Nov 5, 2021
If you're new to credit cards, or even if you're a seasoned cardholder looking to simplify your life, figuring out how to earn cashback rewards can be a daunting task. It’s important to remember that the best cashback credit card for you is one that you can use frequently and that rewards you for the type of spending you do the most.
Using a cashback card is similar to getting paid to spend money that you would have spent anyway. Or, to put it another way, it's a discount on whatever you buy with the card. Big spenders can easily earn hundreds of dollars in cashback rewards each year.
Decide which type of cashback credit card you want
Flat-rate cashback card
Flat-rate cashback cards pay a fixed percentage (usually between 1% and 2.5%) on all eligible purchases, whether you plan a long-awaited vacation or spend a ton on groceries for a big family. This simple rewards structure makes it simple for you to earn cashback on everyday purchases.
Bonus-category card
Choose a bonus-category card if you're willing to put in some effort to get a higher rate of cashback for purchases in some places — for example, restaurants, grocery stores, or gas stations — and less, typically 1 % back, everywhere else.
Bonus-category cash-back credit cards come in two main flavors: bonus categories that remain constant and those that change.
Fixed categories
These cards provide a higher rewards percentage for spending in specific categories, such as gas or groceries, and a lower rate usually 1% on all other purchases. The categories remain the same, though some cards limit the number of rewards you can earn in a given category. Fixed-category cards are more complicated than flat-rate cards, but at least the bonus categories are consistent.
Rotating bonus categories
Cards with rotating bonus categories provide higher cashback percentages (usually 5%) in purchase categories that change every quarter. From home improvement stores and streaming services to drugstores and wholesale clubs, common bonus categories include everything.
Be aware of cashback credit card limitations
Earning cash back on purchases you'd make anyway with a credit card can be very rewarding. Even so, when looking for the best cashback credit card for you, keep an eye out for these common pitfalls.
Reward rates and category spending
High rates in certain categories are wonderful, but not all categories are created equal. Consider how much money you spend in this category on a regular basis. For example, if your card offers 3% back on supermarket purchases rather than a higher 5% back on streaming video services, you're more likely to earn more cashback. This is due to the fact that you spend more money at the supermarket than you do on streaming. And you're probably only getting 1% back on everything else. That's the allure of a good flat-rate card.
Annual fee
This is usually zero because annual fees on cash-back cards are uncommon unless they offer a particularly lucrative cashback rate. And some of them do. If a cash-back card has an annual fee, it must be so good that the fee is easily repaid every year.
Redemption options
Credit card rewards are only valuable when they are redeemed. When evaluating a cashback credit card, keep an eye out for issues such as minimum redemption requirements and cashback expiration policies.
Additional benefits to look for
Other features to look for in a cashback credit card, depending on your objectives, may include welcome offers, travel insurance, or purchase protections such as extended warranty or trip cancellation/interruption coverage. Consider whether you'd actually use those benefits and how much they might be worth to you.
The bottom line
Cashback credit cards are a great way to earn a little cash back on everyday purchases. At BanqMart, we help you consider your shopping habits and select a card to ensure you get the most out of cashback rewards.
We love staycations! A short trip away from home with family and friends is always good for a much-needed break. Its always a good idea to consider staycation deals that not only include relaxing accommodations but also offer great facilities, activities and restaurants. The benefits of taking a staycation are endless, but the best part is staying at a luxury hotel and soaking up all the comfort it offers. Let's have a look at a few of our favorite spots!
Feb 7, 2022Dubai Expo is welcoming visitors from all around the world until March 2022. The huge exhibition with 200 pavilions, 191 of which are from participating countries, showcases the meaningful impact that is being made across the world. But having so many amazing pavilions makes it difficult to decide which pavilions to include in the must-see list. To help you make the most out of your visit, BanqMart has compiled a list of top 10 country pavilions at the Dubai Expo.
Jan 21, 2022Using credit cards for travel can open a world of possibilities for those who want to. However, earning and redeeming points and miles can be difficult, and getting the most out of your credit card isn't always evident. Dont worry though, we have your back. Here is a cheat guide to help you maximize your airline loyalty points as well as redeem them effectively so you can enjoy traveling.
Jan 13, 2022The best way to earn cash is by using credit cards with cashback rewards. Credit cards with benefits help you save money as you spend it. But such cards often come with a significant annual fee, and the only way to justify this fee is to use the card in a way that helps you maximize your benefits. If not sure how to do that, keep reading for some basic pointers on how to get the most out of your cashback credit card!
Dec 27, 2021The holidays are a wonderful time, but if you are not careful, you could also end up with a season full of financial stress. The best way around this is to make and stick to a budget plan.This wont only help you reduce stress, but it will also save you from overspending.
