The Sad Reality of Credit Card Rewards

Take the rewards, leave the store and go online and pay your bill before leaving the parking lot! Never allow the card to add interest!

Most rich people stay rich by spending like the poor and investing without stopping then most poor people stay poor by spending like the rich yet not investing like the rich but impressing them

I pay my cards off in full every month. At the end of the month I cash the points in for cash and deposit it into a brokerage account. Brokerage account is up to $6k. No joke, I’m going to buy my retirement house using credit card points.

When you budget and use cards its no different than a debit card except you get more protections on credit. If debit gets hacked, its way more of a hassle AND you can be on the hook for purchases if bank deems it not fraud. That's the facts.

They should put a big disclaimer saying this only applies to people who can’t manage money wisely. Otherwise, you are just leaving money on the table by paying everything in cash. Every single item you buy has merchant credit card fees baked in, so you are basically paying for everyone else’s rewards when doing cash. Just pay your CC bill every month and get a good handle of your money 🤷‍♂️

We just have to agree to disagree. I can’t change the system. I can only make it work for me. People demonize capitalism, and stocks. Other people build wealth through them. There will always be some that think it is good, others disagree.

a store credt card is a whole nother animal compared to a typical cc. nice bait and switch omission, rache!

We pay everything with a CC after having our bank account cleaned out because someone got our debit card number. I wish you would address this. We pay the card in full every month so no debt. We will not go back and have to be constantly worried about security.

It may not be impossible to buy a house without a credit score but it will take a lot of work. Not worth it. Be a grown up and use you credit card responsibly. Ramsey says no credit cards because they mostly deal with irresponsible people.

I had this same debate with my buddies last weekend. While I played the credit card game for a decade and paid the full balance at the end of each month, I started not using them this year, just to see how my spending habits go. It definitely hurts more spending my own money on the spot. I spend less and more careful about what I buy. So what they say is true about behavior.

Rewards are amazing! Gift cards too. Videos like this are so sad.

Credit card rewards are not for making money or building wealth. Credit card rewards are a return on spend on purchases you were going to make anyways. Purchases like bills, utilities, gas, dining ect. Credit cards when used responsibly are a game changer. If you pay in cash or with a debit card, remember... youre leaving money on the table.

My two-week hotel booking in Bali from getting one credit card is a lie guys.

Had a cc for many years.....bet I save more than most cash only people. It's all about living below your means and investing...can definitely be done if you have a cc.

It's so misleading to say you have to spend $1,000 to get $10. That's a 1% return. With a single no annual fee card you would normally get 2%. But there are many other cards that get 3% on certain categories. The Robin Hood card will get 3% on all purchases. But there's more. When you sign up for a card you should be getting a bonus. A basic no annual fee card might have a bonus of $200 for spending $500 which is a 40% return on spend. There are a lot more tricks and benefits of different cards like purchase protection, primary rental car insurance, travel insurance, but let's say you average about 5% back when you include the random sign up bonuses for the cards you occasionally apply for and the base rate of return for your spend. If you get credit card points and use them wisely, you can get 2+ cents per point value. This means you are functionally getting about 10% back on all of your spending which is not nothing. Sure, there is a pitfall of spending more in order to get a bonus or because you have a good rate of return on a given category. But pretending like you're only getting 1% back is very misleading.

I use my credit card, then transfer the money from my checking account to my savings account. When the statement comes, I transfer it back to my checking account and then pay the statement!!

I just have 1 Debit card and 1 Credit Card . Buy what just needed that is simple . Do not spend what you do not have .

I agree most people shouldn't own a credit card......

I pay my utilities with my credit card

You are selling Churchill mortgage underwriting like Kim is selling dpt store cards.