Many British consumers may enjoy the idea of getting rewards for their spending, but Sainsbury’s Bank has said few people are actually taking advantage of reward schemes.
According to the research, more credit cards now offer a reward scheme, with over half (51 per cent) of card holders having the chance to earn rewards. However, less than a quarter (23 per cent) have claimed their rewards over the past year.
This suggests people are being drawn in by offers that may result in credit card debt.
Sainsbury’s Bank said the three main reasons for not redeeming rewards were that the financial rewards were too small, it was too difficult to redeem rewards and that consumers did not know how to claim them.
Head of cards at the supermarket Donald MacLeod, said rewards may offer “a false value”.
“Consumers have a right to know what their credit card reward schemes are worth in pounds and pence and also how easy they are to use and redeem,” he said.
Last week the CPP said British people are “complacent” about how they use debit and credit cards abroad, risking theft and debt.
By Morwenna Kearns