Westworld Alberta

money matters What's Your Best Offer? Four things you should know about credit-card offers before you choose Think you've found the perfect piece That's the one! Read over the fine print and base your credit-card choice on the long-term benefits, not just the introductory deals. of plastic? Give that fine print another look – with these four little-known facts in mind – to make sure you're picking the right credit card for your lifestyle and spending habits. 1 Sometimes a great rate is just an introductory deal. When doing your card shopping, watch for limited-time deals designed to attract your business. Many companies offer discounted rates for the first six months or so. But then they revert to standard rates – or even higher. So dig past the "honeymoon" package and base your choice on the card's features and benefits. For example, the CAA No Fee MasterCard offers competitive interest rates, no annual fees and rewards that add up fast, that you can redeem for things you'll use, such as your AMA membership renewal or vehicle registration. 2 Rewards come with restrictions. Certain purchases may net you more rewards than others. You might get extra points on gas, for instance, but fewer on other products. The same goes for the stores you frequent. "On your typical card, you're going to have the ability to earn more rewards by shopping at certain merchants," says Scott Sanders, director of card solutions at Bridgewater Bank, the Calgary-based AMA subsidiary that issues the CAA MasterCard. "Use cards that maximize what you're putting in your own pocket." If you do a great deal of driving, look for a card that earns rewards at the pump. With a CAA No Fee MasterCard, you earn up to three times the rewards on fuel at Husky and Mohawk when you also show your AMA membership card. There may also be a ceiling on the amount of purchases that qualify for rewards. Take the ever-popular cash-back card. Often a company will promote, say, a four per cent cash back rate on gas purchases. But put on your fineprint-reading glasses and you'll discover that this only applies to a limited amount of fuel per month. With the CAA No Fee MasterCard, there is no limit to the rewards you earn on gas or other purchases. iStock p48-49_Money_Matters.indd 49 3 Rewards can expire or change. Some reward points expire after a set period. Others, such as those accrued on the CAA MasterCard, don't. Think about how you'll use your rewards. If you'll want to save up your points for a big purchase such as a trip, choose a card with points that don't expire. Many card providers reserve the right to adjust the value of their loyalty programs by providing written notice. A recent example: last year, one popular Canadian credit card's cash-back rates shrank from three per cent on the first $600 spent each month to two per cent on the first $400. Says Sanders: "Be aware that the good deal you have now could change in the future. The real value of the card is what it offers beyond the honeymoon." 4 Paying your balance late can forfeit your reward points. This is where it pays to have a rapport with your provider. "People don't necessarily think of the need to keep a relationship with their credit card company, but it's important," says Sanders. "Every card company has a slightly different appeal process, but it all starts with a conversation." With some card companies, there's no guarantee your lost bonuses will be returned, but don't give up without calling to see if you can have some or all of your points restored once you settle your balance. "We really like to work with our cardholders," says Sanders. "Anytime you have any questions about your CAA MasterCard rewards, let us know." THE RIGHT REWARDS If you want to make the most out of a reward program, choose one that aligns with your day-to-day spending habits, now and in the future. "You're going to want a card that has the ability to grow with you," says Bridgewater Bank director of card solutions Scott Sanders. "Take a step back and ask yourself, 'Is the loyalty program vast enough that I'm going to see value throughout all the stages of my life?'" Also, does the program offer rewards you need and love? For example, points earned with the CAA MasterCard can be used for things like your vehicle registration, home or car insurance — even your AMA membership. □ AMA MEMBERS SAVE MORE The CAA No Fee MasterCard has no annual fee and rewards you'll love. Plus, there are no restrictions or blackout periods, no expiration date on the rewards — and no limit to the amount of CAA Dollars you can earn! Apply for a CAA MasterCard and spend $80 on it by May 31, 2013, and you'll receive a $100 credit. ama.ab.ca/100Free Westworld >> f e b r u a ry 2 0 1 3 49 13-01-23 5:50 PM

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