Of the 1,000 credit card holders surveyed, more than one-third felt there was not enough transparency in rewards card offerings, which contributed to their card costing them more.
Melburnian Josh Volk, 30, has been using reward cards for more than 10 years.
He believes the dollar value of his points has diminished since taking out his AMEX travel card.
“I like to think I’m financially savvy,” says Volk.
“I make a conscious effort to understand the current value of my rewards.
“Some reward card providers don’t make it easy and there’s no shortage of complicated conditions that make it unclear.”
Volk travels regularly and uses his points for international flights.
“The way I see it is I’m spending anyway, so I might as well benefit from it; some value is better than nothing,” he adds.
“I make sure the effort I put into earning points matches the reward, which is quite subjective.”
Rod Attrill, from financial comparison website comparethemarket, says rewards should be viewed as a bonus rather than the sole reason, or not, to choose a particular credit card.
Rewards cards are meant to benefit a consumer each time they make a purchase.
“This is especially true when it comes to redeeming points,” Atrill says.
“If customers aren’t redeeming their credit-card points, then the functionality of the reward features becomes redundant.”
Look for other benefits that come with a card
“Take advantage of extra features, such as cash-backs, flight upgrades and fuel vouchers,” says Attrill.
“Make sure you’re getting the most out of your reward programs, if not compare it across a range of different cards.”
Check the fine print
Card holders should look at the terms and conditions for any limitations which restrict points redemption, Atrill says.
“This comes back to education,” he says.
“Find out the value of what your points equates to and forecast the timeline you’ll need to calculate the benefits you’re eligible for.”
If you are looking to redeem frequent flyer points, then pointhacks, an online community of airline rewards experts, offers the following tips to ensure you successfully redeem your points for the flights you want.
Know the airline partners where your points can be redeemed
If you have a Qantas frequent flyer membership, don’t limit your flight search to Qantas or Jetstar. Look into redemptions on partner airlines.
Book early through the award calendar that opens first
The various major airlines open their award seats more than 300 days in advance. To secure that award flight you want, book as early as possible.
Sign up to independent award search platforms
ExpertFlyer, AwardNexus and KVSTool are independent platforms that can help you search for specific upgrades or award spaces on flights