There are many different types of credit cards around today, with all sorts of different incentives and features. One of the main categories of credit cards that are trying to get peoples attention are reward cards. These cards offer you something in return for spending your credit. If you are looking for a credit card, then here is some advice about the pros and cons of reward cards.
What are reward cards?
Reward cards are simply another name for credit cards that offer you specific rewards or incentives in return for spending your credit. These can range from cash back schemes to travel rewards to discounts on goods. The idea is to encourage you to spend, and that in return you are getting something back.
Cash back schemes
One of the most common forms of reward cards and cash back scheme cards. These cards offer you a percentage of the money back that you spend, usually between 0.5 and 1%. This means that the more you spend, the more money you will get back in rewards. These cards are good for people who spend a lot on their credit cards anyway, but often pay back most or all of the balance in full each month.
Travel rewards
Another...