Millennials are a fast-living, fun-loving generation, with little faith in the economy and somewhat shy when it comes to using credit cards. But this doesn’t mean that plastic is bad. At some point, you will need to get one, and, if you do, you might as well get one that throws some rewards your way.
This article will help you pick out the right rewards credit cards for you.
What do you need?
Before you start looking for a new card, you need to figure out what kinds of rewards you want. Look at how you live your life, how much time you spend behind the wheel of your car, or how much time you spend traveling. This way, you’ll know whether a travel rewards card is right for you, or if one that comes with discounts for gas better suits your needs.
Don’t just look for prizes, look for cash, as well!
Maybe you’re not the traveling type. And maybe you don’t need discounts for gas or other things. No matter what you prefer, I guarantee that you won’t say “no” to cold hard cash. Rewards cards can give that to you as well.
Cash back cards, as they are called, return a small percentage of the amount you’ve spent. You won’t receive a check in the mail, if you’re thinking about that. Instead, you’ll get credit on your monthly statement, something like a refund.
Cash back cards can be great, but this doesn’t mean that you should rush to get one without doing your homework. Always read the fine print, because these cards are complicated. Some of them may only work for certain categories of goods and services, while others only after you spend a certain amount of money.
If you’re new to credit cards, you need to be careful
Rewards aren’t free. You may think they are, but they’re not. You’re actually paying for them, indirectly, in the form of higher interest rates and higher annual fees. And it’s these things that you need to be aware of. If you’re not used to using a credit card and paying for what you owe on time and in full, you might get in trouble with debt really fast.
Credit cards can be very useful, and the rewards they come with can make your life easier. But don’t forget that you still need to be a smart, responsible user. Otherwise, your rewards credit card can quickly turn into your worst nightmare.