Tag Archives: purchases
Gas Rewards Credit Cards: A Look at the Top Three
Gas prices are skyrocketing all across the United States, which means that consumers are constantly on the lookout for ways to counteract the unprecedented assault to their bank accounts. At over $3.00 per gallon for the lowest octane fuel, people who commute to work or drive for a living are suffering under the weight of gas prices.
One of the most effective ways to reap a few rewards on gasoline purchases is to purchase a gas rewards credit card. More and more people are applying for these cards so that they can earn cash back and discounts for every gallon of gas they purchase.
There are four major advantages to obtaining a gas rewards credit card:
You can earn rewards for other purchases not just gasoline when you use the card to buy gas, you know that youll be saving money in the end. Many gas rebate cards have low APRs with no annual fee. Some gas rebate cards charge 0% interest on balance transfers.
Take a look at three top picks for gas cards, and choose the one thats right for you. With no end to the gas price surges in sight, you might as well be getting rewarded for purchasing gasoline.
Discover Platinum Gas Card
The Discover Platinum Gas card is a cash back credit card that allows customers to earn 1% cash back on all regular purchases, and 5% cash back on gasoline purchases. It has a twelve-month introductory APR of 0% for both purchases and balance transfers, with no annual fee. In addition to the 5% cash back reward system, customers can double their reward points when they redeem them for gift certificates at Discovers partner merchants. Discover offers several benefits, including fraud protection, 24-hour customer service and online bill pay. .
Citi Dividend Platinum Select
Unlike the Discover gas card, the Citi Dividend credit card offers 5% cash back for purchases at drugstores and supermarkets as well as gas stations. When you use your card at those locations called the Citi Dividend Merchant Network – you receive 5% cash back on all of your purchases. You also receive 1% cash back at other locations.
This card has no annual fee and an introductory APR of 0%, but the regular APR is higher than Discover. This card is better used by customers who plan to pay off most (if not all) of their balance each month. Platinum customers also receive travel insurance, Citis Lost Wallet Protection Service and Citis PhotoCard service for added security.
Blue Cash from American Express
The Blue cards from American Express have been exploding across the market lately, mostly because of the reward programs and the low APRs. The Blue Cash card, like the Citi Dividend card, offers fast cash back at multiple vendors, such as drug stores, gas stations, super markets and home improvement stores. They also offer the same cash back rewards for customers with two or more cards on the same account.
The six-month introductory APR of 0% is a popular incentive. The Blue Cash card has no minimum spending limit and no annual fee. They also offer no-fee balance transfers and CoolBlueOffers®, which are designed to offer even more rewards for qualified customers.
Gas prices are getting higher and higher every day, which is why consumers are rushing to apply for gas rewards credit cards, which allow customers to earn cash back and rewards for paying at the pump. When you use these three cards to purchase gasoline, you can earn cash back and reward points.
Understanding Payment Calculations For Your Credit Card
To have a proper understanding of your credit card statement you usually need to understand the terms and jargons used on it.
The following are some useful terms that can be referenced when attempting to understand you credit card bill.
Due Amount – This is the minimum payment due per month and not the total amount due on the card.
Annual Percentage Rate – This refers to the rate of interest charged annually as a percentage.
Cash Advance – This is a loan in the form of cash that is made with the card. You can get this loan with the help of your card at any bank or ATM. Most cards charge a fee for this cash advance as a percentage of the amount borrowed. Usually the cards do not have a grace period and so interest is charged from the day you take the loan and till the day you repay the cash advance. It does not matter whether you have an outstanding balance on your card or not. These rates are pretty high. So you need to check on it before you take any cash advance.
Date Due – This is the date by which you must send in your payment to be in the good books of the company.
Grace Period – It is the period in which you can make purchases on the card without having to pay an interest. It is not that all card companies allow grace period. To take advantage of a grace period, you must pay your bills totally every month by the due date. But keep in mind that if you have any previous balance outstanding, you will lose the advantage of having a grace period on purchases made in the current month. If you use a card having no grace period, the bank charges you interest from the day the purchase is made. You cannot, in any way, avoid paying interest on the purchases made through the credit card.
Not all credit cards have a grace period. When you use a card with no grace period, the bank begins charging you interest on the day the purchase is made or the day it is recorded (posted) on your account, depending on the bank’s policy. When a credit card does not have a grace period, there is no way to avoid paying interest on your purchases. A credit card allowing you grace period will not charge any interest on the card usage until the next cycle of billing. In fact, you would not have to pay any interest at all if you pay your total balance during the grace period of the cycle.
Late Fee – The charge that is attached to the card after the due date expires.
Minimum Monthly Payment – The least amount that you would need to pay to avoid being considered a defaulter. This is usually the most expensive way to make a payment for a credit card. Most card companies encourage you to make a minimum payment every month and let the rest accrue. This way it can take years for you to pay off your debts. Also you land up paying three times the amount. But if you do not pay anything or pay less than the minimum amount, you will accrue a late fee. Additionally, you will have a negative credit report.
New Balance – The sum payable after new costs and credits have been added up.
There are three techniques used to determine the interest rate of credit card interest. The average daily balance method, calculates the interest to be charged on your card based on the every day balance during the billing period, minus the payments received, and then divides it by the number of days in the billing period.
As per the previous balance method, the interest is calculated on the amount payable at the end of the last billing cycle. In adjusted balance method, the interest is calculated by deducting all the payments made throughout the present billing period from the final balance that was due from the last billing period.