As the name implies, a rewards credit card offers certain rewards every time you purchase with the card. The more you use a rewards credit card, the higher the value of rewards you can qualify for.
Every time you use your rewards credit card to complete a purchase, you get corresponding reward points on what you purchased. Accumulate enough points and you can redeem exciting rewards like discounts on select stores, gift certificates, free meals, airfare and hotel discounts, and other exciting freebies.
You can earn points by simply using your credit card in partner establishments. Earned rewards points can be used to redeem gift cards, products, and even flights. Keep your eyes peeled for the latest credit card promos and how to redeem rewards points from your credit card provider.
In the Philippines, each reward point on credit cards is typically worth about ₱20 to ₱200. But the actual rewards rate varies per issuing bank and the spending category (e.g., shopping, dining, travel, groceries, online, overseas, etc.).
For instance, some rewards credit cards offer the same rewards rate across all kinds of purchases, while others allow earning higher or lower points on certain spending categories.
Certain transactions, such as cash advances and casino/gambling, don’t earn rewards points. Payments for credit card fees and charges don’t earn points, too.
Points earned on most rewards credit cards in the Philippines don’t expire, while points on a few cards are valid for up to two or three years.
Most of the time, cashback credit cards are already perfect for shopping since they offer exclusive promos when you shop from partner establishments. Here are the best cashback credit cards in the Philippines.
|AUB Classic Mastercard||1 Point = ₱50||No annual fees forever|
|BPI Edge Mastercard||1 Point = ₱50||Low forex conversion rates at 1.85%|
|Citi Rewards Card||1 Point = ₱30||3x points for shopping and dining|
|HSBC Red Mastercard||1 Point = ₱20||4x bonus points on online, shopping, dining|
|Maybank Gold Visa||1 Point = ₱25||Maybank EzyPlans for overseas purchases|
|Metrobank Rewards Plus Visa||1 Point = ₱20||2x points on electronics, transportation, and online purchases|
|RCBC Flex Visa||1 Point = ₱50||2x points on three preferred categories|
|UnionBank Gold Visa||1 Point = ₱35||Free life insurance up to ₱400,000|
The rewards points redemption process varies per credit card provider, as banks have their own rules and set a certain number of points for redeeming a particular reward.
Once sufficient points are accumulated, the cardholder can use them in exchange for benefits such as gift certificates, vouchers, cash rebates, air miles, merchandise, annual fee waivers, charity donations, and more.
Cardholders can view their points and choose their desired rewards online through the issuing bank’s website. Redemption can also be done online or through the bank’s customer service hotline.
Typically, only cardholders in good credit standing are allowed to redeem points. Those who max out their credit limit and fail to pay at least their minimum balance aren’t likely to qualify for points redemption. On top of that, instead of receiving rewards, they end up paying interest on the outstanding balance.
Getting a rewards credit card is the right option for you under the following circumstances: