Tarra Jackson

[[{“value”:”Image source: Getty Images
Having lots of money in the bank is never a bad thing. But once you’ve built up a sizable amount in savings — say, $50,000 — it’s time to ask: Is some of that money better off elsewhere?Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. Once you’ve built up an emergency fund (enough to cover three to six months of expenses), keeping additional cash in your savings account means you’re missing out on chances to grow your money. Here’s where to move that extra cash instead.Make more by moving your moneyHere are a few strong options for earning on your excess savings:Certificates of deposit (CDs): With CDs, you’ll lock up your money for a given term — months or even years — but in return you can get a high APY that won’t change. Current CD rates are as high as 4.55%.Individual retirement accounts (IRAs): IRAs let you invest for retirement with tax advantages. A Roth IRA, for example, grows tax-free and allows tax-free withdrawals in retirement. Through IRAs, you can purchase stocks, bonds, or funds that grow much faster than cash over time.Brokerage accounts: Just like IRAs, brokerage accounts allow you to invest in stocks, bonds, and funds. They don’t offer tax breaks, but anybody can open one and invest as much as they want. It’s a smart place to grow extra savings that you don’t need in the short term.CDs are great for getting a guaranteed return on your money. And by investing in index funds, like one that tracks the S&P 500, you can safely assume that your money will grow steadily over time — at a much better rate than a savings account.Ready to earn more on your cash? Check out some of the best CDs available today and lock in a high APY.When to hold on to your cashThere are a few good reasons to hold a big cash cushion. If you’re planning a large purchase or foresee a financial emergency of some kind, a larger savings account makes sense.But beyond that, holding $50,000 or more in a basic savings account is usually more of a missed opportunity than a smart strategy.Also, most traditional savings accounts offer interest rates below 1.00% APY. For short-term savings and emergency funds, a high-yield savings account (HYSA) is a better option. Right now, the best HYSAs are offering 4.00% APY or higher. That’s still not as high of a return as you could get elsewhere.Check out our list of some of the best HYSAs available now to keep your money flexible while earning more.Put your money to work todayLots of cash is never a bad thing, but letting your excess savings sit in a low-interest account means you’re probably missing out on long-term growth.Once you’ve covered your emergency needs, consider shifting extra funds into CDs, IRAs, or brokerage accounts. You’ve worked hard to save up — now let that money work for you.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.”}]] [[{“value”:”

Having lots of money in the bank is never a bad thing. But once you’ve built up a sizable amount in savings — say, $50,000 — it’s time to ask: Is some of that money better off elsewhere?

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

Once you’ve built up an emergency fund (enough to cover three to six months of expenses), keeping additional cash in your savings account means you’re missing out on chances to grow your money. Here’s where to move that extra cash instead.

Make more by moving your money

Here are a few strong options for earning on your excess savings:

• Certificates of deposit (CDs): With CDs, you’ll lock up your money for a given term — months or even years — but in return you can get a high APY that won’t change. Current CD rates are as high as 4.55%.
• Individual retirement accounts (IRAs): IRAs let you invest for retirement with tax advantages. A Roth IRA, for example, grows tax-free and allows tax-free withdrawals in retirement. Through IRAs, you can purchase stocks, bonds, or funds that grow much faster than cash over time.
• Brokerage accounts: Just like IRAs, brokerage accounts allow you to invest in stocks, bonds, and funds. They don’t offer tax breaks, but anybody can open one and invest as much as they want. It’s a smart place to grow extra savings that you don’t need in the short term.

CDs are great for getting a guaranteed return on your money. And by investing in index funds, like one that tracks the S&P 500, you can safely assume that your money will grow steadily over time — at a much better rate than a savings account.

When to hold on to your cash

There are a few good reasons to hold a big cash cushion. If you’re planning a large purchase or foresee a financial emergency of some kind, a larger savings account makes sense.

But beyond that, holding $50,000 or more in a basic savings account is usually more of a missed opportunity than a smart strategy.

Also, most traditional savings accounts offer interest rates below 1.00% APY. For short-term savings and emergency funds, a high-yield savings account (HYSA) is a better option. Right now, the best HYSAs are offering 4.00% APY or higher. That’s still not as high of a return as you could get elsewhere.

