What do I carry in my wallet?
May 27, 2009 - Posted by Kevin Hsu
What’s in my wallet?
Part of maintaining your wealth comes from managing your finances. Some of the wealthiest individuals I know are also the most frugal. Still, you don’t have to be so much frugal, but financially savvy. After all, money is meant for spending.
Aside from a twenty dollar bill, a couple I.D. cards, and my grocery savings cards, I keep a debit card and a credit card in my wallet. Nowadays, credit card companies cut a portion of the transaction fee with the consumer. It makes little sense to pay in cash when you get paid to spend.
Not all credit card issuers provide the same type of rewards. Some issuers will have you accumulate points which you can exchange for cash or gift cards. Others will cut you a check for your rewards. If you spend money at a restaurant or a bookstore, you might be rewarded more than if you bought gas at a gas station. For example, the Citi Forward card has been cited as one of the best for eating out. One of the reasons is because you get 3% back in cash back when you eat out and a whopping 5% when you purchase gift cards.
I personally use the Chase Freedom card, which gives you 1% cash back on all purchases and 3% on selected categories. I’ve had it for a while now, but I am currently looking at additional Cash Back Cards, as should you.