Maximizing Your Rewards Credit Card

Most people who apply for a credit card look for one that can give rewards. If you already have such card, there is a huge possibility that you are not getting the most out of it. In order for you to start maximizing your rewards credit card, you need a shrewd strategy. With a sound plan, you can easily overcome the hurdles and rack up on your rewards points.

Choose the Best Card

The truth is that there’s no single best card for everyone. Each person has his or her own needs. Selecting the right card is a bit tricky due to a great number of options. Nevertheless, you can narrow down your choices by means of finding the odd one out. If you observe thoroughly, you will notice that 95% of the cards available today offer the same thing: 1% cash back. Sometimes, they use points, miles, or discounts to substitute cash back. Regardless, they are all the same – 1% is 1 cent for every dollar spent. What you need to do is to find exceptional cards with higher percentage for every dollar. There are some that have 1.25% to 1.5%. Doing so lets you earn up to 50% more than choosing the traditional 1% scheme.

Charge Your Daily Purchases on Your Card

If you do not like carrying cash when you are at the grocery store, then switch to a credit card. It is more convenient and easier to pay with your plastic. You can get your monthly record on all of your expenses. Plus, every time your card is swiped, you earn rewards for your purchases.

Have More than One Card

Carrying multiple cards has its many benefits. Most card companies today have rotating categories that you can sign up for each quarter. If you have at least two cards and you have signed up for health care for one and gas stations for the other, you will have more savings at the end of the day.

Be Completely Aware of the Rules

Rewards cards come with strict rules most of the time. Some compel their card holders to spend a certain amount first before they can grab hold of rewards. Others may also place a cap on the total rewards that a consumer can earn each year. You may think this is unfair, but if you are aware of these rules from the moment you use your card, you would be able to make the most of the offered benefits.  Learn about the expiration dates and if there are blackout dates when claiming your rewards. This way, the points or miles that you have accumulated will not go to waste.

Pay in Full

Credit card rewards are fantastic deals. However, the problem ensues once you start paying late or only the minimum payment. Even worse is if you choose to ignore your bills. One single late payment will cause you to pay the huge interest fee. This will instantly wipe out all your hard earned points in an instant. Even if you have the most generous card with the best rewards and benefits, you cannot maximize your rewards card if you do not pay your balances on time.