How To Choose The Best Cash Back Card?


What is a Cash Back Credit Card?

Cashback credit cards are quite popular among credit card categories. It provides a certain percentage of the money back on the amount spent using the card. The percentage varies across categories. The rewards earned on a cashback credit card are known as cash points which can be redeemed for real money. Unlike other rewards, cash back rewards cannot be devalued. You can use the amount to either transfer it directly into your bank account or you can also use it to pay your card bills.


Choose the best Cash back card:

Below given are the aspects that are generally considered to be the traits of top cashback credit cards. Hence, if you wish to choose the best Cash back card for yourself be sure to find these features in your card:

  • Accelerated Cashback: The cashback percentage earned on different cashback cards is different. In some categories, it may provide a flat rate and in others, it may provide accelerated cashbacks, you need to search what are the categories on which you can earn accelerated cash points and then see if it aligns with your spending habit. Brand associations and partnerships can also result in accelerated points on spending made on their products or platform.

  • Cost of the Card: Most Cash Back credit cards have little to no joining fee and annual fee. You should certainly look into the cost of the card and compare it with the benefits provided to determine the return on the investment done by you. A cashback card with fewer fees and APRs and higher rewards are the best one to go for.

  • Welcome benefits: Welcome benefits or sign-up rewards are the ones that you get to enjoy on activating the card. You may get welcome benefits in terms of vouchers, gift cards, discount coupons, cash points, etc. For example, the Standard Chartered Manhattan Platinum Credit card provides BookMyShow vouchers worth Rs. 2,000 as an activation benefit.

  • Credit card provider: It is also important to consider the credit card issuer because different issuers have different policies for their cash back cards. The loyalty programs and many other terms and conditions vary across issuers which can make a significant difference in your credit card experience.

  • Processing network: Visa, MasterCard, RuPay, American Express are all processing networks having distinct benefits. You should look at the processing network of your cashback card to see which network complements the benefits of the card the most to enhance your experience.

  • Additional benefits: Does the cashback card provide benefits other than cash points? Additional benefits include lounge access, memberships, fuel surcharge waiver, etc. The more additional benefits, the better the cashback card.

  • Minimum redemption: On every cashback card there is a minimum redemption rule which is a condition that you need to have a minimum amount of cash points in your card to redeem it successfully. A lower reception cap is preferable. 

  • Maximum earning potential: The majority of cashback credit cards have a monthly limit or earnings cap on how much cash points you can earn. A good cash back card has higher earning potential.

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