alright so you know how most credit card companies now offer you money back or some sort of compensation for using their cards? i was wondering how the cycle works.

lets say i buy something for $1000 with the cc, but i pay it off before the billing cycle is due (meaning interest isnt built up yet), do i still receive the payback/reward they offer? or does the credit i used have to go through at least one billing cycle to receive the reward?

i hope that makes sense? let me know if youre confuse and ill further explain. tia


oh btw, mods put Bay Area in the title please so you dont move my post. lol

 

As long as you pay it off before the bill is due you won't get charged interest.
Example: Billing end date is 30th of each month. So if you buy something on the 1st you won't get charged interest if you pay it off by the 30th (billing due date)
But if you just pay maybe 1/2 of that for example. you'll get charged the interest for the full amount on the next bill.

make sense?

 

no i understand that, i was wondering when you pay back the amount before the billing cycle, do you still get the reward? as in, do you get the reward right away (do you get the reward at all?) when you buy an item with the cc even though you may pay off the bill before the due date.

 

Yes, you will still get the reward. Whatever it might be. Keep in mind that while they sound attractive they usually aren't that great.

 

personally I love reward points. I've cashed my points in for some pretty cool stuff. I just use my cc to make all my purchases so I can get a bunch of points. Hey you might as well get something back for buying stuff right?"

 

thats what i was thinking, why not buy everything with your cc and get the points then pay it all off before the cycle is due since you already have the cash to buy your stuff in the first place.

 

if you can stick to this, it works great.

I buy almost everything on my CC, and pay it off in full every month. At teh end of each much my balance on the card is something like 4K+, and gets paid off, and I get 4000 airline miles.

if you cant stick to it, you will **** yourself over very quickly.

 

well thats why you dont buy anything with money you dont have. no pun intended.

i would just buy using my cc knowing that i have enough cash to pay for it.. basically using the cc instead of atm card

btw, whats the best card for airline miles?

 

Are you bored mot?

 

im just curious and yes, a little bored at work.


nm

 

GET TO WORK!!!



hehe

 

i finished my load last week. i think they thought it would take me 2 weeks...

 

I never use cash anymore, just use my CC for everything even for small $2 charges just use it for everything.. Most CC give you 3% for food and gas and the rest is like 1%.. But hey its free money so you might as well take advantage..

But pay it off every month without fail. Kinda use my CC as a debit card only spend the money I have..

 

the only issue you can run into is sometimes the credit cards with rewards have a annual fee...I believe for the United CC its $60 a year

you gotta make sure the rewards are better than what you're paying in fees and that the reward program is catered to what you'd use your money for anyways. Otherwise it can be not worth it.

 

If you know what you are doing you can get those fees waived every year. Ostensibly my card has a $75 fee and I have never paid it.