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Step 1
It is possible to get something for nothing. It just takes some work and discipline. Most credit cards have reward programs, and you should be using yours, or switching to a card that offers one.
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Step 2
Any rewards you get from your credit card are only really free if you pay your credit card balance in full every month. Otherwise, whatever reward you get will be eaten in interest payments and its not worth it. If you pay in full every month though, anything perk you get on top is gravy.
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Step 3
Look for a credit card that offers extra points for common purchases like drug stores, grocery stores, and gas stations. You're spending your money in these places anyway, you might as well get something back. Citibank has a great reward program that lets you redeem points towards your student loans, mortgage or cash.
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Step 4
Pay all your bills, or as many as you can, on your credit card. Telephone bills, cable bills, and some utilities can be paid on your card with no fee and no worry about the check arriving in the mail. You'll rack up points quicker than you'd believe. Again, this ONLY is a good idea if you pay your full balance every month.
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Step 5
Redeem your points for gift cards. They offer the best exchanges rates and the most value. For example, 10,000 points may translate to a $100 gift card. A cash reward, on the other hand, will take more, probably 15,000 points or more for $100.
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Step 6
Do not redeem for items- electronics, games, whatever. These take a lot of points for not a lot of stuff. Get a gift card and go buy the item. For example, an ipod may take 20,000 or more points, but you could get a Best Buy gift card for 15,000 points.
