Paying for gas at the pump might be expensive. The cost can be decreased by using credit cards that offer rewards for petrol purchases.
Some credit cards for gas are associated with particular gasoline brands, while others are universal reward cards that offer savings on all fuel kinds. You can decide if these cards are worthwhile depending on your fuel usage and other card attributes.
Contents
A Great Way to Save on Gas
We all need to get around in our cars, whether driving to work or school, ferrying kids back and forth to extracurriculars, or getting out for a road trip. Unfortunately, the cost of gas can quickly drain your wallet. But credit cards that provide discounts or cash back on fuel purchases can help you save money at the pump.
A branded fuel reward credit card is typically tied to a specific gas brand and offer instant discounts at the pumps and a small amount of cash back on other spending. They’re generally easier to qualify for than general cards, and may be a good option if you regularly shop at a particular gas station.
But general-purpose rewards credit cards that earn 3% or more on fuel purchases can also be a great choice. Some of these cards also earn rewards in other categories, such as groceries or travel, and can provide more value than a card that offers a flat per-gallon discount at the pump.
Deciding which type of card is right for you also depends on the average price of gasoline in your area. Generally, a card that pays per-gallon discounts is less valuable than one that pays a percentage rate on all purchases, especially when gas prices are low. And remember, if you carry a balance, any rewards you earn during the introductory period will be erased by interest charges, reducing your overall savings.
A Good Way To Build Credit
If you’re trying to build credit, a gas card can help. Many of them have less stringent approval criteria than general rewards cards, and some don’t have annual fees. Many also offer a cash rebate on all gas purchases, while others earn points (worth at least 1 cent each) that can be redeemed for travel and other benefits.
However, gas cards often have a cap on how much you can earn in rewards per quarter or year. They may also offer additional perks than general rewards cards, including travel insurance and airport lounge access. In addition, some cards are only available to members of a specific loyalty program or require you to pay membership fees to get the most out of them.
If you want to use a gas credit card to build your credit, paying off the balance in full each month is important. Otherwise, you could pay hundreds of dollars in interest, which can significantly eat into any rewards you earn. To avoid this, set up a budget that includes all your expenses and income so you can see how much you need to spend each month to meet your goals. This will make it easier to stay on track and not overspend. In addition, be sure to choose a credit card that offers fraud protection, so you’re protected against skimming or other scams at the pump.
A Good Way To Earn Cash Back
If you’re looking for a new credit card and want to maximize your rewards, a gas reward credit card can be a great choice. These cards usually offer a competitive cash-back rate for gasoline purchases and other useful benefits like fraud protection and cell phone insurance. Plus, many of these cards have no annual fee.
Most fuel reward cards offer rewards in the form of points, which can be redeemed for gift cards, merchandise, or travel bookings. However, some cards also offer a flat cash-back rate for all purchases. In either case, you should always look for a card with the best overall value for your spending habits.
A Good Way to Earn Free Gas
A gasoline rewards credit card might be a smart method to save money if you have a big car or petrol makes up a sizable amount of your budget. Many of these cards also allow users to earn additional rewards on other transactions. These cards provide cash back or points that can be used for free petrol at the pump. It’s also crucial to remember that these benefits have a different worth than cash and often depreciate over time due to inflation.
Another thing to keep in mind is that certain petroleum credit cards have earnings caps. This is frequently achieved by capping your annual or quarterly income. For instance, there are some times of the year when you may only get 5% back on petrol purchased at the pump. You’ll have to locate another card if you fill up with more than that.
If you’re thinking about acquiring a gasoline credit card, make careful to analyze your monthly gas expenses and if you often use a certain brand of gas station. It’s a good idea to think about the card’s additional benefits, such main rental vehicle insurance or trip security.
