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The Points Guy believes that credit cards can transform lives, helping you leverage everyday spending for cash back or travel experiences that might otherwise be out of reach. That's why we publish a variety of editorial content and card comparisons: to help you find a great card to turn your goals into reality.
Our site may earn compensation when a customer clicks on a link, when an application is approved, or when an account is opened with our partners, and this may impact how or where these products appear. While we don't cover all available credit cards, our editorial team creates and maintains all of the analysis of these cards, and our content is not influenced nor subject to review by any credit card company, bank or partner prior to (or after) publication. Please view our advertising policy and product review methodology for more information.
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3 types of credit cards every 40-year-old should have
Ryan is a former TPG credit cards writer who has been around points and miles for several years and has published content at Miles to Memories, AwardWallet and The Points Guy. His wife joins him on many of his trips, and they enjoy snowboarding, diving, and seeing animals in the wild. When not traveling, Ryan is probably answering questions from his family about how he travels so much and whether this points & miles stuff is illegal.
August 24, 2024 • 19 min read
The cards we feature here are from partners who compensate us when you are approved through our site, and this may impact how or where these products appear. We don't cover all available credit cards, but our analysis, reviews, and opinions are entirely from our editorial team. Terms apply to the offers listed on this page. Please view our advertising policy and product review methodology for more information.Editorial disclaimer: Opinions expressed here are the author's alone, not those of any bank, credit card issuer, airline or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities.
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By commenting, you agree to our Community Guidelines to help create a positive space for conversation. The responses below are not provided or commissioned by the bank advertiser, our partners, or The Points Guy (“TPG”). They have not been reviewed, approved, or otherwise endorsed by any of these parties. All responses are submitted by individual contributors, and neither the bank advertiser, our partners, nor TPG are responsible for ensuring that all posts and/or questions are answered.
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Quick summary
Turning 40 is an ideal time to reassess your credit card strategy to ensure you maximize value from your good credit.
Three types of cards are recommended: a travel rewards card for perks and points, a cash-back card for simplicity, and a cobranded card if you are loyal to specific airlines or hotels.
Travel rewards cards can provide substantial benefits and perks, though they may come with significant fees; cash-back cards offer straightforward rewards, while cobranded cards can deliver strong value for brand loyalists.
Selecting the right mix depends on your spending habits and lifestyle priorities.
What to consider
Some travel rewards cards have high fees, but these may be offset by valuable benefits if you use them fully.
Cash-back cards often have earning caps or category restrictions, so review terms to ensure they align with your spending.
Cobranded cards can be most rewarding if you frequently use a particular airline or hotel, but may not always outperform general travel cards.
What you'll miss from the article
Detailed comparisons of card categories, specific benefit examples, and links to in-depth guides for airline and hotel loyalty cards.
Generated by AI with support from our editorial team.
Update: Some offers mentioned below are no longer available. View the current offers here.
I turned 40 in 2022. Along with checking a different box for “age range” on forms these days, I’m also taking a fresh look at both my credit and my credit card strategy.
If you’ve hit the big four-oh like me (or are getting close), you probably started learning about credit a few decades ago. From saving money and paying your credit card bills the right way, you’ve hopefully got a good credit score at this point. If so, congratulations. Good credit takes years of discipline.
However, good credit is only meaningful if you’re using it — not sitting on a shelf somewhere collecting dust. In fact, now may be the perfect time to take a look at your credit card strategy and see how much value you’re getting from it. If you’re leaving points, miles or cash-back opportunities on the table, it’s probably time for an adjustment.
Let's talk about the three different types of credit cards every 40-year-old should have.
A travel rewards card
If you don’t already have a great travel rewards credit card — or if you have a card that’s not giving you enough bang for your buck — it might be worth applying for a new account. Travel rewards cards can offer more than just a monstrous introductory bonus: they can offer ongoing perks, benefits, points and miles that lead to (nearly) free travel or everyday benefits that improve your quality of life.
However, keep in mind that travel reward cards often charge an annual fee — sometimes a hefty one. The Platinum Card® from American Express, for example, charges its cardholders a $895 annual fee (see rates and fees).
