Keep This in Mind As You Chase End-of-the-Year Credit Card Spending Goals

Holiday music is already playing, my friend. So, If you’re pursuing a credit card spending requirement expiring on December 31, here’s something important you want to remember.

Spend Safely Above Your Minimum Spending Requirement

This is a good rule of thought when pursuing any minimum spending requirement — whether it’s a credit card’s welcome offer or maybe something like a Delta Amex MQD Waiver or Status Boost bonus MQM. (This is the last year anyone will have to worry about that…)

It’s wise to spend several hundred or even thousand dollars over your prescribed amount. This is especially true at the end of the year if you give holiday gifts to loved ones and/or colleagues. They (or you) may end up returning something — and a refund hits your credit card.

Those credits are subtracted from your spending totals.

Perhaps a merchant or vendor suddenly discovers they overcharged you for something — and credits your payment method. Their “Oops, my bad!” could end up being your “Oops, my bad!” Too.

Plus, annual fees, late fees, cash advance fees, and interest (you shouldn’t even accrue the last three!) don’t count as eligible purchases. So, don’t figure those into the equation.

Here’s another example: I canceled a Delta SkyMiles award booking, and the taxes and fees were instantly refunded to my credit card. Those little things can become big if you spend only a few dollars over your minimum spending requirement.

Also, you may have additional/authorized cardholders who return purchases — and have a refund issued to the card.

Credit card companies will retroactively claw back bonuses. You don’t want to find that out the hard way — especially when it’s too late.

Most Importantly…

Don’t spend money you don’t have or buy things you can’t afford — all in the name of points and miles. The “free” trips will cost you much more financially and emotionally than they’re worth. Trust me.

Final Approach

The end of the year is almost here. And yearly credit card spending challenges expire soon. If you’re involved in one, make sure you go comfortably over the minimum spending requirement. But don’t drop money you don’t have or buy things you can’t afford.