Cash Back Credit Cards
Cash back credit cards provide cardholders with cash rebates or rewards to cardholders for making purchases with their cards. A cardholder has the ability to accumulate significant rebates over time based on the dollar amount of purchases made with the top card offers.
At CreditCardAssist.com, we strongly recommend that cash back cards are most suitable for cardholders who do not carry monthly balances. These type of cards typically have higher APR's (roughly 1% higher) compared to standard platinum cards. If you carry a monthly balance, the higher interest rate on these cards will more than offset the rebate that you'll receive and you'll end up paying back the rebate in the form of higher interest charges to the card issuer.
We have listed a variety of the very best cash back credit cards available below.
Normally, a cash back card will have a rebate of around 1%, which is the industry standard. While you search and compare for the best cashback cards, you might be wondering how all the card issuers can afford to do that. The retailers and merchants that you shop at are charged a fee for every purchase that you make with the card. So in essence, you are taking back a portion of that fee as your cash rebate.
However, since rebate programs still end up being pretty costly to the card issuers, some rebate credit cards will have an annual fee, which can range from around $25 to as much as $100, which will be incurred after you apply and are approved for the card.
Some cards will offer a higher rebate percentage with increased card usage and still other cards will offer you a higher cashback percentage at select merchants, such as gas stations, supermarkets and select retailers. Be mindful, however, that most cash back cards typically only offer cash back on purchases, not on balance transfers or cash advances.
So if you are vigilant about paying off your monthly card balance, a cash back credit card can earn cardholders a significant amount of money over time.