Managing multiple credit card accounts can be a challenging task. With different due dates, benefits, and details to keep track of, it's easy to feel overwhelmed. Additionally, deciding which credit card to use for each transaction can be time-consuming and may lead to missed opportunities for maximizing rewards. Moreover, juggling numerous cards can make it difficult to mentally track your spending, potentially leading to overspending.
Paring Back
After careful consideration, I have made the decision to simplify my credit card strategy. I plan to close accounts with credit limits below $5000 and focus on a select few cards. One card that I will keep is the AMEX Business Platinum credit card, as it offers valuable perks. I'm also keeping the AMEX Hilton Honors Aspire card. I will also keep the American Airlines AAdvantage MileUp card as my backup card where I can't use AMEX or Discover.
On the chopping block will be one of my Discover accounts with the lowest credit limit. I have a couple of hotel credit cards that I hardly use. There's the Chase Freedom Flex, Citi Simplicity, PayPal Mastercard, AMEX Gold, and AMEX Everyday Preferred. I have already canceled an AMEX Green and Hilton Business card.
Concentrated Spend
To streamline my spending and maximize rewards, I will primarily concentrate on using the American Express Hilton Honors Aspire card. As most of my travel is within Texas, I often visit cities like San Antonio, Austin, and Houston. With the Aspire card, I can enjoy the benefit of having a stockpile of free hotel nights at Hilton properties. Furthermore, any additional expenses incurred at Hilton hotels will earn me a generous 34 points per dollar spent, quickly accumulating towards more free nights. In the event that I need to charge a flight to the card, I will earn 7 points per dollar, providing a little boost to my rewards balance. Although the points can only be redeemed at Hilton properties, this limitation is not a major concern given my travel preferences.
By focusing my spending on one card, I can simplify my financial management and maximize rewards. Instead of spreading my spending across various cards and reward programs, I can accumulate meaningful rewards within the Hilton Honors program. This approach eliminates the mental overhead of tracking multiple due dates, rewards systems, and perks associated with different cards. Ultimately, this streamlined credit card strategy allows for a simpler and more efficient financial life.
Your Mileage May Vary
It's important to note that everyone's credit card strategy may differ based on individual preferences and spending habits. Some may choose to concentrate on earning airline miles, while others may prioritize cash back. The key is to find a strategy that aligns with your specific needs and goals. I will provide updates on my progress with this simplified credit card strategy in approximately one year.
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