Younger adults using credit card rewards, survey shows
Bankrate: 34% of consumers typically carry a balance
(InvestigateTV) — Around 77% of Gen Z and 74% of Millennials surveyed by Bankrate said they pursue credit card rewards.
Ted Rossman with Bankrate said that utilizing rewards can be a good thing for those that are debt free.
He said it’s a savvy tip to lean into credit card rewards, provided card holders are not paying interest.
“If you get a credit card that gives 6% back at the grocery store, you’ve lowered your grocery bill by 6%, assuming you’re not paying interest,” Rossman said. “That can really add up.”
He said he loves the idea of maximizing everyday spending and added that cash back is America’s favorite reward option.
“Because even though travel can be lucrative, it’s more complicated,” Rossman observed. “I think a lot of people would rather get money in exchange for things they would have bought any way.”
Rossman said the big key to rewards is to avoid paying interest. Carrying a balance can quickly cancel out any of the value of those rewards.
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