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:

Commonwealth Bank Low Rate Credit Card

Cashback Credit Card Offer

Limited time only: Receive up to $200 cash back when you apply between 1 March 2014 and 30 April 2014 and spend at each retailer.

  • $78 p.a. ($48 for qualifying customers) annual fee
  • 12.99% p.a.* on purchases
  • 5.99% p.a. for 5 months on balance transfers
  • Cash Advance Rate of 21.24% p.a.
  • Up to 55 days interest free

Compare Credit Cards with Cashback on Purchases

Interest rate (p.a.) Balance transfer rate (p.a.) Annual fee Cash advance rate (p.a.)
Commonwealth Bank Low Rate Credit Card
Commonwealth Bank Low Rate Credit Card
A great low rate card option with a limited time offer on Cashback. 12.99% p.a.* 5.99% p.a. for 5 months $78 p.a. ($48 for qualifying customers) 21.24% p.a. Apply Now For The Commonwealth Bank Low Rate Credit Card
Read More About The Commonwealth Bank Low Rate Credit Card
Coles No Annual Fee MasterCard
Coles No Annual Fee MasterCard
Get $10 off your shopping at Coles, when you redeem 2,000 flybuys points 17.99% p.a. $0 p.a. 17.99% p.a. Apply Now For The Coles No Annual Fee MasterCard
Read More About The Coles No Annual Fee MasterCard
Commonwealth Bank Low Fee Credit Card
Commonwealth Bank Low Fee Credit Card
Receive up to $200 cash back when you apply between 1 March 2014 and 30 April 2014. 19.74% p.a. 5.99% p.a. for 5 months $24 p.a. ($0 for qualifying customers) 21.24% p.a. Apply Now For The Commonwealth Bank Low Fee Credit Card
Read More About The Commonwealth Bank Low Fee Credit Card
Commonwealth Bank Awards Credit Card
Commonwealth Bank Awards Credit Card
Earn up to 50,000 points per year. 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) 21.24% p.a. Apply Now For The Commonwealth Bank Awards Credit Card
Read More About The Commonwealth Bank Awards Credit Card
Commonwealth Bank Gold Awards Credit Card
Commonwealth Bank Gold Awards Credit Card
Earn up to 125,000 points per year. 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) 21.24% p.a. Apply Now For The Commonwealth Bank Gold Awards Credit Card
Read More About The Commonwealth Bank Gold Awards Credit Card
Commonwealth Bank Low Fee Student credit card
Commonwealth Bank Low Fee Student credit card
A card catered for students and a $200 cash back deal. 19.74% p.a. 5.99% p.a. for 5 months $0 p.a. 21.24% p.a. Apply Now For The Commonwealth Bank Low Fee Student credit card
Read More About The Commonwealth Bank Low Fee Student credit card
Commonwealth Bank Low Fee Gold Credit Card
Commonwealth Bank Low Fee Gold Credit Card
Gold card privileges such as travel insurance, extended warranty and purchase protection. Receive up to $200 cash back when you apply between 1 March 2014 and 30 April 2014. 19.74% p.a. 5.99% p.a. for 5 months $90 p.a. ($0 for qualifying customers) 21.24% p.a. Apply Now For The Commonwealth Bank Low Fee Gold Credit Card
Read More About The Commonwealth Bank Low Fee Gold Credit Card
Commonwealth Bank Low Rate Gold Credit Card
Commonwealth Bank Low Rate Gold Credit Card
A low rate offer on purchases with complimentary international travel insurance. Receive up to $200 cash back when you apply between 1 March 2014 and 30 April 2014 12.99% p.a.* 5.99% p.a. for 5 months $120 p.a. ($90 for qualifying customers) 21.24% p.a. Apply Now For The Commonwealth Bank Low Rate Gold Credit Card
Read More About The Commonwealth Bank Low Rate Gold Credit Card
Commonwealth Bank Platinum Awards Credit Card
Commonwealth Bank Platinum Awards Credit Card
Earn up to 250,000 points per year. Travel Insurance for up to 6 months. 20.24% p.a. 5.99% p.a. for 5 months $280 p.a. ($250 for qualifying customers) 21.24% p.a. Apply Now For The Commonwealth Bank Platinum Awards Credit Card
Read More About The Commonwealth Bank Platinum Awards Credit Card

