Cash-back rebates are a "cost of doing business" to attract and retain credit card customers. Thus, companies that offer cash-back rebate programs have factored the cost into their pricing structure. The "catch" is often the cost of using the credit card on an ongoing basis (that is, interest and fees). Annual credit card surveys by the nonprofit group Consumer Action have found that rewards cards often carry higher interest rates than traditional credit credit cards. In addition, many card issuers cap the number of reward points or travel miles that cardholders can earn per year.
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