For many people, the benefits of premium travel rewards cards can outweigh the cost. Plus, welcome offers for new applicants can add significant value to these cards during the first year.
Take the Platinum Card as an example: Find out your offer and see if you are eligible for as high as 175,000 Membership Rewards Points after spending $12,000 on purchases within the first six months of card membership. Welcome offers vary and you may not be eligible for an offer. By TPG’s August 2024 valuations, this bonus is worth up to $3,500.
There are also plenty of less-expensive travel cards available if you see this annual fee as a turnoff. Other cards worthy of your consideration include:
Card name
Current welcome offer
Value of the welcome offer*
Key benefits of the card
Annual fee
American Express® Gold Card
Find out your offer and see if you are eligible for as high as 100,000 Membership Rewards points after spending $8,000 on purchases within the first six months of card membership. Welcome offers vary and you may not be eligible for an offer.
Up to $120 in annual Uber Cash for U.S. purchases (An Amex Card must be selected as the payment method for your Uber or Uber Eats transaction to redeem the Amex Uber Cash benefit.)
Find out your offer and see if you are eligible for as high as 175,000 Membership Rewards Points after spending $12,000 on purchases within the first six months of card membership. Welcome offers vary and you may not be eligible for an offer.
Up to $200 in Uber Cash annually for U.S. purchases, which can also be used with Uber Eats (Uber Cash will only be deposited into one Uber account when you add the Amex Platinum as a payment method and redeem with any Amex card.)
Reimbursement for your Clear+ membership (up to $209 statement credit) each year
* Bonus value is based on TPG's valuations and not the card issuer.
Every 40-year-old should have a travel rewards credit card that earns bonus points at places where you tend to spend money, that adds perks and benefits to improve the quality of your travels and, ideally, adds perks to your home life as well.
*Upon enrollment, accessible through the Capital One website or mobile app, eligible cardholders will remain at that status level through the duration of the offer. Please note, enrolling through the normal Hertz Gold Plus Rewards enrollment process (e.g. at Hertz.com) will not automatically detect a cardholder as being eligible for the program and cardholders will not be automatically upgraded to the applicable status tier. Additional terms apply
A cash-back card
There’s no question that you can earn great rewards by using the right travel rewards card strategy. However, for some people, the process of keeping up with points and miles — especially over multiple credit cards — feels like too much. Plus, cash can be used to pay for purchases on which you can’t redeem your points and miles.
MIXETTO/GETTY IMAGES
If you find yourself in that camp, a solid cash-back credit card option might be a good fit for you. The Citi Double Cash® Card (see rates and fees) is a great example. Not only does the card have no annual fee, it also allows cardholders to earn 2% cash back on purchases across the board. This comes as earning 1 ThankYou Rewards point on each dollar you spend and another point for each dollar paid on your bill. You can redeem these points for cash at a rate of 1 cent each or use them in other ways, such as gift cards or travel.
On the flip side, some cash-back cards allow you to choose bonus categories, which can be handy if a category is available for merchants where you tend to spend a lot of money. For example, the Bank of America® Customized Cash Rewards credit card allows for cardholders to earn 6% cash back (in the first year, then 3%) on one of six categories and 2% back on additional categories. However, the bonus earnings are limited to the first $2,500 spent across these categories each quarter, then your earning rate will change to 1% until the start of the next quarter.
Keep in mind that cash-back cards might not give you the best value available, especially when you consider that other rewards cards will often allow you to earn up to 5 points per dollar on popular spending categories, such as dining and travel. But a simple cash-back card can make the process of understanding and managing your rewards simpler.
If you’re considering a cash-back card for your wallet, here are some of the top current options:
Card name
Current welcome offer
Value of the welcome offer*
Key benefits of the card
Annual fee
Bank of America® Customized Cash Rewards credit card
Earn a $200 rewards bonus after making at least $1,000 in purchases in the first 90 days from account opening
$200
Choose your preferred 6% (first year, then 3%) earning category (options: gas and EV charging stations, online shopping/cable/internet/phone plans/streaming, dining, travel, drug stores or home improvement/furnishings).
2% cash back at grocery stores and wholesale clubs.
Bonus earnings are limited to the first $2,500 spent across the categories each quarter.
