Best reward card for spending $600k per year?

Quote from specialmoose : I spend ~1m/yr, all business expense. Too bad suppliers won't take credit cards. So it is not unheard of.

Quote from travathian : This is pretty much why I assumed the OP was full of crap.

Incorrect. Certain suppliers won't take them. Depends on your industry.

I know people who have Amex Centurion (Black) cards specifically because they do enough spending on supplies and expenses in running their small businesses.

Yep, venture rewards with capital one. 2% back.

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Quote from billythebulldog : Yep, venture rewards with capital one. 2% back. <end thread>

Yeah but it looks like it's for airline/travel miles, and they charge you $59/year fee after the first year

http://www.capitalone.com/credit-...talone.com

Quote from rrc06 : Yeah but it looks like it's for airline/travel miles, and they charge you $59/year fee after the first year http://www.capitalone.com/credit-...talone.com

My guess is that if OP is spending 600k a year, the CC company will be happy to waive a $60 fee.

I spend well over $1mil on my card each year-- The Chase INK BOLD. Currently get 1.2% cash back.
Granted it is a charge card and the balance must be paid in full each month.

In my industry my suppliers DO take credit card--mostly at no charge, although a few distributors tack on a percent to use a card. Well worth it though as $$ from CC rewards are not considered taxable income. I've looked into a few other cards but so far have been extremely satisfied with Chase.

EDIT: Also, not sure if Chase still offers the yearly spend bonuses on new accounts- but I did just get my bonuses last month for the following--
7,500 points for $7,500 in purchases
15,000 points for $15,000 in purchases
25,000 points for $25,000 in purchases

I believe there's a yearly fee of $95, but the reward point bonuses go well over that.

Quote from bonkman : My guess is that if OP is spending 600k a year, the CC company will be happy to waive a $60 fee.

true, but again this does card does not sound like a pure cashback card. You get 2% back in either miles or gift cards. You can also use it to claim credits on your statement for "travel-related expenses"

http://www.moneycrashers.com/capi...rd-review/

Again, I think the Fidelity Amex card @ 2% or the Fidelity Visa Signature @1.5% for $15K in spending, 2% after is the way to go. It's a pure cashback card and it gets deposited into your brokerage, retirement or 529 account every month once you reach a certain level of CB (which the OP will do every month). Plus there is no annual fee.

Honestly, if someone is spending that kind of money on a cc every month, why wouldn't they try to negotiate a cash discount of around 5 percent?

Quote from vaultaddict : Honestly, if someone is spending that kind of money on a cc every month, why wouldn't they try to negotiate a cash discount of around 5 percent?

What I have experienced is companies generally won't go above a 1% cash discount. Most companies using Visa/MC are only paying about 2% or less if they are doing heavy volume or large purchases, so no way are they going to do 5%.

Quote from vaultaddict : Honestly, if someone is spending that kind of money on a cc every month, why wouldn't they try to negotiate a cash discount of around 5 percent?

Quote from crazygrow : What I have experienced is companies generally won't go above a 1% cash discount. Most companies using Visa/MC are only paying about 2% or less if they are doing heavy volume or large purchases, so no way are they going to do 5%.

Exactly. IKEA gives you a 1% discount for using debit or cash. I've noticed most gas stations go with 1-1.5%. Still a better deal and convenience to use my 2% CB card

how about capital one cash rewards? 1.5% total - 1% every month. extra .5% paid out annually.

Quote from Linnx : We average about $600,000 per year in spending, currently using a Chase cash back getting 1%, which is about $500 a month. The purchases are not gas or groceries, so those cards that offer 5% on up to $500 of spending until x month are not preferred. Prefer having just 1 card to maximize reward. Anyone have any recommendations?

You should try plugging your spending profile into the rewards calculator at http://www.creditcardtuneup.com/. That calculator will look for the single best card for your entered spending as well as the best combinations of cards. And it'll show you the incremental gain you'll get from managing each additional card so you can weigh the trade-off between the hassle of managing each additional card and the rewards you'll get from that additional card.

Also, the calculator has a separate option for small business credit cards. So if your spending could be the spending of your small business, you'll want to check out buisness cards as well.

There are many categories of spending in which you can get better than 2% rewards. For example, you can get 5% rewards on airfare, restaurants, gasoline, and others. That calculator will recommend them if you have sufficient expenses in those categories to warrant getting those types of cards.

Quote from rrc06 : Incorrect. Certain suppliers won't take them. Depends on your industry. I know people who have Amex Centurion (Black) cards specifically because they do enough spending on supplies and expenses in running their small businesses.

Every industry is different.

Starting to see more suppliers taking credit cards and shortening up their terms. I think I saw one went from 60 days to 15 day terms on all new accounts.

I have a few suppliers I'd never consider using a credit card for. Can't beat 90 day terms =D

Haven't seen the US Bank Cash+ Visa Signature mentioned yet. It gives you unlimited 5% CB on any 2 categories you choose (not flat like the Fidelity Amex). Also 2% on gas/groceries, 1% on everything else. Also, they give you free $25 every time you redeem $100 or more in cash back redemption. If your spending can be aggregated into the categories they have for 5%, then you're all set.

Lots of people mentioning the CapOne cards (CashRewards and Venture). My problem with Cap One is that they don't support this level of spending. At most you can hope for a $10-15k limit with Cap One, whereas I know US Bank will go $50k on that visa, which at least covers 1 mo of spending @ $600k annual. If I'm wrong about Cap One, feel free to correct me, I've just never seen it with anyone I know.

My boss spends $50k-100k every month and uses the Starwood AMEX card. She and her family are always traveling so it works well for her.

I have a USAA AMEX and get 2% back. Doesn't have a rewards limit either.