About Rewards

Some credit cards offer rewards when you spend on them – this usually serves two purposes.  First, to encourage you to spend on the card, second to spend with specific businesses that the credit card company is friends with!

Cash Rewards

Some credit card companies reward you with cash for spending! Yes, it is as simple as it sounds. Here, you may earn money for every say £5 you spend. The reward can be given to you in the form of gift vouchers/cards, or a cheque. Your earned cash may even be deposited straight into your account- however; it will not necessarily reduce your bank balance.


Other credit card companies offer rewards in the form of points. Points can be earned based on spending a specific amount. For example every £10 you spend maybe worth 30 points. In turn, these points can be converted into cash. Other schemes allow you points to be transformed into gift cards. This is a way of encouraging you to spend with the company’s other business partners.

Miles Rewards

When your credit card company has a relationship with an airline, they are in a position to offer you miles rewards. Here, spending a certain amount of money on your credit card can earn you air miles which you can use to travel. Usually, miles rewards can be merged with frequent flier programs etc.


As with air miles, you may have the chance to earn discounted or even free hotel stays should you spend within the reward structure of your credit card.


It is not always necessarily easy to claim rewards.  It is important to clearly understand how you should be spending to be able to claim them.  Always keep an eye out on communications from your credit card company as deals can be changed without notice.

Remember, you can only enjoy reward schemes when you keep up with repayments. If you don’t pay your balance, your rewards are likely to be suspended.  Finally, be careful not to fall into the trap of chasing rewards as this can be a slippery slope to debt you cannot afford.

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