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The following article was published in our article directory on May 5, 2012.
Learn more about SpinDistribute Article Distribution System.

What You Need to Know about Rewards Credit Cards

Article Category: Finances

Author Name: chickie maxwell

There are so many credit cards in the market today and there is no doubt that the most attractive offers come in the form of rewards credit cards. You get a lot of perks because many credit card companies are trying to outdo their competition. Facing this multitude of charge cards trying to offer you different rewards can be quite overwhelming at first. However, the trick here is to know your needs and what your options are.

The first option is to get rewards credit cards that offer cash back or rebates for your items. This is one of the most popular rewards among credit card holders because then they could get a percentage off whenever they charge items to their credit card. There is a lot of savings you can get from the different products that you purchase like groceries, gas and even clothing. Ordinarily, you will get 2% off from all the purchases that you make with the card but there are cards that offer as much as 5% cash rebates. There are times when the card issuer makes special arrangements with particular stores to give you more rebates.

Other rewards credit cards give out point rewards instead. For every dollar that you spend using your charge card, you get 1 point each. Once you have accumulated the points, you can use these points to get some free items as gifts. There are times that the points can also be converted to a gift certificate, but in most cases, you will receive a product or service in exchange for your points.

If you are the type who loves to travel, then you will be happy to know that the third option for rewards credit cards will give you the chance to accumulate airline miles. You also have the option to convert your points for a stay in a hotel. For every dollar that you spend using your charge card, you get one point or one airline mile. Typically, the card issuer will work with particular airlines and hotel chains where you can claim your rewards. Upon receiving the card, you automatically become a member of the frequent traveller's programs of the respective airline or hotel chain.

You can definitely save a considerable amount of money with these rewards credit cards. By getting free gifts, rebates, free airline tickets as well as free hotel stays, it definitely makes it worth having a credit card and using it to make your purchases. The other good thing about these types of cards is that you can also participate in lottery draws and raffles where you can get the chance to win a whole lot more. However, it is also necessary to exercise caution in using your card. Some people only see the value in the rewards they will be getting and neglect to see the amount of debt they would incur because they kept on charging in their account.

Always remember to use your credit card and rewards wisely and not be distracted by the temptation of accumulating airline miles or racking up on those points.

About the Author: MyReviewsNow offers information regarding rewards credit cards. To learn more about rewards credit cards, visit our website at MyReviewsNow.net.

Keywords: rewards credt cards

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