Secretive AT&T Universal Credit Card Saves You Hundreds

This is part 2 of my series on saving money on your AT&T products and services. As my colleague put it, if you're tired of getting "kicked in the ass" by your AT&T bill, this credit card could save you hundreds every year. This Mastercard, offered through Citibank, is not heavily advertised or known. My friend has stumped Citi representatives when calling about the card - they were not even aware the card existed.

The card basically gives you 10% back monthly on any AT&T products and services that are charged to the card for the first 12 months and then 5% back afterwards for a maximum of $350 a year. The catch is that you have to match your AT&T charges with an equal amount of non-AT&T purchases. Confused?

Say your AT&T bill (cellular, internet, DSL, home phone, etc) is $120 per month and you charge it to this credit card. In that same billing cycle, you need to charge another additional $120 worth of non-AT&T stuff (cable internet, groceries, gas, etc.). Your month end bill would be $120 + $120 - $12 (10% X $120). If you only managed to charge $100 of non-AT&T stuff, then you would only receive a credit of $10 (10% X $100). The credit is added to your account on the last day of your billing cycle.

This card may seem like a hassle, but consider this: most credit card rewards programs give you the equivalent of 1% - 3% cash back on your purchases. Compare that with the AT&T Universal Card, which offers you 10% back initially. Additionally, you earn 1 Thank-You point for every non-AT&T purchase. The Thank-you network is part of Citibank's rewards program and is very comprehensive in its offerings and easy to use. Also, the card carries wireless phone loss and theft insurance subject to a maximum reimbursement amount of $100 in excess of the $50 deductible. (Doesn't really help insure the iPhone unfortunately...)

I applied for this card before I purchased my iPhone + other phones for my family's cell phone plan. I saved a whopping $30+ just on the purchase of our phones and even more on those annoying activation fees. You must use the card to purchase either products and services from an official AT&T or the official website. I know that during this recession another credit card isn't the best thing, but remember that you are saving on an essential services for your household. You can stop using on of your other cards or even cancel one of your cards (be careful about how cancelling a credit card can affect your FICO score) and use this card as one of your main ones. Learn more about the AT&T Universal Savings and Rewards card.

Don't forget! If you are a new AT&T customer, signing up with AT&T Wireless or AT&T High Speed Internet by clicking through MrRebates will save you an additional $20 or $15, respectively. Combine that with this credit card, you're going to be saving a lotta pennies.