My BCE is my largest card in terms of CL, but I don't use it very much, because it doesn't have the best rewards of my cards in any category. The Cash Magnet also wouldn't, but it's closer. 1.5% for non-category spend, vs my PPMC at 2%, so I wouldn't be losing much. Not really a big deal, I guess, but I've been thinking about switching it. I know I'd lose the potential for a Cash Magnet SUB in the future, but I doubt I'll ever open one as a new account, and it's a small SUB anyway.
Any reason not to do this that I might be overlooking? Thanks!
How much do you spend on groceries, and where do you buy most of your groceries? I see that you have a Citi Costco in your signature. Do you spend much at regular supermarkets?
I'm asking because it might be worth waiting for an upgrade offer to Blue Cash Preferred for the higher reward rates. The upgrade offer usually more than offsets the $95 annual fee, and you can always product change it again later to Cash Magnet.
Thanks - I've considered the BCP as well, but I use Amex Gold for groceries. If I added BCP to the equation, I'd need to pick between 6% cash back and 4% MRs on groceries. I don't spent much on ride share services, trains and buses, so the main other benefit from BCP would be the 6% on streaming services, which I calculate would save me about $35-$40/year. Like the BCE, it's 1% on non-category spend. On the plus side, I am in the CAP program, so I would get a $50/year statement credit toward the AF.
@KJinNC wrote:Thanks - I've considered the BCP as well, but I use Amex Gold for groceries. If I added BCP to the equation, I'd need to pick between 6% cash back and 4% MRs on groceries. I don't spent much on ride share services, trains and buses, so the main other benefit from BCP would be the 6% on streaming services, which I calculate would save me about $35-$40/year. Like the BCE, it's 1% on non-category spend. On the plus side, I am in the CAP program, so I would get a $50/year statement credit toward the AF.
BCE could be a candidate for the sock drawer for the time being. There is no annual fee, and as you said Cash Magnet may not get much use anyway due to the PayPal card. Unless there is a pressing need to make a change, why not just put a small subscription on it to keep it active. Wait to see if you get an upgrade offer. The CAP discount could make an upgrade offer more desirable.
@wasCB14 wrote:Do you anticipate any large off-category transactions for which a $10k CL would be inadequate?
Not anticipated per se, but possible. I may replace my roof this year, which would probably be in the $10K neighborhood. I have three large oak trees along my fence that died and I need to get removed. Not sure I'd pay for those with a credit card, but if I did, a $20K limit might be more comfortable for them than a $10K limit. I don't think it will matter more than $50 or $100 or so however I approach it, this is definitely small-ball. I am just wondering if there is an advantage to staying with BCE, like if I lose the ability to PC an Amex card for six months, or something else I'm not aware of.
If you decide to close BCE, make sure you wait until the account is over a year old. Amex does not look fondly upon people who open and close accounts too soon. Also, since you have another Amex revolver (Delta Platinum), you should use the credit limit reallocation tool to move as much of your BCE limit to Delta as possible.
Thanks - to clarify a couple of things - I'm not planning to close the card, although this thread has caused me to consider a bigger change that I originally had in mind ... will explain original goals and then discss the potential bigger change.
The problem with BCE is that it has lower rewards on groceries than my Gold Card and lower rewards on gas than my Citi Costco, so the only use I see for it would be if large non-category spend landed on me, for example if I needed a new HVAC system and decided to use a card for it. And, there are some possibilities where I may have large expenses in 2021, though I may or may not use a card for them, so this is a possible use, not a definite use. Since large non-category spend is the only value I see in the card's high CL, I am just wondering if there's a reason not to get the card with 1.5% non-category instead of the BCE's 1% non-category. I don't think it's all that important, just wondering if there is any downside at all.
That said, this thread is making me ponder a larger update. What if I:
- PC the BCE to BCP
- Close Gold Card
- Instead of 4 MRs/$ at grocery stores, get 6%
- Instead of 4 MRs/$ dining out, get 3% (Costco Visa)
- Additionally, get 6% on streaming services
I am not and will never be an Uber or Uber Eats user, so that credit isn't valuable for me. Also, I rarely make it by Cheesecake Factory or the other restaurants for the $10/month credit.
Even with the CAP $100/year statement credit for Gold, I'd still be reducing my total AFs by $100/year (remove $150 for Gold, add $50 for BCP), with probably no net loss in rewards, as I'd lose a little with dining, roughly break even with groceries, gain a little with streaming services.
On the other hand, Gold has sentimental value for me (was a major psychological milestone in my rebuild), and though I've had it for 18 months, I am probably approaching the churner danger zone with Amex, since I have already closed two AF cards recently (Delta Gold and Hilton Aspire). And, if I close a card with a CAP discount, does that mean I can never have that CAP discount again if I wanted a Gold Card again in the future?
@KJinNC wrote:Thanks - to clarify a couple of things - I'm not planning to close the card, although this thread has caused me to consider a bigger change that I originally had in mind ... will explain original goals and then discss the potential bigger change.
The problem with BCE is that it has lower rewards on groceries than my Gold Card and lower rewards on gas than my Citi Costco, so the only use I see for it would be if large non-category spend landed on me, for example if I needed a new HVAC system and decided to use a card for it. And, there are some possibilities where I may have large expenses in 2021, though I may or may not use a card for them, so this is a possible use, not a definite use. Since large non-category spend is the only value I see in the card's high CL, I am just wondering if there's a reason not to get the card with 1.5% non-category instead of the BCE's 1% non-category. I don't think it's all that important, just wondering if there is any downside at all.
That said, this thread is making me ponder a larger update. What if I:
- PC the BCE to BCP
- Close Gold Card
- Instead of 4 MRs/$ at grocery stores, get 6%
- Instead of 4 MRs/$ dining out, get 3% (Costco Visa)
- Additionally, get 6% on streaming services
I am not and will never be an Uber or Uber Eats user, so that credit isn't valuable for me. Also, I rarely make it by Cheesecake Factory or the other restaurants for the $10/month credit.
Even with the CAP $100/year statement credit for Gold, I'd still be reducing my total AFs by $100/year (remove $150 for Gold, add $50 for BCP), with probably no net loss in rewards, as I'd lose a little with dining, roughly break even with groceries, gain a little with streaming services.
On the other hand, Gold has sentimental value for me (was a major psychological milestone in my rebuild), and though I've had it for 18 months, I am probably approaching the churner danger zone with Amex, since I have already closed two AF cards recently (Delta Gold and Hilton Aspire). And, if I close a card with a CAP discount, does that mean I can never have that CAP discount again if I wanted a Gold Card again in the future?
I don't have enough knowledge about the CAP discount, so I'll leave that to someone else to provide guidance there. I like your reasoning about replacing Gold with BCP for grocery & streaming. The numbers make sense for that scenario.
Is the Platinum charge card important to you at this time? What would you think about closing the Platinum after it ages over a year? You might eventually receive a targeted bonus offer to upgrade your existing Gold to Platinum. It's sort of an indirect path with the possibility of an additional upgrade bonus (BCE=>BCP and Gold=>Plat).