2 in 3 Americans with credit card debt mistakenly chase rewards Boston 25 News [Video]

Two-thirds of Americans with credit card debt still try to maximize credit card rewards, even if it means they’re losing money in the long run, a new study revealed.

Consumer financial services company Bankrate surveyed 1,740 credit cardholders and found of the 44 percent that carry debt from month to month, two-thirds still try to maximize credit card rewards. Bankrate Senior Industry Analyst Ted Rossman said this can be a costly mistake because credit card rewards are only worth it if the consumer pays off their balance each month.

“I love credit card rewards but only if you’re paying in full and avoiding interest,” Rossman said. “I just think it’s very important to do the math.”

The average credit card interest rate is a record-high 20.75 percent. Rossman said it doesn’t make sense to pay hefty interest rates if a borrower is only earning one to five percent in cash back or airline miles.

“If you’re …