Using a rewards program to make your money go farther can be a good idea. It's a good idea for merchants, too. Let's test your shopping smarts when it comes to rewards programs. Are you a savvy shopper or just a savings wannabe?
Rewards programs encourage you to buy more from the merchant offering the card. What's the benefit to the consumer?
When you buy, you become eligible for special prizes.
The more you buy, the more you save.
Your purchases support local retailers and encourage a robust marketplace.
Why should you use caution when signing up for rewards?
Rewards cards can take up valuable space on your key chain (or in your wallet).
The data aquired from your purchases can be personal.
Both of the above
What type of retail purchase is the most popular for rewards?
What's one of the big gotchas when grocery shopping using a rewards card?
Regular price is often higher than the discount grocery chains
Volume purchase requirements may have hidden costs, especially if you don't use perishables quickly enough.
Rewards are offered on lower quality store brand merchandise
What's the easiest way to sign up for a grocery store card?
Join by paying a fee.
Fill out an application at the customer service desk.
Add your name to an online waiting list.
What type of rewards card is the most convenient to use?
Credit card style
Are frequent flier mile rewards free?
No. There are typically additional charges.
Yes, but only if you have a great credit score.
Yes, but only with a few programs.
If you don't fly often, can you still earn rewards miles for free round-trip tickets to exotic locations?
Only if you purchase travel related products
Can you get discounts on prescriptions with drugstore rewards cards?
Only for generic drugs
At some drugstores
No. Prescription discounts through retailers is illegal.
What's the best rewards card?
The one with the best discounts
The one you use for products you'd buy anyway
Any rewards card with no annual service fee
What do the experts consider one of the big downsides to participating in rewards programs?
Potential loss of privacy
What percentage of American consumers belongs to a grocery store rewards program?
What is one potential downside to letting retailers learn too much about you?
The information can fall into the wrong hands.
Retailers can use the information to encourage you to overspend.
The government can access the information without your knowledge.
What's one way to get around potential spam problems when sharing your e-mail address on a rewards card application?
Give a bogus address.
Open a free e-mail account to handle these types of services.
Opt out of e-mail altogether.
What are inactivity penalties?
Not staying active in a rewards program can cause you to forfeit points.
Individual stores can be dropped from rewards programs if not enough people join.
Some cards require feedback via surveys. Non-participation results in termination from the program.
Retailers have a lot to gain by turning visitors into loyal customers. What percentage of a retail store's sales typically comes from a core base of loyal shoppers?
How do you save the most with rewards programs?
Following the rules
Buy only in bulk
Are rewards credit cards a good deal?
What types of rewards are the most popular with consumers?
What single thing can help a consumer get a credit card with the more attractive rewards program attached to it?