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Old 12-10-2011, 05:15 AM   #1
hechicxxrr

Join Date
Oct 2005
Posts
557
Senior Member
Default Cash back on credit cards


Are cash back offers a form of interest?

What I mean is that you pay for the items you buy using a credit card and the credit card company "rewards" you with a percentage of the money spent. So if your annual credit card bill is $10,000 and if you have paid it off, your credit card company gives you 1% of the money as "cash back"...would this be considered interest?

You get similar cash back offers on eBay and Paypal, where you get a certain percent of the money you spent back as a "reward"...
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