Credit Card Types | Choose Best Credit Card Deal

Many credit card deals now offer rewards and incentives for using their card on regular purchases.

A few types are reward points, cash back, or gift cards. Reward cards give you points that which can be spent on merchandise from a wide variety of merchants or service providers. And, if you’re in the spirit of giving, you can even grab a card that donates your reward points to a charity.

It’s a win-win situation…you spend money as you normally would, only you get a little bit extra in return.

Cash Back Credit Card Deals

Most cash-back cards give you around 1 to 2% on purchases. The cash back is granted to you (by most credit card companies) as a check in the mail. You’d then cash the check at your bank or deposit it towards your credit card debt. It’s completely up to you!

Reward Credit Card Deals

Reward cards give you 1-5 reward points for every dollar that you spend. Most pay 4 to 5 reward points for every dollar spent at pre-approved merchants, which include gas stations, grocery stores and drug stores. Later, you redeem your points for pre-specified items in a credit card deal brochure or website.

Which Credit Card Deal is Right For You?

Each type of credit card deal has its pros and cons. The best card is the card that’s right for you.

Cash Back Deals: Pros

  • Cash can be used anywhere, for any kind of purchase.
  • Gives 1% – 2% cash back on all purchases.

Cash Back Deals: Cons

  • Rewards points cards may give rewards of high value.
  • Cash Back can only be used when a check is issued.

Rewards Points Deals: Pros

  • Rewards points credit card deals are often a higher value than the cash-back variety. If you use the credit card for purchases made within the merchant member network, you can get as much as 5% value back when you spend your reward points.
  • Reward points are available to use on a rolling basis. Some card companies may require you to accumulate a certain number of rewards points before redeeming them. And, reward points can sometimes be used for cash rewards.

Reward Points Deals: Cons

  • Reward points can only be redeemed from particular merchants and/or on particular merchandise.