Q: Is it possible to choose the beneficiary receiver of a credit card reward, and to fix the percentage for donation?
Credit card issuers understand that cash rebates motivate lots of our purchasing and loyalty decisions. Yet, according to research from Mintel Comperemedia, not everybody prefers to convert their credit card rewards into statement credits. Racking up rewards points is an easy way to stash savings for a person-to-person gift or for a charitable donation. A few rewards credit cards make it easy for you to cut out the middleman, enabling the bank to issue a reward on your behalf:
Chase Ultimate Rewards. Many of Chase's most popular rewards and cash-back credit cards tie into the Ultimate Rewards program. Chase Freedom and Chase Sapphire both allow you to rack up points that you can convert into a mailed check, payable to anyone you like. Just use the program's online order form to cash out your points. The system's shopping cart lets you designate the payee and the shipping address.
Discover Card. Discover's CashBack Bonus program includes an online system that lets you designate a charity to receive your annual rebate as a donation in your name.
Capital One Cash Rewards. Capital One's rewards tracking system lets you set up an automatic redemption threshold, generating a statement credit or a charitable donation automatically whenever your rebate hits $25.
Most other rewards credit cards will convert your rebate into a statement credit that you can use to offset a gift purchase or a charitable donation you make using your card. A growing number of charitable organizations have worked out arrangements with credit card companies to process donations with no interchange fees. In addition, you may want to check out affinity credit cards branded with the logos of your preferred nonprofit. Those cards generate affiliate fees and rewards points for partner organizations automatically.