Rakuten vs. Honey vs. Capital One Shopping: Which Saves You More Money?

Rakuten: The Cash Back King ($312 Average Annual Savings)

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How Rakuten Saves You Money

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Rakuten operates on a simple model: retailers pay them a commission for sending customers their way, and Rakuten shares that commission with you as cashback.

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Example calculation:

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• Monthly spending at Rakuten partners: $500

• Average cashback rate: 5%

• Monthly earnings: $25

• Annual earnings: $300

• Plus $30 sign-up bonus after first purchase

• Total first-year value: $330

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When Rakuten Wins

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Best for:

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• Consistent online shoppers who buy from major retailers

• People who want actual cash (not gift cards)

• Shoppers who can wait 3 months for quarterly payouts

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Highest cashback rates:

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• Clothing retailers: 8-15% during promotions (Macy's, Nordstrom)

• Electronics: 2-5% (Best Buy, Walmart)

• Travel booking: 3-10% (Hotels.com, Priceline)

• Home goods: 4-12% (Wayfair, Home Depot)

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The Drawback

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Rakuten doesn't find coupon codes. You pay full price and get cashback later. If there's a 20% off promo code available, you'll miss it unless you search manually or use Honey/Capital One Shopping alongside it.

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Payout details:

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• Minimum balance: $5.01

• Payment schedule: Quarterly (Feb 15, May 15, Aug 15, Nov 15)

• Options: PayPal, check, or Amex Membership Rewards points

Honey: The Coupon Hunter ($94 Average Annual Savings)

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How Honey Saves You Money

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Honey shines when you're already at checkout. One click and it tests every known coupon code for that retailer in seconds—something that would take you 10 minutes of Google searching.

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Example calculation:

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• 24 online purchases per year

• Honey finds working codes on 8 purchases (33% success rate)

• Average discount when code works: $12

• Annual savings from coupons: $96

• Minus occasional failures: ~$94 realistic average

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When Honey Wins

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Best for:

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• Shoppers who make impulse purchases (where you haven't pre-planned savings)

• Retailers with frequent promo codes (fashion, tech, meal kits)

• People who want instant savings at checkout

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Honey Gold earnings:

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• Select stores offer 1-5% back in Honey Gold

• 1,000 Gold = $10 gift card

• Major partners: Walmart, CVS, eBay, Microsoft Store

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The Drawback

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Honey Gold redemptions are less flexible than Rakuten's cash. You're locked into gift cards. Also, Honey's success rate varies wildly—sometimes it finds amazing codes, other times nothing works.

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Bonus feature: Honey Droplist tracks price drops on saved items and alerts you when to buy.

Capital One Shopping: The Price Detective ($150+ Potential Savings)

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How Capital One Shopping Saves You Money

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Unlike the others, Capital One Shopping proactively prevents you from overpaying. If you're on Amazon buying a product for $79, it might alert you: "This same item is $64 on Walmart.com."

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Example calculation:

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• 10 purchases per year where you use price comparison

• Average savings per price match: $8

• Price comparison savings: $80

• Plus coupon codes: ~$40

• Plus Shopping Credits: ~$30

• Total annual value: $150

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When Capital One Shopping Wins

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Best for:

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• Amazon shoppers (shows price history and alternative sellers)

• People buying products available at multiple retailers

• Shoppers who want both coupons AND price matching

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Shopping Credits:

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• Earn credits on purchases at select retailers

• Redeem for gift cards (Amazon, Target, Uber Eats, etc.)

• Often have bonus redemption deals (use fewer credits for certain cards)

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The Drawback

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Shopping Credits aren't as valuable as Rakuten's cash, and the credit-earning opportunities are more limited than Rakuten's partner network.

Side-by-Side Comparison: Which Tool Wins?

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The Verdict by Shopping Profile

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If you spend $300-500/month online: Use all three.

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• Annual value: $850+

• Time investment: 5 minutes to install extensions

• ROI: 17,000%+ on setup time

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If you spend $100-300/month online: Prioritize Rakuten + one other.

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• Rakuten for cashback foundation

• Add Honey if you shop at retailers with frequent codes

• Add Capital One if you buy a lot from Amazon

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If you spend under $100/month online: Start with Rakuten alone.

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• Simplest to use

• Best reward-to-effort ratio for casual shoppers

• Expand to others once you see value

How to Stack These Tools with Credit Cards for Maximum Savings

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Here's where it gets really powerful: every shopping extension saves you money, but they don't help you choose the optimal credit card to pay with. That's where strategic card stacking comes in.

