If you’re looking to get some peace of mind, knowing that you’ll always have enough money on you to pay for the things you want, while not needing to carry cash around with you, what do you think you should do? Get a credit card, of course. Apart from that, this financial tool provides you with the option to gain some great rewards, meaning you may be able to earn money while spending it, and it also helps you build your credit score. Read more on the benefits of getting a card.
Now, if you’ve already decided to get a card, and whether it is your first one, or your next one, what you will need to do right now is understand how to make the right choice. Say you’re unable to decide between the Amex Gold and the Chase Sapphire Preferred. Both seem to be great, but there are differences among them to consider, and that is exactly what you will have to do when aiming at making the best choice.
It is completely normal for you to be a bit worried about making this choice. After all, we are talking about your finances here, and financial decisions always have to be made carefully. Therefore, you should never make any rushed decisions here. Quite on the contrary, you need to take your time and take the right steps towards making the best choice.
What are the right steps, though? Or, to be more precise, what is it that you should do so as to choose between the Amex Gold and the Chase Sapphire Preferred, for example? Below we will talk about that. And, you will get tips that you should use whenever trying to choose between any two credit cards, or even among more of them. So, without any further ado, let us help you learn how to make the choice.
Compare the Welcome Bonuses
Most great cards offer welcome bonuses. Thus, when trying to choose between the Amex Gold and the Chase Sapphire Preferred, and when you want to determine which of these cards are better, one of the first things to do is check and compare the welcome bonuses. Take a look at which provider may be offering a better bonus, as well as what the requirements for getting that bonus are.
For the Amex Gold, for example, you will need to spend $6,000 on eligible purchases so as to get 60,000 reward points. And, you need to do that within the first 6 months after signing up. The Chase Sapphire Preferred on its end offers the same amount of points, but for $4,000 spent within 3 months. It is your task to think about which welcome bonus could be more suitable for you. But, of course, don’t make your choice based on this alone.
Compare the Fees
Next, you will need to compare the annual fees of the two cards you’re considering. The above two are quite different here, with the Chase Sapphire Preferred charging $95 and the Amex Gold charging $250 annually. Of course, the trick is not simply in choosing the solution that charges a lower annual fee, because you have to look at the whole picture and think about what it is you’re getting and what it is you’re being charged for exactly.
Compare the Travel Benefits
Comparing the travel benefits that both of these solutions offer should be your next step. In this stage, you should consider what kinds of specific purchases you could actually earn your points for. Dining, travel, groceries… Those are some of the categories to keep in mind and check.
And Additional Benefits Too
Apart from travel benefits, the cards could offer some additional ones as well. You could get discounts from various merchants if you decide to use any of the two above mentioned cards. What you have to do is check and compare those additional benefits in more details, so as to understand what you can get.
If not sure whether you should even get a card, this should help you decide: https://www.investopedia.com/should-i-get-a-credit-card-4589811
Check Redeeming Options
Above I’ve mentioned the necessity of checking how you can earn your points. Well, in addition to that, you should also check how you can redeem them. The redeeming options will differ from one card to another, and you need to determine what would work for you best.
Take Your Spending Habits Into Consideration
Speaking of what would work for you best, in order to really be able to decide that, you will need to take your spending habits into consideration as well. This further means that there is not a clear answer as to whether you would be better off with Amex Gold or with Chase Sapphire Preferred, or with any other solution for that matter. It depends on your lifestyle and the way you’re spending money, so remember to always take that into account as well.
