As a long time reader of many blogs and articles, there seems to be an oversimplification of the Miles and Points game with many media outlets constantly(annoyingly as well) pushing headlines such as “best credit card to open this summer” or “why you should open (credit card name here)”. As the landscape continues to evolve I would like to get into to why Miles and Points are more than just credit cards and why you shouldn’t feel pressured to open as many cards as possible.
It’s a Never-ending Cycle
The process of opening, earning a bonus, and closing a credit card creates a never ending cycle. While many media outlets have become glorified credit card ambassadors, the devaluation of airline and hotel loyalty programs creates a cycle where signup bonuses may no longer be enough for that dream vacation.
If Signup Bonuses are Your Source of Travel Points, You May take fewer trips
As rules change, issuers have started implementing longer periods between reissuing a card. Both of the Chase Sapphire Cards require 48 months in between applications and many American Express Cards now carry lifetime language. In addition, unwritten rules such as 5/24 limit the number of cards one can truly open. Once you have exhausted the majority of your options, you are stuck. Credit card companies have gotten smarter and are updating rules.
Meeting Spend is Tough
Meeting the typical $4,000 of spend to earn a decent signup bonus in 3 months can be challenging at times. Without a clear avenue
My Thoughts
While there are plenty of suggestions and data points online, I’d try to figure out ways to accumulate points on a regular cycle such as business expense for work that get reimbursed, a reselling business etc. This would help you operate with a steady stream of miles and points each year.
If you do plan on signing up for a new credit card, be sure to look for the best offers and see if you could get a referral from someone in your network. In turn when they get a new card, you can refer them back thus earning an additional 15-20 thousand points.
Do you have any ideas on earning steady miles and points? Leave them in the comment section.
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