You couldn't pay me to get a cashback credit card.

I'd rather eat diseased cauliflower than swipe a cashback card.

Colin Stroud
September 10, 2024

I’m waging war on cashback credit cards today.

Also, Tuesday newsletter, who dis?

Yep, this newsletter is coming out 2x/weekly.

Pieces will be shorter, more digestible, and more often.

Shall I remind you how I can serve you?

I’m here to help when you’re ready.

I spend $40k/year on credit cards.

I want to be rewarded for doing that.

Let’s breakdown two potential scenarios:

💴 2% cashback card: I earn $800/year in cashback.

Yay.

🛫 2x points/dollar card: I earn 80,000 points/year.

Yayayay.

Btw, this is the card I put 90% of my spending on.

I say this every consult call I do:

$800 will only ever be $800.

I may make a t-shirt that says that.

Why?

Because 80,000 points could get my wife & I roundtrip tickets to Switzerland next summer.

The cash price of those tickets? ~$3,500.

I have to spend money on my life.

Why would I use a tool that gives me “meh” value when there's another tool (travel credit cards) that gives me 4x the value & helps me see the world?

I’m not really sure how someone could refute this argument - I haven’t heard a. good one (ever?)

Points & miles are far superior to cashback because of the arbitrage opportunity.

It’s not uncommon to see a $1,000 travel product (flight, hotel, maybe cruise) that costs $1,000 but only 20,000 (think: $200) points.

That’s the arbitrage we’re after.

That’s only possible with points.

Why are you still using cashback cards?

You’re missing out on so. much. travel.

If you’re brand new and want to get started, you’ve got to check out my next live group class.

Also, click here to enter a giveaway for a free trip to Hawaii.

That’s it for today. Hope this helped.

Before you go:

God bless. Godspeed.