Compare Debit Cards with Cashback on Purchases

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

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 offer 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 Apply Now For The Commonwealth Bank Awards Credit Card
Read More About The Commonwealth Bank Awards Credit Card
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 12 months $0 p.a. (for eligible customers, $87 p.a otherwise) VISA/MC: 0.00; AMEX: 0.00 Apply Now For The ANZ Platinum Credit Card
Read More About The ANZ Platinum Credit Card
ANZ Rewards Platinum Credit Card
ANZ Rewards Platinum Credit Card
A rewards credit card with long term balance transfer offer. Earn Rewards Points for every $1 spent on purchases. 18.79% p.a. $149 p.a. (which includes a $94 annual account fee and a $55 Rewards Program services fee) VISA/MC: 1.50; AMEX: 3.00 Apply Now For The ANZ Rewards Platinum Credit Card
Read More About The ANZ Rewards Platinum Credit Card
Commonwealth Bank Gold Awards Credit Card
Commonwealth Bank Gold Awards Credit Card
A low interest rate offer on balance transfer and purchases. Complimentary comprehensive travel insurance, 90 day purchase security cover and extended warranty on purchases. Also receive up to $200 cash back when you sign up before 30 April 2014. 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 Apply Now For The Commonwealth Bank Gold Awards Credit Card
Read More About The Commonwealth Bank Gold Awards Credit Card
Citi Select
Citi 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. 4.9% p.a. for 9 months $700 p.a. VISA/MC: 2.00; AMEX: 0.00 Apply Now For The Citi Select
Read More About The Citi Select
ANZ Rewards Credit Card
ANZ Rewards Credit Card
Earn rewards points on your purchases, redeemable for a huge selection of rewards including shopping vouchers, gift cards, and travel. 18.79% p.a. $89 p.a. (which includes a $34 annual account Fee and a $55 Rewards Program services fee) VISA/MC: 1.50; AMEX: 2.00 Apply Now For The ANZ Rewards Credit Card
Read More About The ANZ Rewards Credit Card
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 10,000 Membership Rewards Bonus Points. 20.74% p.a. 0.99% p.a. for 6 months with 1% balance transfer fee $195 p.a. VISA/MC: 0.00; AMEX: 1.00 Apply Now For The American Express Platinum Edge Credit Card
Read More About The American Express Platinum Edge Credit Card
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. annual fee for the first year ($129 p.a. thereafter) VISA/MC: 1.00; AMEX: 0.00 Apply Now For The HSBC Platinum Credit Card
Read More About The HSBC Platinum Credit Card
Citibank Rewards Credit Card - Platinum Card
Citibank Rewards Credit Card - Platinum Card
Consolidate your debt with a low balance transfer offer and a host of platinum privileges. Earn up to 1.25 Citibank Reward points for every $1 spend. 20.99% p.a. 0% p.a. for 24 months with 3% balance transfer fee $199 p.a. VISA/MC: 1.25; AMEX: 0.00 Apply Now For The Citibank Rewards Credit Card - Platinum Card
Read More About The Citibank Rewards Credit Card - Platinum Card
Suncorp Clear Options Platinum
Suncorp Clear Options Platinum

Enjoy the freedom of a higher credit limit, as well as being able to earn Qantas Frequent Flyer points, with complimentary international travel and transit accident insurance, purchase cover insurance, and a personal 24 hour concierge service.

