With the rise of subscription-based services like Netflix, Spotify, and various subscription boxes, many people are looking for the best way to manage their regular monthly expenses. One great way to do this is by using a credit card specifically tailored for subscription payments. In this article, we'll dive into the various benefits of using a credit card for subscriptions and give you the top options available in the market. Get ready to maximize your rewards and simplify your monthly expenses!
Credit Cards For Subscriptions Table of Contents
Why Use a Credit Card for Subscriptions?
There are several reasons to use a dedicated credit card for your subscription payments:
- Maximize Rewards: Many credit cards offer bonus rewards on select categories, including subscriptions. By using a card that rewards you for these recurring expenses, you'll earn more cashback, points, or miles.
- Budgeting and Tracking: Using a specific credit card for subscriptions makes it easier to monitor and manage your monthly expenses. You'll have a clear, separate statement that's exclusively for your subscription payments.
- Security: In case of any unauthorized charges, using a dedicated credit card for subscriptions can limit the potential damage and minimize the hassle of updating payment information on multiple platforms.
Top Credit Cards for Subscriptions
Now that you know the benefits of using a credit card for subscription payments, let's take a look at the top options available:
1. American Express Blue Cash Preferred Card
With its high cashback rate for select U.S. streaming subscriptions, the Amex Blue Cash Preferred Card is a top choice for entertainment seekers.
- 6% cashback on select U.S. streaming subscriptions.
- 3% cashback on transit expenses such as taxis, rideshares, and public transportation.
- $95 annual fee (waived the first year).
- Terms apply.
2. Chase Sapphire Preferred Card
This popular travel rewards card offers valuable points for streaming services and online purchases.
- Earn 2x points on streaming services and online grocery purchases (excluding Target, Walmart, and wholesale clubs).
- Receive a 25% bonus when redeeming points for travel through the Chase Ultimate Rewards portal.
- Annual fee of $95.
3. U.S. Bank Cash+ Visa Signature Card
The U.S. Bank Cash+ Visa Signature Card allows you to choose your bonus categories, including select streaming services.
- 5% cashback in two categories of your choice, including TV, Internet, and streaming services.
- No annual fee.
- 0% introductory APR on balance transfers for 12 billing cycles (then a variable APR applies).
Credit Cards For Subscriptions Example:
Meet Jane, a millennial who subscribes to several streaming services: Netflix, Spotify, and a monthly subscription box. Instead of using her debit card for these payments, Jane decides to apply for the American Express Blue Cash Preferred Card to maximize her rewards on these subscription services.
In a year, Jane spends $120 on Netflix, $120 on Spotify, and $600 on her monthly subscription box. By using her Amex Blue Cash Preferred Card, she earns 6% cashback on her streaming services ($14.40) and 1% cashback on her subscription box ($6). In total, Jane earns $20.40 cashback, easily covering the annual fee after the first year's waiver.
In addition, Jane can now monitor her subscription payments more easily and have added security in case of unauthorized charges.
By using a credit card specifically designed for subscription payments, you can maximize your rewards and simplify your budgeting. With options like the American Express Blue Cash Preferred Card, Chase Sapphire Preferred Card, and U.S. Bank Cash+ Visa Signature Card, there's a card to suit every lifestyle. So go ahead and make the most out of your subscriptions by choosing the right credit card for you!
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