Dec 20, 2021Setting up and sticking to financial goals allow you to understand and plan your finances based on your lifestyle and wishes. If you don't have any financial goals, you may need help figuring out what you should save or what you want for the future. Creating financial goals is a good idea regardless of how much money you make or how much money you spend, and we are here to help you.
Apr 5, 2022One of UAE’s missions is to promote good health and wellbeing, while also raising awareness of cancer to encourage its detection, prevention, and treatment. Many cancers have been linked to lifestyle factors such as poor eating habits and a lack of physical activity. We know that leading a healthy lifestyle can help reduce the risk of certain cancers and other health issues, but here are some tips to help:
Mar 10, 2022Celebrate your relationship alongside Dubais beautiful landscapes and enchanting surroundings. This magnificent city is the epitome of beauty and perfection with so many exciting things to do. So here are our top 10 romantic places in Dubai to enjoy with your partner. Hope you like them as much as we do!
Feb 11, 2022The cryptocurrency industry is extremely fast-paced with bitcoin, dogecoin, and ethereum fueling the crypto fever. Despite the fact that the crypto market is barely a decade old, amateur investors are attracted to it in search of a quick profit. With our crypto guide, you can understand the basics of cryptocurrency and examine the various ways you can invest in it right now.
Feb 9, 2022Artificial Intelligence (AI) is being more widely used around the world. It appears to be everywhere, from home smart devices to the well-known Siri on Apple devices. AI and fintech are even disrupting more traditional industries, such as wealth management and retirement planning.
Feb 9, 2022We love staycations! A short trip away from home with family and friends is always good for a much-needed break. Its always a good idea to consider staycation deals that not only include relaxing accommodations but also offer great facilities, activities and restaurants. The benefits of taking a staycation are endless, but the best part is staying at a luxury hotel and soaking up all the comfort it offers. Let's have a look at a few of our favorite spots!
Feb 7, 2022Dubai Expo is welcoming visitors from all around the world until March 2022. The huge exhibition with 200 pavilions, 191 of which are from participating countries, showcases the meaningful impact that is being made across the world. But having so many amazing pavilions makes it difficult to decide which pavilions to include in the must-see list. To help you make the most out of your visit, BanqMart has compiled a list of top 10 country pavilions at the Dubai Expo.
Jan 21, 2022Using credit cards for travel can open a world of possibilities for those who want to. However, earning and redeeming points and miles can be difficult, and getting the most out of your credit card isn't always evident. Dont worry though, we have your back. Here is a cheat guide to help you maximize your airline loyalty points as well as redeem them effectively so you can enjoy traveling.
Jan 13, 2022The best way to earn cash is by using credit cards with cashback rewards. Credit cards with benefits help you save money as you spend it. But such cards often come with a significant annual fee, and the only way to justify this fee is to use the card in a way that helps you maximize your benefits. If not sure how to do that, keep reading for some basic pointers on how to get the most out of your cashback credit card!
Dec 27, 2021The holidays are a wonderful time, but if you are not careful, you could also end up with a season full of financial stress. The best way around this is to make and stick to a budget plan.This wont only help you reduce stress, but it will also save you from overspending.
Dec 20, 2021Setting up and sticking to financial goals allow you to understand and plan your finances based on your lifestyle and wishes. If you don't have any financial goals, you may need help figuring out what you should save or what you want for the future. Creating financial goals is a good idea regardless of how much money you make or how much money you spend, and we are here to help you.
Apr 5, 2022One of UAE’s missions is to promote good health and wellbeing, while also raising awareness of cancer to encourage its detection, prevention, and treatment. Many cancers have been linked to lifestyle factors such as poor eating habits and a lack of physical activity. We know that leading a healthy lifestyle can help reduce the risk of certain cancers and other health issues, but here are some tips to help:
Mar 10, 2022Celebrate your relationship alongside Dubais beautiful landscapes and enchanting surroundings. This magnificent city is the epitome of beauty and perfection with so many exciting things to do. So here are our top 10 romantic places in Dubai to enjoy with your partner. Hope you like them as much as we do!
Feb 11, 2022The cryptocurrency industry is extremely fast-paced with bitcoin, dogecoin, and ethereum fueling the crypto fever. Despite the fact that the crypto market is barely a decade old, amateur investors are attracted to it in search of a quick profit. With our crypto guide, you can understand the basics of cryptocurrency and examine the various ways you can invest in it right now.
Feb 9, 2022Artificial Intelligence (AI) is being more widely used around the world. It appears to be everywhere, from home smart devices to the well-known Siri on Apple devices. AI and fintech are even disrupting more traditional industries, such as wealth management and retirement planning.
Feb 9, 2022