The Best 5% Card for Niche Categories?
00:00:00.000 | the Citi Custom Cash card.
00:00:01.340 | On the surface, this card looks amazing
00:00:03.600 | because you get 5% back on whatever category
00:00:07.140 | you spend the most in.
00:00:08.600 | And the categories are really wide ranging.
00:00:10.520 | Restaurants, gas, grocery, travel, transit,
00:00:12.980 | streaming, drugstores, home improvement,
00:00:15.060 | fitness clubs, and live entertainment.
00:00:17.000 | And home improvement is probably the most notable one
00:00:19.200 | in here for me because I'm not aware of any other card
00:00:21.680 | that has a elevated earnings potential for that category.
00:00:24.700 | However, you're capped at only earning that 5% back
00:00:28.780 | on up to $500 per billing cycle,
00:00:31.040 | which means that you're only getting it on $6,000 a year.
00:00:34.440 | And so if you look at earning 5% on $6,000
00:00:37.180 | or earning 5% on a 2X Unlimited card,
00:00:40.460 | you're just getting a bonus of 3%.
00:00:42.580 | And so that's really just a max of $180 a year.