It’s easy to earn bonus rewards on most purchases. For example, most of my purchases fall into the travel, gas, dining and grocery bonus categories offered by many of the best rewards credit cards.
However, you may occasionally need to make a purchase that doesn’t fall into a bonus category on any of your cards. You don’t have to settle for earning just 1 point per dollar (or 1% cash back) on these purchases, though. Instead, you can use one of the best credit cards for everyday spending.
One of our favorite everyday spending cards here at The Points Guy is the Capital One Venture Rewards Credit Card. So, I decided to see just how many types of purchases I could come up with that wouldn’t earn bonus rewards on most of the best rewards credit cards, but would earn at least 2 miles per dollar spent with the Capital One Venture Rewards. Here’s what I found.
Why the Capital One Venture Rewards is good for all types of purchases
Since the Capital One Venture Rewards Credit Card earns at least 2 miles per dollar spent on every eligible purchase, you don’t have to worry about how each purchase will be coded.
This makes it an appealing option if you prefer to consolidate to a single card, or if you simply need an everyday spending card for purchases that don’t earn more bonus rewards when made with other cards.
Plus, the Capital One Venture Rewards Card earns Capital One miles, which you can redeem at a fixed value or transfer to airline and hotel transfer partners. This gives you a lot of flexibility when redeeming your hard-earned rewards.
Purchases to make with the Capital One Venture Rewards
Now, let’s consider some purchases that generally earn only the base rewards rate on most of the best travel rewards cards and cash-back cards. Of course, all of these purchases would still earn at least 2 miles per dollar spent with the Capital One Venture Rewards Credit Card.
Automotive expenses
You can earn bonus rewards when fueling up if you use one of the best cards for gas purchases. And you can often snag bonus rewards on tolls, parking and rental cars when you use one of the best cards for travel purchases. But you generally won’t earn bonus rewards on other automotive expenses, including:
- Automotive repairs
- Body repair shops, tire repair shops and paint shops
- Car washes
- Motor vehicle parts and supplies
- Towing services
- Vehicle purchases, including cars, trucks, boats, campers, trailers, motorcycles, motorhomes and snowmobiles
Childcare and education
Childcare and education are considerable expenses for many consumers. Sure, you can maximize points and miles on back-to-school shopping deals and use the best credit cards for school supplies.
But, even if you can use a credit card, you generally won’t earn bonus rewards on the following types of purchases:
- Childcare services, including daycare expenses and preschool
- College tuition
- Elementary and secondary school tuition
- Professional and trade school tuition
- Testing fees
Home care and furnishings
Since I’m a digital nomad, I don’t have any home improvement or furnishing expenses. But I know many people who have moved recently who seem to be racking up costs on home repairs and furniture. And unfortunately, the following types of purchases usually don’t earn bonus rewards:
- Carpet and upholstery cleaning services
- Drapery and fabric stores
- Furniture and carpet stores
- Furniture reupholstering shops
- Glassware and crystal stores
- Home repairs, including general contractor services
- Landscaping and horticultural services
- Purchases from nurseries and lawn or garden supply stores
- Swimming pool sales and services
Granted, a card like the Bank of America® Customized Cash Rewards credit card can earn 6% cash back (for the first year, then 3%) with select online shopping merchants or home improvement and furnishings merchants if you choose either of these as your category (on up to $2,500 in combined purchases each quarter; then 1%).
The Customized Cash Rewards card can offer a stronger return on eligible purchases, especially during the first year. But its bonus categories are capped, whereas the Capital One Venture Rewards Credit Card earns at least 2 miles per dollar spent on eligible purchases, with no cap.
Specialty stores
It can be challenging to determine how specialty stores will code. So, I generally assume I won’t earn bonus rewards and instead use an everyday spending card when shopping at the following types of stores:
- Art and craft shops
- Art dealers and galleries
- Bicycle shops
- Bookstores
- Camera and photo supply stores
- Cosmetic stores
- Duty-free stores
- Hobby, toy and game shops
- Music stores
- Newsstands
- Pet stores
- Shops that primarily sell precious stones, metals or jewelry
- Specialty clothing stores
- Sporting goods stores
- Stationery stores
- Used merchandise stores
The U.S. Bank Cash+® Visa Signature® Card might earn better on some of these purchases, depending on what you’ve selected as your two 5% cash-back categories (on up to $2,000 in combined purchases each quarter). However, if you use the Capital One Venture Rewards Credit Card, you know you’ll earn at least 2 miles per dollar spent on all your eligible purchases.
The information for the U.S. Bank Cash+ has been collected independently by The Points Guy. The card details on this page have not been reviewed or provided by the card issuer.
Healthcare
Thankfully, my out-of-pocket healthcare costs are generally low; however, they are a large expense for many consumers.
Luckily, most healthcare providers accept credit cards. However, you usually won’t earn any bonus rewards on the following types of charges:
- Ambulance service
- Counseling services
- Hearing aid sales and service
- Hospital care
- Medical and dental lab services
- Medical services
- Nursing and personal care services
As such, if you incur frequent healthcare costs, you should use an everyday spending card such as the Capital One Venture Rewards Credit Card. By doing so, you can earn more rewards on these unavoidable expenses.
Miscellaneous services
Many other services aren’t classified as bonus category purchases on most rewards cards. In particular, I generally don’t expect the following services to earn bonus rewards:
- Catering services
- Cleaning services
- Clothing and costume rental services
- Courier services
- Dating services
- Detective and protective services
- Exterminating and disinfecting services
- Florist services
- Funeral services and crematoriums
- Hair salons and barbers
- Health and beauty spas
- Laundry and dry cleaning services
- Legal and attorney services
- Management, consulting and public relations services
- Marina services
- Massage services
- Photography services
- Public warehousing
- Publishing and printing services
- Shoe repair, shoeshine and hat cleaning services
- Shopping services
- Tailor, seamstress and alteration services
- Tax preparation service
- Technology services
- Veterinary services
Of course, these services may earn bonus rewards in some situations. For example, photography services offered at a hotel may earn bonus rewards for travel. And catering services done by a restaurant may earn bonus rewards for dining.
Other purchases
Finally, there are a few other types of charges that you may want to put on a credit card that generally won’t earn bonus rewards:
- Charity donations
- Court costs
- Government services
- Membership fees
- Registration for sporting and recreational camps (although this might code as entertainment or travel in some cases)
- Tax payments
But with the Capital One Venture Rewards Credit Card, you’ll earn at least 2 miles per dollar spent on all eligible purchases.
Bottom line
Even if you maximize bonus categories, you’ll inevitably have purchases that don’t earn extra rewards on any of your cards. That’s where an everyday spending card like the Capital One Venture Rewards Credit Card can be useful, since eligible purchases earn at least 2 miles per dollar regardless of how the merchant is coded.
Just be sure to check whether another card offers a bonus for your specific purchase. And, for expenses like taxes, tuition and utilities, check whether any credit card fee outweighs the rewards you’ll earn.
Learn more: Capital One Venture Rewards Credit Card
Editorial disclaimer: Opinions expressed here are the author’s alone, not those of any bank, credit card issuer, airline or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities.
Source: thepointsguy.com
