Many of us choose which credit card company to open an account with based on the credit card rewards that are offered. You work hard for your money, and you want to get the most out of that hard-earned dollar. Additionally, if you are going to spend the money regardless, you might as well try to get some kick back for it, right? What some people don’t realize is that even if you’ve chosen the perfect credit card for your needs and you are pleased with their reward system, you are not always guaranteed to receive credit card rewards. Follow this easy guide to learn how you may lose your rewards and how you can avoid these pit falls.
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You Make a Late Payment
You read through countless options for different cards, you’ve chosen the perfect card with the perfect credit card rewards. You use your card at all the right places to ensure that you are maximizing those rewards. You’ve been tracking your points and can’t wait to cash them in at the end of the month. Then the due date comes and goes and you’ve let it slip your mind.
- Guess what? This happens all the time! Life gets in the way and you forget to pay your bill and a week later you frantically send in that minimum payment.
- Some credit card companies will void the credit card reward system you’ve subscribed to in lieu of payment.
- This is their way of ‘punishing’ you for your forgetfulness.
- It may not happen on your first late payment, it is all dependent on the details of your credit card company.
But this is certainly something you should be mindful of. Be careful to never miss a late payment if you want to ensure that you get to enjoy those credit card rewards you’ve worked so hard to rack up.
Your Card isn’t Seeing Enough Activity
You may have opened a card with great credit card rewards but made a promise to yourself that it is to be used for emergencies only. How very responsible of you! However, your inactivity can bar you from receiving rewards.
- Even if you prefer to not use a credit card unless you must, try using it here and there to keep the rewards coming in.
- It’s a good idea to know what rewards are available and exploit them.
- This means if you get points for gas, swipe at the pump then transfer the money to your card right away. You’re spending it anyways, might as well get something back for it!
- If you transfer the money in a timely fashion you can avoid paying interest on the amount put on the card and still get rewards.
- It’s practically stealing! You’d be silly not to take advantage.
The Rewards Have Expired
Some cards have revolving rewards. The first 3 months you may get credit card rewards for going out to eat, pumping gas, and shopping at a certain store. The next 3 months it may be any health care product, airline purchases, and grocery stores.
- If you don’t keep a close eye on your rewards, you may miss the memo they’ve expired
- This isn’t the end of the world but you could be focusing on swiping for certain purchases thinking you’re acquiring points when in reality that ship has sailed.
To be sure you are gaining the most rewards possible, stay on top of your credit card reward system.
[Here’s an interesting article about credit card rewards.]
You Returned Your Purchase
Credit card companies keep a close eye on returned purchases. If they didn’t the credit card reward system would have been exploited long ago. You may think you’ve beat the system by purchasing something for the reward then returning it for the money.
- The card companies are likely a step ahead of you.
- If you return a purchase that made you eligible for a reward, you will lose the reward!
- So keep that in mind when buying and returning products. Good try though.
You’ve Closed the Account
Be sure to use up your rewards before closing your card. It may have slipped your mind that you had rewards sitting in your account unused.
- A common misconception with credit card rewards is that they are yours no matter what.
- If you close a card without redeeming rewards, you can no longer benefit from them after the account has been closed.
You would hate to have that benefit go to waste! So be sure to take a look at your points before closing your card. It may be worth your while to keep the card open for another month and dormant if it means cashing in on accumulated rewards.
[Read: Credit Card Tricks That Can Make You Money!]
There are endless opportunities to find out more information about your credit card rewards. Many companies have great customer service that is happy to run through any questions you may have. The more you know the more you can benefit!