Rewards credit cards offer benefits based on how much you spend within a certain time period. In general, you can accumulate points towards your rewards with every purchase, although the number of points per dollar and value of the points vary from card to card. The points can then be redeemed for rewards such as gas rebates, airline miles, cash back, gift cards to stores, or discounted merchandise, depending on the program. Here are five tips to help you choose the best rewards credit card for you:

1. Consider your credit needs and habits. Although the prospect of earning rewards on your spending can be exciting, make sure that you know what else you need out of a credit card. If you tend to carry a balance month to month, for instance, you may find a low APR and lower rewards rate to be more economical than a higher rewards rate with a high APR.

2. Consider what kind of reward is best for you. There are all sorts of rewards cards available, from cash back to gas rebates to airline miles and more. Consider what kind of reward will benefit you the most, and then compare the cards that offer that specific type of reward.

3. Read the fine print. Look carefully at how fast rewards points accumulate on each card and when they expire. If the points are likely to expire before you have enough to use, it's time to look at another card! Also make sure you are aware of all of the fees associated with your card, including annual fees, late or over-limit fees, and APR.

4. Compare several cards to find the best one. Once you know which kind of reward you are looking for, you can start comparing several different cards that offer that reward.

5. Check several sources of information. The Federal Reserve publishes a survey of credit card terms every six months, and there are a wide range of websites where you can compare credit card offers to find the best one.





To find and apply for a rewards credit card, Beth Derkowitz recommends Find Credit Cards.