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19/01/2010 -
In a demonstration of how far credit card companies are willing to go to attract customers, American Express has just announced that its cardholders will now be able to use credit card rewards to pay their taxes.For the first time in the payment processing industry, cardholders will be able to use membership rewards points to pay federal, state and local income tax payments - as well as the convenience and payment fees incurred when paying online - starting at 200 points.
"We know that cardmembers want a rewards program that offers everything from practical and everyday rewards to the extraordinary," said Lynne Biggar, senior vice president of membership rewards, marketing and partnerships for American Express. "In 2010, we will continue to provide the reward options that our cardmembers want and are focusing on making them more relevant and attainable."
As the payment processing industry sees a slight shift away from credit cards and toward debit cards, many card companies are ramping up their rewards programs to give customers incentives to use credit card processing.
American Express launched a Canadian campaign in mid-October titled Realize the Potential, which was focused on rewards programs, the Toronto Star reported.
