If you pay off your balance in full every month, a cashback credit card gives you a small percentage back on spending you would do anyway. If you carry a balance, the interest will wipe out the cashback many times over, so this only works if you clear the card every month.
Card offers change often. The figures below were checked on the providers' websites at the time of writing (October 2026); confirm them before you apply.
Top-rate option: American Express Platinum Cashback
At the time of writing (October 2026), this card pays 5% cashback for the first three months, capped at £125, then 0.75% on spending up to £10,000 in a membership year and 1.25% on spending above that. There is a £25 annual fee and the representative APR is 34.6% variable.
On £10,000 a year of spending after the intro period, you would earn £75, so the fee takes a third of that. It suits people who put most of their spending on one card. Amex is not accepted everywhere, so you may need a backup card.
Mastercard option: Santander All in One
At the time of writing (October 2026), this card pays 0.5% cashback on purchases, up to £10 a month, and has a £3 monthly fee. It also offers 0% on purchases and on balance transfers for 15 months, with no balance transfer fee in that period. The representative APR is 29.8% variable.
The fee is £36 a year, so you need to spend more than £600 a month to come out ahead on cashback alone, and the £10 monthly cap limits the upside. It is most useful if you also want the 0% periods. Because it is a Mastercard, it is accepted almost everywhere.
Debit cards and bank accounts with cashback
Some current accounts and debit cards pay cashback or rewards, sometimes only for an introductory period or on selected retailers. These do not involve borrowing, so there is no interest risk, but the offers change frequently. Check the current terms on the bank's website, and comparison sites such as MoneySavingExpert, rather than relying on older articles.
How to choose a cashback card
- Work out your annual card spending, then compare cashback minus any fee
- Check the caps: monthly or annual limits can cut the real rate
- Look at where the card is accepted, especially with Amex
- Check whether you are likely to be accepted with an eligibility checker before applying, to avoid unnecessary hard searches
- Ignore cashback entirely if you might not clear the balance in full
How to maximise cashback
Use the card for regular spending such as groceries, fuel and subscriptions, and set up a direct debit to pay the full balance every month. Paying interest defeats the purpose. You can also use shopping portals such as TopCashback or Quidco on online purchases. Review your card once a year to make sure it still beats the alternatives.
Final thoughts
Cashback cards reward spending you would do anyway. The key rules: always pay in full, do the maths on fees and caps, and review once a year. If you want the cashback to actually become savings, move it into a savings account when it is paid out, and use SYM to keep a daily savings habit going alongside it.
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