At each SmoothPay transaction the credits are automatically deducted from the total purchase amount and your credit card is billed for the difference.
For example a first-time credit is automatically redeemed:
- A coffee shop offers $2 credit for your first visit.
- You buy a drink that (after tax) totals $3.75
- After deducting the $2 credit - Your credit card is billed $1.75
It works the same way for the loyalty rewards:
- A coffee shop offers a reward of $3 credit after you spend $20.
- You frequent this location and achieve $20 in spend
- The next transaction, you buy a latte that (after tax) totals $3.75
- After deducting the $3 loyalty reward - Your credit card is billed $.75