Putting business expenses on your rewards credit card is an excellent way to earn great rewards quickly. However, to maximise your rewards, you’ll need to be strategic about the card you choose and how you use it. Also, keep in mind that credit cards come with fees and interests, so make sure you keep your costs under control while you are earning your rewards.
Choose the right card
The first step to maximising your rewards is having the right card in the first place. Some cards reward you on purchases in general, while others may have different tiers of rewards in specific categories. Review your spending habits and make sure you choose a card that rewards you the most on your usual purchases. However, remember that it’s usually not recommended to base your credit card decision only on rewards you can earn. There are several other factors worth considering.
Read more here in our ‘How to choose the right credit card for your business?’ guide.
Read the fine print
Rewards schemes can be complicated so make sure you read the fine print before you sign up. You should have full clarity on how you can earn your rewards, if there are any limits on how much you can earn and any redemption conditions. Also, remember some rewards may have an expiry date - it’s worth keeping this in mind, so you don’t miss out on any rewards you have earned.
Take advantage of sign up bonuses
Most rewards cards come with a welcome bonus which is dependent on spending a certain amount of money within a specified period. Sign up bonuses are usually a lump-sum of points, worth a few hundred pounds, which can boost your earnings. Make sure you know what the bonus criteria are so you can meet them.
Use the card for everyday and recurring purchases
Make the rewards credit card your ‘front of wallet’ card – use it as much as possible so you can earn rewards without even thinking about it. Find any recurring expenses that can be paid for by a credit card like office costs, office supplies, office food deliveries, equipment, internet and phone bills, utilities or petrol. The more spending you can put on your card, the more rewards you can earn.
Pay your marketing cost your card
If you are running online advertising campaigns on platforms like Google, Bing, Facebook, Amazon etc., always make sure your rewards card is attached to your advertising accounts. Similarly, with any software subscriptions or licence purchases.
Get supplementary cards for your employees
If you have employees that make business purchases on their personal cards that require expensing, it may be worth getting supplementary credit cards for them. This way, you can not only keep better control of your business spending but also accrue points on their spending too.
With the Capital on Tap businesses credit card, you can request up to 20 free supplementary cards. All points accrued on each individual card will be added to the main account.
Pay your balance on time
Getting charged interest can eat up any rewards you earn, so make sure you always pay your balance on time. Set yourself a simple rule to always pay off your balance, so you get the most of your rewards.
Redeem your rewards wisely
Most credit cards offer different redemption options so before you cash out your points, review what they are, and which ones offer the best value. If you travel a lot, it may be worth redeeming your points for air miles rather than cashback, so you benefit from discounted travel.
Also, keep in mind that your rewards may expire. Keep track of how long you have to redeem your points before you lose them!