NEW YORK (MainStreet) -- When you consider credit cards, the first thing you think of is probably debt. Yet what if we told you that you could put your credit cards to work for you? That rather than costing you money, they could make you money? It's true. And while you might not be able to quit your day job any time soon, you can start making a little bit of extra scratch by using your credit cards the right way.
Of course, the most obvious example of getting your credit cards to work for you are cash back rewards. It's better than points, because you can spend it on virtually whatever you want, including paying down the balance on your credit card. Still, it might actually be better than cash for one simple reason that Jason Steele, a credit card expert with CompareCards.com points out: "The IRS considers that to be a discount, not income." For anyone who doesn't carry a balance, cash back is a really easy way to start getting your credit cards to work for you.
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There is a way to quit your job and make money off of credit cards, but Steele doesn't recommend it. "I certainly wouldn't bet my family's future on it," he said. Basically it works this way: people spend a lot of money on goods for the purpose of racking up beaucoup rewards points. Once that's done, they sell the goods they've purchased at a profit. They're making money off of the sale, but they're less concerned about the pure profit from retailing because of the credit card rewards.
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