In these times of intense financial uncertainty and anxiety, everyone is trying to get a handle on their spending, and belt-tightening is truly the name of today’s game. After all, with unemployment rates skyrocketing, and just about every sector of the economy under severe strain, hardly anyone can be absolutely certain that they’ll keep their job. But spend we must, and a lot of times the spending takes place on a credit card. In order to get the most “bang for the buck” with their plastic, many people are seeking out rebate credit cards.
Rebate credit cards entice customers by offering them a sort of rewards program for all their purchases. The way it works is that when you make a purchase with your rebate card, you get a certain percentage rebate on the total price. So, for example, a gas-rebate card may offer a 5% rebate every time you use it at the pumps. Obviously, the more you use your credit card the more you’re spending, but if you’re using your credit card a lot it makes sense to at least get something for each purpose – accruing over time. It’s an incentive to get you to spend more, which you may or may not want to do, but if you have to use your credit card anyway, you might as well get something for it.
Many rebate cards are highly restricted, so it’s critical that you read the fine print before you get one. The rebates may kick in only once you’ve spent a certain amount – and it’s very often quite a large amount. Also, the rebates may be restricted to purchases at specific establishments, so don’t be surprised if your clothing rebates only work at a Macy’s, and not at a Bloomingdale’s. And of course, the credit card company can change the terms of the rebate offer whenever they want.
Before you sign up for a rebate credit card, make sure you know what you’re getting yourself into by reading all the fine print. If you’re not completely clear on all the details, make sure you get the advice you need from a trusted financial advisor.