Types of Reward Credit Cards

Different sites type reward credit cards in different ways. There are too many cards with general merchandise rewards to categorize, and they are often simply called “rewards cards.”

In this article, we include are some of the most often used categories explained so that you’ll understand the lay of the land. The first thing to be aware of is that some cards are named for how you earn the points and others are named for the reward you get, and still others name both.

This data was collected at the end of July, 2008 by surveying offers on a variety of sites. Where there are many offers, the range of terms is summarized; when there are only a few, the specific card offers are summarized. Note that not all details of the terms are given here and offers are subject to change.

Airline or Frequent Flyer Cards

These cards may or may not be co-branded with a particular airline.

• What you earn the most from    

• Food and travel            
• Bonus            
• Travel, including other people’s travel charged to your card            
• Same for all purchases            
• Everyday purchases            
• Combination of everyday and particular airline services            
• Combination of travel and hotel charges

• What you can get           

• Airline Miles for a particular airline            
• Points that can be redeemed for flights on any airline            
• Choice of airline tickets, cash, gift card, etc.            
• Portion of a flight –can pay the rest with your credit card            
• Air travel, car rentals, hotels            
• Choice of travel, merchandise, dining, cash            
• Airline travel, companion tickets, and upgrades

Automotive or Car Cards

These cards are often co-branded with a particular dealership.

• What you earn the most from            

• Extra earnings determined by using rewards on a new car from the manufacturer who co-brands the card            
• purchases at retail car dealer purchases at specified dealerships            
• purchases in four specified, changing categories            
• increased rewards for redeeming with card issuer’s partners            
• purchase or lease of a new vehicle from the co-brander            
• car-related purchases, such as gas, car washing, tolls

• What you can get            

• cash or any new vehicle (including vehicles not made by the co-brander            
• any new or used vehicle            
• specified vehicle products and services from particular dealerships            
• specified co-brander related events            
• purchase or lease rebates and lease mile extensions

Entertainment

Here are some examples of specialized entertainment reward cards.

• Kentucky Derby Earn for purchases and cash advances to improve chances of getting a Kentucky Derby ticket

• Harrah’s Entertainment Earn for retail purchases and redeem for travel room upgrades, gourmet dinners, etc.

• American Express Preferred Rewards Earn for nearly all purchases and gain access to exclusive ticket offers for concerts, shows, and sporting events.

• Disney Earn for all purchases and choose from Disney rewards, plus gain eligibility for other Disney discounts and benefits

Gas Cards

• What you earn the most from           

• gas purchases at specific stations            
• gas purchases at any gas station            
• all gas and travel expenses            
• gas and auto maintenance purchases            
• choosing specified merchants to redeem with

• What you can get            

• cash            
• miles to spend on air travel            
• choice of travel, cash, charitable donation, merchandise, or gift certificate

Home Improvement

• Citi Home Rebate Platinum Select MasterCard Earn extra for utilities, cable or satellite television, Internet hookup, and other telecommunications purchases; rebate applied to mortgage

• The Home Advantage World MasterCard Earn for all retail purchases, with extra for purchases at Lowe’s, Home Depot, and Best Buy; redeem for cash back, air travel, car rental, hotel rewards, merchandise, or gift certificates.

Sports

Here are some examples of specialized sports reward cards.

• NASCAR Earn equally for every dollar charged and redeem points for NASCAR collectibles and experiences.

• ESPN  Earn for everything, but more for ESPN store purchases, and earn sports merchandise and experiences, plus travel, dining, and other rewards.

• U.S. Olympic Team WorldPoints Visa  Earn for every retail purchase and redeem for travel, merchandise, and gift certificates, while making a contribution to the U.S. Olympic Team with every purchase.

Also look for cards offered by Major League Baseball, the National Football League, and Bass Pro Shops, among others.

Travel

Travel cards intersect with Hotel Cards, Cruise Cards, Restaurant Cards, and Airline cards, and often the cards have overlap in their rewards. It’s a good idea to check all categories to make sure you’re aware of the full array of offers.

• What you earn the most from            

• bonuses            
• everyday purchases            
• travel and hotel charges            
• hotel and everyday purchase charges

 • What you can get            

• transfer to frequent flyer programs            
• complimentary companion travel            
• free nights and upgrades at hotels and resorts            
• travel credits, gift cards, and cash            
• miles            
• airline tickets, hotel rooms, and car rental

Other

There are also other, very specialized cards, and this is just one example:

• PetRewards Platinum Plus Visa Credit Card Earn for all purchases, with extra for purchases at participating veterinarians, pet food retailers, pet specialty shops, and farm and feed stores; redeem points for donations to animal shelters, veterinary services, and pet food discounts.