How do you earn points on a credit card?

You can get the most reward points from credit cards by picking the right reward points credit card offers, qualifying for initial bonuses, taking advantage of bonus categories, and using the cards as much as possible – as long as you can pay off the balances in full each month. Some rewards credit cards also have ways to earn extra points by shopping through the card issuer’s online mall. Chase cardholders can use Shop through Chase to...

Credit card points are worth an average of 1 cent each, though point values usually range from 0.5 cents to 1.5 cents, depending on the card and the redemption method. For example, you might spend 2,500 points on a $25 gift card, while the same number of points might only get you $15 when redeemed for merchandise.

Credit Card Point Values by Reward Program

The difference between cash back and points is that the former is the most versatile type of credit card rewards, as it can be redeemed for anything, and there’s never any doubt about how much it’s worth. Points, on the other hand, have a value set by the credit card company and tend to be worth the most when redeemed for travel. Credit card companies won’t always clearly disclose points values, and those values can change over...