Credit card benefits in the Philippines make owning a credit card more rewarding than sticking with physical cash. You can earn points, avail of rebates and get exclusive deals more with just the simple act of using your credit card.
Different banks offer different perks and rewards, so choosing the right credit card for you requires knowing what offers and promos you can get from various credit cards. Find out what the credit card benefits in the Philippines can offer you, so that you can weigh the pros and cons of each credit card rewards program.
Cash Back Credit Cards
Make money by spending money with cash back credit cards. Cack backs offer a set rebate based on the rate offered by the credit card’s rewards program. Because of these rebates, these credit cards often have higher annual fees to cover the costs of the cash backs, but they can be well worth it.
Shopping at merchant partners or buying a specific type of product can get you discounts or can give you twice, thrice or even ten (10) times as many points.
What makes credit card benefits in the Philippines like cash backs a good investment is that you can actually earn back a good amount of money should you continue to pay your credit card bills on time. Be careful not to overspend and rack up credit card debt. The interest and fees that come from unpaid credit card balance will far outweigh your cash backs.
Air Miles Credit Cards
Are you a frequent flyer? With an air miles credit card, every purchase earns you points that you can exchange for plane tickets. The term “air miles” does not mean every point you earn is equal to a mile you can get in exchange. Instead, air miles refer to the miles you have already flown. These miles accumulate like regular points.
In The Philippines, these points vary depending on the airline and the type of ticket you purchased (such as whether you availed of Economy Class or Business Class seats. For example, your air miles credit card may have offers for free flights to Korea for every 14,000 points. A regular economy class ticket from Manila to Seoul, under your credit card’s rewards program, will earn you 1000 points. This means you’d need 14 plane trips before being able to get a free ticket. If that seems like a lot, you can also earn points by using your credit card abroad on your trips and even just everyday purchases, depending on the credit card.
Be sure to thoroughly read through the terms and conditions of your credit card rewards program as some credit cards’ air miles can expire after a year, while others offer points that last forever.
Some air miles credit cards offer free travel accident and inconvenience protection as well when you use your credit card to book the flight. So if you travel a lot for work or leisure, this is one of the best credit card benefits in the Philippines to look into.
Rewards Credit Cards
Similar to cash back credit cards, cardholders can accumulate points through paying with their rewards credit card. Unlike cash backs, you do not receive actual money, but rather, you earn points that can be exchanged for gift cards, electronics, hotel stays and other rewards.
Usually, your credit card provider’s website has a list of the rewards you can avail of and how many points they cost so you can choose what to get with your points.
Depending on the credit card you apply for, you get a point for a certain amount spent. A credit card offering one (1) rewards point for every PHP 20.00 will net you five (5) points for spending PHP 100.00. Transacting with merchant partners can earn you double or triple your points as well.
Other rewards and promos
Many credit card benefits in the Philippines combine all three types of rewards with other offers and promos. For example, on top of earning points, you can also avail of discounts or freebies when shopping at specific merchant partners with some credit card offers. These merchant partners can range from retail to automotive and gasoline to hotels. Some credit cards even have special credit cards in collaboration with a merchant partner that gives you even more benefits.
Credit card providers also offer welcome gifts to entice people to not only apply for their credit cards, but also to start using them. New cardholders can avail of eGift cards, free trips, products and more, if they spend a certain amount within their first few months.
One of the simplest but most practical credit card benefits in the Philippines that you can avail of are 0% interest rates when paying in installments with flexible options for payment terms. This means that you can buy a big ticket item like a refrigerator and pay for it for 24 months without any interest at all.
Other banks offer credit cards with unique rewards such as converting your points into charity donations, waiving your credit card’s annual fee or fuel rebates when you fuel up at partner gas stations.
How to choose the right credit card offer for you
You might feel overwhelmed by all the options for credit card benefits in the Philippines. Research the requirements, benefits, terms and conditions, interest rates and fees of the different credit cards available so you can be assured that you are making the right choice for your lifestyle and finances.
Do not forget to look at the terms and conditions as you might miss out on some technicalities. For example, some credit card rewards programs’ point system expire after a set amount of time. Compare various credit cards’ interest rates, rewards and fees through online tools or through simply visiting websites and reading up on each credit card’s rewards program.
Consider your lifestyle and how often you’ll be using your credit card so that you can weigh which fees and rewards will best suit your needs.