How to Use Credit Card Rewards at Christmas
Shop through your credit card’s website., Get gift cards instead of tangible gifts., Monetize your reward points., Check to see if your rewards can be used on Amazon., Give the gift of giving.
Step-by-Step Guide
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Step 1: Shop through your credit card’s website.
Many large card companies offer access to online shopping portals that will allow you to buy gifts with the rewards points you’ve already earned.
For instance, you may be able to cash in your points for apparel, toys, electronics, or pet supplies, among other possibilities.If you don’t have enough points to buy everything you'd like, note that using your credit card to make purchases on these portals often leads to bonus points. -
Step 2: Get gift cards instead of tangible gifts.
Not only can you increase the usefulness of your gift by giving a gift card to someone, there is often financial incentive for you as well.
Different credit card companies will treat gift card purchases separately.
While you can exchange points directly for gift cards in some cases, other companies allow rewards card members to buy gift cards at a discount and receive bonus points for doing so.For example, you may be able to buy a $25 gift card from a popular restaurant chain for $10 with your rewards card.
Since the specifics vary widely, go to the credit card website and look for information on the rewards page. , Most rewards programs will allow you to exchange your points for statement credits.
In this way you can reduce the final cost of your holiday expenses by reducing your card balances after you’ve made your holiday purchases (which will have brought you additional points).
Balances are commonly reduced by one cent per point redeemed.
Thus, redeeming 10,000 points could reduce your balance by $100.
Check on options to monetize your points before doing your shopping.
Some rewards programs allow you to redeem points with a direct deposit into a bank account, which is money you can spend immediately. , Amazon allows purchases to be made with rewards points from certain credit cards.
If your credit card account is with a major bank, you can likely use the points you’ve acquired to make a dent in that online shopping cart that’s been piling up. , Making a donation in someone else’s name is a thoughtful, meaningful, and appreciated gift.
If the people in your life have everything they need, think about donating your reward points to a charity on their behalf.
Most reward programs allow this, and many will even help recommend all sorts of non-profit organizations to which you can donate.
Note that credit card companies will often cover the transaction cost of donating your points, and the donations themselves can often be claimed as a tax deduction.
To help choose which organization to donate your points to, think about the causes the person you’re donating on behalf of would support. -
Step 3: Monetize your reward points.
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Step 4: Check to see if your rewards can be used on Amazon.
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Step 5: Give the gift of giving.
Detailed Guide
Many large card companies offer access to online shopping portals that will allow you to buy gifts with the rewards points you’ve already earned.
For instance, you may be able to cash in your points for apparel, toys, electronics, or pet supplies, among other possibilities.If you don’t have enough points to buy everything you'd like, note that using your credit card to make purchases on these portals often leads to bonus points.
Not only can you increase the usefulness of your gift by giving a gift card to someone, there is often financial incentive for you as well.
Different credit card companies will treat gift card purchases separately.
While you can exchange points directly for gift cards in some cases, other companies allow rewards card members to buy gift cards at a discount and receive bonus points for doing so.For example, you may be able to buy a $25 gift card from a popular restaurant chain for $10 with your rewards card.
Since the specifics vary widely, go to the credit card website and look for information on the rewards page. , Most rewards programs will allow you to exchange your points for statement credits.
In this way you can reduce the final cost of your holiday expenses by reducing your card balances after you’ve made your holiday purchases (which will have brought you additional points).
Balances are commonly reduced by one cent per point redeemed.
Thus, redeeming 10,000 points could reduce your balance by $100.
Check on options to monetize your points before doing your shopping.
Some rewards programs allow you to redeem points with a direct deposit into a bank account, which is money you can spend immediately. , Amazon allows purchases to be made with rewards points from certain credit cards.
If your credit card account is with a major bank, you can likely use the points you’ve acquired to make a dent in that online shopping cart that’s been piling up. , Making a donation in someone else’s name is a thoughtful, meaningful, and appreciated gift.
If the people in your life have everything they need, think about donating your reward points to a charity on their behalf.
Most reward programs allow this, and many will even help recommend all sorts of non-profit organizations to which you can donate.
Note that credit card companies will often cover the transaction cost of donating your points, and the donations themselves can often be claimed as a tax deduction.
To help choose which organization to donate your points to, think about the causes the person you’re donating on behalf of would support.
About the Author
Raymond Cook
Professional writer focused on creating easy-to-follow crafts tutorials.
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