Feeling down about rising Canadian gas prices? A gas rewards credit card can help! These cards offer you the chance to earn money back on fuel purchases. There are many rewards to choose from these cards. Before you apply, here’s what you need to know about gas rewards credit cards.
What is a Gas Rewards Credit Card?
Gas rewards credit cards are like cash-back cards. Most of these work on a percentage system. Every time you buy fuel, a certain percentage of money is returned to you. It usually ranges from 1% to 6%. So if you spend $200 on fuel each month and have a card that offers 5% cash back, you get a reward of $10 each month.
What’s the Point of Having a Gas Rewards Credit Card?
Some gas rewards credit cards work on a point system. You earn points based on the purchase of fuel. Then these points can be redeemed for cash. Your cash is returned to you either via cheque in the mail or as a credit on your card.
Benefits of a Gas Rewards Credit Card
Gas rewards credit cards come in many varieties. Some card companies offer card gas, which can only be received at certain gas stations. If you regularly fill in one place, it can be a good choice for you. Other companies allow you to earn cash at any gas station. If you tend to buy gas from several stations, a more versatile card will work best for you.
Some gas rewards credit cards also allow you to earn points or cash back on purchases other than gas. These may include 5% cash-back offers on gas purchases and 1% cash back on categories. Or they may comprise a higher percentage of cash back and automatic maintenance of purchase. If you want to use your card at various stores and gas stations, one of these plans will benefit you the most.
Most gas rewards credit cards offer an initial introductory period with extra benefits. Also, your card may offer extra points or a higher percentage of cash back on purchases for the introduction period. This gives you a way to earn extra money from the very beginning. If you travel more than usual or have already put in a lot of miles on the road, a gas reward credit card can give your wallet an extra bonus.
Why Not Get a Gas Rewards Credit Card?
Keep in mind that most gas rewards credit cards require good or excellent credit scores. Moreover, many of these include a higher interest rate than other credit cards. So, if you pay off your credit card bills each month, you can reap the benefits. However, if you usually carry a balance from month to month, another credit card might work better for you.
Gas Rewards Credit Card: Best Option for Your Pocket
Evaluate your spending habits and travel budget. If fuel costs are usually high, a gas rewards credit card is a great option for you. Research different gas rewards credit cards available and the find one that benefits you the most. Apply online for a gas reward credit card. This is a great way to get money back for your necessary expenses.