Rewards Credit Cards - what you need to consider
There are many different types of credit cards. Before obtaining a credit card, it is wise to check all available options and select a credit card that fits your needs best. While there are many types of credit cards available (standard, secured, rewards, cash rebate, etc.), this article discusses the pros and cons of rewards cards.

 

Benefits of Rewards Credit Cards

A rewards credit card is a credit card that gives you redeemable points. Each time you use a rewards credit card to make a purchase, you get points depending on how much you have spent. You can redeem these points for rewards such as airline tickets, hotel rooms, merchandise, gift cards, etc. Some card programs also have ways that you can donate your points to rewards to charities, schools, or other non-profit organizations.

Rewards cards may offer bonus points or miles for a certain period of time when use your card for everyday purchases like gas and groceries. This can be a great way to quickly increase your rewards. Often there will be an offer of bonus points or other rewards when you first sign up.

If you are the kind of person who wants to put all their purchases on a credit card and then pay off most or all of the balance each month, then a rewards type card could be a great benefit for you.

Drawbacks of Rewards Credit Cards

While credit cards that offer rewards are valuable, they can have their drawbacks too. Many rewards credit cards have a high annual fee so be sure to check the disclosures before you sign up.

 

Rewards credit cards can be a waste of money if you get points that are either not useful to you or may be hard for you to redeem. Be sure to select a card that aligns with your interests. For example, if you want to use your rewards for travel, then a card that focuses solely on airline miles or other travel perks could be a good fit for you.

 

Another risk with reward credit cards is devaluation or expiration of your rewards. If you fail to redeem your points or other rewards in a certain time frame, they may decrease in value or even expire.

So if you've decided that a rewards card is the right option for you, then you should check out our rewards card.

First South Financial's Visa Platinum reward credit card you can earn one point for every dollar spent on purchases, redeemable for travel, merchandise and much more. Use your points for the things that matter the most to you!

We offer fraud protection, credit limits up to $50,000, estatements and some of the best rates in the nation!

Plus, we're also offering a 4.99% APR 12 month introductory rate!

To find out more, contact us at 901.380.7400 or visit firstsouth.com today.