Cash back credit cards are incredibly powerful tools for consumers for when it comes to saving money – especially when they scour the market for the best deals. In this article, we are going to investigate the features and benefits of cash back credit cards that make them so powerful, and how they can be used in the market.
So many things appear to have a honeymoon period in this day and age, and you will be unsurprised to learn that cash back credit cards are no different. Many of these services will have a high introductory percentage rate of up to 5% on offer for the first three to six months of the contract, before reducing slightly for the remainder of the agreement. As a result, if you use this card for the bulk of your expenditure over the span of this introductory period, you could find that you get a generous lump sum that will be handed to you just 12 months later. Indeed, this could be a welcome gift – being put towards Christmas presents, a holiday, or renovations in your house.
In some cases, the offers used to lure consumers like you in may come in different forms – for example, wouldn’t it be nice to receive $100 in cash back, just after you have made your first purchase, or after spending just $800 in three months?
Cash back credit cards that are affiliated with certain stores or brands can also give additional power in the hands of consumers. For example, if you go for a Discover cash back credit card, as seen on CreditDonkey.com, consumers can receive anywhere between 5% and 20% back on the purchases they make on the Discovery online store – even after the introductory period we mentioned previously ends.
There is nothing worse than going for a cash back credit card that will only reward you for purchasing items that you never buy or use. Instead, there are some providers that will offer 1% automatically for every purchase you make, but 2% for the everyday things that matter the most – such as gas and groceries. The card, called Capital One Cash Rewards, also ensure that the rewards won’t expire as time goes on, meaning that if you want to save the points or money you have earned for a rainy day, you won’t be pressured to withdraw early.
The Bank of America has a different take on their services that takes the power of cash back credit cards to a whole new level. Here, certain purchases you make will gain you $50 off the value of your next statement, and there is no limit to the amount of money that you can earn over time. This offers great potential if you buy items that qualify frequently, meaning that you will have more disposable income to enjoy for the important things in life.
With a piece of plastic offering cash back in your hands, the opportunity to save money is incredibly tempting, because it is so satisfying! The only piece of advice before you proceed to sign the dotted line is to look around for the best offer, ensuring that you get the most cash back for your purchases. After all, is there anything more frustrating than realizing that you could have made savings?
Guest Blogger Connor Stephens writes from London about credit cards with a global perspective. He recommends finding a credit card with cash back so you can maximize your spending power.