Put your money to work today

Lots of cash is never a bad thing, but letting your excess savings sit in a low-interest account means you’re probably missing out on long-term growth.

Once you’ve covered your emergency needs, consider shifting extra funds into CDs, IRAs, or brokerage accounts. You’ve worked hard to save up — now let that money work for you.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

“}]] Read More 

[[{“value”:”Image source: Getty Images
Retirement might feel far off for some, but the truth is that your future comfort depends on what you do (or don’t do) today.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. The good news is, you don’t need to be a financial expert or start with a six-figure income. Just follow a few non-negotiable rules, and you’ll stay on track for a retirement you’ll actually enjoy.Here are four retirement saving rules you can’t afford to break.1. Start as early as possibleThis is the Golden Rule of saving. When you start saving for retirement as early as possible, you give your money decades to grow through compound interest.If you start saving just $200 a month at age 25 at an 8% return, you’ll have around $824,000 by age 67. But if you wait until 35 to start saving the same $200 a month, you’ll end up with only about $354,000. That’s the power of compound interest.Even small contributions are better than nothing. Don’t wait — start today.AgeValue if You Start at 25Value if You Start at 3525$0-35$36,589$045$117,804$36,58955$298,072$117,80467$824,099$354,792Data source: Author’s calculations.2. Save 10%-15% of your incomeOnce you’re earning a steady paycheck, you need to aim to set aside 10% to 15% of your gross income each year for retirement. That includes any 401(k) match from your employer, which counts toward your savings rate.And if your employer offers a 401(k) match, take full advantage. That’s free money you don’t want to leave on the table.After earning your match, consider directing additional savings into tax-advantaged accounts like traditional and Roth IRAs, which offer more flexibility and potentially broader investment options.Ready to start saving for retirement? Our partner SmartAsset’s no-cost quiz makes it easier to find a fiduciary financial advisor.3. Automate your contributionsThe easiest way to save for retirement is to take the human element out of the equation.Set up automatic contributions to your 401(k) or IRA so the money goes in before you have a chance to spend it. You can even enable automatic annual increases. Many 401(k) plans will bump your savings rate by 1% each year unless you opt out, making it painless to scale up over time.4. Don’t cash out earlyDon’t dip into your retirement savings unless there’s a legitimate emergency — and even then, explore all other options first.Taking money out of your 401(k) or IRA before age 59 1/2 usually means paying income tax and a 10% penalty. You’ll also miss out on years of future growth, making it a last resort if you have a medical emergency or anything else that needs immediate attention.Also, if you change jobs, don’t cash out your old 401(k). Instead you can roll it into your new employer’s plan so your savings can keep growing tax-deferred. If this all seems overwhelming, you can get matched with up to three fiduciary advisors with our partner, SmartAsset, so you can get professional advice.Start preparing todayRetirement may be years or even decades away, but the decisions you make now are what shape it. By starting early and saving consistently, you’ll set yourself up for a long and comfortable retirement.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.”}]] [[{“value”:”

Retirement might feel far off for some, but the truth is that your future comfort depends on what you do (or don’t do) today.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

The good news is, you don’t need to be a financial expert or start with a six-figure income. Just follow a few non-negotiable rules, and you’ll stay on track for a retirement you’ll actually enjoy.

Here are four retirement saving rules you can’t afford to break.

1. Start as early as possible

This is the Golden Rule of saving. When you start saving for retirement as early as possible, you give your money decades to grow through compound interest.

If you start saving just $200 a month at age 25 at an 8% return, you’ll have around $824,000 by age 67. But if you wait until 35 to start saving the same $200 a month, you’ll end up with only about $354,000. That’s the power of compound interest.

Even small contributions are better than nothing. Don’t wait — start today.

2. Save 10%-15% of your income

Once you’re earning a steady paycheck, you need to aim to set aside 10% to 15% of your gross income each year for retirement. That includes any 401(k) match from your employer, which counts toward your savings rate.

And if your employer offers a 401(k) match, take full advantage. That’s free money you don’t want to leave on the table.

