A credit card can be a great addition to your family budget, because many credit cards offer significant rewards that can be worth a surprising amount of money. However, not all credit cards are the same, and every family will need to choose the credit card that works best for the way they make purchases. If you’re looking for the best dining credit card, here are four things you should do first.
1. Make Sure Dining Is the Right Credit Card Category for You
Obviously, you want to make sure that you’re choosing the right category of credit cards first and foremost. The other most prominent credit card category is travel, so if you tend to enjoy traveling with your family, you might want to look at travel credit cards instead. However, because everyone has to eat, dining credit cards can be an incredibly useful option for families that don’t travel much.
2. Compare Annual Fees
Credit cards come with all sorts of annual fees. These fees may range from extremely high fees that can be hundreds of dollars to very low fees, with some cards having no annual fee. Think about how much you’re comfortable spending on your credit card every year. What’s open in your budget per year for a new credit card? You can find great credit cards at any annual fee level, so this doesn’t have to limit your options.
3. Determine Overall Point Value
When you get rewards with a credit card, you may end up getting your rewards as either straight-up cashback or as rewards points. If you’re going to get rewards points, you’ll want to see what the point value is for those points. If one card gives you 5x rewards points and another gives 4x rewards points, but the card with 5x rewards points offers less for those points, it might be a better move to go with the card that offers fewer points.
4. See What Company-Specific Options Are Available
Many credit cards collaborate with specific companies to offer extra benefits with that specific company. For example, some credit cards may give you access to a free DashPass with DoorDash, which gives you free delivery on many orders and reduced service fees. However, if you don’t use DoorDash, this might not be a helpful bonus. It’s typically best to go with a credit card that offers benefits at a company that you already use.
Dining and restaurant credit cards are a great option for many families, especially if you’ve already decided that a travel credit card isn’t right for your family. However, even within the category of dining credit cards, there are many different options, and it’s not always easy to determine which card will be right for your family. With these four steps, you can make sure that you’re getting the right card for your family, so you can more effectively use the rewards to save money for your entire family.