/24-7PressRelease/ - April 28, 2006 - Cash back credit cards are a popular choice among cardholders, mainly because the thought of receiving cash rewards for simply making routine purchases is attractive to most consumers. Although the concept of cash back credit cards
( http://www.creditcardassist.com/cashback/creditcards.html ) is fairly new within the credit card industry, these special cards are quickly gaining momentum. But CreditCardAssist.com, one of the leading credit card guides on the Web, warns that consumers must educate themselves before applying for a cash back credit card because the rewards may not be as rewarding as consumers might think.
According to the web site, applying for a cash back credit card can be a wise financial decision, but only if the cardholder is capable of paying the credit card balance at the end of each month. The site reports that most cash back credit cards provide a 1% cash back incentive to cardholders making general purchases with the card. In addition, some cash back credit cards offer rebates as high as 5% for making specific purchases or for shopping in certain types of stores, such as drugstores, grocery stores, and gas stations and offering a lower percentage of return for all other purchases. In addition, cash back credit cards provide benefits commonly found in other credit cards, such as purchase protection, travel insurance, and extended warranty protection.
Nonetheless, the site maintains that cash back credit cards are not the best choice for all consumers. Cardholders who are unable to pay their balance in full at the end of each billing cycle will usually pay more in finance charges than they receive back in cash rewards. This is because cash back credit cards typically carry higher interest rates than traditional credit cards.
For consumers who do wish to apply for a cash back credit card, the site recommends learning as much about the APR and the benefits associated with the card as possible. It also recommends considering factors such as how cash back rewards can be earned and when and how the rewards are provided to the cardholder. Some cash back credit cards, for example, automatically apply the cash rewards to the balance of the credit card. Other cards, however, require the cardholder to request a check once the balance of the cash back rewards has reached a pre-determined threshold.
Consumers can compare cash back cards easily side-by-side on a number of credit card resource sites available on the Web. They can learn all of the details the need to have in order to determine which card fits best within their lifestyle.
CreditCardAssist.com, which is based in Los Angeles, California, is on a mission to provide customers with a comprehensive resource where they can gain all the information they need when selecting a credit card, including cash back credit cards. By placing the information on the Internet, the company helps consumers get the information they need quickly and accurately because it is continually updated to reflect the current market. By providing detailed information, CreditCardAssist.com helps consumers compare companies, rates, rates, and card types. For more information, visit the company's Web site at http://www.creditcardassist.com
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