Some credit cards offer great incentives – either as cash-back or travel miles – for money spent in these categories. Some credit cards offer sign-up bonuses and higher incentives in exchange for an annual fee. If your monthly spending is pretty high, the amount of incentives will also be high, so the annual fee pays for itself and you are left with an upside. Many people do not have such expansive monthly budgets.

Enter wedding planning.

Spend extra on gas driving to see potential wedding venues? Check.
Prepay hotel rooms for out-of-town guests to get a bulk discount? Check.
Pay a few thousand dollars to a restaurant venue? Check.

How would you like to have your bank pay for part of your honeymoon?

Do your research about this. Think about the categories of spending that will increase, and what rewards are being offered on these categories. Look into the annual fees for the credit cards that offer best incentives, and calculate whether it is worth the expense. Look into any eligibility limitations. Check your credit score. Remember that applying for a new credit card requires good credit score to begin with, but that it also temporarily hurts your credit score. Consider whether you will want to keep this credit card after the wedding, and what might be the implications of cancelling it.

Word of caution. You’re trying to be smart about it… so be smart about it. Don’t get carried away, don’t buy things you would not otherwise have bought. Your reward for NOT buying something you do not need is 100% of the money you would have spent… As opposed to the paltry 3% you would be getting…

And remember. Debt is bad – except for banks. Don’t buy things you cannot afford.

Leave a Comment

Your email address will not be published.