Jill?
I told them to check out the American Express® Gold Card and Chase Freedom Flex®.
Here’s why.
The American Express® Gold Card is great for their needs. They have an adorable two-year-old daughter. And another child on the way. So their grocery shopping and dining needs are only going to increase.
The American Express® Gold Card earns 4X Membership Rewards points on U.S. supermarket purchases (up top $25,000 in purchases each calendar year) and 4X at restaurants worldwide (on up to $50,000 per calendar year in purchases, then 1X Includes takeout and delivery in the U.S
Plus, cardholders are eligible for monthly $10 dining credits at select restaurants and food delivery services (one-time enrollment required). Not to mention, Amex Gold Cards receive monthly $10 Uber Cash deposits. Those can be used for Uber Eats deliveries. (Enrollment is required. Terms apply. Uber Cash deposits are made monthly and expire if not used. To receive this benefit, you must have downloaded the latest version of the Uber App. Effective 11/8/2024, an Amex Card must be selected as the payment method for your Uber or Uber Eats transaction to redeem the Amex Uber Cash benefit. The Amex Benefit may only be used in the United States.)
While the card carries a $325 annual fee, they can easily earn that back between monthly statement credits and points they’ll earn. (See Rates and Fees.)
Meanwhile, I’ve long suggested people hold the Chase Freedom Flex®. Its quarterly 5% bonus cash back categories are reason enough to have the card. The benefit maxes out at $1,500 in combined purchases each quarter. So the most you get back each quarter is $75/7500 Ultimate Rewards points (or $300/30,000 Ultimate Rewards points each year). That’s not bad for a no-annual-fee card.
Plus, the Flex pairs nicely with her Unlimited. She can combine her cards’ Ultimate Rewards points and redeem them for cash back, travel, gift cards, or a few other options.
Final Approach
Everyone’s financial and travel situations are different. So deciding “What’s the best credit card?” isn’t as easy as we may wish. But I think I steered Jack and Jill in the right direction.
You’re probably your friends’ and family’s resident point expert. What cards do you usually recommend?
To see rates and fees for the American Express® Gold Card, please visit this link. Terms apply.
Responses are not provided or commissioned by the bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser's responsibility to ensure all posts and/or questions are answered.
@ Chris — Toyota Highlander all the way! We just bought our first one. I hope it lasts 25 years like our Ford Ranger has. Now that I’ve learned how to shut off all the eco-friendly stuff, I am loving it even more! It is amazing driving a vehicle with push button windows, satellite radio, and air-conditioned seats. What will they add in the NEXT 25 years?
I swore I’d never, ever pay for satellite radio.
Then I got a free trial when I bought my new Highlander three years ago. Guess who’s been a SiriusXM subscriber since then? (If you call and barter with them, you can generally get it for ~$65/year).
I missed the Apple CarPlay feature by a year. Ah, well. #FirstWorldProblems.
I get the same question a lot. My response is often – where do you put the majority of your spend and what do you want to accomplish with your points?
I am confused why you would suggest the Flex over the Preferred. They would need an insane amount of spend to even come close to the 100k bonus of the latter. If they sign up at the branch, they could potentially avoid the fee and even receive a credit. Wouldn’t it make more sense to take this approach and then downgrade to the Flex after the first year?
They don’t own their own business or have a side hustle. So that’s (technically kinda sorta) a roadblock. They liked the Flex’s bonus categories and no annual fee.
But your suggestion is a great idea for the right people.