Understand how loyalty programs work and see How to take advantage of them!

Points, Miles, a sea of advantages and a multitude of prizes. Loyalty programs always seem irresistible. After all, spend and still win prizes, who does not want? For the great risk of joining a loyalty program is precisely in this advantage: thinking about the prizes, end up spending more of the owes!

Basically, loyalty programs transform the amount spent on any purchase or payment in points that may be exchanged for products or services. To accumulate enough for a good prize, however, many points are needed – even because the available products are usually more "expensive" than the market average.

"Sometimes the situation runs out of control, I won't lie. I buy on the credit card without knowing whether it will pay, just to accumulate more points, "confesses the masseuse Cristina Gonçalves, 50 years old. "Enchanted by the idea of gaining advantage and feeling rewarded, people end up spending more than they can, especially if they lack control over personal spending," warns José Vignoli, financial educator of the Portal my happy pocket.

For those who are financially organized, however, loyalty programs can be advantageous. According to Marcelo Gonçalves, expert Consultant in loyalty and relationship by Marka, the "bonuses" offered by loyalty programs go beyond miles and credit for other purchases. "The benefits vary from company to company. Some advantages may be to not pick up queue at the establishment and giveaways and discounts on the customer's birthday. Another point to consider is the offers directed to the person's buying habits. For example, if you have small children, you get promotions in toys and objects that make life easier for parents or children, "says the expert.

 What you need to know before you join a loyalty program

Accession

Before you join any loyalty program, although it is uncommon, make sure that there is no charge for tuition, annuity or any kind of fee. There are charges, for example, to transfer points from a specific loyalty program to a broader one, or to import the credit card score. Avoid any extra payment to participate in a loyalty program, after all, the idea is exactly to take advantage of prizes with what is already spent and not create new financial commitments without even knowing if they will be advantageous.

Rules

In addition to the charges, make sure that you have understood (and accepted) all the rules of the loyalty program. "Check in particular the rule of validity of the score and credit", warns Marcelo Gonçalves. According to a study by CVA Solutions, 40% consumers who participate in a loyalty program lose their benefits because their points have expired. Keep an eye out because the rules vary from one loyalty program to another and, not rarely, companies reserve the right to amend the regulation itself and the prizes without prior notice. Some turn real (or US dollars) into points, others in miles – and the parity of that conversion also varies. The score of the last two years in relation to the time of exchange for product or service is usually counted, but there are loyalty programs that tolerate up to three years. Always keep an eye out.

Score

Don't be impressed with the prizes you can redeem – it's not a game or a competition! To reach the score of many items, it is usually more advantageous to spend directly from the pocket itself than indirectly, accumulating points here and there. The ideal is to score with purchases that would already be made in any way, regardless of program or loyalty programs. If you do, great. Otherwise, follow the journey firmly until the chance comes. To be more successful, concentrate the points in a single program rather than disperse in several, given the difficulty of accumulation. Do not fall into the temptation to think you will "win" on all fronts.

Card

One of the options offered are specific credit cards linked to loyalty programs. Some have the advantage of immediately crediting the points, since the transfer is not always automatic (it may be necessary to call the carrier or officialize on the Internet). Others improve the parity of real (or US dollars) with the points, but they charge salty annuities. And there are also loyalty clubs (within the programs) that credit points periodically for a monthly fee. Such options, although they look cheap, can really come out guys.

Control

Who adheres to loyalty programs, aware of all rules and conditions, without asking for a new credit card, without spending beyond the necessary or customary, fleeing any (and tempting) fees or promotions, must wait and… monitor. It is common to forget to check the extract of the loyalty program, check how many points have already been accumulated and notice when it is possible to exchange for something valuable or seize the last opportunity before they expire. Create the custom of always giving a peek at how your points walk so you don't waste them.

Exchange

Don't ever get carried away by a prize. Do not go into the madness of spending a little more on that or just for the points and for a certain item. Your goal is to take advantage of what you give, what the consumption of your financial reality can provide. But don't eat a ball, either. As soon as you can redeem your program points or loyalty programs for something interesting, whether it's an old and personal wish, or useful, like what's missing in the house, enjoy it. and run away from what, at first glance, may look like a sight or a fashion. Focus on what you need, what you like and make it really worth the points – the real spending, ultimately!

 Source: My Happy Pocket