After earning your match, consider directing additional savings into tax-advantaged accounts like traditional and Roth IRAs, which offer more flexibility and potentially broader investment options.

Ready to start saving for retirement? Our partner SmartAsset’s no-cost quiz makes it easier to find a fiduciary financial advisor.

3. Automate your contributions

The easiest way to save for retirement is to take the human element out of the equation.

Set up automatic contributions to your 401(k) or IRA so the money goes in before you have a chance to spend it. You can even enable automatic annual increases. Many 401(k) plans will bump your savings rate by 1% each year unless you opt out, making it painless to scale up over time.

4. Don’t cash out early

Don’t dip into your retirement savings unless there’s a legitimate emergency — and even then, explore all other options first.

Taking money out of your 401(k) or IRA before age 59 1/2 usually means paying income tax and a 10% penalty. You’ll also miss out on years of future growth, making it a last resort if you have a medical emergency or anything else that needs immediate attention.

Also, if you change jobs, don’t cash out your old 401(k). Instead you can roll it into your new employer’s plan so your savings can keep growing tax-deferred. If this all seems overwhelming, you can get matched with up to three fiduciary advisors with our partner, SmartAsset, so you can get professional advice.

Start preparing today

Retirement may be years or even decades away, but the decisions you make now are what shape it. By starting early and saving consistently, you’ll set yourself up for a long and comfortable retirement.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

“}]] Read More 

[[{“value”:”My wife and I keep about $25,000 stashed in a high-yield savings account. That covers roughly three to four months of our family expenses, which average around $7,000 per month.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. Turns out, we’re not far off from the average American household. According to the latest data from the Bureau of Labor Statistics, U.S. households spent an average of $6,440 per month in 2023. Add in last year’s 2.9% inflation, and 2025 spending is likely closer to $6,600/month.Multiply that by three months and you land at $19,800 — the new baseline for a healthy emergency fund.Why cash savings is so importantAn emergency fund isn’t just about preparing for the worst. It’s about giving yourself peace of mind and options.Here’s what a solid emergency fund really gives you:Less stress. Knowing you can handle a surprise bill (or three) helps you sleep better at night.Avoid debt. No need to slap emergencies on a high-interest credit card.Career flexibility. Hate your job? You can walk away and take time to find the right fit, not the first offer.Freedom to relocate. If a better opportunity comes up in a new city or state, you’ve got the funds to make the move without hesitation.Family resilience. Whether it’s a health scare, a car issue, or your kid’s dental emergency, you’re ready.Where to keep your savings (and earn more on it)I personally earned $798 in interest last year just by keeping our cash in a high-yield savings account (HYSA). That’s about $66 per month I didn’t have to work for!HYSAs earn the highest interest rate possible, while keeping your funds liquid and available at any time. They’re also FDIC insured, so extremely safe.Today’s top high-yield savings accounts offer rates around 4.00% APY, which is more than 55x the national average for a checking account. If you have cash sitting idle, you really need to move it to an HYSA.Just make sure you choose a bank that doesn’t charge any monthly fees. Check out our top picks for best HYSA’s available today, offering the highest rates,How to build up your emergency savingsFirst, open a new, dedicated account for your savings. Keeping this money in a completely separate bank will stop you from dipping into those dollars for non-emergencies.Next, set-up automatic transfers each month into that account. For example, every Friday you could transfer $50 from your checking over to savings.If you have any windfalls, tax refunds, birthday money, etc. try to save those too and build your fund faster. Saving an extra $300 a month in a 4.00% APY account could grow to $19,854 in just five years.Saving today means freedom tomorrowHaving $19,800 in savings might feel like a stretch. But it’s exactly what the average household needs to cover three months of expenses in 2025.Start where you are. Keep your cash in a high-yield savings account that actually pays you. Build your fund one dollar at a time, and don’t stop until you hit your number.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.Joel O’Leary has no position in any of the stocks mentioned. The Motley Fool recommends Barclays Plc. The Motley Fool has a disclosure policy.”}]] [[{“value”:”

My wife and I keep about $25,000 stashed in a high-yield savings account. That covers roughly three to four months of our family expenses, which average around $7,000 per month.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

Turns out, we’re not far off from the average American household. According to the latest data from the Bureau of Labor Statistics, U.S. households spent an average of $6,440 per month in 2023. Add in last year’s 2.9% inflation, and 2025 spending is likely closer to $6,600/month.

