What could you do with an extra $1,000? Pay down debt, shore up an emergency fund, invest in broad-based index funds? Whatever your plans might be, you can do it and you can start right now! Boost your financial position with ChooseFI’s step-by-step guide on how to earn more than $1,000 with cash back credit cards.
- Open the Chase Sapphire Preferred, spend $4,000 in purchases in the first three months and earn $800 (this card does have a $95 annual fee).
- Next, open the Chase Freedom Flex by Mastercard, earn $200 on a $500 spend within the first 3 months. $0 annual fee.
- Then, open the Blue Cash Preferred® Card from American Express, spend $3,000 in the first 6 months and get $150 in cashback. Also Optional: Earn 20% back on Amazon.com purchases in the first 6 months of card membership (up to $200 back), 6% on up to $6,000 at US supermarkets, and select US streaming services a year. There is a $0 introductory annual fee for the first year, then it’s $95 (See Rates and Fees).
ChooseFI’s Simple Three-Card-$1,000 Game Plan
The barrier to entry with this strategy is low. Married, single, still in school, you can do it! Anyone who has $7,500 in actual living expenses over the 12 months will earn more than $1,000 in cash back in less than twelve months. That’s like getting a 13% rebate on money you would have spent anyway! That’s a massive win on your path to FI.
The general strategy is this:
- Go for cards that offer the highest welcome bonuses, especially ones with the most generous category bonuses.
- Only use money you will spend to meet your everyday living expenses, or planned purchases. Don’t spend extra money just for the sake of earning a bonus!
- Meet the minimum spend requirement, preferably with expenses made in the highest cash back earning categories.
- Pay your credit cards off on time and in full every month.
It couldn’t be easier! Wondering about which cards to open? No worries, we’ve got you covered. With these three cards, you can easily earn more than $1,000 within a year, and if you’re up for it, there are extra credit bonus recommendations for scoring even more.
Cash Back Card #1 Chase Sapphire Preferred Card
Look no further than the Chase Sapphire Preferred Card for the biggest bonus and increased earning opportunities in a few targeted spending categories.
If you are ready to unlock a world of free travel, start with the Chase Sapphire Preferred. Welcome bonus is worth $1,000 of travel, more if you transfer them to partners like Southwest Airlines or Hyatt hotels. Plus earn up to a $50 statement credit on grocery store purchases in your first 12 months. Details: $95 annual fee | $4k min spend in 3 months to earn 80k Chase UR Points.
New cardmembers will earn a one-time 80,000 point bonus after spending $4,000 on purchases within the first three months from account opening. Cardmembers can redeem points for a statement credit, check, or direct deposit with a value of 1 cent per point making the 80,000 Ultimate Rewards point bonus worth $800. Plus, you can earn up to $50 in statement credits for grocery purchases in your first year. Note that this excellent card has a $95 annual fee.
The Chase Sapphire Preferred Card is billed to earn Chase Ultimate Rewards points. You have the option to exchange these points for cash or for travel when redeemed through the Chase Ultimate Rewards booking portal. You’ll get better value when redeeming your points for travel though. When booking travel with points through Chase Ultimate Rewards, points are worth 1.25 cents, or 25% more.
Total earned from this card: $850
#2 Chase Freedom Flex by Mastercard
The Chase Freedom Flex by Mastercard offers a $200 bonus after spending $500 in eligible net purchases within the first three months from account opening. But wait, it gets better! This card also rewards you with 5% cash back on up to $1,500 in combined purchases each quarter on bonus categories you activate. Plus, cardholders will also earn 5% back on travel purchased through the Chase, 3% at restaurants and drugstores, and 1% everywhere else–all with no annual fee!
Steps To Earn up to $200 With The Chase Freedom Flex
With the welcome bonus, you’ll earn an easy $200 after you spend $500 from account opening, but there’s potential for much more! This card earns 5% cash back on travel purchased through Chase, 3% on dining in restaurants, including takeout and eligible delivery services, 3% at drugstores, and 1% cash back on all other purchases.
Total earned from this card: $200 bonus
Total earned so far: $1050.
#3 Blue Cash Preferred® Card from American Express
The Blue Cash Preferred® Card from American Express earns a decent bonus and has solid cash back category bonuses.
This card offers $150 cashback as a statement credit after spending $3,000 in the first 6 months of account opening.
Steps to Earn $150 With Blue Cash Preferred® Card from American Express
Regular spending with the Blue Cash Preferred® Card from American Express earns 1%, but this card really shines when it comes to US supermarkets and US streaming services, earning a nice 6% cash back for both categories (on up to $6,000 in purchases at US supermarkets per year). Other categories yielding a 3% cash back include US gas stations, rideshares, and transit purchases.
And for a limited time, earn 20% back on Amazon.com purchases (up to $200) during the first 6 months of card membership.
Total earned from this card: $150 bonus
Pro Tip: Use this card for groceries!
Total potentially earned from bonuses only with all three cards: $850 + $200 + $150 = $1,200
Congratulations! You’ve earned up to $1,200 using cash back cards on purchases you would make anyway!
Extra Credit (And Extra Cash) For High Achievers
How about that extra credit mentioned? Now that you’re hooked on earning cash back, here are some additional recommendations.
Ink Business Unlimited Credit Card
The Ink Business Unlimited Credit Card gives you a $750 bonus if you spend $7,500 in the first three months.
This no annual fee card earns 1.5% cash back on every purchase.
Capital One Quicksilver Cash Rewards Credit Card
The Capital One Quicksilver Cash Rewards Credit Card has a $200 cash back bonus after you spend $500 in purchases within the first three months of account opening.
All purchases earn 1.5% cash back with no annual fee.
Capital One SavorOne Cash Rewards Credit Card
Capital One SavorOne Cash Rewards Credit Card also earns $200 when you spend $500 in the first three months. However, it is unique in our extra credit card list since it has a few bonus categories to pump up your earnings potential. These aren’t rotating categories either, the bonus categories are year-round.
Earn 3% cash back on dining and entertainment, and 2% cash back at grocery stores, with an even 1% earned on everything else. All with no annual fee!
In A Time of Crisis, Cash Is King
The travel industry is getting clobbered. Only time will tell how the chaos will pan out. Gambling on travel rewards may reap huge rewards in the end, but one thing is for sure. Cash never goes out of style. In a time of uncertainty, cash back cards are a sure thing that provides you with a financial boost you can use.
Top Travel Rewards Offers
To see the rates and fees for the American Express card featured, please visit the following link: Blue Cash Preferred Card from American Express: See Rates and Fees.