Many would love to give more to charitable organizations if only their budgets weren’t stretched so thin. A while it’s not quite the Giving Season yet, donating happens in many ways and doesn’t have to be unaffordable or leave you with less.
1. Make purchases with direct-donation credit cards
An excellent way to give more is using banks and credit cards that allow you to donate your points, airline miles, or cashback rewards directly to specific organizations or causes.
Known as affinity cards, they automatically make donations every time you charge. Whether you buy a coffee, groceries, or a pricey item, you’re giving back and helping others.
2. Donate your credit card rewards to charitable organizations
Donating credit card rewards–such as cashback, points, and airline miles–to charities is an excellent way to help others without increasing your expenses. Many card issuers and travel loyalty programs make it easy for you to give away your rewards.
After you choose a charity, they might convert your donated points to cash. While others accept airline miles or hotel points to support their missions, such as securing travel for their staff or disaster victims.
To give away your card rewards, go to the portal where you’d redeem them or to a co-branded airline’s website. Unlike cash donations, giving your points or miles isn’t tax-deductible; however, your card rewards still help those in need.
3. Get credit card sign-up offers
When shopping for credit cards, look for generous sign-up offers you can parlay into extra charitable donations. For instance, some cards pay a bonus when you get a new account and spend a certain amount within a period, such as within one to three months. Plus, if you get cash back on your everyday spending, you can spend it any way you like.
4. Make card purchases at stores that donate.
When you shop at local and online stores that give a portion of their profits to charitable organizations or have a “buy one, give one” business model, your spending habits automatically help others.
Use a credit card for your charitable giving.
Pay the organization with a credit card that earns the most rewards when you want to make a charitable donation. While some cards have a minimum charge to qualify for rewards, others may pay double or triple points when you give to specific charities.
By using a rewards card, your donation earns rewards you can keep or choose to give away. A bonus is that annual card statements make tracking your tax-deductible expenses, including charitable contributions, easy.
Credit cards are powerful tools that can improve your financial life and the lives touched by charitable organizations when used responsibly. By using one or more of these options, you can easily turn your everyday transactions into more acts of giving.
However, making donations or other card charges you can’t pay off in full each month isn’t wise. Carrying a card balance from month to month means paying accrued interest, which could ultimately wipe out the value of your rewards and hurt your credit scores.
About the Author
Laura Adams is a money expert and spokesperson for Finder. She’s one of the nation’s leading personal finance and business authorities. As an award-winning author and host of the top-rated Money Girl podcast since 2008, millions of readers, listeners, and loyal fans benefit from her practical advice. Laura is a trusted source for media and has been featured on most major news outlets, including ABC, Bloomberg, CBS, Consumer Reports, Forbes, Fortune, FOX, Money, MSN, NBC, NPR, NY Times, USA Today, US News, Wall Street Journal, Washington Post, and more. She received an MBA from the University of Florida and lives in Vero Beach, Florida. Her mission is to empower consumers to live healthy and rich lives by making the most of what they have, planning for the future, and making smart money decisions every day.
This article originally appeared on Finder.com and was syndicated by MediaFeed.org.
More guides on Finder
-
7 Credit Cards without SSN Requirements
Credit cards like Firstcard, Capital One Quicksilver, Blue Cash Everyday and Fizz don’t require a social security number to open.
-
7 best credit cards for young adults
The best credit cards for young adults are cards with low or no credit score requirements, low or no interest and rewards to go around.
-
5 tips to build great credit using credit cards
Plus, how many credit cards should you have?
-
5 signs you’re just not a credit card person
Credit cards can do more harm than good if you’re not careful.
-
Best 0% APR credit cards
The 6 best cards that charge zero interest include Step Black Card, Chime Credit Builder, Varo Believe, Cleo Credit Builder and more.
-
High Limit Secured Credit Cards
Secured cards like the Cleo Credit Builder can have limits as high as $25,000, but you’ll need a deposit to match.
-
5+ Best credit cards for bad credit
If you’re looking for a credit card but have a bad credit rating, use this guide to compare suitable credit cards and regain control over your finances.
-
How to safely use a credit card to pay for online purchases
Shopping online is very simple and convenient, yet can seem risky for cardholders. Follow this guide and make sure to keep your personal details safe too.
-
Chase Freedom Flex℠ Review
Earn a generous signup bonus and massive cashback rates on a variety of categories.
-
Chase Freedom Unlimited® review
Earn a solid signup bonus and generous cashback rates on a variety of categories.
Ask a question