Taking A Closer Look At Gas Credit Cards
Gasoline is expensive. From a high of $4.50 per gallon of regular gasoline, it went down to $1.48 per gallon recently but it is now starting to inch up slowly. Regular gasoline in California now sells for $1.85 per gallon. But regardless of the price of gasoline, people have to fill up their tanks as they have to drive to work or school every day. One, therefore, has to think of ways of how to economize on their gas purchases.
One way of saving money on gas purchases is by applying for a gas credit card. Gas credit cards allow people to charge their gasoline purchases at the pump and at the same time save money through the rebates or cash back the bank gives to the card holder. The more gas purchases you make using the gas credit card, the more rebate or cash back you get. At the end of each month, you will realize that you have saved a substantial amount of money which you can use to purchase other important items that you need.
Right now, there are many banks or credit card companies that issue gas credit cards that are sponsored by gas companies. Some gas credit cards give you points for every gas purchase you make, the accumulated points can be used later to purchase gas or be redeemed for some rewards. Other gas credit cards will give you an outright discount at the pump so instead of paying for their posted pump price, you pay several cents less per gallon. The most common gas credit card gives you cash back after you have made the purchase. This works by computing your total gas purchase for a month’s period and then giving you a certain percentage discount which is reflected in your credit card bill. When your total gas purchase in one month is $100 and you are given a 10% discount, your bill for the month will only be $90. You will save $10 for that billing period which in these difficult times could mean a lot.
In choosing a gas credit card, we have to examine the terms and conditions of the card. The fine prints of a gas credit card may be disadvantageous to the cardholder. For example, the credit card company may require you to purchase a certain amount of gas before you start availing of the discounts or rebates. If the required amount of purchase is too high, you may not be getting any benefit at all from you gas credit card.
You have to be careful also with gas credit cards that charge annual fees from the cardholder. If your gas purchases are only minimal because you travel only short distance every day, the amount you can save may only be equal if not less than the amount you will be paying for the annual fee of the gas credit card.
It is important that you choose a gas credit card that does not charge annual fee and offers maximum discount or rebate to the cardholder. That will be a real way of saving money on your gas purchases.
See: Gas credit card