Posts Tagged ‘rewards’

Coming out of Avoiding Negative to Gaining Positive mode

January 5, 2008

I was hesistant the other day to put purchases on my SWA credit card because I didn’t want to go back into a credit card debt.  So I put a few things on there (gas, groceries,etc) and immediately paid it from my checking account.  Now that I got a lot of the 16% debt down (see previous blog), I am aggressively putting all my bills on there and including my wife’s bills so I can get free airline tickets.  Basically, I gotta spend $16K/year to a free ticket.  Which is basically a 2.5% return on purchases.  I valued the ticket at $400 because of the flexibility.

This is in essense passive income because I’m spending the same amount as I would have otherwise, but now I’m getting something back.

Let me know if you find a better cash back card.

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