How to earn more credit card rewards
Who doesn’t love a rewards credit card? Rewards credit cards are those where anytime a cardholder makes a purchase, they earn rewards points. Depending on the card, you might be able to redeem these points for cash back, select retail items, or even plane tickets. No matter what kind of rewards card you have, the key is to earn as many rewards as possible. Below is a list of our top tips for earning more rewards points through your credit card.
Choose a reward structure that’s in line with your spending habits
To choose the rewards credit card that’s right for you, consider your spending habits. What items do you tend to charge to your credit card? Is it gas, recurring bills, groceries, travel expenses, or other types of retail purchases? Since different credit cards reward different types of spending, you will want to find one that aligns with your purchase patterns. For example, if you love to travel, you may wish to choose a card where you earn extra points or cash back for all travel-related purchases. Alternatively, if you spend most of your money on gas or groceries, make sure to find a credit card with a good rewards structure in those categories. Lastly, if you charge a mix of items to your card, a classic cash-back rewards card might be the best choice.
Take advantage of sign-up bonuses
In an effort to make their credit cards more enticing to consumers, many issuers offer impressive sign-up bonuses. While some of these bonuses are earned simply by opening the card, others are only earned if you meet a certain condition, such as charging a minimum amount of money to your new card in a specific timeframe. Do yourself a favour and take advantage of all sign-up bonuses if you can. For example, if you receive a major bonus for spending $1,500 in the first three months, do your best to meet this threshold. Perhaps now is the perfect time to finally make that major purchase you’ve been thinking about for months.
Research all card perks
Rewards cards don’t just offer rewards points to cardholders. Rather, most come with exclusive perks. For example, travel credit cards may come with access to a special airport lounge, a free checked bag on each flight, credits for hotel stays, or insurance for delayed flights or lost luggage. Meanwhile, retail credit cards might offer additional perks like extended returns and warranties or fraud and purchase protection. Generally speaking, the higher the annual fee, the better the perks. Research all the perks for your credit card so you can take advantage of them at every turn.
Don’t forget to read the fine print
Our final tip for earning more credit card rewards is to read the fine print. Far too many cardholders don’t take the time to review the fine print and end up missing out because of it. For example, some credit card issuers have very particular rules surrounding rewards spending categories and which stores qualify for them. You might think that the groceries you buy from Walmart or Costco are earning you bonus rewards only to discover they’re not. The only way to know exactly which purchases qualify for rewards is by reading the fine print.
