web analytics

How to Get Cash Back on a Credit Card

How to Get Cash Back on a Credit Card PhotoYou may think it is difficult to get cash back on a credit card. But actually the process is quite uncomplicated. For those who have no idea how to go about it, here are some of the most important tips to keep in mind.

Choose a credit card that offers a reward program

Once you sign up for this type of credit card, your account will be automatically activated in the cash-back system. So anytime that you make purchases at regular retailers, each qualified purchase would earn a certain percentage. For instance, you may get 5% when you buy at supermarkets and pay at gas stations.

Know the credit card rules

Make sure to read the fine print so that you will have a good idea of the limits that you can get from cash backs. Remember that some credit card companies may give limits depending on the amount of money you spent.

Check which stores and retailers are registered in the cash back program

Not all stores are authorized in cash back programs. So you have to check with your credit card company which ones are included in their list. And take note that very few credit cards will give cash back for your online purchases. Make it a point to know every detail because even the small amounts could add up when consistently accumulated.

Ask how much you have accumulated and ask for your reward check

Some credit card companies automatically award cash backs to the account while others do not. To be sure, you have to ask about the process. But in most cases, you would have to ask the total accumulated amount at the end of the month or anytime that you think you have already accumulated enough. Then request for the money to be credited to your account or get your check when you are ready to avail of your cash back.

A word of warning

The amount you earn from cash back programs depend largely on your spending habits. Try to do the math and see if the rewards are worth the extra expenses. It is a fact that most credit card companies charge high interest rates. Unless you keep your credit card balance to a minimum or pay your dues in full month after month, the interest rates could pile up as well. The rewards you receive may be too little compared to the interest that you have to pay.