Understanding Rewards Credit Cards

Rewards credit cards are those cards that provide you with some form of reward for every purchase that you make. These rewards may be cash, airline miles, or points that can be used to purchase certain goods or services.

For those individuals who pay their credit card balance in full at the end of each billing cycle, a reward credit card can be a smart choice. In fact, if used wisely, a reward credit card can actually make you money. This is because you do not pay any finance charges if you pay your bill in full every month. On the other hand, you receive rewards for every dollar you spend.

If you carry a balance on your credit card, however, a reward credit card may not be a good idea. This is because credit card companies assess higher than average annual percentage rates (APR) on reward credit cards. Therefore, if you do not pay your bill each month, your finance charges are likely to be more costly than the rewards you will receive.

So, while the idea of receive cash back or earning free travel may sound appealing, be sure to look at your lifestyle and determine if it really is a sound financial decision for you.

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The Financial Dominance of the Credit Card Industry
Keeping Your Credit Card Safe
Traveling With Your Credit Card
A Look at Current Bankruptcy Laws
Fixing Mistakes on Your Credit Report
Flying With Credit Card Airline Miles
Get Stylish with Your Credit Card
Keeping Your Credit Report Clear
Modern Day Vending Machines
Using Pre-Paid Credit Cards for College Students
Making Sense of the Prime Rate
Protecting Your Credit Card Account Information
Reasons to Use a Credit Card Instead of Cash
Rising Minimum Payments: Friend or Foe?
Staying Out of Debt While Using a Credit Card
Pay Your Way Out of Debt with Your Tax Refund
Tips for Shopping Online With a Credit Card
Understanding Airline Miles Credit Cards
Understanding Cash Back Credit Cards
Understanding Prepaid Credit Cards
Understanding Rewards Credit Cards
Understanding Student Credit Cards
What to Look for in a Credit Card
What to Watch Out for in Pre-Paid Credit Cards