How a Gas Rebate Credit Card Could Actually Cost More

With gas prices still very high, people want to savecharges add up. This is how credit card companies
some money at the pump. Gas rebate credit cardscan afford to offer cash back. Ideally you should keep
are becoming a very popular alternative. The averagetrack of your credit card spending and keep that much
gas rebate credit card can save you up to fivecash aside as money already spent.
percent on gas purchases. If you're not careful withGas Rebate Credit Cards Offering Rewards Other
your credit card use, a gas station credit card couldThan Cash Back
make you pay more for your gas.If you are trying to save money with a gas credit card,
Misleading Gas Credit Card Applicationschoose your credit card rewards carefully. You could
Before applying for any credit card, read the termsearn airline rewards on your gasoline purchases, but
and conditions. Most gas credit cards claim high cashthey cost more money in the end. Airline rewards
back percentages, but there is usually a catch. Herewould likely only cover a portion of you or your family's
are some examples:airline tickets. Then factor in vacation expenses and
• cash rebates limited to one gas stationlost wages. Other gas station reward credit cards
companyoffer gift certificates. Again it usually only covers part
• high cash rebates only during anof the purchase and it is something you wouldn't
introductory period of usually 6 to 12 monthsnormally buy. To really save with gas credit cards,
• a monthly or annual limit on how much cashapply for a gas credit card that offers cash rebates
back you can earnas checks or statement credit.
• a tier structure with varying cash backWhy Are Gas Rebate Credit Cards Still So Popular?
percentages depending on spendingGas prices are a major economic factor. We hear
The credit card companies are very careful with theirabout gas price fluctuation in the news. The credit card
marketing wording. A cash back percentage is usuallycompanies are aware of this concern. Nearly every
quoted as 'up to 5% cash back'. Once they say 'up to',gas station company has its own credit card and
you know you won't get that high cash back all themany of them are heavily marketed. Despite some
time. So know what you are applying for to preventreward limitations, many of these gas rebate credit
disappointment.cards are very good deals.
Keeping a Balance Will Blow Your Cash RebatesIf you spend a lot of money on gasoline, a gas rebate
With any credit card, if you only make the minimumcredit card can get you the cheapest gas prices. A
payment and keep a balance, you will pay interestgas rebate credit card used responsibly could save
charges. Over time these interest charges could costhundreds on dollars off your gas bill each year. Ensure
a lot more than any cash rebates you earn. Try toyou are familiar with your credit card rewards program
only use your credit card as much as you can afforddetails though. Pay off your credit card each month
to pay off next month. This can be difficult to adjust toand avoid interest charges. Compare credit card
for some people. Suddenly they are paying foroffers carefully and read the fine print.
everything with their credit card to earn more cashCompare the best gas rebate card, then apply for a
back. Meanwhile it seems as if their bank account isgas credit card online today and start saving. Also click
unaffected. This could lead to impulsive spending.for more low interest credit card application
Before they know it, their bank account is empty andinformation.
a big credit card bill shows up. Then the interest