CardRates.com Guide: Gas Rebates
We Americans love our cars…and trucks, SUVs, crossovers, minivans, and so on. In fact, we love our vehicles so much that we drive over 13,000 miles per year in them on average. With gas prices where they are, that means we spend around $2,500 every year just on fuel for our favorite mode of transportation.
But what if we could save some of that money just by changing the way we pay for gas? That’s exactly what gas rebate credit cards do.
These are essentially rewards cards
Gas rebate credit cards are essentially reward cards issued by major credit card companies. They’re different from a gasoline charge card issued by Chevron or Valero or BP. Those cards are only good for gas at their stations and nowhere else. Gas rebate credit cards, on the other hand, can be used just like any other credit card.
Many of them will also earn you rewards for other purchases like groceries, dinner out or even department store deals. It’s like getting paid back for doing something you were going to do anyway.
Depending on the issuer and terms, gas rebate credit cards can earn you up to 6 percent cash back when used on gas. They’ll also pay you between 1 to 3 percent or so when you use them other places. But be sure to check the fine print because not all gas rebate cards are the same.
You may be charged an annual fee
Many issuers of gas rebate credit cards charge an annual fee, so account for that when figuring how much you will actually save. The interest rate they charge can be higher, although that’s not always the case. Be sure to do some careful comparisons — there are limits as to how much of your spending is eligible for the rebate.
Many cards come with a monthly or quarterly spending limit, after which you earn less of a percentage back – or in some cases zero – until the next statement period.
Gas rebate credit cards are a great way to earn cash back and reduce the amount you have to spend at the pump. If you do your research and choose a card that fits your spending habits, you can save quite a bit of money every month.
Photo source: eastbayri.com
Editorial Note: Opinions expressed here are author's alone, not those of any bank, credit card issuer, airlines or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities.