What is a cash-back credit card?

A cash-back credit card is a type of credit card that offers a percentage of the purchase amount in cash back rewards. The percentage may vary from card to card, but generally, cash-back credit cards offer 1-5% cash back on all purchases. For example, if you spend $100 with your cash-back credit card, you may receive $1 to $5 back. This cash back can then be redeemed for rewards such as statement credits, gift cards, travel, or merchandise. Cash-back credit cards are regulated by the California Department of Business Oversight and must adhere to the laws and regulations set forth by the state. For example, cash-back credit cards must include various disclosures regarding fees, interest rates, and rewards on their applications. In addition, credit card issuers must follow a 12-day grace period and provide clear and conspicuous notice of the cardholder’s right to cancel the card. Cash-back credit cards can be a great way to save money and earn rewards, but like any financial product, it is important to be aware of the terms and conditions associated with it. Before opening a cash-back credit card, make sure to read the fine print and consider any fees or interest rates associated with the card.

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What is a cash-back credit card?

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