With oil prices breaking records on what seems to be a weekly basis, is there any end in site to the pain we're suffering at the pump? To be honest, I don't know. But I can advise you on free ways to save money at the pump by simply paying for your gas purchases using a credit card. Here's how:
Merchants (the gas stations) must pay a small percentage of your purchase price to the credit card issuers in what is called transaction fees. These fees typically make up anywhere from 1% to 5% of your purchase. Have you ever felt it's not fair that the credit card companies are making extra money off you this way? Well the good news is you can get that money back, in the form of cash in your pocket, that is if you know the right credit cards to use.
Right now there are a couple majorgas reward credit cards on the market which offer you at least 5% cashback on your gas purchases. These cards are free, no annual fee, so if you already use a credit card to pay for your gas, it may be smart to switch to one of these cards instead. There are other cards on the market which also offer your 2% or 3% cash back on gas, but we'll focus here on telling you about the cards which pay the highest rebate of 5%.
You can read almost any American Express Simply Cash review to see that this card is a no brainer if you qualify for it. What makes this card unique is that in addition to the high rebate if offers on gas, it also gives you 5% cash back on office supplies as well as wireless services. That means purchases at places like Staples and Office Depot, as well as your cell phone bill or even a cell phone purchase, qualify for this rebate amount. This is a business card so you can either apply using a corporation or LLC, or by simply using your name and social security
number in the form of what is called a sole proprietorship.
One of the other great cards on the market is the Discover Open Road credit card. This card not only offers 5% rebate on gas, but also auto maintenance - making it the perfect companion for all auto related purchases. This card also has no annual fee.
Obviously gas rebate credit cards are far from a solution to outrageous gas prices. However they are a tool, when used properly by the consumer, that can offer a small free discount on gas purchases.
