Credit card rewards tips holiday shoppers should know

Ahead of the holiday shopping season, CNBC Select highlights how credit card rewards work—and how shoppers can get more value without being “travel hacking” experts. The key is understanding the rewards structure: many cards start with a base rate such as 1X on purchases, then add higher earnings in specific categories like groceries, online purchases, or gas. Bonus category performance depends on consistent spending and on merchant category codes (MCC), which issuers document online. The piece also covers rotating category cards, exemplified by Discover it, offering up to 5% cash back on activated categories quarterly on up to $1,500 per quarter. For shoppers who don’t want to track categories, it notes flat-rate cash-back cards, including Citi Double Cash at 2%.