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The Stacking Formula

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Layer 1: Shopping extension (Rakuten, Honey, or Capital One Shopping)

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Saves 1-15% through cashback or discounts

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Layer 2: Category bonus card

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‍Earns 3-5x rewards on the purchase

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Layer 3: Card benefits

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‍Adds purchase protection, extended warranty, or statement credits

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Example: Buying $200 in Groceries Online

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Without strategy:

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• $200 purchase on basic 1% card

• = $2 rewards

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With extension only:

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• $200 purchase + 3% Rakuten cashback

• = $6 cashback

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Best Cards for Stacking with Shopping Extensions

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For everyday online shopping:

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Citi Double Cash® Card

[[ SINGLE_CARD * {"id": "580", "isExpanded": "false", "bestForCategoryId": "15", "bestForText": "Everyday Spenders", "headerHint": "No Annual Fee"} ]]

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For maximizing travel rewards:

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Chase Sapphire Preferred® Card

[[ SINGLE_CARD * {"id": "509", "isExpanded": "false", "bestForCategoryId": "15", "bestForText": "Frequent Travelers", "headerHint": "Exceptional Travel Value"} ]]

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For specific categories:

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Bilt Mastercard®

[[ SINGLE_CARD * {"id": "2990", "isExpanded": "true", "bestForCategoryId": "52", "bestForText": "Renters", "headerHint" : "Rewards on Rent Payments" } ]]

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How Kudos Automates This Strategy

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Manually tracking which card to use where gets complicated fast. That's why 400,000+ users now use Kudos alongside these shopping extensions.

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Here's how Kudos fits into the stack:

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Before checkout:

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1. Shop through Rakuten for cashback activation
2. Kudos browser extension analyzes your wallet
3. Kudos suggests: "Use your Capital One Savor for 3% dining rewards"
4. Honey or Capital One Shopping tests coupon codes
5. Complete purchase with optimal card + discount + cashback

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Result: You've just stacked three layers of savings in 10 seconds.

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Kudos also tracks:

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• Hidden card benefits you're not using (average user misses $624/year)

• Upcoming statement credits about to expire

• Whether you're using the wrong card (costs average user $441/year)

The Smart Strategy: Using All Three + Kudos

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Installation and Setup (10 minutes)

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Step 1: Install all three extensions

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• Rakuten browser extension

• Honey browser extension

• Capital One Shopping extension

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Step 2: Create accounts and verify email for each

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Step 3: Install Kudos

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• Download Kudos for iPhone

• Add Kudos browser extension

• Link your credit cards securely

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Step 4: Set your priority hierarchy:

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For most purchases:

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1. Start shopping session through Rakuten (for cashback tracking)
2. Let Kudos suggest optimal card at checkout
3. Let Honey/Capital One try coupon codes
4. Complete purchase

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For Amazon specifically:

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1. Use Capital One Shopping for price history
2. Let it check other retailers for better prices
3. Apply any available codes
4. Use Kudos-recommended card for purchase

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Handling Conflicts

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Common issue: Using certain coupon codes can void Rakuten cashback.

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Solution:

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• If Honey finds a code, check if it saves more than Rakuten's cashback %

• Example: 15% off code vs. 5% Rakuten cashback on $100 = code wins ($15 > $5)

• For small discounts ($2-3 off), skip the code and keep Rakuten active

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Pro tip: Some codes are "Rakuten-approved" (listed on Rakuten's site) and won't void cashback. Check the retailer's Rakuten page before using external codes.

Real-World Savings Examples

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Scenario 1: Monthly Grocery Delivery ($150 order)

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Without strategy:

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• Instacart order: $150

• Basic 1% credit card: $1.50 rewards

• Total value: $1.50

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With extension + Kudos:

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• Start through Rakuten (Instacart 2% cashback): $3.00

• Capital One Shopping finds $10 off code: $10.00

• Kudos recommends Chase Sapphire Preferred®: 450 points ($4.50 value)

• Total value: $17.50 (11.7% effective savings)

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Scenario 2: Electronics Purchase ($500 laptop)

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Without strategy:

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• Direct from manufacturer: $500

• Basic 1% card: $5 rewards

• Total value: $5

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With extension + Kudos:

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• Rakuten (Best Buy 2% back): $10

