Best ways to redeem credit card reward points - WJBF-TV ABC 6 Augusta-Aiken News, Weather, Sports

Best ways to redeem credit card reward points

Posted: Updated:
  • Best ways to redeem credit card reward pointsMore>>

  • Know your credit score and how to improve it

    Know your credit score and how to improve it

    Wednesday, April 2 2014 6:42 PM EDT2014-04-02 22:42:29 GMT
    It's easy to get your free credit report, but finding out your credit score for free can be a little more elusive. Here's how to get your report and some ways to increase your credit score.
    It's easy to get your free credit report, but finding out your credit score for free can be a little more elusive. Here's how to get your report and some ways to increase your credit score.

Nearly every credit card offers some type of reward, but knowing the best way to spend those reward points takes a strategy.

You will want to figure out how to get the most valuable reward for the fewest number of points.

"One cent per point is kind of the bare minimum that you can get. You want to try to go higher, so you can get as high as two and a half cents per point," says Personal finance expert Gerri Detweiler of Credit.com.

Using points to get a cash credit on your statement is typically one of the worst ways to spend your points, according to Detweiler. If it takes 20,000 points to get a $100 credit, you are only getting a half-cent value per point.

Also, using reward points to get merchandise is typically not a good value.

"A lot of the credit card reward programs offer a shopping option where you can buy merchandise. But you typically only get about one cent per point and the merchandise is at full price, so if you shopped elsewhere and looked for a sale, you would probably do better."

Detweiler says with reward points you will usually get the most bang for your buck using them for travel, especially luxury travel. Hotel rewards can offer some of the most lucrative deals.

"Sometimes there are cards that may offer bonuses for certain types of purchases or rotating categories of higher rewards. So, knowing what each of those cards in your wallet is offering is one way to maximize those rewards," according to Detweiler.

Also, keep in mind that reward points can expire.

Unclaimed points will usually disappear if you cancel your credit card, so use them before closing a credit card account.

If you miss a payment, it's typically spelled out in the fine print that you will forfeit your reward points.

Donating reward points to charity really isn't a good use of points for one primary reason, since you don't pay for reward points the IRS doesn't consider your donation tax deductible.

Copyright 2014 WFLA. All rights reserved.


  • Don't Miss ItMore>>

  • Florida voters approve of medical marijuana

    Florida voters approve of medical marijuana

    Monday, July 28 2014 3:39 PM EDT2014-07-28 19:39:17 GMT
    Any way you look at it - age, gender or party registration - Florida voters overwhelmingly support the idea of legalizing medical marijuana, according to a Quinnipiac University poll released Monday
    Any way you look at it - age, gender or party registration - Florida voters overwhelmingly support the idea of legalizing medical marijuana, according to a Quinnipiac University poll released Monday
  • 'Topless Tour' inspires travelers to post topless photos

    'Topless Tour' inspires travelers to post topless photos

    Monday, July 28 2014 3:17 PM EDT2014-07-28 19:17:37 GMT
    Yosemite National Park, CA, "Topless Tour" Instagram photoYosemite National Park, CA, "Topless Tour" Instagram photo
    A popular Instagram page is featuring a unique look at scenic locations around the world."The Topless Tour" encourages people to upload topless photos of themselves posing in scenic landscapes.
    A popular Instagram page is featuring a unique look at scenic locations around the world."The Topless Tour" encourages people to upload topless photos of themselves posing in scenic landscapes.
  • FWC: Lionfish need to be removed from Florida waters

    FWC: Lionfish need to be removed from Florida waters

    Monday, July 28 2014 2:48 PM EDT2014-07-28 18:48:42 GMT
    Florida Fish and Wildlife Conservation Commission is changing management rules of invasive lionfish to remove them from state waters.Lionfish was introduced to state waters in the 1980s, and since then, populations have boomed in recent years, negatively impacting native wildlife and habitat, the FWC says.Starting August 1st, several changes go into effect to help combat the growing problem by making it easier for lionfish hunters to remove the spiny predators and limiting further introductio...
    Florida Fish and Wildlife Conservation Commission is changing management rules of invasive lionfish to remove them from state waters.Lionfish was introduced to state waters in the 1980s, and since then, populations have boomed in recent years, negatively impacting native wildlife and habitat, the FWC says.Starting August 1st, several changes go into effect to help combat the growing problem by making it easier for lionfish hunters to remove the spiny predators and limiting further introductio...
  • Most Viewed Stories on WFLA.com

  • Sign up for WFLA News Channel 8 Email Alerts

    * denotes required fields






    Thank you for signing up! You will receive a confirmation email shortly.
Powered by WorldNow

1336 Augusta West Parkway
Augusta, GA 30909

Telephone: 706.722.6664
Email: talkback6@wjbf.com

Can't find something?
Powered by WorldNow
All content © Copyright 2000 - 2014 Media General Communications Holdings, LLC. A Media General Company.