Up to 75% bonus earnings for Bank of America Preferred Rewards® members. The Preferred Rewards bonus is not applied to the 3% first-year bonus.
Find out your offer and see if you are eligible for as high as $200 cash back after spending $2,000 on purchases in the first six months of card membership. Welcome offers vary, and you may not be eligible for an offer. Cash Back is received in the form of Reward Dollars that can be redeemed as a statement credit or at Amazon.com checkout.
Up to $200
Earns 3% cash back at U.S. supermarkets, U.S. online retail purchases and U.S. gas stations (up to $6,000 per year in each category, then 1%)
Find out your offer and see if you are eligible for as high as $300 cash back after spending $3,000 on purchases in the first six months of card membership. Welcome offers vary, and you may not be eligible for an offer. Cash Back is received in the form of Reward Dollars that can be redeemed as a statement credit or at Amazon.com checkout.
Up to $300
Earns 6% cash back at U.S. supermarkets (up to $6,000 per year, then 1%) and on select U.S. streaming subscriptions and 3% cash back on transit and at U.S. gas stations.
Up to $120 in annual statement credits for Disney Streaming purchases (valid at DisneyPlus.com, Hulu.com or Stream.ESPN.com U.S. websites; subject to auto-renewal)
Earn $200 cash back after you spend $500 on purchases in the first three months from account opening.
$200
5% cash back in rotating quarterly categories (up to $1,500 per quarter; activation required) and with the Chase Travel℠, and 3% cash back on dining and drugstores.
Earn $200 cash back after you spend $1,500 on purchases in the first six months of account opening. This bonus offer will be fulfilled as 20,000 points, which can be redeemed for $200 cash back.
$200
5% cash back in your top spending category each billing cycle (on $500 of these purchases, then earn 1%).
* Bonus value is an estimated value based on TPG's valuations and not the card issuer.
The information for the U.S. Bank Cash+ Visa Signature card and Citi Custom Cash® Card has been collected independently by The Points Guy. The card details on this page have not been reviewed or provided by the card issuer.
A co-branded credit card
Do you have a certain airline you travel with frequently? Is there a particular hotel brand that you enjoy above others? If so, a cobranded airline or hotel credit card might make a great addition to your wallet.
It’s important to understand that cobranded cards are not created equal. In many instances, a quality travel card, like the Chase Sapphire Reserve, will outshine a cobranded card in point-earning potential and in perks. However, you’d be mistaken to believe that’s always the case. There are times when spending on a cobranded credit card makes more sense from a value standpoint.
The Hilton Honors American Express Aspire Card is one example. The card will earn you 14 points per dollar on purchases at Hilton hotels and resorts. That’s an 8.4% return on spending, according to TPG’s August 2024 valuations.
IZUSEK/GETTY IMAGES
Getting a cobranded card with every airline or hotel chain probably isn’t a good choice, either. But if you have a few particular brands that you frequent more than others, you might benefit financially from signing up for a cobranded card — especially one with an attractive welcome bonus or other annual perks.
Comparing all of the available cobranded credit cards here would be impossible. Instead, here are some links to further reading on hotel credit cards:
There’s no such thing as the perfect credit card strategy that works equally well for every 40-year-old in the country. You’ll have to decide for yourself which cards fit your spending habits and which rewards are the most beneficial to your lifestyle.
That being said, having at least one solid credit card option from the three categories above can be helpful for most people. If you’re worried about keeping a tab on your rewards, the TPG app can help you keep track of your cards, loyalty accounts and what rewards you have (as well as how you can use them).
For rates and fees of the Amex Gold card, click here. For rates and fees of the Amex Platinum card, click here. For rates and fees of the Blue Cash Everyday card, click here. For rates and fees of the Blue Cash Preferred card, click here.
Updated 03/04/2026
Comments
By commenting, you agree to our Community Guidelines to help create a positive space for conversation. The responses below are not provided or commissioned by the bank advertiser, our partners, or The Points Guy (“TPG”). They have not been reviewed, approved, or otherwise endorsed by any of these parties. All responses are submitted by individual contributors, and neither the bank advertiser, our partners, nor TPG are responsible for ensuring that all posts and/or questions are answered.
