Are the free flights on my credit card points wort

A credit card offering points and a rewards scheme is typically more expensive in fees and interest rates than the average credit card interest rate. The average rewards credit cards charges just over 19 per cent on purchases. If you keep a balance on your credit card, you may be paying more in interest than you're getting in value.

Based on average credit card fees, interest and points, a credit card user with a $5,000 debt needs to spend $122,000 per year on a typical rewards card to break even.

A rewards credit card can be great value for a person with no ongoing debt.

Source: The Daily Telegraph

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