Take advantage of reward credit cards this Holiday season to lower your overall spending costs. Here are some tips to make the most of your reward credit cards; including ways to maximize your gift card benefits:

• Redeem your reward points for gift cards or merchandise to give as holiday presents. For example, you can redeem 5,000 American Express points for a $50 Amazon gift card or 2,800 points for a $25 Starbucks card.  Or, just give someone the gift card itself and avoid shopping altogether.
• Take advantage of extra reward points by purchasing from your card’s reward partners. Many issuers offer bonus points when you purchase at specific locations. For example Citi offers bonus points at The Body Shop, Target, eToys.com and Overstock.com. This will allow you to earn more gift cards and merchandise faster - which can also be given as gifts.
• Consumer Reports report that 27% of people who were given gift cards during the 2006 holiday season had not used one or more of them nearly a year later. Are you holding onto forgotten cash in the form of a gift card? Before you begin your holiday shopping, check your purse, junk drawer or glove box for unused cards. Its a great way to re-gift and save money. If you haven’t used them by now, you won’t miss it and it will help offset your overall holiday spending budget.
• Read the terms of any gift cards from last year. Some cards have changed terms this year. You may be losing gift card value after the first year through an assessed monthly fee.

Posted in Credit Tips

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