20.74% p.a. 0.9% p.a. for 12 months $59 p.a. annual fee for the first year ($199 p.a. thereafter) VISA/MC: 1.00; AMEX: 0.00 Apply Now For The Suncorp Clear Options Platinum
Read More About The Suncorp Clear Options Platinum
American Express David Jones
American Express David Jones
Earn 30,000 Membership Rewards points or 22,500 Qantas Points when you spend outside of store 3 times in the first month. 20.74% p.a. $99 p.a. VISA/MC: 0.00; AMEX: 3.00 Apply Now For The American Express David Jones
Read More About The American Express David Jones
NAB flybuys Rewards Card
NAB flybuys Rewards Card
Receive up to 10,000 flybuys bonus points. Plus a low interest rate on balance transfers. 19.49% p.a. 4.99% p.a. for 6 months $65 p.a. VISA/MC: 1.00; AMEX: 0.00 Apply Now For The NAB flybuys Rewards Card
Read More About The NAB flybuys Rewards Card
Suncorp Clear Options Gold Visa Card
Suncorp Clear Options Gold Visa Card
A gold credit card with a balance transfer option. Earn 1.00 Rewards Point for every $1 spent. Includes Complimentary international travel insurance and purchase cover insurance 20.50% p.a. 0.9% p.a. for 12 months $59 p.a. annual fee for the first year ($120 p.a. thereafter) VISA/MC: 1.00; AMEX: 0.00 Apply Now For The Suncorp Clear Options Gold Visa Card
Read More About The Suncorp Clear Options Gold Visa Card
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 Apply Now For The American Express Platinum Card
Read More About The American Express Platinum Card

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

Credit card offers:

Learn about our information service
American Express Qantas Discovery Card St.George Vertigo Credit Card HSBC Platinum Qantas Credit Card Westpac Low Rate Credit Card
American Express Qantas Discovery Card St.George Vertigo HSBC Platinum Qantas Credit Card Westpac Low Rate Credit Card

7,500 bonus points and $0 annual fee

0% p.a. for 14 months on balance transfers & low annual fee

20,000 bonus points and 0% p.a. for 6 months on balance transfers

0% p.a. for 14 months on balance transfers

More

More

More

More

Subscribe to our newsletter and get "The Ultimate Guide to Balance Transfers"

If You Like This Post...

Get all the latest deals, guides and tips in Finder's free bi-monthly email. Don't miss out - join the thousands who get it emailed!

We Respect Your Privacy
  • 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.

2 Responses to Cashback Credit Card

  1. 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

Interest rate (p.a.) Balance transfer rate (p.a.) Annual fee Cash advance rate (p.a.)
American Express Qantas Discovery Card
American Express Qantas Discovery Card
Benefit from not ever having to pay an annual fee. Plus earn 1 Qantas Point per $1 spent on all your everyday purchases. 20.74% p.a. 0.99% p.a. for 6 months with 1% balance transfer fee $0 p.a. Apply Now For The American Express Qantas Discovery Card
Read More About The American Express Qantas Discovery Card
Westpac Low Rate Card
Westpac Low Rate Card
A low interest rate credit card with a low annual fee and long term balance transfer offer. 13.49% p.a. 0% p.a. for 14 months $45 p.a. 21.49% p.a. Apply Now For The Westpac Low Rate Card
Read More About The Westpac Low Rate Card
St.George Vertigo MasterCard
St.George Vertigo MasterCard
A low balance transfer rate and ongoing purchase rate. 13.24% p.a. 0% p.a. for 14 months $55 p.a. 21.49% p.a. Apply Now For The St.George Vertigo MasterCard
Read More About The St.George Vertigo MasterCard
Bankwest Breeze MasterCard
Bankwest Breeze MasterCard
Low ongoing purchase rate from Bankwest, with an introductory rate on balance transfers. 11.99% p.a. 0% p.a. for 13 months $59 p.a. 21.99% p.a. Apply Now For The Bankwest Breeze MasterCard
Read More About The Bankwest Breeze MasterCard
Citibank Clear Platinum Card
Citibank Clear Platinum Card
Low rate credit card offer with a low balance transfer rate. Also comes with platinum privileges and benefits. 12.99% p.a. 0% p.a. for 12 months $49 p.a. annual fee for the first year ($99 p.a. thereafter) 21.74% p.a. Apply Now For The Citibank Clear Platinum Card
Read More About The Citibank Clear Platinum 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 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