Cash Back Credit Cards Vs Reward Credit Cards
With cash back credit cards or reward credit cards, you make your usual credit card purchases and receive incentives in the form of cash back or reward points. You use these incentives to receive free or discounted products and services. Some credit cards even allow you to donate your cash back to your favorite charity.
There are also cards that will allow you to deposit your cash back into a savings account to save for your child's college fund, which can add up over the years and can be very beneficial.
Cash back credit cards and reward credit cards sound like a terrific deal and you're probably wondering, 'What's the catch?' Well, it is the fact that you're probably paying a higher level of interest in order to receive the cash back or rewards.
Cash Back Credit Cards
Cash back credit cards usually pay between one or two percent
cash back on the majority of your purchases. You receive a check in the mail at specified times for the amount you have earned. All you have to do is put the cash in your pocket to spend as you wish.
Sometimes 'hard cash' takes various forms, though. Discounts on particular items, such as furniture or gasoline, are common. Others offer to store the cash back in the form of a negative balance on your account. Such credit can be used towards future purchases.
Reward Credit Cards
Reward credit cards give you points for your purchases, usually one to five points for every dollar you spend on your credit card. Use caution here. Some reward credit cards only offer rewards when you shop at specific places that they stipulate in their 'Merchant Network' list.
If you don't shop at these specified merchants, you will not earn any rewards, or you may get a few points less for using your credit card elsewhere. When rewards have accumulated to a certain level, you can redeem them for 'specified' items at any location that is on their 'Merchant Network' list.
The advantage of reward credit cards are that the reward points are usually a little higher percentage of your purchases than cash back. Reward incentives often reach as high as five percent. On the other hand reward incentives can only be used at specific merchants that belong to the credit card company's 'Marketing Network' and you can only purchase specified items.
Whether you choose a cash back credit card or reward credit card is strictly your decision. If you use your credit card often, rewards can add up quickly, but remember, you can only shop at locations that are specified locations.
Cash back can also add up, but not as quickly. Make your decision by carefully researching the incentives of several credit card companies. This will assure that you get a cash back credit card or reward credit card that is right for you.
Latest Credit Card News
Guaranteed Bad Credit Financing
Receive a loan or credit card even with bankruptcy!
Personal Loans & Visa Approved At Abacus
Offering Personal Loans, Credit Cards for the credit impaired.
CreditConnect.net - Bad Credit Loans
Loans & credit cards for people with bad credit. Affiliates earn 75% from this extremely professional and high converting site!
How To Get Out Of Credit Card Debt
Start getting out of credit card debt today with 7 Easy Steps to Getting Out of Credit Card Debt.
Debt Free In About 3
Patent Pending process shows you how to be debt free in about 3 years, including your mortgage, cars, and credit cards.
Reuters - NEW YORK, July 6 (Reuters) - In conjunction with next week's baseball All-Star Game, Bank of America Corp. (BAC.N: Quote , Profile , Research ) is rolling out a credit card that lets holders redeem points for a World Series tickets or throwing out a ...
Ashley County Ledger - A Crossett man faces theft and identity theft charges in connection with using a credit card registered to the Ashley County Sheltered Workshop. Police Chief Tommy Sturgeon said Monday that police arrested William Matthew Travis, 23, 104 West Ninth ...
KPLC TV - Lenders, landlords and other service providers purchase credit reports to help them make credit granting decisions such as approving an application for a loan, credit card or housing. Check Your Credit * Personal information. Compiled from credit ...
KPLC TV - Everyone who signs up for the card at expressgoldcard.com is guaranteed an unsecured $7,500 line of credit with no credit checks or employment verification. The card works much like a "store credit card" because the line of credit can only be spent in ...
KPLC TV - A home equity loan provides you a lump sum, while a home equity line of credit, sometimes called a HELOC, functions more like a credit card that you can use as needed. Before you borrow against your home, it's important to have a plan for repaying the ...
WAFF - Paying with a credit card can be quick and convenient but it wasn't for one man. Then again, it wasn't his credit card. A man was busted at the BP Minit Man convenience store at the corner of South Parkway and Bob Wallace. According to Huntsville ...
WAFF - You find a credit card laying on the ground. What would you do? Hopefully, most of us would try to return it to the owner. But unfortunately, there are some people just looking to take advantage of others. A Valley woman recently dropped her credit ...
PRWeb - July release geared to help administrators bring their business online Travis Software Corp., a market leader of Advanced Employee Benefits Software Administration and provider of the WebCOBRA.com system, announced today the availability of WebCOBRA ...