Credit cards can be a valuable tool in your finances. Thanks to all the rewards programs that are out there the value of credit cards has increased considerably. The problem is not finding a credit card that has a rewards program but instead choosing the right program for your lifestyle.
A good look at your own needs can help you to choose a card that really compliments your lifestyle.
What Are Your Options?
Rewards are broken down into two categories – Cash and others. Some credit cards offer rewards in the form of cold hard cash. You can earn cash by spending at certain places like gas stations or certain retailers or by doing certain things like going to the movies.
Cash back is an easy option for most people that do not carry a balance on their cards because typically cash back rewards cards do not have the lowest rates. They may be fair rates but if interest rates are important to you because you do carry your balances over from month to month then you may want to consider the other programs out there.
Mileage points for air travel is another big rewards program option and is ideal for anyone that loves to travel.
Points that you earn that you can cash in or spend on goods or for discounts can also be a great program for you if you are not sure what you want to do with your credit card rewards.
Do note that most reward points expire if you do not use them by a certain time. Make sure you always read the fine print (which is where they hide the expiration date) so that you do not miss out on any of the points.
Pick Your Reward
One of the best ways to pick a credit card is to compare it to other credit cards that are out there or currently in your wallet. If you spend an hour reviewing what credit card companies are offering these days you may be nicely surprised to find that there is a credit card out there that fits you to a tee.
Choosing a credit card based on the rewards system is not something you have to live with forever, if you choose a rewards card you are not happy with just repeat the process to find one you may be happier with.
If you use credit cards anyway you might as well get as much out of them as possible. Reward programs are a great way to get what you want doing something you would be doing anyway.
*You may also be interested in: The best sign-up credit card bonus from Citi