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You signed up for that rewards charge card for a reason: to rack up absurd amounts of points, miles, or cash back when you invest, right? There may even be an incentive you know you want, and like many various other customers, intend on saving your benefits currency until the rewarding day when you can finally redeem your currency for that sweet reward. But, is that really the wisest strategy?

Whether it’s points, miles, or cash back, your accumulated benefits don’t belong to you till they are redeemed for something. Benefits programs can be closed down with no prior notification and participants might lose all the rewards that they conserved up. PerkStreet is a current suggestion that that’s a possibility.

Or, you may close an account in rush and forget that you’d made a bunch of incentives that went unredeemed.

According to a 2011 COLLOQUY study, nearly $16 billion of the $48 billion worth of rewards points and miles provided every year in the U.S. go unredeemed.

However, there are ways to produce a safeguard against losing your incentives currency.

For many, it’s possible that they can enhance their benefits by redeeming for cash. This is a safe choice, because consumers can simply transfer their cash incentive in a cost savings accounts or a financial investment account. That method, even if the development capacity couldn’t be substantial, at least, the benefit’s in the customers’ possession.

If you pick this choice, you can likewise move your cash reward into sub-savings accounts or track it with an individual financial management (PFM) device, so that you can still work towards saving up for exactly what you initially wished to score with your incentives currency, and mark the funds towards your specific goal.

Interestingly, there are particular rewards programs that make redeeming incentives more tantalizing, however their motives may be rather manipulated. Rewards programs might reward clients if they opt to wait to make larger redemptions (a move that’s in the best interest for the bank). For example, UNITED STATE Bank Money+ Visa Trademark cardholders receive an extra $25 reward prepaid card if they redeem their benefits for a minimum of $100 at one time (only once per year).

Another rewards program exception that makes cashing in for money more difficult, is the possibility that the currency minimum to make a cash redemption is much higher than that needed to redeem for a present card or merchandise.

For example, in Citi’s ThankYou rewards program, 10,000 points can purchase a $100 Finest Buy present card or a $50 statement credit. In this case, redeeming for cash isn’t beneficial. However, exactly what if there is not a present card that you ‘d want?

You can opt for a middle ground, but it may need a little more effort. What you can do, is redeem the $100 Finest Buy present card and afterwards offer it for a small discount. Craigslist or gift-exchange websites, such as or, are the ideal locations to obtain cash for your gift cards.