However, I plan to downgrade back it BCE before the annual fee. Are there consequences for doing this? I've been using the BCE for a few years now and never paid them a penny in interest. Do they automatically charge the $95 annual fee when I upgrade from BCE?
@jbsilva21 wrote:
Yes, the annual fee will hit the next statement. Just wondering if there is a current sub? When I got my BCP it was $200 for $1000 spend within 3 months. If you use it for groceries and gas, you will get back more than the af. Not sure if you can get the sub since you have a Blue Cash Card now. For me I got the $200 and this year so far I have gotten around $600 in cash back. There is a youtuber named AskSebby and he has some good info on the valuation of rewards. Here is a link on the BCE vs BCP.
Good video! He explains and shows the calculation well too.
That video is awesome of askSibbey. I am thinking about upgrading but I would have to use it a lot more for groceries and gas to make that work. The navy Amex covers both but not 6% cash back.
@Blackswizz750 wrote:
That video is awesome of askSibbey.
Just beware that some of the advice provided by his site(s) has been known to be quite incorrect, especially with regards to Amex.
I usually recommend for people to stick with Doctor of Credit or simply ask members of our site if you have a question about something. 
@UncleB wrote:
@Blackswizz750 wrote:
That video is awesome of askSibbey.Just beware that some of the advice provided by his site(s) has been known to be quite incorrect, especially with regards to Amex.
I usually recommend for people to stick with Doctor of Credit or simply ask members of our site if you have a question about something.
Yes, while I didn't see anything wrong with this one, it is perhaps too over-simplified. Critical to mention:
1) Amex tends to be more restrictive than V/MC as to what counts as groceries, so make sure that your stores will get the 3/6%
2) MyFico "professionals" probably wouldn't use either card for gas, you can do better than 2-3%
3) As overmedicated says, rotating cards may overlap with BCP some quarters, so you are getting 6% vs 5% rather than 6% vs 3% for that quarter, which makes the annual fee harder to offset (and with Freedom URs, 5UR may be greater than 6% anyway)
4) The video stated the assumption that spend stays the same. For those not spending a lot on groceries, one advantage of the BCP is that it allows you to buy retail gift cards at the supermarket, for an effective 6% on those stores (And this includes e.g. Amazon gift cards). So it's quite likely that with the BCP your "grocery" bill can swell, while "other" categories decrease.
And an IMO comment: given the delay in Amex cashback rewards and the $25 min redemption, the BCE is of pretty marginal utility compared to a generic 2% card (and everyone should get one of them!)
