Cash Reward Cards

It seems that more and more different credit cards are popping up with their own unique twist on the reward scheme program. The typical reward scheme is centred around loyalty to a company. The reward schemes aim is to encourage the card holder to increase their spending activity in a specific chain of retail.

A good example of this is the Tesco Clubcard. The popular Clubcard scheme is aimed at people who regularly shop Tesco, and by being a part of the Tesco Clubcar rewards program they gain a return on the money they spend everytime they shop at Tesco.

Some companies will offer a special 0% purchases deal to compliment their store loyalty packages. These are usually offered with an introductory period where customers can take full advantage of the interest-free rates, and providing they make the repayments in the given time period, the cards can be put to perfectly good use.

Problems arise however when payment dates are missed and you find yourself left with a high APR.

If you happen to be a regular customer at a particular store, you can save a great deal of money by signing up to their reward schemes. Many companies offer full credit card accounts which are combined with their loyalty scheme.

As you would expect, the cash back rates vary between companies, with exact figures depending mainly on the types of product being purchased, or even on the providers individual account terms.

Usually you can expect a rate of between 1% and 3% in cash back from your purchases, which although it doesnt sound a lot can add up when used regularly and over a long period of time.