Use Credit Cards to Cut Gas Prices
Use Credit Cards to Cut Gas Prices
By Diane Nassy
With gasoline prices soaring out of control, wouldn’t it be nice
if you could shave even a few pennies off of every gallon?
The Key to Lowering Your Gasoline Costs is to “Charge It”
Yep, charge it, but not just on any credit card. If you want to
start paying less at the pump then it’s out with the old and in
with the new. You may need to replace your current charge card
with a gasoline “cash back” card.
Cash Back is Nothing New
The Discover Card has been offering it for years, but there’s a
new breed of cash-back cards, ones that offer rebates on
gasoline purchases, and those are the cards that we’re talking
about.
As gas prices continue to escalate, many oil companies are
offering gasoline price incentives to get you to apply for their
affinity card. Some offer a straight cents-off rebate for
every gallon you buy, while others offer percent of purchase
rebate. With those rebates running as much as 5%, or higher, it
doesn’t take a calculator to figure out that a $3.00 per gallon
can become $2.85 per gallon just by choosing the right credit
card when you pay at the pump.
Many of these credit cards have annual rebate limits and those
limits vary. So check the Terms and Conditions before you apply.
Most gasoline rebate deals are offered through joint ventures
between major banks and the oil companies. In order to get in on
the savings, you have to apply for a Visa or MasterCard that
bears some oil company’s logo.
For example, Hess Oil has teamed up with Chase Bank to offer the
Hess Visa Platinum Card. Besides no annual fee, it offers a 10%
rebate on all Hess gasoline purchases for the first 90 days, a
5% rebate after that, and a 1% rebate on any purchases made
anywhere else for practically anything else.
Even though that 10% doesn’t last forever, a $3.00 per-gallon
price becomes $2.70, and if you’re planning a road trip anytime
soon, it just might make sense to apply for a card.
If Hess isn’t a familiar name where you live, Marathon is
offering the exact same deal for their Chase/Marathon MasterCard.
Gasoline discounter Speedway also has a deal with Chase and
MasterCard, but they’re only offering 8% for the first 60 days,
4% after that, and 1% on any other purchases.
Don’t forget to check the credit cards that are already in your
wallet. American Express Blue cards offer 5% back for all
gasoline and grocery store purchases, and Discover is offering
“up to 10% off” at gas stations.
And if you’re a student, the CitiBank Student MasterCard gives
5% cash back on gasoline and grocery store purchases as well.
A penny saved is a penny earned and that penny does more good in
your pocket than in the oil company’s. Check your wallet to see
if there are hidden gasoline savings inside. If not, grab a
credit card that pays you to pump gas.
