Is it just what it says, or is there a catch? If I charge $100 on a card, and say the cb percentage is 2 percent, I still owe $100, right? I would get $2 from the merchant or card company? Or would I only end up paying $98? Sorry if this sounds like a stupid question and thank you!
Typically, CC companies have a rewards balance(Exception: Penfed cash rewards is applied at the statement cut automatically). Typically, when your statement cuts, the cashback you've earned through the month will be deposited into your account(Exception examples: Barclays is when the charge clears, AMEX is a month behind).
Then you can either ask for the money you've earned in the form of a check(Carries a minimum balance needed to redeem) or just apply it as statement credit (Sometimes needs a minimum, usually lower than check, to redeem). If they offer points, they usually have other things to redeem like gift cards or products as well.
You pay the charges in full; the rewards will post to your account typically at the end of the billing cycle. When the rewards post you'll have cash credit to apply toward the account balance.
Bank of America cash rewards.
So would I have an option to keep the cash?
Great blog HiLine!