Here is part of the rewards fine print: “You will earn 3 miles for each $1 of net purchases made directly from United. You will earn 2 mile for each $1 of net purchases made directly at Star Alliance airlines (Star Alliance refers to airlines that are participating in an international travel network with additional information available at http://www.staralliance.com). You will earn 2 miles for each $1 of net purchases made at retail locations that classify their merchant locations for Visa as a home supply store, grocery store, gas station, or type of dining establishment. Purchases not eligible to receive the 2 miles include, but are limited to, purchases made at superstores, warehouse clubs, and discount stores. We do not determine whether merchants currently identify and bill transactions as being made at home supply store, grocery store, gas station, or type or dining establishments. However, we do reserve the right to determine which purchases qualify for the 2 miles. You will earn 1 miles for each $1 of all other net purchases. Each year you will receive 5,000 bonus miles on your enrollment date anniversary. There is no maximum number of miles that you can accumulate in the program. You do not earn miles on balance transfers, cash advances, cash-like charges such as travelers checks, foreign currency, and money orders, any checks that are used to access your account, overdraft advances, interest, unauthorized or fraudulent charges, or fees of any kind, including fees for products that protect or insure the balances of your account.”

It is certainly a no frills card. I also have another Chase Visa that used to be a WaMu card. Thought about getting that one turned into the Freedom Visa….

2. For larger purchases, you can decide how may monthly payments you’d like to make. Chase will calculate the portion of the monthly payment.

Am I missing something or are both of these meaningless psychological tricks? Please show me if I am wrong.

For #1. If I am going to pay 300 per month but my gas and groceries are 250 per month and I make sure those portions of the bill are always paid in full what difference does it make. My balance outstanding in total is still the same correct? My total interest paid is still the same correct? They just tell me that none of my balance is due to gas or groceries but that’s all just an accounting game right? Or am I missing something and they are doing something that actually makes you pay more? Unless that is true, it seems clear this is just a trick and it could actually make people feel like they are doing good by not accumulating debt in certain categories while they are just accumulating more debt in other categories and ending up no better off overall or if they feel like they are they could actually spend more and end up worse off. This does not seem to provide any benefit that I can think of at all. Am I missing something?

I am not even sure what #2 means but if it is anything like number 1 then it has the same problems. If it is a situation that makes me pay at least the minimum plus whatever amount they calculate to get me to pay off that item in the time I select then it could help me pay it off quicker. If instead it just tells me how much I have to pay to pay that off in x months and that is a subset of my total payment then that doesn’t change anything. I can feel good about having paid off that sofa but I just paid less on the fast food, utils, subscriptions, electronics, and tooth paste that is on my bill. In this case I again see zero benefit. Is it different than it seems?