Should You Go for A Cash Back or a Miles Credit Card?

If you’re unsure about your answer, then you have come to the right place! You aren’t alone many people, like you, are uncertain about the same decision. However, it really boils down to who you are as a person. Before making such an important choice, there are a lot of factors to consider. This article will answer all the questions you have ever asked yourself regarding a miles credit card or cash for airline miles, and which one suits you!

1. Travel Rewards

Even though it sounds complicated, earning and redeeming your reward points really is quite easy to understand. There are some travel reward programs that offer bigger perks and rewards compared to others, but only because these airlines have partnered up with specific names and brands, thus boosting their business.

What makes travel reward cards better is that they give more value for every dollar that you spend than other types of rewards in the industry. Travel rewards gives up to three to four cents per point, which when you compare to cash back is very high. If you check-in to services such as hotel, airline or a car rental, you will end up getting higher rewards or perks.

Because of the information aforementioned, the work you have to do is pick and choose the credit card that gives you the options which are best for you. You have to take in your lifestyle into consideration when you’re signing up for a new credit card. There are so many credit cards in the market right now that don’t have any blackout dates. Those who tend to travel in groups or go for shorter flight rates might find themselves struggling a little. There is no need to worry though – take your time and choose the one that you think fits your travel and lifestyle needs.

2. Cash Back

There are times when cash back seems to be the best option, especially for those who are not frequent travelers or don’t tend to shop at specific stores all the time. Right now, a lot of the cash back cards are free, while reward cards, on the other hand, have high annual fees. This, however, is very basic and will only give you one cent per one reward point.

On the plus side, the credit card points that you earn through cash back never lose their value, and in the majority of the programs, they hardly ever expire. These points can be stored and can also serve the purpose of paying large amounts of money towards some of your bills.

When making the decision of choosing between the two, think about what you want to get out of the credit card program. Would you rather travel the world or pay some bills? Also, keep in mind whether you want to use them up quickly or save them for a later time.