Cashback Credit Card

Cash back is one of the most popular rewards when it comes to redeeming credit card reward points.

Reward yourself from your credit card spending by earning exciting cash back rewards. To find a cash back credit card, it is worth looking at the annual fees versus the rewards return, to choose the cheapest & best credit card for your spending habits. To find out more about cash back offers and the type of consumers they suit, read on for the guide below:

Compare Credit Cards with Rewards Program that allow you to redeem points for Cashback

Rates last updated October 31st, 2014

Interest rate (p.a.) Balance transfer rate (p.a.) Annual fee Points per $ spent
Commonwealth Bank Awards Credit Card
Commonwealth Bank Awards Credit Card
A low interest rate with online security guarantee. Frequent Flyer Awards system, including Bonus Partner Reward Offers. 20.24% p.a. 5.99% p.a. for 5 months $89 p.a. ($59 for qualifying customers) VISA/MC: 1.00 AMEX: 1.50 Go to site More info
HSBC Platinum Credit Card
HSBC Platinum Credit Card
Earn rewards points plus a balance transfer offer. Access to prestige services including a personal concierge service and VISA Platinum reward program. 19.99% p.a. 0% p.a. for 8 months $0 p.a. VISA/MC: 1.00 AMEX: 0.00 Go to site More info
ANZ Rewards Credit Card
ANZ Rewards Credit Card
Get 25,000 bonus Rewards points on your first eligible purchase. Earn rewards points on your purchases, redeemable for a huge selection of rewards including shopping vouchers, gift cards, and travel. 18.79% p.a. $0 p.a. annual fee for the first year ($89 p.a. thereafter) (includes a $34 annual account Fee and a $55 Rewards Program services fee) VISA/MC: 1.50 AMEX: 2.00 Go to site More info
Commonwealth Bank Gold Awards Credit Card
Commonwealth Bank Gold Awards Credit Card
A low interest rate on purchases. Complimentary comprehensive travel insurance, 90 day purchase security cover and extended warranty on purchases. 20.24% p.a. 5.99% p.a. for 5 months $144 p.a. ($114 for qualifying customers) VISA/MC: 1.00 AMEX: 2.00 Go to site More info
Citibank Rewards Credit Card - Platinum Card
Citibank Rewards Credit Card - Platinum Card
Consolidate your debt with a low balance transfer and a long purchase rate offer plus a host of platinum privileges. Earn up to 1.250 Citibank Reward points for every $1 spend. 0% p.a. for 15 months (reverts to 20.99% p.a.) 0% p.a. for 12 months $199 p.a. VISA/MC: 1.25 AMEX: 0.00 Go to site More info
ANZ Rewards Platinum Credit Card
ANZ Rewards Platinum Credit Card
Get 25,000 bonus rewards points on your first eligible purchase. A rewards credit card with long term balance transfer offer. Earn Rewards Points for every $1 spent on purchases. 18.79% p.a. $0 p.a. annual fee for the first year ($149 p.a. thereafter) (which includes a $94 annual account fee and a $55 Rewards Program services fee) VISA/MC: 1.50 AMEX: 3.00 Go to site More info
Citibank Qantas Signature Credit Card
Citibank Qantas Signature Credit Card
Offers a reduced annual fee for life and a range of complimentary insurances. 20.99% p.a. 0% p.a. for 6 months $299 p.a. (Reduced annual fee for the life of the card. Usually $395) VISA/MC: 1.00 AMEX: 0.00 Go to site More info
Commonwealth Bank Platinum Awards Credit Card
Commonwealth Bank Platinum Awards Credit Card
A low interest rate with an international travel Insurance and extended Insurance/Purchase/Security benefits. 20.24% p.a. 5.99% p.a. for 5 months $280 p.a. ($250 for qualifying customers) VISA/MC: 1.00 AMEX: 2.50 Go to site More info
Bankwest More Platinum Mastercard
Bankwest More Platinum Mastercard
Enjoy all the extra special benefits including complimentary overseas travel insurance and emergency travel assistance 24/7 with no foreign transaction fees. 19.49% p.a. 0% p.a. for 16 months $130 p.a. VISA/MC: 2.00 AMEX: 0.00 More info

