Credit Cards & Rewards

The priciest mistake: carrying a balance for tiny pump rewards The priciest mistake isn’t paying 10¢ more per gallon. It’s paying 20%+ interest while chasing 3% back at the pump. I’ve watched smart people, colleagues, clients, me years ago, fall for this. The bonus at the gas station feels like free money. But if you carry a balance, those “rewards” are usually a mirage. Interest eats them alive, fast. Here’s the blunt math. Gas cards typically pay 3% to 5% back. The Federal Reserve reported that the average APR on credit cards that were assessed interest sat above 22% in…

From free lattes to funded IRAs: the before-and-after Quick mindset shift here: the same points and cash-back you’ve been swapping for gift cards can be pointed straight into investments. Yes, literally the same rewards. If you’ve ever wondered “can I use credit card rewards to invest?” the short answer in 2025 is: absolutely, and it’s easier than it’s ever been. Before (the usual story): Random redemptions for merch, travel, or a $25 gift card when you remember. No compounding. January rolls around and there’s nothing on your balance sheet to show for last year’s spending. Rewards programs feel like a…

Wait, Paying Taxes With a Card Might Be Cheaper Than You Think Wait, paying taxes with a credit card and coming out ahead? Yep, it can happen. It’s counterintuitive, and it’s not for everyone, but in 2025 the math sometimes breaks your way. Between generous card sign-up bonuses and the relatively low IRS card-processing fees, you can turn a painful tax bill into a net win, if you’re disciplined and pay in full. If you carry a balance, though, it backfires. Hard. Quick reality check on that last point. In 2024, multiple surveys showed roughly half of U.S. cardholders revolved…

The costliest mistake after a layoff: financing groceries at 20%+ APR You lost a paycheck, but you didn’t stop eating. I’ve been there, well, not the exact same situation, but I remember early in my career floating a grocery run on a card because it had “5% back at supermarkets” plastered all over the ad. Cute perk, until you realize 5% doesn’t beat 22% interest, not even remotely. The math is blunt: if you carry a balance, the rewards are a rounding error while the interest is the bill. And yes, that includes the fancy rotating categories, the quarterly caps,…

Timing is everything: why today’s PPI won’t slash your APR tomorrow You saw the headline: producer prices cooled this morning, stocks popped, yields dipped, and you’re wondering if your card APR is about to get friendlier by, say, dinner. I get it. I’ve stared at my own statement, done the quick math, and thought, if markets can move in minutes, why can’t my rate budge by the weekend? Here’s the quick reality check: markets move fast, consumer rates move slow, and credit card APRs are built to update on a schedule, not on a headline. Two things matter for your…