How to make money from Credit Cards
Written By: Nick Nguyen | Read full profile
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Believe it not, credit cards are not completely evil. If you know how to manage them well, you’ll never get yourself into credit card debt, you’ll have a rocking score, and you can even make money from them!
There are two main ways most people make money from Credit Cards:
Cashback Rewards
Referrals
1. Cashback Rewards
A lot of credit cards advertise cashback nowadays. If you’re using one frequently that doesn’t have cash back or frequent flyer points, and you absolutely need a credit card, definitely look into making a switch. There are plenty of cards out there with 3% cashback on restaurants, 2% on travel, and 2-4% on gas. If you go out with your friends to eat a lot and the restaurants don’t like splitting the bill for you, or even worse, charge you money to split the bill, just offer to put it all onto your card and have your friends Venmo, Zelle, Paypal, or Cash App you back. There are no transaction fees* for these services, and you can eliminate the awkwardness of asking them for cash by just requesting the money through the app! That way, you pocket 3% on all of the stuff they ate (assuming they paid you pack the correct amount).
Same thing goes if you’re all splitting the costs of an Uber, Lyft, Airbnb, or Gas. Within my friend group, we like to rotate, so everyone gets a shot at some extra cashback. 2-4% might seem small, but if your group spends $100, that’s anywhere from $2-4 - enough to grab a coffee or boba.
2. Referrals
Some credit cards offer you a bonus for getting people to sign up to the card through some sort of referral link. The credit card companies are essentially paying you peanuts to market and advertise for their product. But sometimes, these referrals can be quite lucrative. They range anywhere from $20-$100 if you want the cash back option or 3,000-20,000 points if you’re looking at travel points. Watch out in case they have a limit on how many bonuses you can make in a year though! For example, the Freedom Card from chase only allows up to 5 referral bonuses in a year.
The hard part is convincing your friends to sign up with your link. That’s why we at Nguyening Lifestyles want to help you earn some extra cash by giving you the chance to have your referral link featured in our content to help earn some extra passive income. Read more about how to get your link featured in this post here (coming soon).
**Nguyening Lifestyles is not a registered financial service provider and does not give financial advice. All information in these posts are for entertainment purposes only. Nguyening Lifestyles is not liable for any actions or outcomes that transpired after your reading of the following post.
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