Multiply that by three months and you land at $19,800 — the new baseline for a healthy emergency fund.

Why cash savings is so important

An emergency fund isn’t just about preparing for the worst. It’s about giving yourself peace of mind and options.

Here’s what a solid emergency fund really gives you:

• Less stress. Knowing you can handle a surprise bill (or three) helps you sleep better at night.
• Avoid debt. No need to slap emergencies on a high-interest credit card.
• Career flexibility. Hate your job? You can walk away and take time to find the right fit, not the first offer.
• Freedom to relocate. If a better opportunity comes up in a new city or state, you’ve got the funds to make the move without hesitation.
• Family resilience. Whether it’s a health scare, a car issue, or your kid’s dental emergency, you’re ready.

Where to keep your savings (and earn more on it)

I personally earned $798 in interest last year just by keeping our cash in a high-yield savings account (HYSA). That’s about $66 per month I didn’t have to work for!

HYSAs earn the highest interest rate possible, while keeping your funds liquid and available at any time. They’re also FDIC insured, so extremely safe.

Today’s top high-yield savings accounts offer rates around 4.00% APY, which is more than 55x the national average for a checking account. If you have cash sitting idle, you really need to move it to an HYSA.

How to build up your emergency savings

First, open a new, dedicated account for your savings. Keeping this money in a completely separate bank will stop you from dipping into those dollars for non-emergencies.

Next, set-up automatic transfers each month into that account. For example, every Friday you could transfer $50 from your checking over to savings.

If you have any windfalls, tax refunds, birthday money, etc. try to save those too and build your fund faster. Saving an extra $300 a month in a 4.00% APY account could grow to $19,854 in just five years.

Saving today means freedom tomorrow

Having $19,800 in savings might feel like a stretch. But it’s exactly what the average household needs to cover three months of expenses in 2025.

Start where you are. Keep your cash in a high-yield savings account that actually pays you. Build your fund one dollar at a time, and don’t stop until you hit your number.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.Joel O’Leary has no position in any of the stocks mentioned. The Motley Fool recommends Barclays Plc. The Motley Fool has a disclosure policy.

“}]] Read More 

[[{“value”:”A few weeks ago, my wife (love you, babe!) got a parking ticket. It was $73, which already stings. But when I went online to pay for it, they tacked on a $2 “convenience fee.” My other option was to mail a check like it’s 1998.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. At least I paid with a credit card that earns 2% cash back, which helped cancel out part of that annoying charge. But ever since then, I’ve been spotting these little fees everywhere. A $2 fee here, a 2.5% surcharge there.Here’s where these fees hide, why they exist, and what you can do to fight back.Where these fees are hidingAdded charges go by all sorts of names — convenience fee, service charge, technology fee, processing fee. But no matter the label, they all mean one thing: You’re paying more than the sticker price.Here are a few common places you’ll find annoying fees:Rent payments made via credit card or third-party platformsUtility bills like water, gas, or electricityDMV services and vehicle registration renewalsSchool tuition or childcare paymentsPaying property taxes with a credit cardEvent or concert tickets (boo, Ticketmaster!)Convenience stores and small local shopsRestaurant “service charges” on your billMost of the time, these fees aren’t just businesses trying to squeeze out extra profit. They’re usually passing along the rising cost of doing business — like credit card processing fees or tech platform charges — directly to you.If you’re gonna pay the fee, at least get something back!Sometimes the fee is unavoidable. But by using the right type of rewards credit card, you might be able to get some (or all!) of that fee back.For example, let’s say your bill includes a 2.5% processing fee. If you pay with a card that gives 2% cash back on all purchases, you’ll claw back most of that cost.It’s not a total wash, but it’s way better than just eating the fee.Want to come out even further ahead? Use a card that earns more than 2% on specific categories (like utilities or travel). Check out these top credit cards of May 2025 with the highest reward values.Fees really add up over timeLet’s say your rent is $2,000 per month, and your landlord uses a payment portal that charges a 2.95% convenience fee for card payments.That’s nearly $60 per month (or $720 per year) in extra costs just to pay online.Multiply that across a few monthly bills, and you could be paying over $1,000 a year to annoying fees.How to lower or avoid these sneaky chargesIf you’re tired of being nickel-and-dimed, here are a few ways to cut down the damage:Look for alternative payment methods — Like using Zelle to pay your rent. Or using cash for a haircut.Use a rewards card to offset fees — Even if it doesn’t wipe them out completely, it softens the blow. Cash back cards can be the simplest because you don’t have to deal with complex reward systems.Ask about discounts — Some providers offer reduced rates for paying in cash or setting up autopay. A win/win.Pay in bulk — If fees are charged per transaction, paying quarterly or annually can save you money.Check your statements — Fees aren’t always labeled clearly. Do a quick scan and track them.The bottom lineConvenience fees and processing charges are everywhere now. Don’t just blindly pay them without thinking through your options.If you absolutely can’t avoid a surcharge, be smart about how you pay. Check out our list of the best rewards credit cards that can offset processing fees and earn cash back on your bills.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.”}]] [[{“value”:”

