They say you have to spend money to make money – and in the case of cashback, it’s true. Here are three ways to clock up cash on your purchases…
Want to become a cashback queen? Earning money from the purchases you are already going to make is a no brainer, here’s how to make the most of it…
We earn a commission for products purchased through some links in this article.
1. Loyalty cards
This type of cashback scheme will be familiar to most of us. Just over three quarters of Brits – and 85% of British women – have at least one loyalty card in their wallets, according to research from YouGov. If you regularly shop with a store that has a loyalty card scheme, it makes sense to sign up. If you have a Tesco Clubcard, you will triple the cash value of your points by spending them on days out, restaurant meals, breakdown cover and a whole range of other offers from Tesco’s partners.
2. Cashback credit cards
These cards give you a cash reward when you spend on them – a bit like a loyalty card that accumulates money instead of points. The amount of cash you’ll get back is usually calculated as a percentage of what you spend on the card and, as with most things, it pays to shop around for the best deal. At the time of writing, American Express was offering 5% cashback for the first three months – worth considering if you’re planning to make a big purchase in the near future. Using this offer as an example, if you used the card to pay for a new sofa costing £1,000, you’d get £50 back. The cashback you build up is paid monthly or annually, so read the small print before you sign up. Also check the minimum amount you’ll need to spend each year to start accumulating cash rewards. As with all credit cards, you’ll pay interest if you don’t pay off your balance in full each month and this can easily wipe out the money you earn.
3. Cashback websites
Sign up to a cashback website such as Quidco or Topcashback to earn money as you shop. The amount varies according to retailer and you’ll usually get more if you’re a first-time buyer. You can link your debit or credit card to your cashback account and earn in-store or, if shopping online, you’ll need to click through from the cashback website when you buy. Set the cashback site as your browser’s homepage to help you remember. You can opt to have your cashback paid into a bank or PayPal account, or redeem it as a gift card. As soon as the cash is available, bank it as there’s no protection for your earnings if the cashback firm goes bust.