When used effectively and with common sense, credit cards are useful. They are handy when making important or emergency purchases, if you don’t have the cash on hand. Since they are accepted almost anywhere in the world, they are useful for paying for goods and services in different countries, rather than paying with the local currency.
Depending on the credit card type and company, there are many products available ranging from credit card coupons to sweepstakes.
Here’s a quick list of seven credit card freebies and rewards you could be missing out on!
1. Travel rewards
Many credit card companies offer airline miles rewards. Travel mileage is accumulated according to credit card spend. If you travel for business or pleasure regularly, these rewards can quickly add up. Be sure to take advantage of your travel miles when embarking on your next trip to Hong Kong, London or New York.
2. Cash back cards
Cash backs are one the best freebies on offer! Credit card companies will pay back a percentage of your credit card spend. The return is generally 1-5% of your spend. Such benefits are usually offered to customers who pay their credit card bills on time each month.
Rebates work the same way as cash backs except marketers, retailers and manufacturers, rather than credit card companies, offer them. Partner retailers or manufacturers such as gas stations and supermarkets often offer rebates. Some companies will also offer frequent flier miles or travel rewards on airline ticket purchases or other travel expenses.
4. Purchase protection
Purchase protection benefits offer additional warranty on items purchased by credit card. Such credit cards will cover up to 90 days after purchase, and protect your item from damage, theft, and even loss. When applying for a credit card read the fine print to see if your provider offers this freebie.
Travel or personal insurance are two common credit card freebies. These are sometimes packaged with travel rewards like frequent flier points or airline miles. Some credit card companies offer a cash payout in case of injury or death while traveling.
6. Waived annual fees
This benefit depends on the type of credit card or your credit history. When deciding on a card be sure to check how long the annual fees are waived for. Sometimes these offers only last for one year. After this period, your provider may ask you to pay full price.
7. 0% balance transfer rates
Many savvy shoppers do away with transaction fees altogether by switching to a card, which offers a 0% balance transfer rate. These cards are great for rolling over current credit card debt into an interest free card – so you can pay the debt off without incurring interest. Just be careful that all payments are made on time each month, as the fees may be considerably higher than a normal credit card, if you miss a payment.
Mark Yasay is the Online Marketing Manager at MoneyHero, a comparison site in Hong Kong helping consumers find the best value for financial services and products. Mark also provides free financial advice for supporting and empowering individuals to meet financial goals and achieve financial freedom.