A great coupon popped up in my Safeway just for U account: save $10 on $100 or more in Visa gift cards! This is a great deal because I essentially earn rewards at other stores when I use these gift cards, plus net some cash in the transaction since they will be worth more than I paid!
Here’s how the savings break out. Each card has an activation fee. The fee is $6.95 for a $200. You could also buy the $100 card for $5.95, but I think the rewards are worth the extra $1 in activation fees. Right off the bat, your profit is $3.05!
Maximize Your Rewards
Of course I can’t be satisfied with only $3.05 in profit. I’ll also use a credit card that has a rewards category at grocery stores. Normally for us, that’s the American Express Blue Cash Preferred Card with 6% cash back on up to $6000 per year in the grocery store category. Due to this cap, I try to look for other cards to occasionally mix in, since we will inevitably hit that cap well before the end of the year.
Right now, Chase Freedom’s second quarter bonus category is grocery stores. Cha-ching! 5x Ultimate Rewards for us since we also have a premium Ultimate Rewards-earning card like the Chase Sapphire Preferred or the Chase Ink Business Preferred. This is the last month in the quarter, so we have some more spending to do before we hit the $1500 limit on the Chase Freedom. I keep a spreadsheet of our 5x category spending each month so that I know if we’ve maxed it out early or need to spend up before the end of the quarter.
Calculating the Savings
So now the math looks like this: $3.05 from Safeway, plus $11.82 cash back on the American Express Blue Cash Preferred Card or 985 Ultimate Rewards points on the Chase Freedom. This may vary for you depending on your rewards-earning credit card, but make sure it is one that earns a category bonus at grocery stores!
Check Your Local Store’s Brand
Be sure to clip the coupon to your just for U account and use your number or card at the register to get the discount. If you’re not sure which stores are owned by Safeway/Albertsons in your area, take a look below. You can find this clickable image here if you scroll to the bottom of the page.
This post contains affiliate links to referrals for credit cards that I currently have in my wallet. If you use those links, you will be supporting me in my work to bring you great deals and maximize your savings. Please do not ever apply for a credit card if you are not absolutely sure that you can manage the credit in a responsible way. Even one missed payment or interest charge will negate any rewards you have earned.