Minimum Spending Requirements For Credit Card
How to Meet a Credit Card’s Minimum Spending Requirements:
Minimum Spending Requirements
The best way to earn some points and miles is just by applying for the Credit Cards. There are a lot of credit cards that offer a signup bonus. To earn the sign-up bonus, you must meet the spending requirements. So, you must have a plan to meet these spending requirements before applying. You will get several methods to meet your spending requirements. In this article, we will discuss some of the best ways to meet your spending requirements.
Usually, you have to meet the spending requirements from $2,000 to $5,000. But in a few cases, there are much bigger spending requirements. For example, the Ink Business Preferred Credit Card is a business credit card, that comes with high earning bonus. With this card, you will get to earn 100,000 bonus Chase points. But the spending requirements of this card is $15,000 that, you have to complete within three months of account opening. That is difficult to meet the spending requirements, but the reward is worth it if you meet the spending requirements.
How to Meet the Spending Requirements:
Sometimes it happened that you get approved for the one or more credit card but worried that you won’t be able to complete the thousands of dollars spending requirements. Many people collect points and miles. So, it will be very difficult to spend thousands of dollars within a few months. But there is some day to day expenses, through which you can meet your spending requirements.
Some of the travel rewards cards offer a substantial amount of spending to unlock your signup bonus. For example, in Chase Sapphire Preferred Card and Sapphire Reserve card, both cases the spending requirements are $4,000 and you have to complete it within the first 3 months from the day of your account opening.
Here are some of the ways through which you can meet your minimum spending requirements:
- Cell Phone, Cable and Internet:
Always use your credit card to pay your internet, cable and telephone bill. You can also make some advance payment for your cellphone, cable, or internet bill using your credit card. If you can pay your credit card bill on time, only then you should do that.
For gas, people always use either cash or debit card to pay. Instead, you should use the credit card.
For all you dining expenses, you can use your credit cards. Never use cash, unless you have to.
Use your credit card at the grocery stores. If there is a sale, then stock up some essential goods.
Pay for medical expenses, homeowners, and renter’s insurance over your credit card. For a few months, you can also pay some extra payment. So, that it can cover up your minimum spending requirements.
- Gift Cards & Visa Gift Cards
If there are some merchants, where you shop regularly, like supermarkets, favorite restaurants, you can buy gift cards from them. That way you can easily meet your spending requirements. But make sure to keep your card safe and remember which card contains how much.
You can simply go for the Visa or MasterCard gift cards. You can use them anywhere, the MasterCard or Visa Card accepted. But these gift cards usually come with the charges of $5.95, whether you buy a $100 or $500 card. Another thing you should know that all the merchants do not allow to buy Visa Gift Card using a credit card.
- FSA Account:
If you have an FSA or Flexible Spending Account, then you might also have a debit card to pay off your medical expenses. In most of the cases, using your regular credit card, you can easily pay off your FSA-approved expenses. It might be a bit inconvenient but can help you to complete your minimum spending requirements.
- Vision Insurance:
If you have vision insurance, then using your credit card, you can purchase contact lenses. For reimbursement later, submit a request.
- Reimbursement for Purchases:
You can simply ask your family and friends if they want to pay their expenses using your credit card, and you can take cash from them instead. You can only do this with your friends and family whom you trust.
- Splitting Payments:
Many shops let you use multiple cards to pay off your bills. For example, if you purchase a TV of $900, simply ask the cashier to charge $300 from one card and from another charge $600. This way, This way, you can cover up the spending requirements of more than one card.
- Rent via Plastiq:
The Plastiq is a service, which lets you use your credit card on the general expenses, that can’t be paid using a credit card. For example, you can’t pay your rent and mortgage using your credit card. Although the Plastiq charges a fee of 2.5%, that is worth it. Basically, with a credit card, you pay Plastiq and they cut a check to your mortgage provider or landlord. Of course, you have to pay a price for that. For example, if you pay a $1,000 rent payment, you will be charged $25. So, you can use the Plastiq service to meet your minimum spending requirements.
Some landlords directly access the payment via credit card but it is the rate in case.
- Regular Business Expenses:
It depends on what small business you own, meeting the spending requirements might not be an issue at all. Just simply use your new credit card for your business expenses, which you help you to reach your spending requirements.
Many people might not like this idea because they have personal expenses in one card and business expenses on another. It is nothing near the free journey. So, just simply swipe your card and enjoy free travel.
If you like to pay a donation to charity, then you can use your credit card. Using the credit card, you can pay some donation to the charties. For that, you might be charging a fee for processing the payment. There are many payment services like PayPal and others offer discount processing rates for the charitable foundations. But still, you will be charged 2% of your donations.
Use your credit card to pay off your federal taxes. Many third-party processors like, Pay1040 allow you to pay federal income taxes with your credit card. Of course, for this, you will be charged 1.87% of your tax.
So, all the above-mentioned methods will guide you in reaching your spending requirements. So, you should not miss a good reward earning opportunity using this card. If you are planning a new credit card application, keep these methods in mind. So, that you get prepared before applying. If you don’t have a plan ahead, that means you are just spending money unnecessarily.