Cash back are benefits that are included when owning a credit card. Cash back is essentially earning back a small percentage of what you’re spending. These rates vary from 1% to as high as 4%. Maybe even more! Not only that, but you can even earn a higher rate when shopping through your credit card’s shopping portal.
when decided on spending money on a certain item with either a debit card or cash, then try to take advantage of the purchase with a credit card to earn cash back. It will essentially saving a lot of money in the long run as it tends to add up soon before you know it.
For your credit card’s shopping portal, there is generally a limit or cap. These rates can be as high as 20% in savings. However, the max you can receive in cash back may be $10. Be sure to read the terms and conditions that follow, so that you can full grasp how this works.
How To Redeem
Depending on what which bank you are with, cash back can be redeemed in a numerous amount of ways. These can range from:
Bank Deposits: You can redeem cash back rewards in your checkings account. Some cards can even let you redeem cash out of your balance without needed a minimum amount.
Statement Credit: You can redeem your cash back rewards for money that go towards your current credit card balance in which you owe.
Gift Cards: Cash back can be rewarded towards gift cards or other electronic certificates for many different retailers and merchants.
Flights & Hotels: If you’re someone who travels often, then this is perfect for you because you can redeem your points for cheap flights. You can also redeem your rewards for hotel stays and more!
Charitable Donations: This doesn’t apply to all credit card companies, but you’re also able to donate however much you’d like to a charity of your choice!
Responsibilities
Just be cautious. Even though earning cash back is easy, this should not be used as an incentive to spend more money on things. In fact, don’t think about the cash back bonus and only check every once in a while, so that you aren’t tempted to spend more than you need to.
Spending a lot of money just to earn cash back bonuses can be a high risk. Overspending and falling into debt can actually run you the risk of high interest charges. If these charges aren’t taking care of within a certain period of time, you may lose all of your hard earned points that you’ve been saving!
 The United ClubSM Infinite Card offers 90,000 bonus miles after you spend $5,000 on purchases in the first 3 months from account opening. You'll earn: • 4x miles on United® purchases • 2x miles on all other travel and dining • 1x mile on all other purchases. • Earn up to 10,000 Premier qualifying points per calendar year (25 PQP for every $500 you spend on purchases) This card does carry an annual fee of $525. However, you can get up to $120 Global Entry, TSA PreCheck or NEXUS fee credit. In addition, you'll get a savings of up to $360 per roundtrip (terms apply) by getting your first and second checked bags for free and Premier Access travel services! Member FDIC |
Bottom Line
When it comes down to it, cash back is an amazing thing. Be sure to find a good credit card that gives you a high rate for cash back without paying an annual fee! These credit cards come with responsibility, so be sure to not fall into debt. Accumulating large amounts of interest charges and debt can lead the bank to close out on all of your hard earned points! Check out ways to earn Credit Card Bonuses, and Save Money here at HMB.
 | BMO Bank Checking: Open a new BMO Smart Advantage Checking Account and get a $350 cash bonus* when you have a total of at least $4,000 in qualifying direct deposits within the first 90 days. Learn More---BMO Checking Review *Conditions Apply. Accounts are subject to approval and available in the U.S. by BMO Bank N.A. Member FDIC. $4,000 in qualifying direct deposits within 90 days of account opening. |
 | Chase Total Checking®: Earn $300 bonus when you open a new Total Checking® account and make direct deposits totaling $500 or more within 90 days of coupon enrollment. Apply Now---Chase Total Checking Review |
| Chase Private Client: Enjoy up to $3,000 bonus when you open a new Chase Private Client Checking account with qualifying activities. Get more from a personalized relationship when you open a new Chase Private Client Checking account with qualifying activities. Learn More---Chase Private Client Review |
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