Collecting Credit Card Points for a Busy/Lazy/Forgetful Person

MementoMori on 06/04/2018 - 12:53
Last edited 06/04/2018 - 13:37 by 2 other users

Hi guys,

I've been an avid credit card rewards collector. I was previously using a single bank for all my lending and used that banks high earning AMEX/MC combo credit card, and all was well.

Now, the bank has cancelled their AMEX card, and I was entitled to a free high earning card from two other banks I had home loans with, so I ended up getting those. The problem was, with three different banks and credit cards, forgetting to setup autopays and so on, I copped a few $200+ interest payments (as well as an expensive card renewal fee) - which probably cancelled out the benefits from the points.

I have been looking at the AMEX Explorer card for it's good sign on bonus and earn rate, although I feel I'll fall for the illusion/confusion of having my money all over the place across various internet banking sites and not really knowing where it all is (e.g. I'll have $5k in my main bank account, but owe $10k on the AMEX card that I never log into, etc).

Basically - I think I'm too lazy/busy to keep track of using different cards for spend. Not to mention, I question the number of points I get from regular card spend vs the larger point bonuses from the sign on bonuses.

Given you have to usually wait 18 months between each of these to repeat them anyway, I was thinking of adopting the strategy of using a fee free/basic VISA debit from my main bank for my everyday usage and from time to time get these sign up promo offers from the various people who have them, pay the annual fee, make the minimum $3k spend (or whatever), get the bonus points them promptly cancel the card and repeat.

Does anyone else have this issue or use a strategy like this?

• 

  MathNerd on 06/04/2018 - 13:27

  +1

  Easiest method:

  Sign up to a high-bonus-point-offer (such as AmEx Explorer), and channel all spend through there until you reach the minimum spend.
  Once you've gotten the 100,000 points, you can transfer them over to an airline program, then cancel the card.
  Wait out the 18 month period and rinse and repeat.

  Problem with this approach though is that the points will expire in the airline program account. So you need to have a use for them in the near (3 year) future.

  Personally I would just get a single sign on bonus with AmEx and then get points via spending.

  If you want QFF/VFF points on top, then go for a bank card (such as ANZ FF Black etc).

  Hope this helps :)

  • 

    MementoMori on 06/04/2018 - 14:08

    +1

    Thanks. I was thinking of Velocity as the points have the most generous expiry and can transfer to Kris Flyer. Although really, no use in hoarding the points wihtout using them!

    • 

      MathNerd on 06/04/2018 - 14:10

      Precisely :)
      Chucked you a PM :)

  • 

    pantsparty on 06/04/2018 - 14:11

    Not entirely sure about Virgin points but Qantas points never expire as long as you earn or use points at least once every 18 months. Should be easily done.

    • 

      MathNerd on 06/04/2018 - 14:13

      Problem with QFF is that the Explorer doesn't transfer to it. The only way to have an AmEx transfer to QFF is via the Platinum Charge ($1200 annual fee!) or via the 3 Qantas branded cards (Discovery, Premium and Ultimate), but in this case you're locked to Qantas.

      • 

        pantsparty on 06/04/2018 - 14:15

        Yeah I don't use amex - no need if you are collecting QFF points - lots of banks out there which are Visa or Mastercard offering bonus Qantas points.

      • 

        MathNerd on 06/04/2018 - 14:18

        @pantsparty: Yeah, it's better to go with a bank card to get QFF intro bonus point offers for sure.

      • 

        pantsparty on 06/04/2018 - 14:19

        @MathNerd: I think it depends which airlines you want to use your reward points with. I am happy with Cathay Pacific, Japan Airlines and Qantas so stick with QFF. I am sure Virgin, Kris Flyer etc are also good choices if they suit your needs.

      • 

        MementoMori on 06/04/2018 - 14:19

        @pantsparty: How have you found QFF in regards to redemptions? I used to have lots of QFF points but could rarely find award flight availablity and the taxes/charges were about the 1/3rd the cost of what the flight would have cost me in economy anyway! ie. Melb -> Paris is $380 in taxes on an award flight, could fly there for $950 one way probably.

      • 

        MementoMori on 06/04/2018 - 14:21

        @pantsparty: Can I ask how do you redeem QFF with Cathay? Do you need to call them and sort it out or can it be done via the web?

      • 

        pantsparty on 06/04/2018 - 14:21

        +1

        @domcc1: I only use my points for business class reward flights so you save a lot of money vs paying cash for business class. I wouldn't both using them for economy flights, once you factor in taxes you don't get as good value. In terms of availability - you get much better availability on partner airlines than you do on Qantas flights. I think the general rule is you always need to book well in advance. It can be a struggle sometimes but I usually get what I need if I plan ahead. I am flying business class return on Japan Airlines next month!

      • 

        pantsparty on 06/04/2018 - 14:23

        +2

        @domcc1: Cathay reward flights can be booked on their website in the same way you book a Qantas reward flight. You need to call them to make JAL reward bookings. I have flown multiple Cathay business and first class flights on the house of QFF - very good airline.

      • 

        MementoMori on 06/04/2018 - 15:52

        @pantsparty: Nice! Yes, for me it's for business class only, either eco->biz upgrades or outright. Being a very short notice traveller (i.e. less than 30 days), I could just never find anything with QFF. KF has been good though, business class flights within 2 weeks were no problem.

• 

  Diji1 on 06/04/2018 - 13:37

  +2

  Pay cash and spend less automatically.

  There are no rewards for keeping money, only losing it.

  • 

    MementoMori on 06/04/2018 - 14:03

    +1

    Yep, this is what I'm thinking.

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  pantsparty on 06/04/2018 - 14:14

  +2

  I only have one credit card at a time. I sign up for a card with a good Qantas points bonus, reach the minimum spend and then cancel and get a different card once I have been paid the bonus points. Keeping track of when I cancelled each card for the 12 or 18 month requirements is super easy, I just make a note in a spreadsheet I have. It is definitely worth the effort - if a single card gives you say 75,000 points (some offer more than this), this is enough for a business class flight one way to Tokyo which would normally would cost around $3k.

• 

  tsunamisurfer on 06/04/2018 - 15:00

  +1

  I tried playing the max points game by getting other cards like NAB rewards on top of my Citibank Signature.

  Whilst I got the 80,000 points from NAB I almost stuffed it up and incurred a full year fee, I have learned that I cannot be trusted to keep track of multiple cards' deals and anniversary dates.

  So for a 'lazy' person like me I will stick with fee free Citi Signature and take whatever low rewards come with it. It's not maxing my benefit but I don't have the discipline to make sure the spend is apportioned optimally and to avoid annual fees.

  • 

    MementoMori on 06/04/2018 - 16:12

    Seems like we're in the same boat. I still think the most benefit comes from the sign on bonuses, which you can still get (and just close asap).