The Top Credit Card Rewards Trends of the Year
Credit cards have become an essential part of our lives. Any service or product can be paid for without cash by using a credit card. Moreover, credit card companies are always looking for ways to incentivize cardholders to use their services more often by offering rewards programs that not only attract new customers but also retain old ones. In 2021, the top credit card rewards trends are changing the way we use our credit cards.
Contactless Payments
The trend that has been gaining momentum is the increased use of contactless payments. This payment method is becoming popular due to the pandemic as it eliminates the need to touch surfaces, reduces the transmission of germs, and is convenient for making payments. Many card companies are improving their security features by allowing contactless payments through mobile payment apps like Apple Pay, Google Pay, and Samsung Pay.
Cashback Rewards
Cashback rewards have been a popular reward program for cardholders for quite some time. In 2021, the trend continues to be prevalent. Cardholders earn cashback rewards on their purchases, which can be redeemed for a statement credit, direct deposit, or a paper check. Some cards offer cashback rewards on specific categories such as groceries, gas, and dining, while others offer unlimited cashback rewards on all purchases.
Travel Rewards
Many people are ready to travel again after a year of being cooped up at home. Travel rewards such as airline miles and hotel points are becoming popular again. Some credit cards offer sign-up bonuses in the form of miles or points, which can be redeemed for flights, hotel stays, and car rentals. Additionally, some cards offer free checked bags, priority boarding, and airport lounge access, making travel more enjoyable for cardholders.
Flexible Rewards
Flexible rewards are a new trend in credit card rewards programs. These rewards allow cardholders to use their points for various purchases such as travel, merchandise, and statement credits. This flexibility provides cardholders with more options, and they can redeem their points for whatever they need at the time.
Subscription Services Rewards
Many people are subscribed to various services, such as streaming services, meal delivery services, and more. Some credit card companies are rewarding their cardholders by offering cashback rewards or statement credits on these subscriptions when they are paid with the company's credit card.
No Annual Fee Cards
One trend that has not changed is the popularity of no annual fee credit cards. Many people do not want to pay an annual fee to use a credit card, and no annual fee cards are becoming more attractive because they still offer rewards programs. These cards are a great option for people who are not heavy credit card users.
Fraud Protection
Credit card fraud has become more prevalent, and card companies are improving their fraud protection services to protect their cardholders. Some companies offer zero-liability protection, meaning cardholders are not responsible for unauthorized charges made on their card. Additionally, the integration of EMV chip technology and biometric identification has made it harder for fraudsters to access cardholder information.
In conclusion, credit card rewards programs are always evolving to meet the needs of cardholders. The top credit card rewards trends in 2021 are contactless payments, cashback rewards, travel rewards, flexible rewards, subscription services rewards, no annual fee cards, and improved fraud protection services. Cardholders should consider these trends when selecting a credit card to maximize their rewards and enjoy the benefits of being a cardholder.