Use Credit Card Rewards On the Necessities
Posted on Tuesday, June 12th, 2012 at 10:12 am
It’s nice to have a credit card that comes with rewards. Credit card companies use rewards to encourage people to use their card instead of one from some other company. They also hope that you will spend more money on the card in order to earn a particular reward. Smart shoppers learn how to use credit card rewards on the necessities.
Amazon has a Visa card that you can use to earn points with every purchase you make. You get three points for every dollar you spend on Amazon.com purchases. You get two points for every dollar you spend on gas, dining, and drugstore purchases. You get one point for every dollar you spend on purchases made anywhere else. When you earn enough points, you can get a $50 gift card or $50 cash.
Chase has a Chase Freedom Credit Card. This is another credit card that lets you earn points when you use the credit card. The points can be turned into cash. You get $100 bonus cash back when you spend $500 in your first three months. You get up to 5% cash back on up to $1,500 spent in bonus categories each quarter. You get 1% cash back on all other purchases. You also can get 10% cash back when you shop online through Chase.
These are just a few examples. The credit cards that you have might have other types of cash back offers. Go read the details about how points are distributed in order to make the cash back system work for you
Once you get the cash back reward, it is time to spend it on necessities. Use it on groceries. Bring your coupons, and don’t forget to use the grocery store’s savings card. It’s almost like getting some groceries for free. Another great way to use your cash back is on the gas that gets you back and forth from work.
There is a trick my husband and I use in order to make things work out even more in our favor. Keep track of exactly how much you are spending on the credit card. Don’t spend more than you can afford to pay off the entire balance of on the next bill. If you pay off the entire balance each month, then you won’t have any debt. Credit card companies charge interest on the amount that you owe them. Pay attention, and you can avoid spending extra money to get your cash back reward.