• Capital One Shopping: "Same laptop $470 on Amazon"

• Honey tests codes, finds none

• Kudos recommends Citi Double Cash®: $9.40

• Total value: $49.40 savings + purchase protection benefit

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Scenario 3: Travel Booking ($800 hotel)

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Without strategy:

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• Book direct: $800

• Basic 1% card: $8 rewards

• Total value: $8

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With extension + Kudos:

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• Rakuten (Hotels.com 5% back): $40

• No codes available (travel rarely has promo codes)

• Kudos recommends Chase Sapphire Preferred®: 2,400 points ($30 value via Chase Travel portal)

• Kudos reminds you: Trip cancellation insurance included

• Total value: $70 + insurance coverage

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Annual impact if you make similar purchases:

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• 12 grocery orders: $210 saved

• 2 electronics purchases: $99 saved

• 3 travel bookings: $210 saved

• Plus misc. purchases: ~$250 saved

• Total: $769/year in maximized savings

Frequently Asked Questions

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Which saves more money: Rakuten or Honey?

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It depends on your shopping habits. Rakuten saves more on average ($312/year vs $94/year) because it offers consistent cashback percentages across a wide retailer network. However, Honey can sometimes find coupon codes worth 20-30% off, which beats any cashback rate. The smart move? Use both—Rakuten for cashback baseline, Honey for potential code jackpots.

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Can I use Rakuten and Honey together on the same purchase?

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Yes, but carefully. Install both extensions, but be strategic at checkout. If Honey finds a major coupon code (15%+ off), it probably saves more than Rakuten's cashback and is worth using even if it voids the cashback. For small codes ($5 off), skip them and take Rakuten's percentage back instead. Rakuten pays on purchase total, so lowering the price with a code reduces your cashback anyway.

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Is Capital One Shopping only for Capital One customers?

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No. Capital One Shopping is free for anyone—you don't need a Capital One credit card or bank account to use it. However, Capital One cardholders may see exclusive offers occasionally.

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Do these tools work on mobile?

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Yes, but implementation varies. Rakuten has the best mobile experience with a full-featured app and Safari extension. Honey offers a mobile app and PayPal integration for on-the-go deals. Capital One Shopping has a mobile app but works best on desktop for price comparisons. For mobile shopping, Kudos has a powerful iPhone app that works seamlessly across browsers and in-app purchases.

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How do I know these tools are safe?

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All three are legitimate, widely-used platforms:

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• Rakuten: Publicly traded company (NASDAQ: RKUNY), 15+ million users

• Honey: Owned by PayPal, 17+ million users

• Capital One Shopping: Backed by Capital One Financial, major bank

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They don't store your credit card details or passwords—they only track shopping behavior to provide relevant offers. All use bank-level encryption. That said, if you're concerned about privacy, you can disable extensions when not actively shopping.

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Will using multiple extensions slow down my browser?

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Minimal impact. Each extension adds about 10-20MB of memory usage. On modern computers, this is negligible. They remain dormant until you visit a shopping site. If you notice slowdown, disable the ones you use least frequently and re-enable before shopping.

Bottom Line: The $850 Annual Savings Strategy

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Here's your action plan to maximize savings on every online purchase:

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This week (Setup: 15 minutes)

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1. Install Rakuten, Honey, and Capital One Shopping browser extensions
2. Download Kudos app and link your credit cards
3. Set Rakuten as your primary cashback tool

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This month (Build the habit)

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1. Start every online shopping session through Rakuten
2. Let Honey automatically test codes at checkout
3. Use Capital One Shopping specifically for Amazon price checks
4. Follow Kudos card recommendations

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This year (Maximize returns)

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1. Track your combined savings across all tools
2. Review Kudos Insights monthly to catch unused card benefits
3. Redeem Rakuten cashback quarterly
4. Convert Honey Gold and Shopping Credits to gift cards for stores you'll actually use

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Expected annual value:

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• Rakuten cashback: $312

• Honey code savings: $94

• Capital One price matching: $150

• Kudos-optimized card rewards: $294 additional

• Total first-year savings: $850+

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Time investment: 2-3 minutes per shopping session

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ROI: Infinite (all tools are free)

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The truth is, you're already shopping online. These tools don't change what you buy or where you shop—they just ensure you're not paying more than necessary and you're using the optimal credit card every time.

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Stop leaving money on the table. Start stacking today.