Before I got married, life was simpler and it goes something like this: Man sees nice calf leather briefcase that he needs. Man buys bag. It last the next 10 years; The End. These days however, my credit cards that are good for general spend have become rather inefficient.
My wife shops online and at traditional brick and mortar stores. I can’t let all the miles go to waste by allowing her to pay in cash, so my credit card comes to the rescue.
At this point, it is a duty of mine to remind any young readers here (if any) that a credit card is only good if you PAY IN FULL EVERY MONTH, not just the minimum sum. Now that I’ve fulfilled my obligation, let’s get down to the juicy stuff!
So I went shopping (the irony!) for a credit card that will yield the most miles for every dollar spent on shopping. The credit card I initially had in mind was the Citibank Rewards card because it gives 10x Rewards (4 miles) for every dollar. To sweeten the deal, they’re even throwing in a $200 lazada voucher. Citi’s Premiermiles CC only gives 1.2miles per dollar on shopping spend. As with all decisions, the T&Cs are important.
- I’m not eligible for their $200 lazada voucher because I hold an existing Citi CC.
- It’s only free for a year; After which, the annual fee of $192.60 kicks in. One should only be paying for annual fees if there are free miles. Click here to see how. I’m sure I could get an annual fee waiver, but calling up to ‘beg’ isn’t my style.
There are other cards that I did consider, but here in SG Good Life, I only introduce what I think are generally better options. This leaves me with one other card: OCBC’s Titanium Rewards Card. Let’s see why:
- Firstly: It’s 4 miles per dollar spent on clothes, shoes, bags (The categories that I’m interested in), and through Apple/Samsung Pay. It also includes electronic gadgets that Citi Rewards doesn’t include. These are categories that I foresee myself spending on in the near future.
- Secondly: It’s free for 2 years; After which, If I meet the min spend of $10,000 a year, I get an annual waiver. I like the upfront and clear T&Cs.
- Thirdly: I recently switched to the OCBC 360 Account. Adding this card means that as long as I meet $500 in spending every month, I’ll get an extra 0.3% interest on my savings, on top of the 1.5% that I’m already getting.
*Take note that this card is capped at 120,000 OCBC$ per card membership year, which equates to $12,000. After which, you’ll get only 1 OCBC$ for every $1 spent (0.4 miles per $1). This rate also applies to any purchase that is not included in their 10x OCBC$ list.
For those who missed my previous post on the Value of a Mile , let’s revisit the value you’ll be getting. At 4 Miles per dollar spent, every $100 will give me 400 miles. For simplicity, I like to value my miles at +/- 5c because it’s easier to calculate. Certain destinations are cheaper to redeem than others. Premium/popular routes are generally more expensive to redeem.
100 x 4 x 5c = 2000 cents = $20
Essentially, you’ll be getting ~20% ‘rebate’ from your spending. This is better than any cash back card. I’ve not even started on layering discounts together but that’s a topic for another day.
Till next time!
Next up: How To Earn Miles Part III