Compare Debit Cards with Cashback on Purchases

Rates last updated October 31st, 2014

Savings Account Description Monthly Account Fee Debit Card Access ATM Withdrawal Fee Interest Rate p.a. Details
ING DIRECT Orange Everyday Account
ING DIRECT Orange Everyday Account
A transaction account with no monthly fees, plus a range of bonus features to take advantage of. $0 Yes, Visa $0 0.00% No monthly fees, and you can use any ATM in Australia for free withdrawals when you deposit at least $1,000 into the account from an external account. Open More

Compare Credit Cards with Cashback on Points Redemption

Rates last updated October 31st, 2014

Interest rate (p.a.) Balance transfer rate (p.a.) Annual fee Cash advance rate (p.a.)
Coles No Annual Fee MasterCard
Coles No Annual Fee MasterCard
Get $10 off your shopping at Coles, when you redeem 2,000 flybuys points 0% p.a. for 6 months (reverts to 17.99% p.a.) $0 p.a. 17.99% p.a. Go to site More info
Coles Rewards Mastercard
Coles Rewards Mastercard
A low annual fee credit card with a low interest rate. Earn 2.000 flybuys point per $1 spent. 19.99% p.a. $49 p.a. 19.99% p.a. Go to site More info
Coles No Annual Fee Platinum MasterCard
Coles No Annual Fee Platinum MasterCard
Enjoy a no annual fee platinum card with a low interest rate and flybuys points on purchases. 17.99% p.a. 0% p.a. for 6 months $0 p.a. 17.99% p.a. Go to site More info
Coles Rewards Platinum Mastercard
Coles Rewards Platinum Mastercard
A platinum card with a low interest rate and personal concierge service. 19.99% p.a. 0% p.a. for 6 months $49 p.a. 19.99% p.a. Go to site More info

Compare Credit Cards with gift cards or vouchers as part of their rewards program

Rates last updated October 31st, 2014

Interest rate (p.a.) Balance transfer rate (p.a.) Annual fee Points per $ spent
Commonwealth Bank Awards Credit Card
Commonwealth Bank Awards Credit Card
A low interest rate with online security guarantee. Frequent Flyer Awards system, including Bonus Partner Reward Offers. 20.24% p.a. 5.99% p.a. for 5 months $89 p.a. ($59 for qualifying customers) VISA/MC: 1.00 AMEX: 1.50 Go to site More info
ANZ Platinum Credit Card
ANZ Platinum Credit Card
A low interest rate offer on balance transfers with a $0 annual fee for the first year. 19.74% p.a. 0% p.a. for 16 months $0 p.a. annual fee for the first year ($87 p.a. thereafter) VISA/MC: 0.00 AMEX: 0.00 Go to site More info
HSBC Platinum Credit Card
HSBC Platinum Credit Card
Earn rewards points plus a balance transfer offer. Access to prestige services including a personal concierge service and VISA Platinum reward program. 19.99% p.a. 0% p.a. for 8 months $0 p.a. VISA/MC: 1.00 AMEX: 0.00 Go to site More info
Commonwealth Bank Gold Awards Credit Card
Commonwealth Bank Gold Awards Credit Card
A low interest rate on purchases. Complimentary comprehensive travel insurance, 90 day purchase security cover and extended warranty on purchases. 20.24% p.a. 5.99% p.a. for 5 months $144 p.a. ($114 for qualifying customers) VISA/MC: 1.00 AMEX: 2.00 Go to site More info
HSBC Platinum Qantas Credit Card
HSBC Platinum Qantas Credit Card
Receive 20,000 Bonus Qantas Points on their Frequent Flyer program plus a balance transfer offer. 19.99% p.a. 0% p.a. for 6 months $199 p.a. VISA/MC: 1.00 AMEX: 0.00 Go to site More info
ANZ Rewards Platinum Credit Card
ANZ Rewards Platinum Credit Card
Get 25,000 bonus rewards points on your first eligible purchase. A rewards credit card with long term balance transfer offer. Earn Rewards Points for every $1 spent on purchases. 18.79% p.a. $0 p.a. annual fee for the first year ($149 p.a. thereafter) (which includes a $94 annual account fee and a $55 Rewards Program services fee) VISA/MC: 1.50 AMEX: 3.00 Go to site More info
Citibank Rewards Credit Card - Select
Citibank Rewards Credit Card - Select
With Citi Select you get to craft the lifestyle rewards of your choice with an unmatched offering of rewards tiers. 20.74% p.a. 0% p.a. for 6 months $700 p.a. VISA/MC: 2.00 AMEX: 0.00 Go to site More info
ANZ Rewards Credit Card
ANZ Rewards Credit Card
Get 25,000 bonus Rewards points on your first eligible purchase. Earn rewards points on your purchases, redeemable for a huge selection of rewards including shopping vouchers, gift cards, and travel. 18.79% p.a. $0 p.a. annual fee for the first year ($89 p.a. thereafter) (includes a $34 annual account Fee and a $55 Rewards Program services fee) VISA/MC: 1.50 AMEX: 2.00 Go to site More info
American Express Platinum Edge Credit Card
American Express Platinum Edge Credit Card
Receive a complimentary domestic economy return flight every year and earn rewards points on everyday purchases. Apply now to receive 5,000 Membership Rewards Bonus Points. 20.74% p.a. 0.99% p.a. for 6 months with 1% balance transfer fee $0 p.a. annual fee for the first year ($195 p.a. thereafter) VISA/MC: 0.00 AMEX: 1.00 Go to site More info
Citibank Rewards Credit Card - Platinum Card
Citibank Rewards Credit Card - Platinum Card
Consolidate your debt with a low balance transfer and a long purchase rate offer plus a host of platinum privileges. Earn up to 1.250 Citibank Reward points for every $1 spend. 0% p.a. for 15 months (reverts to 20.99% p.a.) 0% p.a. for 12 months $199 p.a. VISA/MC: 1.25 AMEX: 0.00 Go to site More info
NAB flybuys Rewards Card
NAB flybuys Rewards Card
Receive up to 10,000 bonus flybuys points for eligible purchases. Apply by 18 January 2015. 19.99% p.a. 4.99% p.a. for 6 months $65 p.a. VISA/MC: 1.00 AMEX: 0.00 Go to site More info
American Express Platinum Card
American Express Platinum Card
Receive 80,000 Membership Rewards Points when you spend $500 on your Card $1,200 p.a. VISA/MC: 0.00 AMEX: 1.00 Go to site More info
Bankwest More Platinum Mastercard
Bankwest More Platinum Mastercard
Enjoy all the extra special benefits including complimentary overseas travel insurance and emergency travel assistance 24/7 with no foreign transaction fees. 19.49% p.a. 0% p.a. for 16 months $130 p.a. VISA/MC: 2.00 AMEX: 0.00 More info

