Tempted by Rewards, Americans Increasingly Trapped in Credit Card Debt, Survey Finds

‘Interest rates far outweigh rewards,’ Ted Rossman, Bankrate senior industry analyst, says.

Credit cards in as seen in a file photo on Jan. 18, 2024. Mike Stewart/AP Photo

A new study provides a note of caution for Americans who are tempted by credit card rewards. 

According to a Bankrate survey, released on March 24, the majority (72 percent) of people who are currently in debt to credit card companies, often paying interest rates of 20 percent or more, say they were “chasing rewards,” such as free flights, free hotel stays, upgrades, cash back, or other accumulated benefits.