Everyone uses credit cards today. It has become a necessary utility. In addition to safer transactions, the use of credit cards provides you with some free reward points as well.
The credit card provider offers these free points as gifts. They do it to retain customers and it helps them attract new customers as well. Obviously, those who use credit card services often will get more reward points.
How These Points Are Offered
There is no fixed criteria for providing any reward points. The service providers are free to change the volume of the reward points as per their wish. Moreover, it varies from bank to bank as well.
Generally, the credit card based reward points are given out to customers on the following pattern:
- Premier card (the highest range of cards) will get you 2 points on spending $8.
- Platinum card will get you 2 points on the payment of $10.
- Gold card will get you 1 point against the payment of $8.
- Classic card or the basic type of credit card will get you 1 point against the payment of $10.
Note that each bank will have entirely different criteria for giving out the points. The above is just a model of how most providers do it. It is very important to learn how your prospective credit card service provider offers free points. Visiting their website or talking with the customer support representative will help you get a clear picture about it.
There are different types of reward schemes; cash back rewards, frequent flyer rewards, zero interest purchases, fuel point rewards, mobile phone usage reward, shopping rewards, etc., are a few on the list. There are varying criteria for each reward program as well.