In addition to receiving cash back or rewards points on purchases, using a strong rewards credit card may help you reap a variety of festive perks. However, it is best to acquire a favorable credit card offer as soon as possible. With Christmas spending on the horizon, you may more easily achieve welcome bonus criteria, in addition to receiving critical travel and purchase protections and rewards. Thus, how to choose the best rewards credit card for the holidays, as well as how to maximize its benefits, are discussed below.
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5 Tips for Choosing the Best Rewards Credit Card for the Holidays
1. Take advantage of credit card perks and benefits
Take advantage of credit card perks and advantages, which include a variety of consumer protections and fees that are eliminated or reduced.
Credit cards with a price protection benefit may refund price differences, subject to certain conditions if the price of an item drops after you purchase it. Some cards may provide significant coverage for up to sixty or ninety days.
Purchase protection will repair or replace damaged or stolen things at no additional cost. Depending on your credit card, purchase protection benefits may continue between 60 and 180 days after the original purchase date.
The manufacturer’s warranty is extended when you make eligible purchases using a credit card that offers extended warranty protection. This provides additional protection if you experience product problems after the original expired guarantee.
No Fees for Foreign Transactions
Foreign transaction fees are imposed on transactions made in currencies other than U.S. dollars, even if you are booking a flight on an airline operating in another nation. If your holiday vacation is bringing you out of the nation, search for a travel rewards credit card, as most don’t impose a foreign transaction fee.
Waived Luggage Charges
Checked luggage fees may add up quickly, raising the overall expense of vacation travel. Thus, to save money on checked bags, look for a travel or co-branded airline rewards credit card that waives baggage costs. Several Delta credit cards waive the first checked bag for up to nine passengers traveling on the same reservation.
Trip Cancellation or Interruption Insurance
Travel insurance might save you money if you are forced to cancel or stop your vacation due to unanticipated events. You can submit a claim to be reimbursed for nonrefundable travel expenditures due to covered occurrences up to a certain amount per traveler on your itinerary. This perk can save travel expenses by hundreds of dollars.
2. Gain Rewards for Holiday Travel
If your Christmas plans involve travel, you should seek a credit card that offers points for travel and travel-related spending. Miles flown, or points for airline tickets can add large rewards to your stockpile. However, even road trips can earn travel points since Airbnb, hotel stays, and tourist tours are sometimes considered travel purchases.
3. Earn the Bonus
Numerous credit cards with rewards give a welcome bonus to new cardholders who spend a specified amount during the first few months of account setup. Holiday spending might make receiving a credit card sign-up bonus simpler because you are more likely to spend a substantial amount quickly.
Several credit cards offer lengthier bonus periods, such as the Discover it card, which offers you up to a year to qualify.
In addition, consider the rewards program when looking for a credit card to utilize for the holidays. Moreover, you have to check whether it has rotating bonus categories for businesses where you may buy presents or gift cards. Moreover, flat-rate cash-back incentives are another option. These cards offer the same rewards rate regardless of where you buy. Remember the limited spend amounts in some bonus reward categories, such as if only the first $1,500 in category purchases are eligible for extra cash back.
4. Use the Bonus for Holiday Shopping and Vacation
You can use bonus points for holiday travel or shopping if you rapidly earn a welcome bonus, which is simpler if the incentive has a low spending threshold. Even a little bonus might help defray Christmas expenses.
5. Stack Rewards
You may maximize your benefits by buying through the airline, hotel, credit card, or online shopping portals, which may give additional cash back, miles, points, or discounts. Start at a portal, such as Chase’s Ultimate Rewards shopping platform or Wells Fargo’s Earn More Mall, rather than a retailer’s website.
To conclude, there are several strategies to maximize the value of your Christmas purchases. However, every points and miles fanatic has its method for determining the ideal card to use at the register. Thus, you may have a card that earns more desirable rewards or will help you reach a calendar year threshold bonus.
Remember that many online transactions may be made more profitable by using an online shopping gateway, which can reward you with additional points or miles simply for clicking through the site.
You should choose a reward credit card that provides a bonus reward related to holiday purchases, such as shopping, traveling, and dining. Considering the annual fee, rewards rate, and redemption options is essential.
Travel, purchases, account credits, gift cards, and charitable donations are all typical reward credit card redemptions. It’s crucial to get a credit card that aligns with your goal.
To maximize credit card rewards, you must take advantage of special promotions or discounts that provide you a cash back on your credit card.
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