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Credit card rewards are offered by card issuers to entice customers to use their credit cards, and also to spend more. Revenue for the credit card issuers is generated by the use and expenditure of each client. Credit card rewards are offered in variations, some rewarding the big spenders, while others rewarding the consistent customers. At the end of the day, the best credit card reward programs are offered to those customers who have a very good credit history.
Cash back offers
These are one of the favourite credit card reward programs for customers. Credit cards offer 1 - 2% cash back on all spending. These percentages could vary too, with greater cash back percentages at some places like drug or departmental stores. However, one thing that credit card customers have to be careful about is the limit. Cash back offers are not limitless. The amount of cash back that the customer can avail every month and over a year is capped. Therefore, the saving is limited, but still worth using. However, these cash back offers, are only available for those who have a high credit rating.
Frequent flyer rewards
There are some credit cards which offer frequent flyer rewards for customers who travel a lot. For some airlines, these rewards are far more satisfying, with no blackout dates, and the offer is redeemable any day for any flight. Credit card customers get bonus miles for every dollar spent, which can be used once, they accumulate a required amount. For those customers who travel a lot, these discounts on airline tickets, hotels and restaurants could allow for a considerable saving.
Frequent shopper rewards
Those who shop compulsively will benefit from these rewards. It is a bad idea to go out and shop to avail these rewards. However, if you were buying anyway, then these discounts which are offered at specific stores, merchants, and for specific shopping milestones could prove to be quite handy.
A lot of credit card issuers want to cash in during the holiday season when a lot of people are out spending. There is an opening bonus that credit card customers can avail during the holiday season. There are cards which provide an opening bonus of about 100 dollars for milestone expenditures between 600 - 750 dollars in the first 3 months. That is a substantial saving which could ensure your holiday shopping is a bit more economical than ever. The best part is that this is one of those rewards which you don`t need to work for. You would spend that amount of money during holidays over a period of 3 months a lot of times. Now you are getting a discount for it.
A lot of reward programs are monetary benefits. However, some credit cards offer travel benefits like travel insurance, lost luggage reimbursement, lost card replacement within a day etc., which come out to be quite handy as well.