We’ve all seen them and they are growing in popularity, but which credit cards should we choose? Do we want to earn cash back, earn free air miles, or earn free products. The opportunities and offers are endless and it seems that many companies these days are getting involved. Their credit cards offer us a reward in return for the loyalty of using their card and they make it sound like a win/win situation.
If you like to buy a lot of things in one month, this kind of credit card probably doesn’t take much to convince you it is the right choice for you. However, you need to keep in mind that they are not usually as glamorous as they first appear to be. Many are not going to give you cash back or free products on every purchase that you make. Even if they claim to give you cash back on every purchase, often times they will only give you up to a certain amount per transaction. Most companies also have a strict limit on the amount that they will give back to their customers. If you read the little, bitty print on the form that you signed, you will see a paragraph with their limits in the terms and agreements.
Don’t be fooled by free giveaways – why collect air miles if you never travel, why collect free rewards if you will find it hard to spend your rewards and is free cash back really cash back?
Before filling out the registration form, be sure to research different credit card companies to see what they are offering. Know the limits, know the expectations and know the hidden costs such as annual fees and interest rates. The best decisions are made when you are fully informed.
What should your decision be? If you have a good credit rating and a good repayment history, then these cards are probably a great option for you. Research different card companies and find the one that has the best benefits for you and your family.