No matter where you are, there’s always a credit card company offering a rewards program for their credit cards. New rewards programs are popping up all the time that sound too good to pass up. As good as they may sound, you may be wondering if the rewards are really worth it. In some cases, they are worth it, but in others, they may not be as good as you think.
While having more than one rewards card is something that many people immediately think about, you should always remember that not all rewards are worth having. Even though it’s always good to use your credit card, if you don’t pay attention to what you’re buying, sometimes you can end up paying quite a price. When it comes to credit card rewards cards, you should use caution – plus a dash of common sense.
Any rewards card that comes with a high interest rate should be avoided. With most rewards cards, you’ll find that they include a higher interest rate than standard cards. This higher interest rate can quickly and easily offset any type of rewards. To be on the safe side, you should always look at the interest rate to determine if the rewards are really worth it. If you are able to pay off your entire balance at the end of each month – then this won’t be an issue for you at all.
You should also keep an eye out for rewards cards that offer high annual fees. These cards can be very difficult to get hold of, and they can also interfere with any type of rewards you might think you’re getting. If you look at the fine print before you choose your rewards credit card, you can help eliminate the problem.
Cash back is one type of rewards card that is becoming very popular. Many of the top credit card companies and banks offer cash back programs, and typically, you get about 1% cash back on every purchase you make. Before you rush out to get a rewards card, you should always make sure you read the fine print to see if there is a maximum limit on the card.
Another popular type of rewards credit card is one where you get points for every purchase you make with the card. Once you have accumulated enough points, you can redeem them for items and other cool things. Some cards have limits on how many points you can get, which also makes it in your best interest to shop around.
There are also credit cards with frequent flyer miles, which have been around the longest. Some cards have rewards based on points, while others choose to use actual miles. For every dollar you spend with a frequent flyer credit card, you’ll get a point or a mile. Once you get enough to accumulate them, you can redeem them. Most frequent flyer rewards require about 25,000 points or miles to redeem, which can make it nearly impossible for some people to reap the benefits of using the card.
No matter where you look, finding the right credit card rewards card may take some time and effort. You may have no problem finding the right card for your needs, and if you do, you should consider yourself lucky. However, before you choose your card – you should always take the necessary time to read the fine print and compare what each unique company has to offer you.