Which Cashback Credit card is best for you?
Itâ€™s all in the details.
First of all, make sure you understand the details of each offer. Does the cash back apply to all purchases, select categories or a combination of both? Some cards return a higher percentage back for groceries than they do for gas, as an example.Also, be sure you understand the maximum amounts you can earn and when and where you can redeem your bonuses. Cash-back dollars may appear in your account that can be redeemed for things like partner gift cards, eCertificates, statement credits or electronicÂ deposits to your bank account. Simply redeem as little or as much as you like. Lastly, remember that cash back cards may come with expiration rules. So donâ€™t leave money on the table for missing regularly scheduled payments, or going months without using your card.Â
Earn bigâ€‘time cash back that never expires with Discover itÂ®.
What are your spending habits?
Once youâ€™ve nailed down the specifics of each offer, the next step is analyzing your spending habits and matching the cash-back categories to your style. What types of products and services do you purchase the most â€“ books and movies? Home improvement? Travel? Some credit cards offer cash-back bonuses on rotating categories throughout the year, so you have even more ways to save.In addition, other credit cards feature shopping marketplaces that enable you to earn extra cash back at participating retailers.Â For example, Discover cardmembers have access to Discover Deals making it easierÂ than ever to shop, save and earn rewards with popular brands.Â
Look beyond the cash back.
While the cash back perks are enticing, donâ€™t forget to compare the non-cash back features of the card with your spending style. Do you like to pay off your credit card in full every month or just make the minimum payment? If you want to get the maximum benefit from a cash back rewards card, itâ€™s a good idea to pay off your balance each month to avoid paying interest.Â
The thing about APRsâ€¦
Even on a single credit card account, APRs can vary depending on a few different factors. For instance, one APR may be charged for purchases and another for balance transfers. Promotional APRs can let you save over the short term by offering you a low or 0% interest rate on certain kinds of transactions, for a limited period of time. Keep in mind that some credit card companies will increase your APR if certain conditions are not met. By paying your balance on time, you can help ensure you keep your low APR.
When it comes to credit card fees, be sure to read the fine print. Credit cards can vary significantly in what theyâ€™ll charge you for annual fees, late payments, balance transfer fees, etc. â€“ so make sure you understand how these fees affect the way you like to spend.A Discover It card for example doesnâ€™t penalize you for paying late by raising your APR and thereâ€™s no late fee on your first late payment.*
Best Rewards Credit Cards â€“ Added features and benefits.
As an extra bonus, many credit cards offer a variety of benefits like price protection, auto rental insurance and extended warranties â€“ just for using your card. When choosing the best rewards credit card for you, read through the entire offer and get familiar with all the terms and conditions. Then carefully monitor your spending habits over the next few weeks to see how well your new card fits your lifestyle.