What are the Best Credit Card Reward Schemes?


Visitors: 203

It used to be when you wanted to apply for a credit card, choosing the best credit card was an easy thing. The best credit card was the one that offered you the lowest APR and membership fees - that is to say, the one that cost you the least to use. Low APR was the biggest selling point, backed up by no membership fees, or low membership fees. A few years back though, credit card companies started recognizing that interest rates - low interest rates - weren't always the best draw for new business. After all, you can only lower your APR so far - 0% intro rates aren't uncommon anymore - before you start paying people to use your product. One can almost imagine the conversation around the boardroom table the first time someone tossed out THAT idea - let's pay people for using our credit card! It sounds like a bizarre idea, but in point of fact, it is precisely the idea behind reward credit cards.

The fact is that credit card companies only make part of their money from the interest rates that they charge on their best credit card - or on all of their credit cards combined. The greater portion of their income comes from transaction fees charged to merchants who accept their credit card. Since the credit card company gets a transaction fee from a merchant every time you use their credit card to buy something, it's in their best interest to encourage you to use your card as often as possible. Thus, the different card issuers have come up with a variety of reward credit card schemes to get you to use their credit card for purchases instead of ponying up cash at the till.

Those reward credit card schemes range from paying you cash back for every purchase to giving you free airline travel to filling up your tank with petrol at the pump. Generally, deciding which is the best credit card reward scheme is a very personal matter. It depends on which of the rewards offered are most valuable to you and which add little value to your credit card. There are some reward credit card offers that have wide appeal, though. Some of the best credit card reward deals you'll find when you apply for a credit card are at comparison websites.

American Express Nectar Credit Card The Nectar credit card is designed for the UK market. It offers the most competitive APR (12.9% typical), and a balance transfer rate of 5.9% for the life of balance transfers made in the first six months. Even without the reward, this one ranks up there in the best credit card competition, but when you add in up to 4 reward points for every £1 spent, and dozens of UK merchants participating in the rewards programme, you've got one of the best credit card combination offers out there today.

Marbles Online Credit Card

The Marbles Online Credit Card combines a mid-level APR (14.9%, frozen through the rest of the year) with an no-exceptions credit card rewards programme. No complex figuring up of three points here and half a point there - every purchase you make with your Marbles card earns you .5% cash back paid into your Marbles Online account each February. If you're the type to clear your balance every month, and charge most of your expenses to your Marbles card, you'll end up with a nice boost to your post-holiday finances - to spend any way that you like. Flexibility and simplicity make Marbles one of the best credit card rewards programmes that we've seen.

These are only two of the best credit card offers you'll find at the moment. If you're planning to apply for a credit card online, be sure to check out all the offers and information available to be sure that you get the best credit card for you.

Jon Francis has been involved in various areas with the world of finance and has a keen eye for a bargin! He has an in-depth knowledge of the credit card UK market and now helps others get the best from a credit card . For more information visit “http://www.moneyeverything.com".


Article Source:

Rate this Article: 
Credit Card Reward Programs
Rated 4 / 5
based on 5 votes

Related Articles:

Cash Back Credit Card or Reward Credit Card: Which One Should You Get?

by: Tim Gorman (September 10, 2006) 

Airline Credit Card Frequent Flyer Miles - Reward Credit Card Air Miles

by: Bradley Carson (July 07, 2006) 

Good Credit Card Deal – Key Points To Getting A Good Reward Credit Card

by: James Hegarty (December 15, 2006) 

Credit Cards Used Wisely Can Reward You, More Than The Credit Card Company

by: Phil West (June 09, 2007) 

Reward Yourself With A Credit Card

by: Joseph Kenny (August 22, 2006) 

Let Your Credit Card Reward You

by: Adam R. Singleton (November 04, 2009) 

Credit Card Reward Programs: Getting The Most Out Of Your Credit Cards

by: Carrie Reeder (October 04, 2005) 

Best Credit Card Reward Programs

by: Connie Barker (September 07, 2006) 

Things to Consider With a Reward Credit Card

by: Tom Tessin (September 22, 2008) 

Credit Card Reward Programs

by: Christain Cullen (September 29, 2006)