How To Earn More Reward Points
Getting into the world of rewards points and rewards credit cards can be a dangerous undertaking. Sometimes these cards can end up costing you more than you'll ever earn in rewards, however there are ways in which you can earn more rewards points and make the most out of your credit card by using these simple hints and tips.
Workout What 1 Point Is Worth
Some cards offer you 3 points per dollar while others only offer you 1 point per dollar, but what are those 3 points worth? Visit the lenders rewards store online and workout what a $50 gift card costs in points, compare this to the other credit card companies store, e.g. Credit Card A, which gives you 3 points per dollar, might charge 20,000 points for a $50 gift card, whereas Credit Card B, which gives you 1 point per dollar, might only charge 5,000 points, meaning that although you don't earn as many points, you would be better off going with Credit Card B, the one that only gives you 1 point per dollar.
Keep A List Of Bonus Partners
Most rewards cards will offer double points or cheaper products if you purchase through certain retailers, and the bonus partners cover almost every kind of product you can thing of, from groceries, hotels, petrol even electricity bills. We aren't saying go out and buy these things just for the points, but if you are in the market for a certain product, check the list first, you might be able to get some bonus points while you are at it.
Check Points Expiry Dates
Yes, those points you have been saving up for years can expire, and be wiped from your account. Although it's rare to get a card with expiry dates on your points these days, make sure you double check before you apply and start saving up your points.
Watch The Fees
Mainly the annual fee. Most rewards cards have high annual fees, this is because the 'rewards' aspect of their card is the main selling feature, unlike low-rate card, or no annual fee cards. Most of the time the annual fee is worth it though, if you are spending wisely and spending a lot, the rewards points you earn should more than cover this annual fee.
Watch The Interest Rate
Again, the 'rewards' part of the card is the main selling feature, so interest rates won't be very competitive. If you are always paying off your balance before it is due, then you won't have to worry about the interest rate. You will have to be aware of the cash advance rate though, as the interest charged on a cash advance is not subject to a interest free period, the charge is put on any cash you get out when you get it out.
Read The 'Bonus Points' Fine Print
Nearly all the rewards cards being offered at the moment have a bonus points offer, such as 20,000 points when you get a new credit card with that company. These are usually subject to certain conditions, like you must purchase something using the card over a certain value within a month or you must use it to purchase a particular type of product within a month. Although these conditions are not hard to fulfill, make sure you know what you have to do so you don't miss out on all those free points!
Don't Waste Your Points
Especially on items in the rewards store, sometimes the items such as knives, coffee machines, movie tickets etc, are not as valuable to spend your points on when compared to other items, such as gift cards, or cash rewards. Sometimes it might be better to redeem your points for a gift card and go buy the item that is in the rewards store, as you might be able to find it cheaper somewhere else and still have some of the gift card leftover.
Compare Rewards Points Credit Cards now to see which card could be right for you.