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When it comes to reward points, some of us are savers, holding all our points for a big purchase, while others are more the “spend as you go” types. One thing we can all agree on: the more opportunities we get to earn points, the better.
Vice President of Marketing at Southland Credit Union Michelle Rose says that one way to get to your rewards goals faster is to look for multiple opportunities to stack up your points.
For example, a Southland Credit Union program called Enjoy! Rewards offers points from purchases on credit cards, but also by using debit cards; signing up for a personal, home-equity, or auto loan; or securing a mortgage. These points can be pooled together and used for travel purchases, electronics, gifts, cash back, and even donations to charities.
“You can do a broad variety of things with those points,” Rose says. “But I would say that many use points for what we call ‘real-time rewards,’ or points while you're actually out and about shopping.”
She used gassing up your car as an example: “So when you're at the pump, you'll have the opportunity to use your points for gas. There are also certain retailers who offer the ability to use points right at checkout.”
A program such as Enjoy! Rewards might also help members earn points if they don’t have a regular credit card — they can still reap rewards from other loans and by using a debit card.
Credit Unions vs. Banks
While both banks and credit unions can help you reach your financial goals and provide similar services, such as loans and savings and checking accounts, credit unions are set up as not-for-profit organizations, owned by their members instead of shareholders, and operate with the guidance of a volunteer member board. “Credit unions tend to offer higher rates on deposit accounts like certificates and savings accounts, and lower rates on auto loans and other consumer loans, like credit cards and personal loans,” Rose says.
Anyone who qualifies can be a bank customer, but credit union members may have to meet specific requirements. Sometimes a credit union is specifically for people who work at a certain company. In the case of Southland, anyone who lives, works, or attends school or church in Los Angeles County or Orange County is eligible.
The idea for Enjoy! Rewards came from members. “We sent out surveys asking you how you want to be rewarded by your credit union,” Rose says. “We looked at ways we could help our members truly enjoy their banking experience. Many banking rewards programs can be overcomplicated, with hard-to-understand conditions and unachievable loyalty tiers. Enjoy! Rewards empowers every member to earn rewards and enjoy them.”
Be a Smart Spender
It helps to understand exactly what programs you’re signing up for. If you don’t travel, a card that accumulates airline miles, for example, might not be helpful. “If you are earning points or awards with your financial institution, take a look and make sure that it's something that benefits you, and if it doesn't, shop around and look for something that does,” Rose says.
Some accounts with rewards have fees associated with them — but there are also ways you can avoid those fees. Using direct deposit or bill pay and making 10 debit card transactions per month are ways to waive the Southland Credit Union Enjoy! Checking account monthly fee, Rose says. “If that sounds like you, then this account may be a good fit and you'll be able to avoid the fee.”
When it comes to credit cards, you want to make sure you keep up with your payments. However, if you aren’t paying off the entire card each month, holding a balance on your Southland Credit Union credit card won’t diminish your points.
One thing to keep in mind is not to overspend to rack up points. Responsible financial practices are always important, no matter where you keep your money. “Credit cards are tools for building credit, but just like with any credit card, you want to pay your balance at the end of every month and make sure that you're not spending more than you can afford,” Rose says.