Knocking Out Debt with Credit Card Rewards

When you think of credit cards, what is the first thing that comes to your mind?  Debt? Minimum payments? High interest rates?  Well
when I think of them, I think “rewards”.  Credit cards can be a great tool for helping build wealth for the every day person.  With creditID-100276682 card companies competing for your business, credit card rewards have continued to get better and better.  Whether it is airline miles, statement credits, or straight cash, credit cards can offer a variety of incentives when using them over cash on every day purchases.

Personally, I love getting cash back.  Why?  I’m earning extra money that in turn I can use to help pay down mine and my wife’s student loans.  I avoid using cash in almost all instances.  Besides the great rewards, credit cards also offer fraud protection that cash just can’t match.

So which card do I use?  I use the Rewards Visa Card as our every day card.  And what do I earn with it?

  • 3% Back at
  • 2% Back at gas stations, restaurants and drugstores
  • 1% Back on all other purchases

This card made sense for us because we found ourselves purchasing a lot of bigger items from Amazon and two of our other bigger categories are fuel and restaurants.  The main grocery store that we use doesn’t accept credit cards.  The other stores we go to didn’t fall under categories for extra benefits on other cards.  So we found that this was the most beneficial card for us.

As I mentioned above, our reward points have helped us pay down our student loan balances.  I am proud to say that since we began using credit cards exclusively for our purchases over the past couple years, we have been able to apply over $1,000 in rewards towards our student loans.  This is money that we otherwise wouldn’t have had if we had made our purchases in cash.  Never once during this period did we carry a balance, pay a cent of interest, or pay a fee.

Credit cards can be powerful tools when used correctly.  Whether they are used to pay for vacation flights or you earn cash to use to increase your wealth, credit card rewards are a great benefit for buying your everyday items.  Just remember, be responsible and let the payments start rolling in!

Do you use credit cards to earn rewards?  What sorts of things do you use your rewards for?

Note:  If you are looking to find a rewards card, I came across a great tool at  It has good information on a lot of different cards and helps break them out by the type of rewards you can receive.  If you are currently looking for a rewards card, I would recommend you check it out as you look for which one is best for you!

Disclaimer:  This post is about using credit card reward points to help pay down debt and build wealth.  While credit cards can be a great tool, they are not for everyone.  This blog’s stance is that if you have credit card debt, are unable to pay off the balance each month, or have issues with overspending while using them then you should have them in your day-to-day financial toolbox.  They can be a great tool but they can be very destructive to your financial health if not used smartly.

Photo Courtesy of: stockimages



2 thoughts on “Knocking Out Debt with Credit Card Rewards

    • It is definitely a great way to have a little extra “emergency fund” for unexpected repairs. That is our plan for it in the future. But since I finally got a newer vehicle, I’m hoping none of those kind of repairs pop up anytime soon!


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