Tips to use credit card rewards the right way

ADVERTISING DISCLOSURE

ADVERTISING DISCLOSURE:
Credit-Land.com is an independent, advertising-supported web site. Credit-Land.com receives compensation from most credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. Credit-Land.com has not reviewed all available credit card offers in the marketplace.

Credit Card Applications » Research » Guides » Travel with Credit Cards » Tips to use credit card rewards the right way

Tips to use credit card rewards the right way


Updated: December 26, 2012

The content is accurate at the time of publication and is subject to change.
Using credit card rewards often needs the right kind of planning. Credit card issuers do not throw it away easily so hence, you need to have the right strategies to ensure you use the rewards in a way as to benefit from them. Choosing the right kind of reward program is really the key if you want to make them count. Be aware of the fine print Knowing the fine print of your credit card is the key to ensure that you don't waste your rewards. There are always lots of caps imposed by card issuers. If you are not thorough reading and understanding the fine print, you could end up missing a vital point which says every month some reward points will expire if you don't use them, or the discount the card was promoted to offer has a stipulated expense limit before you can avail it. Similarly, cash back is promoted as up to 3%, but it is not necessarily that amount all the time. In fact, most cards offer around 1% on all purchases and 2% or 3% for specific purchases at gas stations that you will have to utilize. Credit card rewards and the fees If you are really looking for a credit card with impressive rewards, you need to ask yourself, what are the fees on the card? If you are paying annual fees, initial fees and other such charges, your rewards might not really provide you with much of a saving. Similarly, if your card offers you rewards worth $100 only after spending $5000, it might not be worth it. So, credit card rewards should be considered on a relative basis rather than on an absolute basis. Some of them are carefully crafted to make the credit card customer spend more and receive less. Airline miles Redeeming your airline miles to receive discounts on your airline tickets could be one of the toughest things that you can encounter. Most of the dates, as you notice would be blackout dates. Also, most airlines will not allow you to redeem points for tickets for your partner, which could pose another problem. It is therefore a good idea to go for cobranded cards where the bigger airlines are involved. Some airlines have a better reputation of providing value to the credit card reward points. Even if you cannot redeem the points on airline tickets, you can use these reward points in various other ways. For example some credit cards allow you to use your airline miles to subscribe to magazines. In other cases you can even donate to charity. Are you heading towards holidays and big spending? If you know that you are going to spend a fixed amount for your holidays or vacation, it is well worth going for the credit cards which offer rewards for specific targets. There are credit cards which offer bonus miles, cash backs and discounts if customers reach specific spending targets. You can make them count by spending and managing a decent discount.

Disclaimer: This editorial content is not provided or commissioned by the credit card issuer(s). Opinions expressed here are the author's alone, not those of the credit card issuer(s), and have not been reviewed, approved or otherwise endorsed by the credit card issuer(s). Reasonable efforts are made to present accurate information, however all information is presented without warranty. Consult a card's issuing bank for the terms & conditions.
All rates and fees, and other terms and conditions of the products mentioned in this article/post are actual as of the last update date but are subject to change. See the current products' Terms & Conditions on the issuing banks' websites.
Add to Favorites:
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.

Other Travel with Credit Cards Research:

Related Research:

Top 5 Cards for Travel from Our Partners: Summer 2018 – Expert’s Choice

Top 5 Cards for Travel from Our Partners: Summer 2018 – Expert’s Choice

Posted: February 12, 2018

The sun shines more and more each day, flowers are in bloom and you already feel how hot it is getting - summer is here. Summer holidays are almost here, and you are in need of dire preparation. You can lift in spirits and let CreditLand ... Continue reading
Cash Back or Travel Rewards? Here’s How to Decide On The Right Card

Cash Back or Travel Rewards? Here’s How to Decide On The Right Card

Posted: February 10, 2018

If you're trying to find the perfect rewards credit card, you might feel like you're drowning in options. There are just so many out there, and many of them look similar. This can make it tough to decide on a card. One thing people often ... Continue reading
Price Protection: Credit Cards That Will Refund a Price Drop

Price Protection: Credit Cards That Will Refund a Price Drop

Posted: February 8, 2018

Those who often find themselves buying stuff and then discovering that they could pay less for the same item they've just bought, will appreciate this credit card benefit – price protection. This is the least known and the most neglected ... Continue reading
You've successfully subscribed!

Please specify the following:All these fields are optional

Your Credit History
Themes you are interested in:

By providing this information you help us make our news letters more useful and informative. Thank you!