How Credit Card Offers & Points Will Change in a Recession | Predicting Changes Based on the Past
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- čas přidán 2. 04. 2020
- It seems like a recession (or possibly a depression) is inevitable. Though what does that mean for credit cards? We review what happened during the last recession and financial crisis to predict what may happen in the near future.
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#creditcards #personalfinance #points
What are you all doing to prepare for the recession? Are you adjusting your card strategy in any way? 🤓
Trip Astute keeping my credit card strategy the same. Just staying the course 😄
Trip Astute I am cashing out my rewards and cancelling sapphire. I think Sebby calls no annual fee “keeper” cards. Those I’ll keep
Still have a job and a family to feed and clothe so I'll be staying the course.
Definitely! I just got the amazon prime card & was planning on applying for another card this month, but now im gona wait till at least June before I apply for anything else. I can already tell the banks are becoming way more restrictive or selective on their approvals.
I have a delta platinum AmEx annual fee coming up this month, going to product change to a delta blue if possible. Otherwise no changes (CSP AF coming up as well, but I’m keeping it).
Ive seen multiple youtubers talk about this topic, and this has been the best analysis of the current state of the credit card industry
Thanks! I appreciate the kind words and support. 😊
Great video, as always.
Thanks Chan Hope you have a nice and safe weekend! 😊
This video was great! Clean, organized and straight to the point. Love how you didn't tell us to like, subscribe but SHOWED us. New sub!
Thanks! Glad you enjoyed the video. 😊
Awesome content! I recently product changed one of my point cards to cash back card. Just in case! But other than that, I still keep saving and earning points for the brighter day at the end of this madness! Stay safe Ernest!
Thanks Kevin! I'm hoping things settle down sooner than later too. Hope you and your family are staying safe and healthy. 😊
Thanks for a great informative video. Good job. Keep up the good work.
Thanks, Charlie! I appreciate the kind words and support. 😊
Loving your content! I got the Chase Freedom last month for the 5x groceries. I planned on Hyatt being my first Chase card but Freedom made the most sense given the current situation. I'm happy I got it especially since they added 5x streaming and a free intro offer for the DoorDash DashPass. Now I'm all set to shelter in place for Q2.
Thanks! I appreciate the kind words and support. The Chase Freedom is a fantastic card. I consider it a workhorse card in my wallet.
Hope you are staying safe and healthy! 😊
Yup, its a great card! I maxed out my category spend for 2019 Q4 & 2020 Q1
Good perspective. I like your measured reasoning. I'm certainly sympathetic for those who have lost jobs or are experiencing other difficulties, but I agree now is not the time to panic. Over the last year I've been building point in both Chase and AMEX, but lately I have been using AMEX more. I have had one trip cancelled already and I'm pretty sure Japan will be closed in May. So I plan to continue accumulating points for future travel using the credits or refunds from the two cancelled trips.
Thanks. Sounds like you have a sound strategy and approach. Hope you get a chance to visit Japan once this situation settles. It's an incredible place! 😊
@@TripAstute I lived on Okinawa many many years ago and have always wanted to visit the mainland. Hopefully soon things will get better for all of us.
I'm keeping my strategy the same. I'm still getting enough value from my annual fee cards to keep them.
Yeah, I'm keeping all my current cards too (including the CSR). Though depending on how long travel in affected, I may change my approach. 👍
I’m just going to cut back on spending but pretty much do the same. I will use my cards for areas where they are most beneficial in order to gain the most points.
That makes sense. No need to restructure your card strategy if it's working well. 👍
Hey Earnest, since people won’t be traveling for a while, I was wondering if you were, or have previously considered doing more content centered around consulting/those who travel for work. To be more specific, tips you would give your younger self on how best to prepare for being away from home for extended periods of time on non-leisure trips. Thanks!
It's a great idea! I'm definitely adjusting our pipeline of topics due to the current situation. I am planning to do more productivity videos (e.g., tools and tricks to help when staying at home). 😊
Ernest,
Awesome video good to know stuff I don't think CC companies are going to pull the card rewards away they are just going to be more picky. I fortunately still have my full-time job, so I still have my income coming in. I called Capital One last week and both my wife and I upgraded the platinum MasterCard to Quicksilver cards the regular one. So we were stoked about that. I know it isn't a travel card or a crazy cash back, but to have 1.5 percent back all with no annual fee helps. This card cost us nothing to hold. Probably keep it around forever. I am just gardening and repairing my credit right now to make it easier to get better cards. I have found so many mistakes on my credit reports. Trying to recover after a bankruptcy.
Thanks Jeremy. I think your approach makes a lot of sense. Now is a great time to work on rebuilding your credit so that you're ready once the economy begins to recover and the issuers start relaunching new cards offers. 👍
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Thanks Saul! Hope you're staying safe and healthy. 😊
Hope my CCs don't alter things. I am fortunate to be able to continue working. Once we have a vaccine, I'll book for my vacation plans.
I think you're probably safe. I also can't wait to travel again! I'm hoping for a vaccine (or at least an effective treatment) soon. 👍
Discover just increased their late fee. I think credit cards will be removing benefits and adding fees. This recession will be BAD, last time it was such a minor event, I barely noticed. With so much job losses this time leisure and luxury will be reserved for the select few. So luxury trips and perks will be devalued and I won’t be traveling soon. Different topic, I love your voice I can just see you on tv or something. Keep up these great videos
Thanks! I agree with you. The economic impact of this crisis is going to be severe. It's going to be more important than ever to support one another in our communities.
Definitely limiting my credit cards in my wallet to two cards. Normally I carry 5. Cutting back and streaming lining my Usage.
That makes sense. I seem to be streamlining my usage too, especially since I am mostly at home these days. 🤓
Since I'm staying home I'm trying to find stay home jobs do you know any kind of information or any resources
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Thanks! Hope you're staying safe and healthy. 😊
I'm cutting out my AMEX gold card. Can't justify having it especially since I already have the Chase Trifecta.
Thanks makes sense, especially with the hard-to-use airline incidental credits. In fact, I'd love to see Amex change those credits to delivery orders or something more applicable to the current situation. 👍
I would wait to see what other positive changes and tweaks that Amex will do within the next 60 days. Amex just extended the Welcome Bonus Spending Period to 6 months on all US cards. Chase has just done some positive moves for consumers as well.
I find my Amex gold and bbp more valuable to the chase trifecta. Since I am quarantined, all my spend at groceries. I plan on downgrading my CSR to a CSP since i won’t be traveling anytime soon.
As we speak I just hit 5/24 and now thinking to work toward AMEX cards but with this recession not sure if they will approve me. I’m considering the BBP AMEX
Yeah, it seems like business cards might be harder to get in this climate. Though the BBP is typically easier to get, so it might be worth a try. 👍
Trip Astute I’m going to give it a shot then !
@@TripAstute I been looking into 0% business credit cards. You think it's a bad time to apply? My credit score is decent @761. I think I could get some funding but it will probably be less than what I want. Thoughts?
That's a very nice shirt you're wearing. Silk?
Thanks. It's just a cotton dress shirt.
I think that cashback cards will hold their value more than points/miles programs.
It's definitely possible, especially with travel completely on hold for the near future. 😬