NEW YORK—Many consumers aren’t doing any homework when it comes to credit cards, according to a new report.
According to a U.S. News & World Report survey, nearly half of respondents didn't research their card before signing up.
“Further, more than 50% of those surveyed don't regularly shop around for better cards,” US News & World Report said.
Cash-back is the most popular reward, followed by airline rewards and gift cards.
The top three stated reasons consumers choose specific cards are no annual fees, the rate of earning rewards and loyalty perks or rewards, the survey found.
Most cardholders don't maximize the value of their rewards cards. More than 25% of those surveyed carry a balance from month to month at least seven times a year, potentially costing them more than the rewards they earn, the report found.