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Top 5 cashback credit cards

Top 5 cashback credit cards

Category: Credit cards

Updated: 21/08/2013
First Published: 21/08/2013

MONEYFACTS ARCHIVE
This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

More consumers than ever before are taking advantage of the competitive cashback offers that are available on a variety of credit cards, new research reveals.

The study by Santander, which analysed over 40 million UK customer card transactions, revealed that supermarkets and petrol stations have seen significant growth of 58% and 49% respectively in the number of savvy customers using cashback credit cards.

Cashback credit cards can be a great way to earn tax-free cash rewards on your spending and, if managed efficiently, can offer a host of benefits.

Best suited to regular card users, a wide range of cashback cards are available in the market, offering various rewards for spending in the form of cash, vouchers and even air miles.

As with any credit card, you must be confident that you can pay off the balance in full each month, and avoid paying just the minimum repayment.

Failure to keep up regular repayments on your card will incur hefty interest rates, which will cancel out any rewards or benefits associated with the card.

Here are the current top 5 cashback credit cards:


Representative purchase APR (variable)
Card details


American Express
American Express
Platinum Cashback Card

18.7% APR
  • Introductory 5% cashback for first three months, capped at a maximum of £125
  • 1.25% cashback after first 3 months
  • £25 annual card fee
  • Emergency cash service available

Penny saysPenny says…
"Sitting at the top of the cashback sector is the Platinum card from American Express. Paying a market-leading 5% cashback on purchases up to £2,000 during the first three months, this card also offers an emergency cash service.

"It is worth remembering that the 5% offer will run for three months, after which a very competitive 1.25% will be received on all other purchases."


Representative purchase APR (variable)
Card details


American Express
American Express
Platinum Cashback Everyday Card

19.9% APR
  • Introductory 5% cashback for first three months, capped at a maximum of £100
  • Standard 0.50% on spend up to £3,500 per year after first three months. 1.00% on spend between £3,501 - £7,500 per year. 1.25% on spend over £7,501 per year.
  • No annual fee
  • Emergency cash service available

Penny saysPenny says…
"American Express’s Everyday Card charges no annual fee.

“Earn a fantastic 5% cashback for the first three months, after which earn up to 1.25% cashback if spending over £7,501 per year on card.”


Representative purchase APR (variable)
Card details


Sainsbury's Bank
Sainsbury's Bank
Cashback Credit Card MasterCard

17.9% APR
  • Introductory 5% cashback on Sainsbury's purchases for initial 3 months (capped at £50 per month)
  • Standard cashback of £5 each month when you spend at least £250 per month on Sainsbury's shopping and at least £250 per month elsewhere
  • No annual fee

Penny saysPenny says…
"Just squeezing into the market's top three is this card from Sainsbury’s Bank.

"Card holders shopping at Sainsbury’s can earn 5% cashback on purchases made in store during the first three months."


Representative purchase APR (variable)
Card details


Sainsbury's Bank
Sainsbury's Bank
Cashback Low Rate Credit Card MasterCard

7.8% APR
  • Introductory 5% cashback on Sainsbury's purchases for initial 3 months (capped at £50 per month)
  • Standard cashback of £5 each month when you spend at least £250 per month on Sainsbury's shopping and at least £250 per month elsewhere
  • No annual fee

Penny saysPenny says…
“In fourth spot is Sainsbury’s Bank’s Cash back Low Rate CC MasterCard charging a super low APR 0f 7.8%.

“Sainsbury’s shoppers can also earn a competitive 5% cash back whilst shopping in store.”


Representative purchase APR (variable)
Card details



Santander
123 Credit Card MasterCard

22.8% APR
  • Standard cashback of 1% for spending over £1 in supermarkets, 2% for spending over £1 in department stores and 3% for spending on train fares and fuel. Capped at £300 per month
  • Annual fee of £24

Penny saysPenny says…
"A variety of competitive cashback amounts are paid on the 123 Credit Card from Santander, depending on where the purchases take place.

"Spending on train fares and fuel reaps the highest level of cashback, so this card should appeal to customers who are regular travellers."


Information & Rates correct as at: 21/08/2013

What next?

Compare the best cashback credit cards
Compare 0% on balance transfers
Compare credit cards with 0% purchase rates

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

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