When in search for a reward credit card, people tend to focus on the monetary incentives and overlook the non-monetary privileges of the best credit card offers. But did you know that you can actually benefit a lot from these perks? If you know how to make use of your privileges as a cardholder, you can also save a considerable sum of money. In this article, let’s take a closer look at some of these perks:
Collision damage waiver for car rental services. If you’re going on a trip and will need to rent a car for a few days, check if your car reward credit card offers a collision damage waiver so you don’t have to purchase a separate insurance from the car rental company. This can save you anywhere from $10 to $20 per day, extra bucks that you can use for shopping.
Take note that the free car rental insurance may only be valid for up to 15 days or less so you want to check the rules of your issuer. The conditions may also vary depending on the car rental company, the type of vehicle you’re renting, and on your location.
Extended warranty protection. Merchants typically offer 6 months to 12 months of warranty but if you’re going to pay with your reward credit card, you can enjoy an extended warranty period or a longer time to enjoy free repair services.
However, some items may not be covered with the same extended warranty period so check the fine print. You can save anywhere from $15 to $270 of free repair services for up to one year or two years, depending on the item you purchased and the retailer.
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Extended purchase protection. Retailers usually allow up to 30 days of return period with full refund if the item you purchased is damaged or stolen. If you paid with a reward credit card, the Return period can actually extend for another 60 days, so you still have the chance to return the item and get a full refund up to 90 days.
Once again, some items such as second-hand and antique items may not be covered. Reward credit card issuers may also impose a limit to the refund amount. For instance, American Express and MasterCard typically limit refunds up to $1,000 only, while a $500 cap for VISA.
Lost luggage reimbursement. Your reward credit card can pay the difference between the amount claimed and any payment made by the carrier (bus, train, plane). There is a cap to the reimbursable amount, depending on the issuer but signing up for this service can save you anywhere from $500 up to $3,000.
These are just some examples of perks that you are entitled to as a reward credit cardholder, especially if you own Platinum or a Gold credit card. However, these privileges may not be highlight on the advertisements so unless you check the fine print, you may not become fully aware of all your privileges and limitations. Furthermore, you might be required to submit paperwork in order complete the process.