Lots of credit card providers offer bonuses for customers who remain loyal and use their products regularly.
However, it’s also common for people to not even realize that there are perks and incentives available to them, or to use them suboptimally even if they are in the loop.
With that in mind, here are some ways to ensure that you’re getting the most out of any rewards scheme that you’re signed up to, rather than missing out.
How To Maximize Your Credit Card Points For Maximum Rewards
With so many options available, there are plenty of ways to get the most out of those hard-earned credit card points.
Here are some tips for extracting the most value:
1. Sign up for a reward program
Many banks offer loyalty programs that allow customers to accumulate and redeem points or miles on purchases with their credit cards. Enrolling in one of these programs can help you take advantage of extra perks like discounts and special offers.
2. Look for bonus opportunities
Some credit cards have promotional periods where they may offer double or triple points when used at certain retailers, so make sure to keep an eye out during holiday shopping seasons or other times when promotions are likely.
3. Choose high-value items
Once you’ve accumulated enough points, use them wisely by selecting items that have higher values than their point cost. For example, a flight to Europe may cost more in points than the same flight within your own country, so use those points for something special.
4. Spread out purchases
Spreading out large purchases over multiple cards can help you accumulate more rewards faster. Just be sure not to exceed your credit limit, and always pay off balances on time and in full each month.
If you’ve got a reward opportunity from a respected provider, like SoFi’s credit card cash back scheme, then much of the hard work is taken out of the equation. This is a good option for anyone who wants to kick back and let the bonuses roll in, rather than strategizing and agonizing over every last purchase.
Get Creative with your Redeemable Points and Miles
Once you’ve accumulated points and cash back, it’s time to decide how to use it. There are lots of creative choices available that will help you make the most out of what’s already in your wallet.
1. Donate them to charity
Many banks offer charitable donation programs where customers can donate their accumulated points and miles to a variety of causes around the world.
2. Use them as gifts
If someone close to you has a special occasion coming up, why not surprise them with something they wouldn’t expect, like an airline ticket or hotel stay paid for by your credit card rewards program? It’s sure to be appreciated, alongside a tangible gift.
3. Cash-in on discounts
Some stores may offer discounts on purchases when members pay using reward points instead of cash, so it pays (literally!) if you keep an eye out for these opportunities.
4. Trade them in
Some banks allow customers to trade their points and miles with other members of the same program, giving you more options when it comes time to redeem rewards.
The Bottom Line
In all of this, it’s important to read the small print of any credit card reward scheme you’re a member of, so that you know what your obligations are as a customer, and how any points you accumulate can be used. Not all initiatives are created equal, so don’t be afraid to look elsewhere if your current provider isn’t giving you good value for money.