For example, cashback from credit card spending is often money that you can get for free and you would not get it back if you spent in another manner.
Generally, a credit card that offers cashback will give you about one percent of your money back every year. For example, if you spend £10,000 on the card in one year then you are going to be given back £100 at the end of it. Many people don’t tend to spend so much on their credit card, but the money you are getting by using a cashback credit card is money for nothing so you may as well use one.
One of the most favourable cashback cards is the Capital One MasterCard which, during the first 99 days, gives spenders five percent cashback up to a value of hundred pounds. It then give spenders half a percent on the next £6000 spent on and one percent on anything between £6000 and £10,000. Any spending that happens over £10,000 attracts a cashback rate of 1.25 percent.
Another card with a very favourable cashback rate is the American Express Platinum card. This gives a 2.5 percent amount of cashback for three months and then it pays 1.25 percent on anything else spent during the year. You should be aware that there is a yearly fee with this card which is set at £25. Also, if you want to qualify for this card you have to have a household income of over £30,000.
Another card to recommend would be one from Santander which offers different rates of cashback for different types of shopping. The money that you spend on fuel will give you a three percent cashback rate, it’s two percent for anything spent in a department store, and one percent for supermarket shopping.
The three percent cashback rate on fuel is capped at nine pounds per month. This card also attracts a yearly fee of £24 but you only require a household income of £7500 to qualify.