Abstract: A computer system and method is disclosed that combines the use of a loyalty award program with an incentive award program. The program participant uses a credit card to make purchases. The participant earns loyalty points based on the rules of the bank, such as for a specified percentage of the purchases. The participant thus earns incentive points based on the rules of a sponsor, such as for meeting certain personal sales or performance goals that are independent of purchases made with the credit card. Incentive points are converted to cash and used to pay down the card balance. Since incentive points pay down the card balance, the participant earns loyalty points without directly spending his/her own money. Loyalty points can be converted to incentive points and used to pay down the card balance, or loyalty points can be redeemed for merchandise or other items.