Now you are paying for the ability to have a card that offsets any bonuses you might get
for signing up for the card in the first place.
It is true that credit card companies have been handing out some large bonuses just
by signing up for their card and meeting specific requirements.
I've read plenty of horror stories where others get knee - deep in credit card debt
after signing up for a card to get a free t - shirt at freshman orientation.
So you may want to think twice if you're in the habit
of signing up for a card at each store you visit with the plan of closing your account later.
Some of these cards offer free hotel nights when you
first sign up for the card and meet specific spending thresholds within a certain time period.
That was almost a year ago, which means that the tens of thousands of people
who signed up for the card must soon decide whether to renew.
If you are an experienced collector of points and miles, or if you are just starting your quest for award travel, you might as well just
sign up for this card now.
Always be careful not to
sign up for a card at retail unless you really need it and understand how it works.
Too often, people
sign up for a card because the rewards sound great, only to find that they have trouble using them in precisely the way they want.
But even if that's not an option for your child, encourage them to
sign up for a card as soon as it's feasible.
Certain rewards credit cards give bonuses for
simply signing up for the card, while others require cardholders to spend a minimum amount of money in a given period of time.
For instance, you could use it for spending in the categories that get you 2 % cash - back, and
then sign up for another card to get additional benefits.
Many rewards credit cards will award you points whenever you get friends or family members to
also sign up for a card.
But
never sign up for a card based on the perks alone; make sure it's a card that fits your lifestyle and spending habits.
That means it's possible to
sign up for the card today, take advantage of that fee credit before the end of the year, then use it again next year.
Credit cards are the quickest way to rack up points; to further your diversification strategy,
sign up for a card whose points can be transferred to many different loyalty programs.
The easiest way around this for families is to have your significant
other sign up for cards that you want as well.
The conditions for the bonus to be awarded to a cardholder remain the same: spend $ 2,000 within the first 3 months
of signing up for the card and the points are yours.