Credit Card - High Spender - Best Rewards ?

darren72

I am a very high spender on credit cards - mainly due to work purposes.

I spend around £70,000 per year on a credit card.

I presume that if I use a cashback card the cashback would be 'taxable', whereas if it was some sort of rewards card, it wouldn't ?? - eg, for free flights, etc ??

Can anyone recommend a credit card based on these requirements ?

Thanks in advance,
Darren

CopperPlate_2

Cashback isn't taxable. The likes of Capital One doesn't have a limit for cashback, unlike Egg Money which is capped at £200 (equivalent of £20k spend per year). Amex Platinum also doesn't have a limit on cashback. The likes of John Lewis and M&S cards offer points which, will be redeemed every few months automatically. M&S offer bonus points for spending in M&S stores/online.

It all really depends on what sort of 'perk' you're looking to get back. Spending £70K a year on the card would give you £350 of John Lewis vouchers per year, same for M&S, or £700 cashback on Capital One (not taking into account the bonus % for the first few months).

You should have a look at the article Martin has written on cashback credit cards.

darren72

CopperPlate wrote: »

Cashback isn't taxable.

Thank you very much for your reply - It has certainly helped.

Are you sure cashback wouldn't be taxable, if the card was being used solely for business purposes ?

Thanks

bigstevex

I'm in the same boat, but i was wondering more whether the credit card company would realise what you were doing and say you should have a business credit card?

I'm going to use mine to pay for all my wholesale stuff and pay it off before i'm charged interest obviously!


As for taxable, how would the tax man ever get hold of any info relating to it?

darren72

bigstevex wrote: »

As for taxable, how would the tax man ever get hold of any info relating to it?

The cashback would show on your credit card statements, that you need to keep as a record of your transactions for tax purposes....

Daniel

CopperPlate_2

There are loads of other cards you can choose from - have a look here at the Rewards Checker that Martin has put together. It gives a list of all Reward type cards known at the time of being compiled and ranks them according to payout.

http://www.moneysavingexpert.com/cards/best-credit-card-rewards

http://www.moneysavingexpert.com/cards/reward-card-comparison-table

darren72

CopperPlate wrote: »

There are loads of other cards you can choose from - have a look here at the Rewards Checker that Martin has put together. It gives a list of all Reward type cards known at the time of being compiled and ranks them according to payout.

http://www.moneysavingexpert.com/cards/best-credit-card-rewards

http://www.moneysavingexpert.com/cards/reward-card-comparison-table

Thanks - I had a quick look at that, but a lot of the better ones seem to have been discontinued some time ago

bigstevex

ahh good point about keeping the statement lol, didn't think about that! Unless you can find one that does separate cashback statements?

darren72

bigstevex wrote: »

ahh good point about keeping the statement lol, didn't think about that! Unless you can find one that does separate cashback statements?

That was my reasoning behind a reward card, rather than cash back