Deciding on the best rewards-bearing credit card can be a difficult decision, especially when each issuer offers what seems to be a great deal. But consumers can narrow down their choice by taking a close look at card features and deciding if the benefits are advantageous to their spending and lifestyle habits.
For example, most rewards cards either offer travel/hotel points, cash back deals, or generic rewards points, according to Fox Business. Consumers can begin weighing the pros and cons by deciding which type of rewards are more appealing. Do they travel frequently? Are airline miles limited to a certain airline? How are rewards redeemed and what are the restrictions? These are questions consumers should ask themselves before making a decision.
Rewards cards also tend to carry higher rates and fees than other types of credit cards. Individuals may benefit from taking a look at their finances and determining whether they can afford membership fees or variable interest rates.
Consumers should also read the credit card terms thoroughly to ensure there are no hidden conditions or expenses that accompany the product.