A loyalty program is a system used by credit card issuers to reward loyal customers. It is also known as a rewards program. There are two types of loyalty programs: points-based and cash-back. In a points-based program, credit cardholders earn points for every purchase they make. These points can be redeemed for merchandise, travel, or cash back. In a cash-back program, credit cardholders earn a certain percentage of their purchase back in cash.
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