When shopping with a credit card in a store or online, the financial company shouldn't be the only one profiting. Choose a cash-back credit card, and count up the savings.
"Cash-back credit cards offer tremendous value to consumers in the form of rebates that can be accumulated and redeemed in many ways" such as through statement credits, direct deposits to another account, merchandise and gift cards, says Laura Gingiss, spokeswoman for Discover.
Choose a card based on your needs and interests, says Woroch, noting that cards offering higher rewards for gas, hotel or airline purchases can benefit those who travel a lot. Plus, you can easily earn a free flight or hotel nights by signing up for a new credit card when that's an offered perk. "If you prefer cash back, look for a card that offers bonus categories," she says.
Watch out though, as some cards charge an annual fee. "Their perks will pay for themselves as long as you use the card," says Woroch.