Q: I'm looking for a credit card that I can use to simplify my bills and earn either rewards or cash back at the same time. I would like to set up one card to pay several bills, including auto payment, insurance, cell phone, and student loans. That way, I can be left with just one bill to pay every month, straight from my checking account. What credit card gives the best rewards for this usage?
A: I love your plan. Automating all your bills with a single credit card and paying your balance in full each month not only saves time, it sets you up to earn significant cash back rewards from your cash back credit card.
Assuming you've confirmed with all of your monthly vendors that they accept credit cards with no convenience fee, take a look at either of these cash back cards to put your household bill management on auto-pilot:
Chase Freedom®. With the current offer earn a $100 Bonus after you spend $500 on purchases in your first 3 months from account opening. Earn a $25 Bonus after you add your first authorized user and make a purchase within this same 3‐month period. Chase's generous signup bonus after you meet spend requirements might give you a head start on your next car payment. If you need to flex a larger than usual utility bill, Chase's Blueprint service can help you calculate a payoff schedule that will keep from disrupting the rest of your finances. There is no annual fee.
Blue Cash Everyday® Card from American Express. This card's cash back program may not be used in the most beneficial way if you intend to use it just for bill payments. However, it may be one of American Express's most accessible reward cards. As a Card Member you will have the same reward categories year-round so there is no quarterly enrollment required. The cash back you earn is received in the form of Reward Dollars that can be redeemed as a statement credit. There is no annual fee. Terms, limitations and restrictions apply.
To maximize your security, sign up for free text message or email transaction alerts from your cash back credit card. That way, you'll get distant early warning about unauthorized usage. You wouldn't want to risk getting your car repossessed or having your electric shut off because your automated transaction didn't go through. And, if you really have your financial life organized, consider setting up an automatic monthly payment from your checking account to cover your monthly balance. Before you submit an application for any credit or charge card be sure to review the terms, conditions and limitations that apply to the offer.