Shop around for a better deal on rewards cards

If you want a credit card with a rewards programme attached, choose wisely or shop around for a better deal because one in three rewards cards are a waste of money.

Annual fees up to $750 can outstrip the value of rewards benefits like flights, shopping vouchers and cashbacks. About half of the rewards cards now in the market return less than $20 in real value to an average spender. 14 offer more than $100 net value.

However people spending more than $5000 a month on their card can end up more than $1000 ahead.

The average rewards credit card annual fee is now $146.

Source: The Daily Telegraph