Meeting the Minimum Spend Requirement on Credit Cards
This past couple of weeks. The new buzz going around is the new Chase Sapphire Reserve card. This is probably the best new travel credit card that has come out in the past couple of years. I personally call it the chase sapphire preferred killer because it’s pretty much an upgraded version of the card.
While this may be the the new card on the market. It also comes with a $4,000 minimum spend within 3 months. Many consumers have come to me on how can they reach their minimum spend. I’ll provide you some strategies on how you can reach your minimum spend with ease.
First let me clarify what minimum spend is. The minimum spend of a card is the amount you must charge to your new credit card in a defined time period in order to qualify for the sign-on bonus. For the Chase Sapphire Reserve, it requires you to spend $4,000 in 3 months in order to receive the 100,000 UR points.
Now that we covered what minimum spend is. Let’s talk about some strategies on hitting that minimum spend.
- Start shifting your regular monthly expenses from cash to the travel rewards credit card.
- Cell phone bill
- Streaming media services (Netflix/Hulu)
- Insurance bills (car, homeowners, health, and renters)
- Gym Membership
- Buy gift cards or presents that you will use in the next few months.
- When dining out with friends, offer to pay and have everyone venmo, quickpay, or paypal you right on the spot.
- Similar to dining out offer to pay items for your friends/family. For an example pay for your friend’s car repairs and have them pay you back.
- For medical expenses, instead of utilizing your Flex Spending Account (FSA) or Health Savings Account (HSA) use a credit card. Then reimburse yourself by filing a claim.
- For those who travel for business, pay your business expenses with your personal card.
- Fund Checking/Savings account that accepts CC funding. See Doctor of Credit for more information.
- If you’re engaged, wedding expenses is an easy way to hit the minimum spend.
- Student Loans payment (susceptible to Dept of Education loans that accept CC payment without fees).
- Pay student loans with chargesmart (flat fee varies from 2.5-3%)
- Pay your Home Owners Association fees (Flat fees apply)
- Pay Income Taxes (1.87% Process Fee is the lowest). See MMS for more information.
- Pay Property Taxes (Variable Process Fees of 2-3%)
- Pay Rent (No fee with RadPad until end of 2016. Thereafter, 2.99% fee)
- Send payment to your friends via PayPal or Venmo. (3% fee)
- Last but not the least is a strategy called Manufactured Spending.
I hope at least some of these can help get you along your way to reaching the minimum spend.
Leave a comment below about your favorite strategy that you use to hit your minimum spend.