Credit Cards FAQ
Why are credit card companies so willing to give away stuff or give money back?
Credit card rewards that pay you points for your spending are now seen as a kind of promotion and as the cost of keeping you as a customer. It is cheaper for them to give you cash back then spending bucks on trying to find new customers. In other words, a customer that is retained is cheaper to maintain then one that has yet to be lured into the fold with advertisements and other pricey means of promoting the card’s services in the first place.