What are cash back credit cards?

Cash back credit cards are credit cards that give you money back on purchases made with the credit card. At the time of writing, the only type of cash back credit cards on the market in Australia are indirect cash back cards — which allow customers to choose cash back options from their reward points from a range of other shopping options.

How do cash back cards work?

Australian cash back credit cards all accrue cash back value according to how much money you spend on your card on eligible purchases. There are, generally, two different types of cash back programs. They are:

  1. Indirect earn:
  2. This is just a regular rewards program, where points can be used to redeem cash back, along with many other rewards options.

  3. Direct earn:
  4. These cards, none of which were on the market at the time of writing, earn cash back directly as a percentage of eligible purchases made on the card — say, one percent, for example.

To redeem cash back, use your rewards programs’ online store to redeem a cash back value. Cash back will either be paid directly into you account or into a nominated account.


Pros and Cons of cash back credit cards

Pros of cash back credit cards

  • Earning cash rewards gives you money in your back pocket to spend as you choose.
  • Most cash back credit cards give you flexibility to choose normal rewards options as well, such as shopping vouchers, merchandise and frequent flyer points.
  • There are a range of extra benefits are included with cash back credit cards, such as complimentary travel insurance and other benefits you’d expect with premium rewards cards

Cons of cash back credit cards

  • Annual fees tend to be higher with rewards cards than they are with low interest credit cards and the like. Cash back card users need to spend enough money on their card to earn more in rewards than they pay for the annual fee.
  • Interest rates on cash back credit cards are higher than interest on credit cards without rewards. Consumers who don’t pay their balance in full each month may save money by choosing a low interest credit card.
  • It is hard to compare cash back credit cards, not to mention any credit cards with rewards. Rewards are confusing — perhaps intentionally so. It is hard to work out the value of rewards points.


Choosing the right Cashback Credit Card

How much cash back can I receive?

How much cash back you receive depends mainly on the type of card that you decide to use and whether there is points capping. Your credit card provider will give you all of the details when you sign up for your card.

The general rule is that Australian cash back customers can earn up to 1.4% cash back, after the annual fee is deducted, as a percentage of purchases according to analysis from Credit Card Finder.

How much cashback can you receive back?

What spending can I earn cash back on?

