5 Things to consider before choosing a Rewards Credit Card

A card by which you can do a lot shopping, dining, travelling and do all other things which can entertain your self and you will get reward points for the same. But at the same time  you have to be sure whether you are going for the right rewards credit card in uae.

You have to keep in mind these important factors before choosing a rewards credit card

Before deciding if you should use, or even apply for, a rewards credit card, it’s important to ask yourself the following basic questions:

1. How many reward points you are earning
2. Where you can spend those points
3. For how long you can use them
4. What is minimum value require to redeem those points
5. Annual fee on the card

 

 

1. How to earn points?

Utilize your credit card every month. Your everyday spending will add up and become future savings after redeeming. But do not spend beyond your means for more rewards.

Many Loyalty programs are running in which you can earn reward points on domestic spends and international spends and Guess what??  You get more points on international spends, many credit cards even allow you to earn a large sum of points in starting months of the cards.

You can earn points by booking flights, making online payments for your hotels , shopping fuel,utility, dining and by other activities. Earning points value vary from card to card some provide 2 points for AED 1 spend ,some 1.75 points and some provide 1.25 points and there are many such figures .So ,go for the card  which provide you more points on AED 1 spend .

Some credit cards even don’t give any minimum cap for earning these reward points, pay monthly bills by credit cards and use credit cards for big purchases.

2. Where to spend these earned reward points?

Many loyalty programs are running for spending these points at various locations.

Travel benefits: You can redeem these points on airlines for booking tickets , booking hotels and on the cab services such as careem.

Lifestyle benefits: You can redeem these points on online shopping malls,  movie tickets , dining & restaurants

Recharges and bills: You can redeem these points for daily use purposes such as utility, fuel, supermarket and other retail spends.

Third party website : These points can be used on third party website also such as Amazon, noon and other popular websites.

Golf is famous sport in UAE,  you get many discounts on that as well.

3. Validity

As there is validity for each and every product so even these points have some validity period.

The most important thing in rewards credit card is to remember redeeming than earning, either you can use it or lose it.

Knowing the expiry date and rules for your rewards use can save you from missing opportunities.

Points you earn with a regular rewards credit card largely don’t expire. But even the few exceptions give up ample time to redeem those rewards.

The terms of these points depends on the card issuers or the loyalty program runners, these terms sometimes change with a respective time.

4. Minimum value require to redeem points

Normally you would need a minimum number of rewards points before you can redeem it

Some card issuers provide minimum cap for the spend and cap may vary product to product, while there are some  card issuers which do not require any minimum cap for availing benefits.

5. Annual fee charged on Card

Annual fee is charged by the issuer of the credit card  for the services which is provided by them. It is charged on an annual (yearly) basis on the card and even it varies from credit card to credit card .

You can use reward points to pay this fee. So, make sure that you are earning enough points to offset annual fee.

But everyone knows that no one want to spend  their hard earned money so don’t worry for the same even there are some credits card that fulfill your this wish too, they don’t charge any annual fee.

Looking for no annual fee credit cards in UAE?

It cares for you as your loved one care for you& gives you sweet gestures in form of points when you spend on it.