Given the high gas prices nowadays, gas and auto credit cards have become increasingly popular. Some of the cards are featured with rewards points which can go toward buying a new vehicle. Other cards are offered in partnership with car dealerships and/ or manufacturers and make it possible for the holder to reduce the down payment. You can choose what rewards you want to get. Most often, the points go toward the purchase of parts and services at dealerships, for leasing, used and new car purchases, etc.
You can get gas credit cards from gas companies and banks. They are featured with rebates on gas purchases. There are two types of gas credit cards – from gas companies and credit card companies. Gas stations offer credit cards from gas companies, and these do not bear a Visa or MasterCard logo. They are suitable for people who charge at the same station frequently. Rewards can be received only at the gas station that issued the card, but reward points can be earned on all gas purchases no matter where they were made.
Credit cards are also offered by credit card companies, which are unrelated to gas stations. In this case, your reward points can be redeemed at more than one gas station and generally amount to 3 – 5 percent.
Some people are suspicious of credit cards from gas stations .If you would rather not have such a card, here are some issues that support your case. Canadian customers get a rebate in the range of 5 – 6 percent but only within a specified timeframe. It will be lowered to up to 3 percent afterwards. The company that issued the card can change the terms and conditions at will with limited notice, so it does not really matter even if the rebate percent is fixed. If the company changes the terms and conditions, ask them whether they have an interesting alternative on offer.
Moreover, credit cards with gas rewards have a high interest rate. It is generally more than 20 percent if you skip a payment. You can accumulate debt only to save a couple of dollars on gas.
One decent option in Canada is the Petro-Canada Personal Credit Card. Over 1,400 Petro-Canada locations accept this card, and it goes with 10,000 bonus points after charging 10 purchases. Each purchase gets you 1,000 bonus points, which you can have redeemed at all Petro-Canada gas stations. The Petro-Canada Personal Credit Card goes with an interest rate of 28.8 percent, grace period of 25 days, no annual fee, and dishonored cheque charge of $25. The current account statement is offered for free while statements for other billing periods cost $2. Applicants for this card should be of legal age, while all authorized users should be at least 16 years old. All applicants should be Canadian residents. When you get your application, fill out your personal information, together with employer’s name, gross monthly income, employment length, and other relevant information. Choosing between different credit cards? Citi PETRO-POINTS MasterCard is a good chioce.
