Reward credit cards allow cardholders to earn points for their spending, which can then be redeemed for cash back, travel rewards, merchandise or donations to charities. The process works by applying for a rewards card, using it to make purchases, and earning more points the more is spent, especially at affiliated stores. Cardholders should pay their balance in full each month to avoid fees and make the most of their rewards. Different cards offer varying rewards depending on a cardholder's annual spending, from limited benefits for lower spending up to luxury perks for high spending. Points can be redeemed for cash back, travel like flights or airport lounge access, retail discounts, or donations to charity.