The stronger your credit scores, the more options you have in credit card offers and that certainly holds true for cash rewards credit cards. And really, what’s better than cash? Credit card companies are extremely competitive with their cash back programs, but it’s the consumer who ultimately benefits.
Editor’s Choice[card id=”971458″]
Finding the right cash rewards credit card should be a process that includes research. Important questions include any redemption restrictions, the annual fees and spending threshold considerations. For instance, must you spend a minimum amount before the rewards kick in? These are all important questions, and ones we sought answers to before choosing our Editor’s Choice.
4 More Smart Cash Back Rewards Card Choices[card id=”968133″] [card id=”968133″] [card id=”1005698″] [card id=”768301″]
It’s not surprising cash back rewards programs come with annual fees. That’s not always the case, but it’s just as likely you’ll discover an annual fee as not. The main consideration, other than the cash back rewards is whether you’re going to come out ahead as a result of that cash back. These financial products are indispensable for those who use their cards often; if you’re more of a casual or ’emergency use only’ consumer, you might want to consider a different kind of rewards card – such as travel points or gas rewards. As mentioned, card companies are competitive with their cash back rewards offers, but it’s that healthy competition that keeps us coming back – and keeps us loyal.
The Benefits of Cash Rewards Credit Cards
Obviously, the primary benefit is the cash back with these offers. Another common benefit that pair easily with cash rewards cards are the often-included airport lounge access, purchase protection programs and concierge access – these exclusive offers, of course, are only beneficial to those who actually use them, so choose wisely. We also discovered the ease in which the companies make it to redeem the rewards for the cold hard cash. The customers who qualify for these credit card offers are the ideal consumer for the card companies, so they know it’s all about the convenience.
In recent months, some of the bigger card companies have even expanded their cash rewards. It’s clearly an effort to keep the customers they have while also enticing new consumers who are bound to become loyal customers – provided the companies continue to share the love, of course. It’s worth mentioning, though, that even though the competition is heavy, as the consumer, you have the right to comparison shop. If you find a better offer, and if you’ve carefully considered the pros and cons of opening a new credit card account and if it’s in your best financial interest, there’s no reason why you shouldn’t.
Look for 0% intro rates (they’re out there) for both purchases and balance transfers, those credit card offers with cash back bonuses for shopping through the network’s site – in some instances you can earn as much as 20% cash back in home improvement stores, retailers, restaurants and airfare, as well as those with proven track records when it comes to customer service.
Disadvantages of Cash Rewards Cards
As we touched on briefly, there does exist the potential for higher annual fees with cash rewards cards; that said, credit card companies will often waive the first year’s fee as part of its invitation. Not only that, but watch out for those offers that don’t up the ante with their other perks and benefits.
You’ll want to remain vigilant to remain aware of higher fees associated with using ATMs for cash withdrawals. While the goal of the card networks isn’t to offset all of the benefits of cash rewards, they are in business for a reason, so be sure to explore that reality before applying.
Cash back rewards offers are one reason credit cards are worth it. In our fast moving society, it’s all about convenience that doesn’t break the bank and one of the shining examples of meeting that goal is via these special credit card offers. Often though, we, as consumers, become our own worst enemy when it comes to managing our credit. Don’t become overly consumed with the benefits of a cash back offer to the point that you neglect the obvious – such as the ability to make the payments (and preferably pay the balance each month).
Comparison shop, keep up with our reviews here and become your best advocate. It’s the only sure way to financial freedom. And, dont’t forget to check Free Money page, too.
Have you had any personal experience with Cash Rewards Credit Card?