July 15, 2018 5:02 pm

Credit Card Rewards: Are They Worth It?

Having a credit card is really a very good option, but what about the credit card rewards that do come with it? A reward credit card is usually high in demand because they help you in a number of ways for your cash back. A bonus point that you get on credit card reward is really worth of your plastic rectangle.

Credit card shopping

According to Forbes, credit card rewards can be utilized to the fullest if you spend some time and effort earning it. Some of the rewards include discounts on some items from a specific market. You can bank on this special offer and manage your rewards in turning it into your utility thing. Some cards have a twelve month fee in their system; the rewards can help you fulfill some of that charges. It should be like this− your rewards should make up for your annual cost of the card and still save you some bonus points. If that does not happen, change your card. Because, it is like you are paying unnecessary for just swiping at the counter. That’s not an ideal situation.

According to CNN money, some rewards include particular store discounts. You may get discounts if you shop through the card online. Some feeds offer about up to 20% discount on buying made through online shopping supermarket in many principal stores. If utilized in a proper manner, these discounts can add some extra cash in terms of savings.

Credit card rewards are just like spread free coins on the floor. You may accumulate many bonuses you may want by using this credit rewarding system. But some cards also penalize you if there is no activity on your card for a said amount of time. Inactivity can also deduct your points in some cases, so be careful about the same.

However, Time.com says that The Chicago Federal Reserve recently carried out a study and discovered that people with rewarding credit cards spend more than those who carry normal cards, and they also carry a high amount of debt, which nullify out the worth of any rewards that you earn.

So the final question is – Are credit rewards worth it? Well, the answer is yes, if you are fully responsible for your card and know how to utilize its benefits. The answer is straight no, if you do not shop often with your credit card, and it is just an extra item of your purse.

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Gareth Jones

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