Sunday, November 4, 2007

And now… Your Good Credit Management is Rewarded

Discover card has to get creative when trying to lure customers over to their side of the fence. Competing against the big names - MasterCard and Visa is no easy task, but Discover has come up with a clever rewards program that just might make more people see the Discover card as a better option for their credit card choice.

Pay On Time : Get Rewarded

In the world of credit card payments, if you pay on time, you avoid late fees. While that might be incentive enough to make your payments on time, Discover thought they’d go a step further. When you make your payments on time, you receive a “pay-on-time bonus” which is equal to a month’s worth of interest fees, whenever you have 6 months of payments on time. That’s a nice benefit of paying on time that goes above and beyond the avoidance of late fees! Discover is currently the only credit card to reward people for good credit management.

Other rewards

There are a few other rewards based benefits with Discover Motiva card that are worth mentioning. When you shop specific retailers through the Discover exclusive online shopping site, you earn between 5 and 20% cash back bonuses. I’m thinking about using the Discover Motiva to do my holiday shopping online- and hoping to get that 20% kickback. That’s basically like saving 20% on my holiday shopping if I can work it out right- and considering I regularly spend around $1200 during the holidays, saving $240 is a decent amount of cash back. Discover doesn’t limit the amount of cash rewards you can earn, either, which is nice compared to the majority of rewards programs that have a maximum earnings level.

If you decide to redeem all that cash back bonus in the form of gift cards- you’ll end up with double value to redeem. That’s pretty decent- and will even buy another few gifts around the holiday time!

You do need to have good credit - make that “excellent” level credit to qualify for the Discover Motiva, but if you are in that boat I suggest you check it out. The cash back program is a strong benefit particularly around the busiest shopping season of the year.

Earned rebates with Discover Motiva card won’t expire for three years as long as your account stays active, so you have plenty of time to earn those rewards!

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