A few weeks ago, my wife (love you, babe!) got a parking ticket. It was $73, which already stings. But when I went online to pay for it, they tacked on a $2 “convenience fee.” My other option was to mail a check like it’s 1998.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

At least I paid with a credit card that earns 2% cash back, which helped cancel out part of that annoying charge. But ever since then, I’ve been spotting these little fees everywhere. A $2 fee here, a 2.5% surcharge there.

Here’s where these fees hide, why they exist, and what you can do to fight back.

Where these fees are hiding

Added charges go by all sorts of names — convenience fee, service charge, technology fee, processing fee. But no matter the label, they all mean one thing: You’re paying more than the sticker price.

Here are a few common places you’ll find annoying fees:

• Rent payments made via credit card or third-party platforms
• Utility bills like water, gas, or electricity
• DMV services and vehicle registration renewals
• School tuition or childcare payments
• Paying property taxes with a credit card
• Event or concert tickets (boo, Ticketmaster!)
• Convenience stores and small local shops
• Restaurant “service charges” on your bill

Most of the time, these fees aren’t just businesses trying to squeeze out extra profit. They’re usually passing along the rising cost of doing business — like credit card processing fees or tech platform charges — directly to you.

If you’re gonna pay the fee, at least get something back!

Sometimes the fee is unavoidable. But by using the right type of rewards credit card, you might be able to get some (or all!) of that fee back.

For example, let’s say your bill includes a 2.5% processing fee. If you pay with a card that gives 2% cash back on all purchases, you’ll claw back most of that cost.

It’s not a total wash, but it’s way better than just eating the fee.

Want to come out even further ahead? Use a card that earns more than 2% on specific categories (like utilities or travel). Check out these top credit cards of May 2025 with the highest reward values.

Fees really add up over time

Let’s say your rent is $2,000 per month, and your landlord uses a payment portal that charges a 2.95% convenience fee for card payments.

That’s nearly $60 per month (or $720 per year) in extra costs just to pay online.

Multiply that across a few monthly bills, and you could be paying over $1,000 a year to annoying fees.

How to lower or avoid these sneaky charges

If you’re tired of being nickel-and-dimed, here are a few ways to cut down the damage:

1. Look for alternative payment methods — Like using Zelle to pay your rent. Or using cash for a haircut.
2. Use a rewards card to offset fees — Even if it doesn’t wipe them out completely, it softens the blow. Cash back cards can be the simplest because you don’t have to deal with complex reward systems.
3. Ask about discounts — Some providers offer reduced rates for paying in cash or setting up autopay. A win/win.
4. Pay in bulk — If fees are charged per transaction, paying quarterly or annually can save you money.
5. Check your statements — Fees aren’t always labeled clearly. Do a quick scan and track them.

The bottom line

Convenience fees and processing charges are everywhere now. Don’t just blindly pay them without thinking through your options.

If you absolutely can’t avoid a surcharge, be smart about how you pay. Check out our list of the best rewards credit cards that can offset processing fees and earn cash back on your bills.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

“}]] Read More