Reward credit cards provide customers with rewards when they spend on their credit card. This is an incentive by card providers, supermarkets and airlines to sign up new customers and to reward their loyalty. Popular rewards include:
Not every reward card available on the market will be right for everyone. To find the best one for you, consider the following:
Think about the sort of rewards you would most like to earn.
Carefully consider how much you would spend on that card yearly.
Research thoroughly the reward credit cards available to see which would be the best deal for you.
Check the application criteria to ensure you have a good chance of being accepted.
Use the offers – The best reward credit cards come with introductory offers such as giving you a bonus 3,000 or 5,000 air miles if you spend a certain amount within the first few months. So if you have any particularly big purchases coming up, this could be a good opportunity to make the most of a rewards card, especially if it has 0% on purchases.
When using cash back, you may be able to receive as much as 5%, within the limited time offer.
Pay back on time – The interest rates for using reward credit cards are usually much higher than average credit cards of around 22% APR. So if you do not make your payments on time each month, you could find yourself paying quite high fees. However, if you are good at keeping up with your repayments and clear your debts every month, you will reap the maximum rewards.
Avoid borrowing – If you are looking to borrow money, it is not worth using a rewards card due to higher interest rates charged. You must certainly avoid cash withdrawals from an ATM since this will be very costly, unless you need to do so for an emergency. Unless you can confidently pay the amount in full each month, you could use other ways to borrow such as 0% balance transfer credit card.
We aim to be as approachable as possible for our customers, and will always do our very best to assist you with any and all queries you may have concerning any part of our application process and more.
Our online application only takes minutes to complete, with decisions being made very quickly after this. A member of staff will contact you to help you proceed with the final steps.
Each and every one of the providers we work with are fully checked to ensure their reputability, their trustworthiness, and furthermore their competency in helping to provide you with the financial services you require.
The Proper Finance comparison site is free to use and there are no upfront fees for filling in our online application.
In the majority of cases you will be able to use this card almost anywhere: online, on the phone, in person or at ATMs or abroad. Some may incur additional charges.
Yes, depending on the reward and provider in question, some need to be used within a certain period of time e.g 3 months. Always make sure you know how long you have left to use them.
This will depend on the provider, some credit cards will include annual fees for their rewards account and some will not.
You will have to pay interest on your card if you fail to pay off the balance in full. This could mean that the interest charges outweigh the advantages of rewards.
Some card providers will include additional charges, whilst others may be completely free of charge. Fees can be incurred for late payments, going over your credit limit, an inactivity fee, cash withdrawals and balance transfers.
Provided that you pay off any outstanding balance in full each month on your credit card, you will be able to take advantage of rewards without any fees.