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Cash Reward Credit Card Advice

There are several cash reward credit cards that CreditCardAssociate.com recommends. They each differ as far as the rewards and payment options are concerned.

A cash reward credit card is becoming one of the most popular kinds of credit cards, and for good reason. As long as you pay your balance in full you are getting a little discount on every purchase you make, but they are not created equal.

One major difference is the actual cash back percentage you receive. Some cards offer a flat rate of 1% or 2% on every purchase. While others go up to 5% on select types of stores like grocery stores, gas stations, and pharmacies. Some limit the amount of rewards you can earn. For instance you spend $75,000 in one year, but the rewards are only for up to $50,000 (This limit resets every year usually on the month you first activated the card). So you won’t earn any cash back on the extra money you spent over the reward limit. Some cards place another limitation on your rewards by requiring you to spend a certain amount of money to reach a higher percentage of cash back. Please view a diagram below to help explain the cash back rewards systems and stipulations, so you don’t get caught on a technicality, and to help you choose the best credit card for your needs.

Total Annual PurchasesCash Reward Percent
$0 - $5,000.00
0.5%
$5,000.01 - $50,000.00
1%

This diagram shows us that if you only spend $5,000 in a year you will earn 0.5% on those purchases, but if you spend more than $5,000 you will earn 1% on every purchase after $5,000. This diagram also shows that if you spend more than $50,000 you stop earning rewards until next year.

Another way a cash back credit card can be different is their payment options. Usually a card has a minimum before you can receive your money, like $25.00, or it doesn't have a minimum, but you will only receive your money once a year. Some will send you a check while others will just deduct the rewards from your bill. There are many options, so please read the review of each credit card you are considering, to make sure it has the options you want.

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