Money Talks Monday (2/19/18)

Do you take ownership of your points? Do you know how they work? Are you knowledgeable of the incentives offered by companies and establishments you regularly patronize? If not, you are missing out on key component of financial savviness.

Statistical data from US News & World Report indicates nearly 90% of Americans do not capitalize on the membership benefits offered them through lenders, vendors, or businesses. Once upon a time the most valuable player in savings was couponing. Though still a valuable tool, the electronic age has brought about great advances in incentivized spending. If you do not understand or utilize your membership rewards, you could be missing out on terrific financial incentives designed to reward you for patronage, but also could play a key role in saving money.

Understanding membership miles associated with credit cards is one of the key components. All major credit lenders have membership rewards programs; many of which reduce or eliminate costs associated with traveling. American Express is a prime example. Each American Express purchase earns you points which can be used to purchase plane tickets, rent cars, upgrade hotel rooms, and even be used to apply to the card’s balance. Marriott, Hilton, and IHG Holiday; the world’s three leading hotel and resort properties, as well as most budget franchises, offer rewards programs that reduce per night costs, allow points to pay for a vacation, and/or provide members access to amenities. When you travel frequently for business, you should always enroll in these programs as rewards are dually granted to the traveling individual and the corporate account holder responsible for payment of the room. Grocery store discount programs, such as the Ingles Advantage Card, while designed to help the corporation develop their product mix by tracking purchases, often offer fuel rewards to reduce gas prices. Much like the pioneering efforts of grocers, convenience stores and gasoline companies have developed reward programs with BP leading the way. Each time you fill your tank at BP you earn two cents per gallon off your next gas purchase. As these build, for the average driver, that is one free tank of gas every three months. Even franchised restaurants have joined the “membership rewards” movement. When you order online from Papa John’s you earn points each time towards free pizza.

The key to all these is great savings in knowledgeable spending and taking ownership of your incentives. If only 10% of the American population understands their incentives, think of the mutual benefit to the spender and the economy as a whole if 100% took ownership and advantage of their offerings. Next time you book a flight, a hotel room, examine your grocery receipt, or even order a pizza, think of how you could more wisely pay for it understanding your membership rewards. I’ll be saving my Papa John’s points until September, but I do take ownership of all other points systems each time I make a purchase. You should do the same and see how it affects your financial health. #MissAmericaServes #NC #MoneyTalksMonday #MissMetrolina