3/30/2009

A BETTER CREDIT CARD?

I was perusing our mortgage account online at Wells Fargo, when I was attracted to one of their banner ads.

It was for a credit card whose reward is a mortgage rebate. This is quite intriguing so I clicked for more information.

Wells Fargo Home Rebate Card


1 percent of all charges will be paid towards the mortgage principal. (When spending reaches $2500 increments, $25 is paid). No annual fee. Variable interest rate as seems to be standard with all reward-type cards, but it doesn't apply to us since we pay the balance in full every month.

This could be a really good card for us. While we do like earning mileage on our current card, it's not something that we can use right away. Whereas every little bit towards mortgage principal can be felt immediately.

Decisions, decisions...

Mileage Card PROS:
Earns mileage, which will reduce travel expenses
Can buy "companion ticket" for $50
Helps prevent mileage account from going "stagnate" (and forfeiting all earned miles)

Mileage Card CONS:
Annual Fee. Most annoying.
Variable Rate

Home Rebate Card PROS:
Reduces mortgage principal
No annual fee

Home Rebate Card CONS:
Won't help reduce travel expenses
Variable rate

Maybe I'll keep both and use one for the everyday purchases and one for all the automatic payments that are set up.

Not like I'll have to make a decision today, but this might bug me until I do.

Urgh!

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