One of the most important things to confront with a new credit card is the types of bonuses you can receive, as well as how you can receive them. Bonuses often aren’t very obvious, and if you don’t know how to maximize your bonus opportunities, you may not be able to get as much out of your card. The good news is that it is possible. Here are four ways you can load up on bonus benefits when you have a new credit card.
1. Choose a Card With a Good Bonus-To-Fee Ratio
The bonus-to-fee ratio is one of the things that you might not think to look at when you’re choosing a new credit card. Essentially, you see how long your introductory bonuses would cover the annual fee. The Chase Sapphire Preferred card has a 60,000 point bonus, worth $750 or more, and the annual fee is only $95. That means your introductory bonus can cover over seven years of the annual fee, which is a great way to offset the fee itself.
2. Make Sure You’ll Be Able to Meet Sign-Up Bonus Requirements
Before you jump into a credit card with a great introductory bonus, however, it’s important that you ensure you’ll be able to meet the requirements for the sign-up bonus in the first place. Most of the time, the requirements indicate that you have to spend a certain amount within the first few months. If that amount fits into your family’s normal budget, it’s likely a good choice.
3. Check out Anniversary Bonuses and See How They Can Help
Anniversary bonuses are one of the ways that credit card companies try to retain users over a long period of time. Typically, you’ll receive anniversary bonuses right after your cardholding anniversary, usually as a percentage of points that you earned in the last year. These anniversary bonuses can help you offset some of the cost of an annual fee, especially if you use your card extremely regularly.
4. Try to Refer Your Friends If There’s a Refer a Friend Program
A Refer a Friend program can be a great way to get more out of your credit card, especially if you have anyone close to you that might be interested in getting a new credit card. Refer a Friend programs are a great option for credit cards because they don’t require you to do anything except tell other people about the benefits of the card. You’ll get points if they sign up with you as a referral.
One of the best things you can do with your credit card is make sure you’re loading up on bonuses. This includes both bonuses you’ll get near the beginning and bonuses you can access throughout having the card. No matter what types of bonuses are most interesting to you, it’s possible for you to get plenty of extra savings from your travel credit card just by ensuring that you utilize your bonuses appropriately.