|
|
The cash back credit card is a relatively new arrival in
the world of credit cards. The basic rule is that the rewards are minor
and the purchase interest rate higher. To get cash back of 0.5 - 2% on
every purchase, generally you will have to pay an extra 3 or 4% in
purchase interest. The way to beat this is to pay off your balance every
month, if you do not, the extra interest charged on your balance will
generally work out to be more than the cash back earned. So if you are
that type of person that uses their credit card a lot and pays off
the balance each month, then this probably is the best credit card for you.
Most pay you your cash back in a lump sum at the end of the year. For the
majority of us mere mortals, this is a small amount totalling less than
£20 per annum, but if you are a really high spender, then it can literally
amount to hundreds! (Don't get too excited though, there is a ceiling on
how much cash back you can earn with most credit card companies). Still, if you
never run up a debt on your credit card, free money is free money however
small an amount!! |
|