When you use your credit card, you are only eligible to receive cash back on purchases. The amount of points you can earn will depend on the earn rates on your card. Earn rates can be higher for spending overseas and at supermarkets and partner organisations.

What spending can’t I earn cash back on?

You won’t receive cash back on any cash withdrawals, balance transfers, credit card fees and charges, paying your credit card interest or transactions related to gambling.

Important factors to compare cash back programs

The net percentage of cash back per dollar spent is probably the biggest objective factor you can evaluate when deciding upon a cash back credit card. Although, another consideration is that cash back is often of less value that shopping vouchers or other rewards that can be purchased with rewards points. So it is worth thinking carefully about whether you value cash or the full gamut of a reward program’s offerings.

Making money on cash back credit cards: Dos and don’ts

  • Do pay off your debt in full each month. If you overspend and can not repay the debt you have cancelled out any potential cash benefit you will receive.
  • Don’t use your credit card for cash advances. Cash advances begin accruing interest immediately and aren’t eligible for any interest free days.
  • Do use your cash back credit card for everyday purchases to earn the most cash back possible.
  • Don’t purchase something that you will not be able to pay off by your statement due date. If you need to carry a balance, consider using a low interest credit card.

Beware of these…

  • Capped cash back

    These are one of the biggest deterrents when you are searching for the perfect cash back credit card. These ‘caps’ are limits on how much cash back you can earn on your card. It is also referred to as a ‘capped rewards points’’

    Not every card has capped cash back, but some of them do. If you are likely to spend enough on the card so that you exceed the cash back cap, it may be worth looking for a card with a higher cap or a card with uncapped cash back.

  • Balance Transfers

    Balance transfers are GREAT, but they should not be done on cash back credit cards. The reason for this is because of the hierarchy of payments.

    Let’s say you chose to move a balance over from a higher interest credit card over to your cash back credit card. This may seem like a good idea at first but after you start making your payments, you will begin to see why this is not such a great idea.

    The payments will be applied to the balances that have the lowest interest rates first. That means if you have high balance at a low interest rate, you will pay on that balance first while all of your purchases will continue to accrue at the higher interest rate. Not only will your cash back revenue be cancelled out but you will end up paying even more in interest.

    Your safest bet is to find a good balance transfer card and move your balance over to that card and use your cash back credit card for purchases only. There are many great balance transfer offers out there and you will likely save a lot more money if you take this option instead.

    Have more than one card will cost you more in annual fees, but it could save you interest in this situation.

learn more about balance transfers

What’s the cash back catch?

Essentially, there’s no real catch to cash back. You can redeem it just as much as any other reward. However, you’ll find that the value of cash back is slightly less than what can be bought with rewards points, such as shopping vouchers. Using cash back, therefore, should be a conscious decision with this in mind.

Is it worth aiming for cash back rewards in the end?

Just like any regular rewards credit card, if you don’t spend enough per annum to offset the value of your annual fee, or pay excessive interest, the value of your rewards will be nil or less. Be smart and ensure you are actually going to get any ‘cash back’


How to apply and use a cash back credit card

1. Apply for a cash back card – The good thing is that you can do all of this online these days — directly from the comparison table above. Click ‘Apply’ on the card you’ve chosen.

You will need to have some information ready. For example, your address, your salary before taxes and other personal information. If the details are in close proximity, you will be able to finish your application in no time.

Once you have applied, the credit card company will respond to you to confirm your application. If necessary, you will be asked to provide additional information to assist your application. Once you’ve received approval for your credit card, you’ll receive your brand new credit card via post, often a week or so later.

2. Keep your old card open until all direct debit payments are switched over – You do not want to be stuck being penalised for missed payments. The surefire way to combat this is by keeping your old credit card account open for an extra couple of months until you are sure all your direct debits are transferred over to your new card. If you fail to make a minimum payment, you stand to lose money in fees and charges.

3. Spend!! – It is time to earn cash back! You will not earn any cash back rewards if you do not spend so you need to spend. We all have to spend money each month. Bills and expenses stop for no one. The nice thing is that you can be rewarded for making these basic and fundamental purchases.

So, with that said, buy your groceries, fill your car with petrol, buy some flowers for your sweetheart. Whatever you do, just be sure you are paying with your cash back credit card. Just be sure that all of your purchases are eligible. Note: gambling and cash advances are never eligible for cash back rewards.

