Recurring Spending

How much you plan to spend - and what you spend it on - can play a big role in determining which credit card is best for you.

Monthly Spending
3 min read
Apr 13, 2024
Crunchly expert Bryan Halloy
Written by Bryan Halloy

Understanding the nuances of your recurring spending habits is paramount when selecting the optimal credit card for your financial needs. Your expenditure not only reflects your financial behavior but also serves as a pivotal factor in deciding the most beneficial credit card for you. The magnitude of your recurring spending, coupled with the specific categories in which you allocate your funds, can significantly influence the rewards, perks, and overall value derived from a credit card.

How Crunchly considers your spending in its recommendations

Your expected spending (on your credit card) is a foundational element to our calculating the total value of each potential credit card for you. The total value, in turn, is an important factor in determining your personalized card ranking.

Your expected spending is used in the following factors that go into the total value calculation:

  • Eligibility for introductory offers: We consider your expected spending to determine if you are likely to meet the minimum spending requirements for lucrative introductory offers, such as bonus points or cash back rewards.
  • Spending-based rewards: We consider your expected spending to determine the rewards you would earn (either cash back, points, or miles) based on spending. For example, some cards offer '2% cash back' or '3x miles for every dollar spent on flights'. We use your expected spending to calculate the rewards you would earn based on these rates.
  • Spending-based credits: We consider your expected spending to determine if you would meet the spending requirements for credits earned. For example, a card might offer a $300 statement credit when you spend $300 or more on hotels. We use your expected spending to determine if you would meet this requirement (and the corresponding credit value).
  • Foreign transaction fees: We estimate your overseas spending as a share of overall spending, and in turn use this to calculate any foreign transaction fees you would incur.
  • Interest charges: Based on how you expect to pay back your credit card balance, we consider your expected spending to determine any balance and corresponding interest charges you would incur.

Monthly Spending Categories

  • Total Spending: The total amount you expect to spend on your credit card. This includes all categories below, as well as any additional purchases you plan to make on your card.
  •   Hotels: The amount you expect to spend on hotel stays and accommodations.
  •   Airfare: The amount you expect to spend on air travel, flights, and related expenses.
  •   Rental cars: The amount you expect to spend on rental cars and transportation.
  •   Rideshare services: The amount you expect to spend on rideshare services like Uber and Lyft.
  •   Gas: The amount you expect to spend on gasoline and fuel for your vehicle.
  •   Groceries: The amount you expect to spend on groceries and household essentials.
  •   Dining: The amount you expect to spend on dining out at restaurants and cafes.
  •   Food delivery: The amount you expect to spend on food delivery services like Uber Eats and Grubhub.
  •   Gym memberships: The amount you expect to spend on gym memberships and fitness classes.
  •   Streaming services: The amount you expect to spend on streaming entertainment services like Netflix and Hulu.
  •   Online shopping: The amount you expect to spend on online shopping and e-commerce purchases, for example on Amazon.com or Nordstrom.com.