Choose The Most Rewarding Credit Card

  Author: Naveen Kumar

Your credit card may offer you a major amount of reward points but those could be useless if they don’t translate into meaningful rewards. You can make your credit card reward points more meaningful if you choose the right credit card. Here is how you can make out if your card is offering the best rewards.

Assess the reward tie-ups A credit card reward programme would only be useful for you if it offers rewards for things you purchase. Make sure that the credit card that you are about to take has a rewards programme that’s suitable for your spending behaviour.

Check the reward rate This is the number of credit card reward points accumulated for Rs 100 spent on the credit card for a specific use. Most of the credit cards offer higher reward points or accelerated reward points for specific purchases or usages. So, go for a credit card which pays higher reward points for things you typically spend on.

Determine the rupee value of the reward Besides the number of reward points you need to determine the value of those points in rupee.  That will give you the true picture. For this, you may refer to the catalogue for credit card reward redemption. It should inform you about the reward points required to buy a product. You can compare it with the price in the market to get the value of the reward points in rupees.

Number of conversion options Reward redemption is mostly done by purchasing a product or a gift voucher. Ensure that the credit card has more redemption choices that also suit your spending pattern.

Credit card reward points are designed to reward you for using your credit card more often. To make the most of the reward points you need to ensure that they cover the items on which you typically spend your money on. It is a great idea to keep this mind while choosing a credit card.

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