Get Maximum Benefit Out Of Your Credit Card Reward points:
A lot of credit card users don’t redeem their points before their credit card gets expired. Out of the people who know how to redeem credit card reward points, very few know exactly how to get maximum benefit out of their credit card reward points.
To know what exactly it is,
Explore reward catalog first
When you have decided to redeem your reward points, just go through the respective bank’s reward catalog and explore all the options. Don’t stop exploring when you reach the one you like. Reason is, you might get the same thing for fewer points in another way.
Let’s say, Nexus 7 tablet actual cost is Rs. 9,000 and it was listed on the bank’s reward catalog.
To buy the tablet from the bank’s reward catalog, it says that you need to pay 18,000 points.
That means, for each rupee, you need to pay 2 reward points.
You may find the same tablet at some XYZ shopping mall for 9,000 rupees. You may find the same shopping mall’s gift voucher in the bank’s reward catalog where it says, you need to pay 500 reward points to get Rs. 500 gift voucher. Which means, each rupee costs just 1 reward point here.
Instead of buying the table from the bank’s reward catalog, you can buy the XYZ shopping mall’s gift voucher worth Rs. 8000 for just 8000 reward points. Then, take the gift voucher and buy from the shopping mall itself.
Difference? You paid only half of the reward for the same item.
Most of the times, price of the item in bank’s reward catalog is slightly higher than the outside market value. So, just be aware before you buy anything.
Some of the banks even allow you to use your credit card reward points to buy fuel or to buy some items from online shopping websites, etc. Some banks even give you cash back offers.
So, just spend some more time to know about your credit card and use it effectively.