Credit Card Reward Program Benefits- A Mother’s Perspective
Credit cards and Credit is the topic of everyone’s discussions. Everyone wants good credit but credit cards not so much. However, credit cards are more beneficial than just helping your credit score. Credit cards aren’t such a bad idea if you can figure out how to use them properly, and only when you can pay back the balance. A good way to keep track of paying your credit cards back would be to create a budget, and make sure they are included. I recently published my book titled “Strategically Being Mom”, in which effective budgeting and techniques are covered. As for credit cards, it took me some years to figure it out but I think I finally got the concept of not digging myself into a deep hole of dept. Because let’s face it, no one likes owing anyone anything, especially if it impacts future endeavors.
Several years ago credit card companies jumped on the “rewards program” boat. The concept is to offer the customer some incentive for using their cards. Here I’ll focus on the two I mostly use: Cash back program or a Points program.
Cash Back Reward Program
• Earn 1% (or more) when you buy on all purchase
• You can use it for anything.
Points Reward Program
• Points are typically one cent each.
• You can redeem your points for cash, gift cards, merchandise, or travel.
Both programs have helped me tremendously at times. I mainly use the programs to satisfy shopping and entertainment for my family. A great example I like to share with other Mom’s, is school shopping. School shopping is a big ordeal, I shop for school twice a year, summer/spring and fall/winter. This year I used the majority of my rewards for shopping. Out of pocket I probably spent $150.00 at the most. What I did was use my credit cards at stores or gas stations, then around the six month mark I cash out my rewards. I order retail gift cards which take 5-7 business days to get to me, and once I activate them they are mine to spend. I encourage you to look into how reward programs can benefit you, but be smart and pay back what you use on your credit cards, so you can continue to build not only your rewards but your CREDIT too.