What Can You Spend Your Reward Card Balance On?


Quick Answer

A cardholder can redeem points on a reward credit card for a variety of different awards that vary based on the card issuer, notes Forbes. Common rewards include cash back, airline tickets and gift cards for certain retailers.

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Full Answer

Rewards credit cards earn points when used by the cardholder, according to Forbes. The card issuer bases the amount of points on the amount spent by the cardholder, with the standard amount being one point for each dollar spent. However, the amount of points varies based on what the card issuer offers. Some card issuers offer more points for purchases made with specific retailers or on certain types of items.

After accumulating enough points, the cardholder redeems those points for a reward, adds Forbes. Redemption methods vary depending on the card; for example, both online and phone methods are offered by Citi. Citi has an online rewards marketplace for its ThankYou rewards program where the cardholder shops for items using the rewards points, states Citi.

The Amazon.com Rewards Visa card and Discover cards allow cardholders to use points as a form of payment with certain online retailers, according to Amazon.com and Discover. The cardholder uses reward points to pay for either the entire order or part of it.

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