4. Know when promotional offers end – If you have a card that has a promotional offer, then you will want keep track of when that promotional offer ends. Make a calendar reminder alerting you of the end date as soon as you get the card.

* The credit card offers compared on this page are chosen from a range of credit cards CreditCardFinder.com.au has access to track details from. ‘Best and ‘Top’ are ratings which are subject to our consideration and is not rated against all Australian credit cards. We recommend you take this information into account when comparing credit cards.

Was this content helpful to you? No  Yes

Read more on this topic

  • Guide To Cashback & Gift Cards – Rewards Programs

    Simple rewards programs, such as cashback or gift cards, have become very popular. These give cardholders a very simple way to redeem points or partial payments on their credit balances. These are very popular, and you should read on to find out how to get the most from it!

  • How To More Effectively Use A Cash-Back Credit Card

    Today there are over 14 million credit cards in circulation in Australia. ‘Rewards’ credit cards have become very popular. These cards allow the consumer to accrue benefits such as cash-back or points which can be used towards shopping, travelling or paying for services.

  • How does a Cashback Credit Card Work?

    Cashback MoneyCashback credit cards have become some of the most popular credit cards in the world today and the plain simple truth of the matter is that in this particular respect, Australia is no different. There are cashback credit cards dominating their particular fields in terms of statistics in Australia and that is definitely something that people enjoy extensively because it allows them the chance to talk to their friends about exactly what they can get out of their cashback credit cards.
    There has been more consumer enthusiasm about cashback cards than any other credit card type when it debuted on the market, practically leveling in popularly with frequent flyer credit cards.



Ask a Question

Disclaimer: At finder.com.au we provide factual information and general advice. Before you make any decision about a product read the Product Disclosure Statement and consider your own circumstances to decide whether it is appropriate for you.
Rates and fees mentioned in comments are correct at the time of publication.
By submitting this question you agree to receive follow up emails related to finder.com.au and to create a user account where further replies to your questions will be sent.

4 Responses to Cashback Credit Card

  1. Default Gravatar
    Nat | September 30, 2014

    Can i transfer several card balances of under $5 each onto to 1 of these single prepaid woolworths money cards plz?

    • Staff
      Elizabeth | September 30, 2014

      Hi Nat,

      Thanks for your question.

      This will depend on whether all of these cards are yours or not. It might be best to get in contact with Woolworths directly to see if this will be possible with your account.

      Thanks,

      Elizabeth

  2. Default Gravatar
    ann | April 7, 2014

    How do I redeem money for cash back? I paid for my PC on my Westpac credit card.

    • Staff
      Jacob | April 7, 2014

      Hi, Ann.

      I’m not sure I understand the question. Can you please elaborate on what you’re looking for and the product you used to make the purchase. ‘

      Thanks for your question.

Credit Cards Comparison

Rates last updated October 31st, 2014
Interest rate (p.a.) Balance transfer rate (p.a.) Annual fee Cash advance rate (p.a.)
ANZ Low Rate
ANZ Low Rate
A low rate on purchases, balance transfer and a low annual fee. 13.49% p.a. 0% p.a. for 16 months $58 p.a. 21.74% p.a. Go to site More info
Citi Simplicity Card
Citi Simplicity Card
$0 annual fee credit card with a long term balance transfer offer. 19.99% p.a. 0% p.a. for 12 months $0 p.a. 19.99% p.a. Go to site More info
HSBC Platinum Credit Card
HSBC Platinum Credit Card
Earn rewards points plus a balance transfer offer. Access to prestige services including a personal concierge service and VISA Platinum reward program. 19.99% p.a. 0% p.a. for 8 months $0 p.a. 21.99% p.a. Go to site More info
Westpac Low Rate Card
Westpac Low Rate Card
A low interest rate credit card with a low annual fee and balance transfer offer. 12.49% p.a. 0% p.a. for 14 months $45 p.a. 21.49% p.a. Go to site More info
HSBC Credit Card
HSBC Credit Card
No annual fee for the life of the credit card. Plus a low balance transfer offer. 17.99% p.a. 0% p.a. for 6 months $0 p.a. 21.99% p.a. Go to site More info

* The credit card offers compared on this page are chosen from a range of credit cards CreditCardFinder.com.au has access to track details from and is not representative of all the products available in the market. Products are displayed in no particular order or ranking. The use of terms 'Best' and 'Top' are not product ratings and are subject to our disclaimer. You should consider seeking independent financial advice and consider your own personal financial circumstances when comparing cards.

Ask a question
feedback