How to Decide on the Best Rewards Credit Card

Summary: The collective battle cry in the market to 'Serve the Customer' in times of intense competition can be quite overwhelming. Subliminal persuasion by the companies and the myriad rewards credit cards available to the consumers can make the choice of one an onerous task.

The collective battle cry in the market to 'Serve the Customer' in times of intense competition can be quite overwhelming. Subliminal persuasion by the companies and the myriad rewards credit cards available to the consumers can make the choice of one an onerous task. Essentially, the rewards credit cards attracts consumers motivates spending by providing loyalty rewards. To find the best rewards card from those on offer, you need to introspect on your lifestyle, spending habits and the various benefits promised by the companies offering rewards credit cards. Lifestyle Lifestyle is a major determinant in choosing the best rewards credit card. It is better to select a rewards credit card, which rewards you for the purchases you make most frequently, so that you can easily accumulate bonus points. Also, make sure that the rewards offered are the ones you are interested in and not something of any use for you. Spending Habits Consider your spending habits before deciding on the best rewards credit card. Typically, the more you spend in a year, more are the reward points you earn. Most rewards cards have a monetary limit beyond which you cannot avail of rewards. The solution, in such an eventuality, may be to find a new rewards card. Other rewards cards have an expiration date, so that if you do not earn enough points in this time frame, then no reward points are earned. Do consider the expiration date and the trade-off points, when deciding on your card. Also, rewards credit cards carry a higher rate of interest than traditional cards. It is imperative that you pay the balance due each month in due time to avoid paying higher finance charges. If you do not intend to do so, select a rewards card with low interest rates. Benefits Of The Rewards Card In addition to the rewards programs, a good rewards credit card also offers benefits such as, purchase protection, extended warranty coverage, travel insurance, auto rental insurance, lost luggage insurance, gift certificates or discount coupons, and even discounts in airline tickets. It pays to take these into account in addition to your lifestyle and spending habits while deciding on the rewards card best suited for you.