Miles vs. Cash Back

[orenwach]

I apologize if this subject has already been discussed, I searched and didn't find it.

Which type of rewards do you prefer, miles or cashback?

I personally go for the cashback cards because I think that you get higher percentages back that you can use for anything, including flights and hotels.

This is a list of good credit cards - Best Cashback Credit Cards - including a 2% cashback card
Make sure to read the responses because some good cards have been added to my personal list.

If anyone likes the miles cards, can you please explain why you like miles and which card in specific you like to use.

[disneysteve]

I think some people will be surprised to hear me say this, but I prefer our Marriott Visa. It's kind of hard to explain but when I get cash back, it just goes into our regular account. When we get free travel, however, it feels like a special treat, a bonus.

That said, we also have Discover and Chase Freedom and use those mainly for the 5% bonus categories for cash back. I usually get a couple hundred per year from those along with multiple free nights from Marriott.

[bjl584]

I currently don't travel much, so I take the cash back. Someday, if I have a family I may do more traveling, so I may switch over to a card that gives rewards for travel such as miles or hotel points.

[JoshuaHeckathorn]

I prefer miles/points. Any cash back rewards I receive end up just going into a savings account and I never feel like I get to enjoy them. However, when I'm sitting on a free flight overseas with my family, I get a real sense of enjoyment out of that.

For personal use, I love the Citi ThankYou Premier Card for a lot of reasons. Up to 2.2 miles per dollar spent, no foreign transaction fees, and I've booked major deals on flights through the Citi ThankYou center. Earlier this year my wife and I redeemed 120,000 points for tickets that cost $2,400 roundtrip- total steal.

We do fly internationally a lot (bank a lot of flight points) and were grandfathered in at the old annual fee of $75, so those are a few more reasons why this card continues to make a lot of sense for us.

[feh]

Cash. If I traveled a lot I might feel differently, but I don't.

[disneysteve]

Originally Posted by JoshuaHeckathorn

I prefer miles/points. Any cash back rewards I receive end up just going into a savings account and I never feel like I get to enjoy them. However, when I'm sitting on a free flight overseas with my family, I get a real sense of enjoyment out of that.

My thoughts exactly.

I know it is all psychological but somehow knowing that I got the room free on points feels different than paying for the room with cash I got for free.

[Slug]

Originally Posted by disneysteve

My thoughts exactly.

I know it is all psychological but somehow knowing that I got the room free on points feels different than paying for the room with cash I got for free.

I love my Marriott points too. I only used the card for Marriott stays or special promotions, but staying for free and getting upgraded is fun.

That said, 90%+ of my CC spending goes to cashback/gift card redemptions. The free $1,600 sitting in my Schwab account from using that card feels pretty good too because it's observable.

As an aside, NerdWallet did an analysis of hotel CC point values. Starwood is the definite winner, but I'm sticking with Marriott....for now.

[disneysteve]

Originally Posted by Slug

I love my Marriott points too.

As an aside, NerdWallet did an analysis of hotel CC point values. Starwood is the definite winner, but I'm sticking with Marriott....for now.

Same here. I really don't think their comparison is that worthwhile because it doesn't compare equal things. As their chart shows, there are 3 times as many Marriotts as there are Starwoods. I'd much rather have points with a chain that has thousands of more options of where to use those points. I like the variety of options from Marriott also from Fairfield Inn on the low end to JW Marriott on the high end with lots of in between choices.

[naomibatac]

Personally, I prefer cashbacks. However, with the many offers, knowing how to qualify for the best credit cards deals is also important because you can't enjoy these offers if you do not qualify. Check this article; Best Credit Card Deals - How to get the best deal that works for you. and find out how to qualify.

[LivingAlmostLarge]

cashback i can never get miles to work for me. we fly a lot and get miles but the problem? Using them.

My friend a frequent traveler always values miles at 2% cash back but only if you can redeem the miles at a high enough value. Otherwise he said it's not worth it.

[disneysteve]

Originally Posted by LivingAlmostLarge

cashback i can never get miles to work for me. we fly a lot and get miles but the problem? Using them.

I often hear people complain that using their miles is quite a challenge. That's why I prefer hotel points. I can use them anywhere, anytime. It is very simple. No limited availability or blackout dates. I can use them when I book weeks in advance or I can use them at the last minute.

Besides, we hardly ever fly so air miles wouldn't be of much value to us.

[Slug]

I end up using my miles for Sports Illustrated.

[esb3357]

Personally I prefer my Hilton and Best Buy card. We put everything on our card included Business Trip and Volunteer expenses that are reimbursed. If we got cash back I would feel a little gilty and have moral issues. Plus the Hilton has saved us a ton of money. We are gold members so we get free breakfast and internet. Plus we have gotten a lot of upgrades.

[LivingAlmostLarge]

I haven't been traveling enough to use hotels. Mostly family.

[Like2Plan]

I prefer miles. We have a Southwest Rapid reward card which give us free travel. In addition, between the travel we do, partner credit and rapid rewards credit we earn we have been able to qualify for a companion pass for several years. The companion pass has been the coolest travel tool I have ever used. I fly on DH's same itinerary for $5.00 round trip. There are no capacity controls on the companion seats---so as long as there is an open seat I can get a confirmed reservation and fly where ever DH is going (it makes it easy to change if DH's travel plans are changed last minute ).

[Stevenm122084]

I think people who can choose such things are just rubbing it in the faces of those who can't...

[disneysteve]

Originally Posted by Stevenm122084

I think people who can choose such things are just rubbing it in the faces of those who can't...

What is that supposed to mean?

A question was asked. Other posters have come on and answered it based on their personal experiences. That's how things work here.