The world of credit cards is changing all the time
The offers that credit card companies present to potential customers change from year to year. Sometimes offers seem beneficial initially, but turn out to be disappointing or useless.
Over the past several years, credit card companies have grown wiser about the sorts of offers that consumers use and enjoy.
In a bid to collect more customers, credit card companies have changed in 3 ways that benefit the customer this year.
More Credit Options for Those Who Want Them
Credit card companies are offering more credit this year than they did last year. They are targeting 7% more creditworthy individuals by mail.
In addition to seeing an increased amount of credit card offers, creditworthy people are facing a larger amount of options.
With each new card, customers are presented with incentives that are different from one company to the next, and rates growing more attractive the more creditworthy the person is.
So if you are in the market for a new credit card, or if you are simply looking to see if you could get a better deal than the one you are currently getting, this is a great time to see what is out there in the world of credit.
Less Nickel and Diming in the Process
Over the last decade, it was being increasingly common for credit card companies to recommend that customers sign up for heaps of add on products and services that they would pay for monthly or annually.
Products like theft production and services like the company covering monthly payments if the customer were to lose their job, seemed like a great idea, but the terms of these offers resulted in legal actions.
In addition to court cases, The Consumer Financial Protection Bureau has stepped in and altered the way that these services can be marketed.
As a result, customers probably won’t see these products and services when they sign up for cards.
New Rewards for a Good Fit
Credit card companies are offering new types of rewards, because rewards have become a major attractor of new customers.
In addition to airfare to allow you to travel hack, and gift cards, credit card companies are now offering perks such as gas, electronic gadgets, or perks at your favorite stores. So if you’re not interested in airfare, then don’t get or hold on to a card that offers that as it’s major perk.
Look at the offers coming in the mail or available at your favorite financial institutions and find cards that offer rewards that you can benefit from in your everyday life to choose your card.
In a bid to attract more customers, credit card companies are offering more credit, they’re nickel and diming customers less, and they are offering new rewards to better fit the needs and desires of the people who use their cards.
If you are in the market for a new card, or if you’re interested in seeing if you can find a better deal than the one you currently have, this is a great time to see what the world of credit has to offer.
What made you choose the credit cards you have chosen?
The benefit I want from having a credit card is that I get to travel to places I prefer by just using the reward points. I actually received an alert email from the credit card company I have subscription to. It seems like it’s boosting its effort and encouraging us customers to buy Christmas products by credit card to earn points.
Credit card rewards are awesome now. I remember when it was hard to find a card with 1% cashback. Airline miles used to be the only way to get rewarded. I prefer the cash though and now there are so many options.
How interesting. I didn’t know they changed these things all the time. I have a few cards (too many) and most of them are store cards (the worst kind). I won’t be taking “advantage” of the rewards on cards anytime soon because I’m trying to get out of a TON of consumer debt, but it’s still nice to know about these changes.
Awesome credit card tips you have here. It is true that perks and rewards are very attractive to customers. However, a credit card holder must be aware about the “catch” why there is promos on rewards. One thing to consider when choosing a credit card, it’s not just about rewards when using it, but analyze and study of each credit card rates. A big YES for rewards but a big deal for its rates.
We have two basic credit cards, one is for gas and groceries, and the other is travel rewards. Both are free. We just started getting into credit card churning though to earn travel rewards. I just signed up for one where I will get $400 bonus cash. Let’s see how it goes!
I haven’t paid credit card interest in over 15 years and earn more in credit card rewards than I get in savings account and CD interest. What their escalating reward offers tell me is that they are making a lot of money off of interest being paid. Even though I and many followers of your blog have the discipline to benefit the credit card companies are making it work off the backs of the financially irresponsible. Surprisingly the gov hasn’t figured out that we aren’t paying taxes on those rewards like we do on our dinky savings interest.
My husband got some money out of one of those class action law suits. They misused his information and didn’t provide the service he was promised. Competition is a good thing! Picked my cards for rewards.
I use my credit cards mostly because of the rewards. I love getting 1 -5% cashback on everything I buy!
There is certainly a credit card for everyone. Credit card companies have learned that one size doe not fit all. When we decided it was time to get out of debt, we determined that our goals in life were to travel and retire comfortably. That said, we each have a credit card the offers great travel awards. They’ve allowed us to travel quite extensively. We’re currently planning a trip to Malta and we’re pretty stoked about it. To not gloss over our other goal, we’re on target to achieve our comfortable retirement thanks, in part, to paying our credit cards off each month that we have a balance.
I love all of the rewards and different sign up bonuses, but some can be too alluring which can lead to people having too many credit cards.
I love my cash-back card, and I also have toyed with the airline bonus miles in the past. I’m working hard to pay off my CC debt now, and I can’t wait to be debt-free so I can thoroughly enjoy the perks of these cards (rather than paying for them).
(I’m part of the new Happy Homeowner team. It’s now me, Mark, and Noah at the reigns. Stop by and read our post from the other day where we introduced ourselves!)