3 Ways to Avoid Squandering Cash Back Rewards

There are a number of ways to lose that hard-earned cash back rewards and many of them point back to careless habits.

Even if you’re one of the many that are savvy with these rewards, you could be one of households that loses $205 from the $622 that they’ve earned, in terms of cash back rewards.

So, here are 3 simple ways by which you can avoid squandering these cash back rewards:

#1: Selecting the wrong credit card

What’s the point in getting a credit cards which won’t allow you to avail the benefits to its maximum?

In other words, you might not be getting the best from your spending as there would be a better card that’s more in line with the way you spend.

#2: Having a rolling balance

If you have a rolling balance, then that’s the fastest way to eat into the reward points that you’ve accumulated with your purchases. The only way by which you can get maximum rewards is by paying off your balance completely every month.

And if you are still paying off last month’s charges, then you better know that you won’t be earning any rewards.

#3: Buying too much for the cash back

There’s no doubt that earning cash back rewards can become addictive and this could lead to additional spending. In a number of cases, cardholders end up buying more so as to get the most out of a promotion or for a special reward.

It should be obvious that if you’re buying just so to get cash back, you’ll be richer not spending money at all.