Cash Back Reward Credit Cards
 
 
 

Cash Back Reward Credit Cards

What is a Cash Back Credit Card – A Simple Explanation

Saturday, January 30, 2010 @ 9:35 pm Author: Jeremy

Here is a quick post that answers the question “what is a cash back credit card?”

  • A cash back credit card is a credit card which rewards users with cash rebates based on spending.
  • Most cashback credit cards offer a certain percentage back – usually ranging from 1% up to 5%.
  • This rebate percentage often varies for spending categories such as gas, groceries, travel, etc.
  • The cash back rebates can also be limited by an introductory period or by late bill payments.
  • Credit card companies afford to offer cashback by charging merchant fees and interest fees.
  • Wise consumers are using cash back credit cards to earn money just for using their card.

What is your definition of a cash back credit card? Perhaps your definition varies slightly. If so, tell us about it in the comments below. We welcome all feedback provided you do not abuse the system with spam.

For example, perhaps you consider airline miles or store rebates the same thing as cash back. The only difference is that you have to spend your money with a certain company to qualify for the cash back. Maybe you would've spent your money there anyway.

Share
 
*See the online credit card application for details about terms and conditions. Reasonable efforts are made to maintain accurate information, however all card information
is presented without warranty. When you click on the "Click to Apply" button, you can review the credit card terms and conditions on the card issuer's secure website.