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Five of the best cashback credit cards

Five of the best cashback credit cards

Category: Credit cards

Updated: 13/03/2013
First Published: 13/03/2013

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 It is now over 6 months old so the content may be out of date.

Cashback credit cards can be a fantastic way to reap tax-free rewards on your spending, which at certain times of the year, such as the fast approaching Easter bank holiday, can be particularly handy!

The golden rule with cashback cards is to always ensure the balance has been repaid in full each month and avoid just paying the minimum amount, as high interest rates will cancel out any form of rewards or benefits.

Introductory cashback benefits are also often subject to good cardholder conduct, so may be taken away by the provider if any monthly payments are missed.

Top 5 cashback credit cards:

Representative purchase APR
Card details
American Express
American Express
Platinum Cashback Card
18.7% APR
  • 5% cashback for initial 3 months, on up to £2,000 in purchases
  • 1.25% cashback after first 3 months
  • 2.5% cashback for one month each year if over £10,000 spent in previous 12 months
  • £25 annual fee
  • Emergency cash service available

Penny saysPenny says…
"American Express leads the cashback market with this card offering 5% cashback for purchases during the first three months.

"Although the 5% only lasts for a three month period, cardholders will still receive a very competitive 1.25% on all other purchases thereafter."

Representative purchase APR 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…
"Sitting in second place is this competitive card offering 5% cashback for the first three months.

"This deal should appeal to regular Sainsbury's shoppers. As well as an attractive range of cashback offers, this deal also has 0% on all purchases for the first six months."

Representative purchase APR Card details

Capital One
Aspire World MasterCard

19.9% APR
  • Introductory cashback of 5% for 3 months
  • Standard cashback of 0.50% for spending up to £5,999 per year, 1% on spending between £6,000 and £9,999 per year and 1.25% on spends of £10,000 and over

Penny saysPenny says…
"Matching Sainsbury's Bank and American Express is this appealing card from Capital One.

"This card also offers customers an identity theft assistance service, offering additional peace of mind."

Representative purchase APR Card details

SAV Credit
Aqua Reward MasterCard

34.9% APR
  • 3% cashback on all purchases
  • Cashback between £5 and £100 paid each year
  • Flexible repayment dates

Penny saysPenny says…
"Just outside the top three is this card from SAV Credit.

"As well as receiving 3% cashback, customers will also be attracted to a maximum 51 days' 0% interest on purchases, subject to the full balance on the current and previous statement being paid on time."

Representative purchase APR Card details

123 Credit Card MasterCard

  • 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 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: 13/03/2013

What next?

Compare the best cashback credit cards
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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.