Latest news


Here’s how being denied for a credit card impacts your credit score

Being denied for a credit card doesn’t hurt your credit score. But the hard inquiry from submitting an application can cause your score to decrease.

Read more

What New Parents Should Know About Life Insurance

Having a baby can bring the gaps in your financial plan into sharp focus. New parents often feel they need to find ways to provide financial security...

Read more

Why Searching for Cheap Stocks Is the Wrong Investing Strategy

The premise makes more than enough sense: For the same reason consumers want more bang for their buck at the stores they regularly shop...

Read more

Private credit lenders seek protection in minimum liquidity protocol

Private credit firms are requiring their borrowers maintain a strong liquidity cushion as the coronavirus pandemic forces middle market companies...

Read more

Consumer credit fell at a slower 5.3% in May as the economy began to recover

The use of credit cards fell at a much slower pace in May as the economy began to recover and the government provided financial relief to households...

Read more

Latest news


October 22, 2020

33% of Americans plan
on giving more digital
gift cards this year—here’s
how to get a discount
with a credit card

Gift cards are often excluded from coupon codes, but you can use credit cards to your advantage and save on gift card purchases. Here’s how.

By Alexandria White, Money Reporter

An industry leader that

is Trusted by 32,000+ Merchants Processes over +4 Billion Annual is Always Available, 24/7 Support has a Lock on Rates, +7 years No Early Termination Fee Merchants get a Free Terminal is A+ Rated with the BBB Over +460 Software Integrations Guarantee Savings or Pay $1000

Whether it’s a crisp $50 bill inside of a greeting card, or a gift card to your favorite store, getting money for the holidays is great because you can spend it however you want.

And if you’re far away from loved ones, you can always send gift cards digitally, making them one of the most convenient ways to deliver holiday cheer.

This year, the trend is becoming more popular: One in three consumers (33%) expect to give more digital gift cards during the 2020 holiday season compared to past years, according to the holiday edition of the Visa Back to Business Study.

When you purchase items online, like clothing, electronics and other gifts, there’s usually a place to add coupon codes at checkout to get a discount. But more often than not, gift cards don’t qualify for these promo codes.

However, there are other ways to save by using certain credit cards when you buy gift cards online or in the store.

Below, CNBC Select reviews how you can use credit cards to your advantage and save on gift card purchases.

How to get gift cards at a discount

Getting a discount on credit cards starts with a little research. Plenty of third-party online sites offer low-priced gift cards, but they are not always reputable.

To avoid being scammed and receiving a fake gift card with no balance, double-check the site and seller prior to purchasing a discount gift card. Better yet, go directly to the source, whether it’s the actual retailer (like Apple) or a major company like Target that sells Apple gift cards.

With safety top-of-mind, here are a few ways you can use credit cards to get a discount on your next gift card purchase.

Use a credit card with real-time rewards

Some credit cards, like the Target RedCard™, give shoppers a discount just for using their credit card to pay for their items — including gift cards.

RedCard holders receive a 5% discount at checkout on most purchases in-store and at That means you can save 5% on a wide variety of specialty gift cards from food like Starbucks to electronics like Apple by buying them from Target with your RedCard.

There are some gift card exclusions, like Target gift cards and prepaid cards, but overall you can instantly save 5% on over 300 types of gift cards.

If you purchase an eligible $50 gift card, you’ll instantly save 5% with your RedCard, which works out to $2.50 in savings. And the more gift cards you buy, the more your savings add up.

Unlike traditional rewards cards that may take a billing cycle to receive your rewards, cards with instant rewards programs, like the RedCard, give you a discount on your purchase at checkout.

Pay with a rewards card

When you don’t have a credit card with instant discounts, consider using a rewards card for your gift card purchases. The best rewards credit card to use for purchasing gift cards is one that earns an above-average cash-back rate, around 2% or more.

The Amazon Prime Rewards Visa Signature Card earns 5% cash back on You could purchase a $100 gift card with your Amazon Prime card, earn $5 cash back, then redeem it for a statement credit to offset your bill.

Redeem rewards for gift cards

If you don’t have a cash-back credit card, another option is to redeem the points or miles you’ve accrued for a gift card. When you redeem your points/miles for a gift card, you typically receive a 1:1 value, which means one point/mile is worth a penny. This is a standard redemption rate and can help you get gift cards without charging anything new to your card.

You should also look out for gift card redemption promotions. Chase is the main issuer that offers Ultimate Rewards® cardholders 10% off a variety of gift cards, currently including Grubhub and Subway. Some eligible cards include the Chase Freedom Flex℠, Chase Freedom Unlimited® and Chase Sapphire Preferred® Card. Through these promotions, a $25 gift card that would typically cost 2,500 points, would only cost 2,250 points.

Look for Amazon promotions

Another way to get a discount on your gift card is to look out for credit card limited-time promotions on Amazon. Many card issuers often run promos that allow you to receive a discount on your Amazon purchase (including gift cards) when you pay for part of your order with points, miles or cash back.

Currently, Capital One is offering a promotion where eligible cardholders who have never used their miles or cash back rewards to shop at can get $20 off their next order of $80 or more. This promotion runs through December 31, 2020.

To activate the discount, you’ll need to enroll in the Shop with Points program and add your eligible Quicksilver, Savor or Venture card. Once enrolled, activate the $20 savings offer by visiting Next, add a minimum of $80 worth of eligible products sold and shipped by Amazon to your cart and then checkout using at least one point/one penny of cash back to qualify for the discount. There are some Shop with Points exclusions, but Amazon doesn’t list gift cards as one.

This article was originally published By Alexandria White,

VantageScore 3.0: What's a Great
Credit Score?

Why an Excellent
Credit Score


We updated our privacy policy as of June 03, 2020. Learn about our personal information collection practices here.