A Good Reward Scheme Can Make or Break a Credit Card

by : Andrew Regan

As the number of credit card holders in the UK continues to soar, new research reveals that most UK consumers have a credit card that does not offer them any perks or bonuses.

According to a recent survey by credit card provider Goldfish, 52 per cent of UK credit card holders have no reward scheme affiliated to their credit card. Credit card perks, which can include air miles, free gifts and reduced promotional interest rates, are currently only benefiting 48 per cent of consumers at the point of balance transfer, according to the survey.

The Goldfish research showed that, of those shoppers who had taken advantage of credit card rewards schemes, most had opted for cards that offered points which could be collected through the purchase of goods in high street stores.

The second most popular credit card perk was the cashback card, while 17 per cent of credit consumers opted for promotional low-rate balance transfer and purchase deals as their credit card benefits. A further 9 per cent of those credit card holders surveyed picked a credit card that would allow them to collect an increasing number of air miles.

What's more, the Goldfish survey found that women were the most keen when it came to shopping with a credit card on the high street, with more women than men opting for in-store retail reward cards.

With so many credit cards to choose from in today's crowded, financial credit market, the existence of credit card perks and reward schemes can be a crucial deciding factor in deciding on a new credit card or switching credit card providers. Many leading credit card providers will offer a range of credit card perks to both new and existing customers, such as discounts with the bank's retail partners, an introductory interest free period, inclusive payment protection insurance and a free identity protection service, among a range of other offers.

Student and graduate credit cards often carry many perks, including discounted CDs, DVDs and special offers on travel insurance. And within the last year, many credit card providers have begun providing charity credit cards, whereby credit card consumers will automatically donate money to charity every time they use their card.

And if the range of credit card perks available to you is overwhelming, it's important not to worry: there are a range of consumer credit comparison and advice sites available on the internet that will provide you with a comprehensive overview of the credit card market, and give you advice on which credit cards and credit card reward schemes will suit you best. Just make sure you're not one of the 52 per cent of credit customers that don't benefit from credit card perks, and you're sure to enjoy your credit card experience!