We used $200 of rewards at TS, CS and carts, in the parks and the resorts. We basically used them til they were gone. It was easy. And great not to have to spend any money for the first few days.
You need to go to the link and you order your "rewards card." I just ordered mine for our September 1 trip and I should have it in a week (we had almost $300 in reward points).
I pay my bills online. When I log into "Chase" and pull up that credit card (rather than my checking or savings account), there is a link at the bottom of the page that says "Disney Rewards". You have to follow the prompts to find the page that lists your points and then follow the prompts to redeem. You will put it in your shopping cart after you indicate how many points you want to redeem. They will mail you a Reward Card which is like a credit card and your dollars will be deleted as you use them. I can't tell you if the points are listed on the bill because I don't have my paper statement at home (I do all my financial stuff at my office). I hope this clears it up a little.