steve4

It seems like the days of churning are slowly coming to an end after changes like the AMEX One Bonus Per Lifetime and Chase 5/24 rules. It's now becoming more important about which cards to keep long term. Everyone has different priorities when it comes to accumulating rewards, but I think diversification is really important nowadays.

I currently earn points in 3 main flexible rewards programs (Membership Rewards, Thank You Rewards, and Ultimate Rewards) and 2 cash back programs (No Hassle Rewards and Sallie Mae Rewards). I think a really good strategy in today's changing financial world is to subsidize annual fee accounts (Chase Sapphire Preferred and Citi Prestige in my case) with cash earned from strictly cash back programs. This is of course, if you really need and use the benefits of the annual fee cards. That way, the rewards from flexible rewards programs can be used for your choice of airline, hotel, or cash options. Ideally, the cash back from cash back only cards should match or exceed the total annual fees paid so flexible rewards would be pure profit.

Any thoughts or opinions ?