Get the Most Out Of Holiday Shopping Using a Credit Card

Online shopping is popular, and it’s showing no signs of slowing down as businesses continue to expand their product offerings and people keep heading online. Some 80% of Americans today shop online, with the number of digital buyers in the U.S. expected to reach 291.2 million by 2025.¹
 
The holiday season, of course, is when most online retailers do their best, with online sales peaking during the holidays. Of course, increased online shopping means an increase in the use of credit cards as well. It also means more ways to enjoy card perks, find deals, and protect yourself against fraud. The following guide can help you get the most out of your credit card while shopping online for the holidays.

The “right” credit card ultimately rests on you and your preferences. But if you have a few cards in your wallet – or you’re looking to open a new one – it’s worth paying attention to a few key considerations before deciding which ones to use for your holiday purchases. To get the most out of your credit card(s) this holiday season, keep an eye out for perks, such as:

• Rotating cash back bonuses. Some credit card companies offer increased cash back percentages on various spending categories throughout the year. For the holidays, it’s not uncommon for card issuers to offer boosted cash back benefits at big-box retailers and the like. To receive these benefits, you’ll usually have to activate the offer by following email instructions or tapping a button in the card’s app.
• Brand- and retailer-specific savings. Some credit card companies partner with brands or retailers to help customers access better-than-usual discounts. They’re often steeper discounts than you may find in a basic “promo code” search result – and with no question of whether they’ll work. For example, a credit card issuer might offer 10% off purchases made at a specific retailer for using a certain card at checkout. Or the typical 1% cash back offer could grow to 3% or 5% with the right pairing of credit card and brand or online retailer. Note that these deals may have expiration dates and require activation.
• 0% intro APR promotions. Some credit card companies offer new members a 0% intro APR period for a set amount of time. If you have a long holiday shopping list and plan to pay it off over time, a 0% intro APR promotion can lead to notable savings – as long as you pay off your balance before the introductory period is over and your standard APR kicks in.

Just as you may get several estimates for a home improvement, when holiday shopping online, take the time to explore the price of a desired item across multiple websites. Just be sure key details like the item number, size, and color all match. Keep an eye on shipping, too. One retailer may charge $5 less for that jacket you want but charge for shipping, while a competitor may offer free shipping if you reach a minimum spending threshold. Pick the option that makes most sense for you.

One drawback of online shopping is not being able to hold an item in your hands and see how it works, fits, or performs. Reading customer reviews online can help alleviate this issue. Evaluate positive and negative reviews alike, and don’t always go by star rating. Some reviews can be fake or misleading. If possible, find the same item on other websites and read those reviews before making an informed decision.

Whoa, whoa. Hold on there. Don’t close that retailer’s welcome ad so quickly. While it seems to have become almost second nature to immediately close out any and all pop-up advertisements, some very well could be a legitimate money-saving prompt. For example, many online retailers will offer first-time visitors a discount code or free shipping in exchange for their email address.

If you’ve grown tired of perusing the web for deals and coupon codes, let the bots do the work for you. Consider downloading a browser extension that automatically searches for and tests promo codes to help you find deals. Just be sure the extension is legitimate and secure.

In a time of high-volume usage by millions of users, it’s wise to guard against credit card theft and fraud as much as possible. Most credit card companies offer fraud alert services, and they’re worth signing up for. Some credit cards also offer users the ability to receive emails for any expense over a set amount. If you already use that functionality, consider adapting that threshold to match your holiday shopping budget.

Try to avoid entering your credit card info and logging into accounts while on public Wi-Fi networks or any network without a password. And when it comes to passwords, deliberately make them complicated. Use various combinations of uppercase and lowercase letters, numbers, and special characters to create a strong password – and avoid using the same password for multiple sites and accounts.