Why I pair my go-to cash-back card with journey rewards playing cards

I really like the factors and miles recreation — I actually have a sock drawer stuffed with bank cards to show it. You would possibly, nevertheless, be stunned to find that lots of them do not earn factors and miles.

That’s as a result of I’m additionally an enormous fan of money again.

My bank card technique encompasses a wholesome mixture of journey rewards playing cards and cash-back playing cards. However, one cash-back card performs a pivotal position in my total card technique: the Apple Card, which is my catch-all for nonbonus spending.

Here’s why this card performs an important position in my technique.

The data for the Apple Card has been collected independently by The Points Guy. The card particulars on this web page haven’t been reviewed or supplied by the cardboard issuer.

My present card setup

Here is my present day-to-day card setup and what function every card serves:

This setup prioritizes incomes transferable rewards. The two cards that I consistently reach for in my wallet and see the bulk of my daily spending are the Amex Gold and Chase Sapphire Preferred, as they earn incredibly valuable Membership Rewards points and Ultimate Rewards points that I transfer to partners for maximum value.

The Amex Gold earns:

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• 4 points per dollar spent on dining at restaurants worldwide, on up to $50,000 per calendar year (then 1 point per dollar)
• 4 points per dollar spent at U.S. supermarkets, on up to $25,000 per calendar year (then 1 point per dollar)
• 3 points per dollar spent on flights booked directly from the airline or through amextravel.com

Meanwhile, the Chase Sapphire Preferred earns:

• 5 factors per greenback spent on Lyft (by way of September 2027)
• 3 factors per greenback spent on eating
• 2 factors per greenback spent on journey, which Chase broadly defines

I often buy flights on this card as an alternative of my Amex Gold due to the spectacular suite of journey protections. The Sapphire Preferred additionally serves as my backup eating card at locations that do not settle for Amex.

It’s additionally vital to notice that I could focus all my spending on my Sapphire Preferred when I’m low on Chase factors, regardless of having the ability to earn extra factors through the use of a unique card.

Additionally, I rotate the Capital One Savor Cash Rewards Credit Card and Capital One EnterpriseOne Rewards Credit Card into the combo once I need to make more money again. With this duo, I even have the choice to transform money again to Capital One miles.

I’ve extra playing cards than those listed above, however many of those I solely use from time to time, simply to maintain them open to keep up my credit score historical past and credit score utilization for a wholesome credit score rating.

I even have playing cards I exploit only for particular perks, like my Delta SkyMiles® Gold American Express Card for a free checked bag and the TakeOff15 perk or the Prime Visa (see charges and charges) for five% again on Amazon purchases.

Related: 5 causes to maintain a cash-back bank card in your pockets

How money again performs an element in my factors and miles technique

Many occasions all year long, I discover myself points-rich and cash-poor. When that is the case, I pivot and focus solely on incomes money again. Cash again gives me flexibility that factors and miles cannot. Plus, money again is less complicated for me to redeem, as I are likely to get evaluation paralysis and do not sometimes redeem my factors and miles except I discover a redemption that matches or beats TPG’s valuation of main factors and miles currencies.

Around the vacations, I are likely to give attention to incomes money again, which I can then use to purchase presents for family and friends.

You might surprise why I do not simply give attention to incomes factors and convert them to money again. Most bank card factors do not convert to money again at a 1:1 ratio. For instance, Amex factors are solely price a meager 0.6 cents every when redeemed for money again.

Related: The execs and cons of cash-back bank cards

Why the Apple Card is my catch-all

The Apple Card is my go-to catch-all card as a result of it earns not less than 2% money again on all purchases made through Apple Pay.

Though I sometimes use my Sapphire Preferred and Amex Gold for the bulk of my spending, the Apple Card comes into play when my Amex Gold and Sapphire Preferred only earn 1 point per dollar spent on nonbonus categories or when I want to boost my cash-back stash.

It covers all my other spending, like drugstore purchases, bills and utilities or any spending that doesn’t fit into a bonus category.

Additionally, I don’t have to physically carry this card in my wallet since the 2% cash back is only on Apple Pay purchases. Nowadays, almost all merchants accept Apple Pay (wink wink, looking at you, Walmart), so I never really have to worry about this payment method being rejected.

In the rare case the merchant doesn’t accept Apple Pay, I’ll just use my Capital One VentureOne to earn 1.25 miles per dollar spent across all purchases.

Related: Your complete guide to Apple Pay

Even better, cash back is accrued daily instead of at the end of your billing cycle like most other cards. The cash back is known as “Daily Cash” and is deposited into your Apple Cash account daily. You can use this cash to make purchases or deposit it in a bank account.

Earning points and miles is the foundation of my credit card strategy, but cash-back rewards also play an integral role. If you want to branch out and diversify your credit card rewards, add a cash-back card to your wallet. There are tons of great options available, many of which don’t charge annual fees.

Related: 4 reasons to get the Apple Card