New Round of Credit Card Applications

We have come to a point with our existing credit cards where we have reached all the current bonuses, and it was time to apply for a new round of cards. Both my wife and I maintain credit scores of 750+ and are responsible with not going over board with credit. Read what you need to know about your credit for additional information for additional background on responsible credit.

Since my wife last opened up the US Airways Dividend Miles card back in February, the week before the Chairman’s offer was taken down, she has met the six month milestone when it is safe to apply again. However, it was also in our best interest to apply for at least one additional card from some of the other card issuers. Doing so will maximize the chances of getting approved since the other issuers will not see the applications from the others (i.e. they will not see each others credit report inquiries).

If we were to apply for one card today, and maybe another in a couple days, then there is always the possibility that the credit card issuers could not like the rapid application for credit (if you do not have a responsible credit history).

We also have some rather large purchases coming up (like our son’s annual pre-school dues) and we are better off putting that spend on a new credit card that earns us a substantial bonus as opposed to putting that spend on a card that only earns us 1% back in rewards.

As anyone who follows this blog may know, we are kind of unconventional in many ways. Most notably as a miles and points person who values rewards, we have not fallen as prey into the credit cards that require a several dollar minimum spend, often in as short as 90 days, for a bonus. While we could probably swing the large spend, I do not like being held to such an offer.

Personally, I feel much more comfortable with a $1,000 or less minimum spend requirement, and as a result, I often put substantially more on the card over the long haul as I continue to use the card.

Chase Disney Visa

To prove just how unconventional we are, we have been sitting on a targeted offer from Chase, for of all cards, the Disney Visa card, offering $200 in rewards after spending $500 within 90 days. In addition, the card comes with no annual fee, which means it might be good to hang on for the long term.

Personally, I was absolutely against applying for the Disney Visa, because 1) it is a Chase card, which I am not to fond of the company in general, and 2) I thought there were better offers to be had from Chase.

However, Mrs. InACents was keen on getting the card to test out some of the Disney benefits for when we go to the Parks next year. Most notably, private card member Character Meet-N-Greet and discounts at select restaurants and/or shops.

I realize I might have left money on the table in terms of value perceived from rewards earned, but $200 is still a decent reward.

We currently do not hold any Chase credit cards, and my wife received an instant approval.

American Express Hilton HHonors

My wife has never carried an AMEX card before, and I wanted to make sure she included on in this round of applications. I currently carry the American Express Hilton HHonors card from May of 2012, and the card really comes in handy for getting gas and items from Costco, which only accepts AMEX. When I applied for the card, I received a 50,000 point bonus. Fortunately, the 50,000 Hilton HHonors card from AMEX still exists until October 31, 2013. The card comes with no annual fee (great for holding the card long term) and the points are awarded after only $750 of spend within 90 days. You also automatically receive Silver status with Hilton.

Our family tends to frequent Hilton brand hotels quite frequently since they are everywhere. With such a large footprint of properties, there is always selection of some sort.

While redeeming Hilton HHonors points is great from the aspect of there are no blackout dates, the major downside is Hilton requires an astronomical amount of points for a free night stay. While Hilton’s reward chart shows you can redeem night as low as 5,000 points, I personally have never seen a nights stay that low.

The other downside to having my wife apply for a Hilton card was she was not able to apply my HHonors account number to pool our points together. Therefore, we will both have a separate pool of points available.

The other great thing about having another AMEX available is for when the Small Business Saturday event happens after this Thanksgiving. In other words, it will get us another free $25.

There is also the possibility of a great “hidden” feature of the Hilton card to earn you additional points. Once you have the standard Hilton AMEX, you can upgrade to the Surpass card, apparently after waiting one year. While the Surpass card comes with a $75 annual fee (not waived the first year), you receive 50,000 bonus points after $3,000 spend within 90 days AND Gold status. In addition, no credit check is required for the upgrade, and if you want at the end of the first year you can downgrade the card back to the regular Hilton AMEX card.

My Hilton card is over a year old, but I am not currently in the market for the Surpass upgrade.

US Airways Dividend Miles

The US Airways Dividend Miles card happens to be my favorite card at the moment for one reason and one reason only, they hand out a lot of miles for using the card. I applied for my first card back in May 2012. My wife applied for her first US Airways card in February 2013, and I applied for my second card (while still holding my first) in March 2013.

I received 40,000 miles after opening my first US Airways card, 15,000 miles after spending $750 for 3 consecutive months, 10,000 bonus miles after the first annual fee was paid, and then several rounds of a couple thousand miles each after attempts to try and shut down the account. I easily earned probably 75,000+ miles off one card. Both my wife’s first card and my second card have earned us at least an additional 60,000 miles each.

In July 2013, I finally elected to close down my first US Airways card.

So I definitely wanted to try and get my wife a second US Airways card since it had been six months since she first applied for the card.

After submitting all three applications at the same time, the decision page stated, “We’re sorry we are not able to complete your application decision right now, additional time is needed.” Fortunately, Barclays allows you to check on the status of your application online. Approval and a very generous credit line!

Conclusion

So with three applications, and a very modest first purchase, $500, and $750 in three months, we will have 35,000 US Airways miles, 50,000 Hilton HHonors points, and $200 in Disney rewards. With any luck, within a month or two, Barclays should target us for 15,000 bonus miles again after spending $750 for three consecutive months.

Everyone’s credit tolerance and point expectations are different. We feel comfortable with the minimum spend requirements, which is the most important aspect to our family, and will be rewarded handsomely. Not stepping outside of your comfortable zone is the most important aspect of the reward game to make sure you do not fall into debt.

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Source: InACents

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