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Who doesn't love a little bonus? That's essentially what credit card rewards are—extra perks you earn just for using the right card. Whether you're racking up points, collecting miles or getting cash back, those rewards translate into real value: money in your pocket, items you've been eyeing or experiences you'll never forget.
While not every credit card offers rewards, those that do generally fall into three main categories: points, miles and cash back.
| Reward Type |
Earn |
Possible Redemptions |
|---|---|---|
| Points |
Per dollar spent, with possible bonus categories |
Merchandise, gift cards, travel or transfer to airline/hotel partners |
| Miles |
Linked to an airline or travel program |
Mostly flights, plus hotels, activities or dining |
| Cash Back |
% of spending |
Statement credit, deposit or check; flat rate or category bonuses |
Some rewards credit cards have no annual fee, while others charge one in exchange for richer rewards, faster earning rates or other hidden benefits, such as airport lounge access or travel insurance. Below, we outline some of the best ways for you to take advantage of any credit card rewards you've earned.
READ MORE: How Do Credit Cards Work? What You Need to Know
1. Plan a Memorable Celebration
Credit card rewards can turn everyday spending into unforgettable moments. Whether you're marking a milestone, hosting a gathering or surprising someone just because, those points, miles or cash back may help you celebrate more often and more meaningfully without stretching your budget.
2. Book a Unique Experience
Yes, you can make beautiful memories without breaking the bank. Consider using your credit card points or miles for hotels, flights or experience packages, such as concerts, sports events or fine dining. Imagine whisking your husband away to his dream restaurant for your anniversary or surprising your wife with tickets to watch her favorite hockey team on her birthday—paid for by the cash back you've been saving. You might even be able to score a good deal on getaways during the holiday season (maybe a prime Manhattan hotel for a romantic urban escape?) by using your points wisely.
3. Upgrade Your Events
You can also use credit card rewards as a glow-up for outings you were already planning. For example, turn your points into a flight upgrade (hello, business class!) or book a luxe hotel that's normally out of your budget. Or redeem your rewards for catering, event space or entertainment.
4. Redeem for Gift Cards and Shopping Offers
Make any celebration extra special by redeeming your points for gift cards to use on party supplies, groceries or gifts. Watch for bonus redemption periods to get extra value on every point.
READ MORE: Understanding Cash Back on Credit Cards
5. Stretch Your Budget
Redeeming points for gifts can be a lifesaver when funds are tight, but that's just the start. Big-ticket purchases can feel lighter on your wallet when you use a cash back credit card since part of the cost comes back to you. And when you stack reward redemptions with sales or coupon codes, you stretch every dollar even further.
6. Gift Personalized and Premium Presents
Some gifts are beyond what we'd normally spend—but credit card rewards can help close the gap. Redeem points for luxury or custom-made items that might otherwise be out of reach, or use points and miles to unlock premium experiences like travel, fine dining or exclusive entertainment. Or put cash back toward making those special purchases even more attainable.
7. Explore Charitable Giving
Consider using your rewards or cash back to donate to a cause you care about, turning your rewards into something that creates a lasting impact —and carries true meaning.
READ MORE: Do I Want Credit Card Points, Miles or Cash Back?
Tips To Maximize Your Credit Card Rewards
For the best bang for your not-actually-a-buck, try these strategies:
- Plan ahead. Save your rewards for a special occasion, like a milestone anniversary, family reunion or dream vacation, and focus your spending to earn toward that goal.
- Leverage bonus categories and sign-up offers. Use cards that give extra rewards for specific purchases (like dining, travel or seasonal promotions), and take advantage of generous welcome bonuses.
- Stay organized. Track your rewards, note expiration dates and watch for special redemption deals so you never leave value on the table.
- Combine household rewards. If your program allows, pool rewards with family members to unlock bigger redemptions and more memorable experiences.
- Use rewards responsibly. Earning points isn't worth it if you're going into debt and paying interest. Spend only what you can pay off in full each month, stick to your budget and let rewards build steadily over time.
Make the Most of Credit Card Rewards
Of all the perks that come with credit cards, redeeming rewards might just be the most fun. With a bit of strategy and planning, you can turn those points, miles or cash back into meaningful gifts and celebrations— strengthening your connections with friends and family and creating memories that last long after the moment has passed.
Turn everyday spending into rewards—open a Synchrony Premier World Mastercard® account and earn unlimited 2% cash back* on every purchase.
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*Subject to credit approval. 2% CASHBACK: Valid on net purchases (less credits, returns and adjustments) of goods and services made with your Synchrony Premier World Mastercard®. Cash back earned will be applied as a statement credit within 2 billing periods after an eligible purchase is made. See Rewards Terms for details. NO ANNUAL FEE: For New Accounts: See rates and fees for details.
