What's the Deal: Pros and cons of loyalty card programs

If you're the rewards card and store loyalty type, we have big news for Target shoppers.

The retailer announced plans Monday to roll out a new Target Circle loyalty program to replace Cartwheel.

From special sales and deals to one percent back on purchases, Target Circle rolls out on October 6th. If you already have a Target.com account or a RED card, you will automatically be enrolled.

When it comes to rewards cards, just how do you know which ones are worth your time, effort, and sometimes - money?

ABC Life breaks down the pros and cons of the three most popular programs.

For supermarkets, the pro is that you may as well get rewarded for something you're already doing. The con? You often have to spend a lot to get only a little bit back.

Your spending habits also tend to get tracked by the supermarket, which some people don't like for privacy reasons.

Next up is credit card rewards. This, they say, is where it gets tricky.

Many people get lured in and spend just for the sake of being rewarded. The pro here is that the rewards tend to be good ones. But the con? If you're not paying off your card monthly, you could end up spending more in interest than you'll gain in points.

Finally, there's airline points or frequent flyer programs.

ABC Life says depending which one you choose, oftentimes you need an astronomical amount of points for them to amount to anything.

The pro here is that yes, you can earn free flights and get other perks. The con? Sometimes members spend more than they otherwise might to get more miles or get to the next level of membership and sometimes, it's just cheaper to pay out of pocket.
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