Times are tough and one potential way of maximising the bang you get for your buck is to make use of loyalty programmes.
Beware of the pitfalls however, advises certified financial planner Paul Roelofse.
Perhaps, just on your doorstep, there is a value proposition in terms of a loyalty programme, but I think in this space we've got to tread very cautiously.— Paul Roelofse, Certified financial planner
He says the first step is to get to grips with the specific loyalty programme and understand exactly how its benefits work and whether, in fact, they work for you and your particular lifestyle.
You ask, am I prepared in my lifestyle to re-align myself with that and then it becomes a win-win for us.— Paul Roelofse, Certified financial planner
I become loyal to the programme and the programme rewards me accordingly.— Paul Roelofse, Certified financial planner
Read the fine print, advises Roelofse, so that you're aware of the terms and conditions attached to claiming a benefit. There may, for instance, be a 10% cap on the payment for buying a particular product at a particular store.
Understand, are the values real and what are they actually and work your way through that so that you don't become too disillusioned.— Paul Roelofse, Certified financial planner
There's always a cost and a benefit and you've got to be very careful to navigate through that.— Paul Roelofse, Certified financial planner
Click on the link below to hear more about streamlining your choice of loyalty programmes: