Wait, aren’t back-to-school jitters supposed to be for kids? That’s what you might think, but parents get them too. And they’re not just the expected nerves that come with sending your child off to school for the very first time or seeing how he or she will handle the transition from summer freedom to the watchful eye of that strict teacher we all remember from our school days.
According to a back-to-school survey conducted by Chase, one in five parents is feeling some stress this year about paying for all the pens, paper, crayons, backpacks, notebooks—and much more—that back-to-school time requires.
While many parents are planning to shop at discount stores, cut coupons and reuse materials in order to save, one back-to-school money-saver that seems to fly under the radar is the rewards credit card.
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With some rewards cards, you not only earn a certain number of points or cash back on every purchase that you make, but you also get additional points for certain spending categories. Since many cards offer savings of up to 6 percent on purchases made at grocery and department stores, having one could really be an asset during this big spending period.
So, which one should you get? Here are our favorites. Take your pick:
STANDARD REWARDS CARDS
Card: Blue Cash Preferred from American Express
School Savings: 6% cash back at supermarkets, 3% at department stores, $100 extra cash back bonus for spending $500 in the first 60 days, $75 bonus for referrals
Annual Fee: $75
Card: Citi ThankYou Preferred Card
School Savings: 5 points for each $1 spent at drugstores and supermarkets for a year and a $50 gift card for spending $300 in first three months
Annual Fee: None
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STORE CARDS
Certain store credit cards can also prove very helpful at back-to-school time. Though they can only be used at the store to which they are affiliated, they often provide very attractive savings. One particularly interesting card is the Target REDcard, both because it has good rewards and because you can buy school supplies as well as clothes as this type of mega-store.
Card: Target REDcard
School Savings: 5% cash back on Target purchases
Annual Fee: None
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SMALL BUSINESS CREDIT CARDS
If you own a small business, you can use that to your child’s advantage as well. Many small business credit cards offer great rewards on office supplies, and as long as you reimburse your company, there’s nothing wrong with using your card for personal spending. Below you will find two business credit cards particularly well-suited for back-to-school savings:
Card: New Ink Cash Business Card
School Savings: 5% cash back on $25,000 in office supplies each year and $250 cash back bonus after spending $5,000 in first three months
Annual Fee: None
Card: American Express SimplyCash Business Credit Card
School Savings: 5% cash back on $12,000 in office supplies each year
Annual Fee: None
So spend with confidence, and send your children off to school knowing that they have everything they need for a new school year. Even though you’ll be reassured by the knowledge that your bank account is in good shape, I don’t think anyone would blame you if you still feel a little bittersweet about sending your child back to school after a great summer.
Odysseas Papadimitriou is chief executive of CardHub.com, one of the nation’s leading credit card comparison websites.
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