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“Buying” Ultimate Rewards
I’m trying to determine if it is worth paying a fee in order to earn UR.
Situation: Getting married next year and reception will cost about $12k. Will pay in chunks of about $3k. Wouldn’t it be great to earn UR for this big investment?? Well, I can but they will charge an extra 3% for using a credit card. If my math is right, I’d be paying $3,090 at a time and earning 4,635 UR with my Chase Freedom Unlimited. Essentially this means I’d be “buying” UR at 1.94 cents/pt ($90/4635 points).
I know the value of UR varies depending who you ask. Lucky values them at 1.7 cents while TPG puts them at 2.1 cents. Just trying to determine if its worth paying a little extra in order to earn UR that could be put toward a honeymoon or other travel.
Interested to hear your thoughts.
Can you find out how the charge will be coded to your card? Depending on the venue and how it’s setup, it could be considered dining or other bonus category.
[QUOTE=”David W, post: 55889, member: 29″]Congrats!
Can you find out how the charge will be coded to your card? Depending on the venue and how it’s setup, it could be considered dining or other bonus category.[/QUOTE]
I did consider this, but the reception will be held at a golf club. According to the Visa Supplier Located it will be coded as “recreation/amusement facilities.” Too bad!
Oh, that sucks. Well, if you’re under 5/24, I’d apply for the Ink Cash/Preferred cards to get the sing up bonus. The Ink Preferred is an 80k bonus after spending $5k and the Ink Cash is $500 cash back after spending $3k. That $500 cash back converts to 50k UR points if you have the Ink Preferred or either Sapphire card.
You’ve still got $4k left to spend – maybe have your future spouse get one of the cards as well for another bonus.
I think I’m at 4/24 right now so could get one of the others. I already have the preferred so will be able to transfer. My fiancée does photography on the side so maybe I’ll have her get the ink preferred.
Thanks for your suggestions!
Congratulations! The 3% upcharge for paying with a credit card seems higher than what their processing fee would be. It’s a damn shame these venues charge (mostly wedding) parties for card use. I routinely make large purchases on credit cards without “penalty.”
I’d definitely grab a new card or two with a high signup bonus and use the incremental payments to meet the minimum spend. Perhaps the points and miles will help with the honeymoon plans. The best of luck to you!
I might also discuss and see if they’d be willing to give a [I]discount [/I]for paying a larger deposit, or in fewer chunks, etc. Sometimes venues are willing to discount 5% or so, and then you’re still coming out ahead even with paying a 3% CC fee.