It’s all about the rewards! I love using my credit cards to pay for things and get cashback and gift cards. Since I pay it off each month I don’t accumulate any interest and the rewards are just a bonus on top of what I normally would spend anyway. Some people are probably tempted to spend more to get more rewards, but that’s not the way I operate.
Of course some people shouldn’t be using credit cards or don’t want to use them at all. Rewards credit cards also have very high interest rates that are definitely not in the best interest of the consumer. I would not use rewards credit cards if I couldn’t manage my money correctly and have a balance on it. The high interest rates would keep me in debt for quite a long time. There are other ways to get rewards without having a rewards credit cards though. Your bank debit card might have a rewards program and there are online sites devoted to just rewards.
Bank debit card
I have a regular checking and savings account with Bank of America. Online I can sign up for special cashback deals and get the rewards when I shop for those certain stores. It’s pretty limited though and only about ten stores or so are on there at a time. Check to see if your bank has a reward program. To compete against credit cards I’m sure they have something going on.
I just started using Ebates not too long ago but it’s been pretty useful. They have a very long extensive list of online stores that you can shop at and get cashback. Every three months if your cashback total is over $5.01 they’ll send you a check! You just have to make sure that when you do any online shopping that you go to their site first and click through to get your rewards.
This is actually an entire rewards site where you can earn rewards not just by shopping, but also by doing certain activities and completing surveys and such. I use this all the time because it doesn’t take much effort and the easiest thing to do is use their search to get rewards every now and then. They don’t literally give cashback but you get giftcards instead. You can get a $5 Amazon giftcard for 450 rewards points. I’ve gotten quite a few of these already!
What cashback programs do you use that aren’t tied to a credit card?