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How much do you make from bank Cashback/Rewards?

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  • ForumUser7
    ForumUser7 Posts: 2,458 Forumite
    1,000 Posts Second Anniversary Photogenic Name Dropper
    datz said:
    phillw said:
    datz said:
    You can qualify for the Edge Saver account without ever paying a fee on the Edge Current Account
    What are the odds they close edge saver accounts that don't ever pay the fee?
    I still have a 123 lite and I don't want to goad them into withdrawing banking services.

    edge saver is only worth about £18 a year, 

    Unless they change the terms at some point in the future, I'd say you're probably fine. I've held both Edge products since launch, not been charged a fee, and am receiving the interest each month. In my case, I upgraded an old Everyday current account that had never previously had any direct debits added to it (but a new application works too).

    Btw, that clause in Santander T&Cs is not new. I still hold a 123 Lite account that I have had for years without paying a fee (originally set up for access to their 123 preferential rates). Their system does send me an occasional email, warning me that I am spending more in fees than I receive back in cashback, and asking if the account is still suitable for me (lol).

    I asked them on Twitter what would happen if I opened the edge current account, and was not meeting the fee threshold, and they said:

    If you aren't meeting the t&c's of the current account this would likely prompt us to look at your accounts in more detail and we reserve the right to withdraw the account and, if applicable, amend any edge saver accounts you hold to another applicable savings account. ^A Customer Service Agent

    Given I'm currently getting 3.75%, the risk isn't worth it for me personally, but others may have different experiences. Sounds like it has worked fine for @datz
    If you want me to definitely see your reply, please tag me @forumuser7 Thank you.

    N.B. (Amended from Forum Rules): You must investigate, and check several times, before you make any decisions or take any action based on any information you glean from any of my content, as nothing I post is advice, rather it is personal opinion and is solely for discussion purposes. I research before my posts, and I never intend to share anything that is misleading, misinforming, or out of date, but don't rely on everything you read. Some of the information changes quickly, is my own opinion or may be incorrect. Verify anything you read before acting on it to protect yourself because you are responsible for any action you consequently make... DYOR, YMMV etc.
  • ZeroSum
    ZeroSum Posts: 1,200 Forumite
    Fifth Anniversary 1,000 Posts Name Dropper
    Halifax  £15
    Santander £4 ish
    Co op £1.25 ish
    Lloyds magazine that I don't read, but hopefully in a few months I'll be able to get disney+ 
    Yougov £16 Pro rata
    Then about £60 stoozing
    Maybe another £20 in chase / Nectar/ clubcard/ asda etc cashback

  • datz
    datz Posts: 165 Forumite
    Fifth Anniversary 100 Posts Name Dropper
    edited 19 April 2023 at 3:22PM
    I asked them on Twitter what would happen if I opened the edge current account, and was not meeting the fee threshold, and they said:

    If you aren't meeting the t&c's of the current account this would likely prompt us to look at your accounts in more detail and we reserve the right to withdraw the account and, if applicable, amend any edge saver accounts you hold to another applicable savings account. ^A Customer Service Agent

    Given I'm currently getting 3.75%, the risk isn't worth it for me personally, but others may have different experiences. Sounds like it has worked fine for @datz

    I agree that there is not much benefit in it these days (unless they raise rates), but the gap was wider when the Edge products were launched.

    Sounds like that Twitter representative was addressing the question from the point of "what happens if I get less cashback than I am being charged in fees". Banks have to be proactive with charges on fee-based accounts (it is why I am getting that periodic email prompt that I mentioned previously - their system just assumes I am paying the fee, but nothing has come of it yet).

    Anyway, the T&Cs are pretty clearly written - even if it does result in an unintended(?) benefit. This clause has been in their account terms for years, so I can only guess that it hasn't been seen as a problem.

  • quirkydeptless
    quirkydeptless Posts: 1,225 Forumite
    Sixth Anniversary 1,000 Posts Name Dropper Photogenic
    Net of fees:      £
    Halifax           15
    Chase            11.64 (based on average of 12 months cashback)
    TSB                 5*     (for last 6 months)
    Natwest           3
    RBS                 3
    Santander       2.95
    Co-Op             1      
    Barclays          0 :(

    £41.59 per month , TSB will end soon so drops a fiver then.
    Retired 1st July 2021.
    This is not investment advice.
    Your money may go "down and up and down and up and down and up and down ... down and up and down and up and down and up and down ... I got all tricked up and came up to this thing, lookin' so fire hot, a twenty out of ten..."
  • I know this is not very MSE but all this switching accounts to make a few extra pounds and chasing cash back deals I just don’t get. For some of you it seems obsessive and in some cause verging on the unhealthy. I also believe the stretching of the rules some regularly undertake to make a few extra pounds in interest here and there has an impact on other bank customers too, as banks/building societies add restrictions to protect themselves. 
    I last ‘switched ‘ a good few years ago to have everything completely with a building society to avoid being with a bank. There is one exception, as I have a second basic current account with the Co-Op for emergencies should there be an issue with IT with my other account. Up to now there hasn’t been.
    I am quite happy with these arrangements. I make  a few hundred a year interest by doing hardly anything. Perhaps opening the occasional regular saver with the same company.
    Outside my current building society I have one S&S ISA and Premium Bonds. Quite happy bumbling along.
    Very pleased I do not have an addictive personality.
  • Band7
    Band7 Posts: 2,285 Forumite
    1,000 Posts Name Dropper
    edited 19 September 2024 at 9:54AM
    I know this is not very MSE but all this switching accounts to make a few extra pounds and chasing cash back deals I just don’t get. For some of you it seems obsessive and in some cause verging on the unhealthy. I also believe the stretching of the rules some regularly undertake to make a few extra pounds in interest here and there has an impact on other bank customers too, as banks/building societies add restrictions to protect themselves. 
    I last ‘switched ‘ a good few years ago to have everything completely with a building society to avoid being with a bank. There is one exception, as I have a second basic current account with the Co-Op for emergencies should there be an issue with IT with my other account. Up to now there hasn’t been.
    I am quite happy with these arrangements. I make  a few hundred a year interest by doing hardly anything. Perhaps opening the occasional regular saver with the same company.
    Outside my current building society I have one S&S ISA and Premium Bonds. Quite happy bumbling along.
    Very pleased I do not have an addictive personality.
    Be very afraid of all those addicts, you could catch a bug from them 😇 
  • TheElectricCow
    TheElectricCow Posts: 582 Forumite
    500 Posts Second Anniversary Name Dropper
    edited 19 September 2024 at 9:54AM
    I know this is not very MSE but all this switching accounts to make a few extra pounds and chasing cash back deals I just don’t get. For some of you it seems obsessive and in some cause verging on the unhealthy. I also believe the stretching of the rules some regularly undertake to make a few extra pounds in interest here and there has an impact on other bank customers too, as banks/building societies add restrictions to protect themselves. 
    I last ‘switched ‘ a good few years ago to have everything completely with a building society to avoid being with a bank. There is one exception, as I have a second basic current account with the Co-Op for emergencies should there be an issue with IT with my other account. Up to now there hasn’t been.
    I am quite happy with these arrangements. I make  a few hundred a year interest by doing hardly anything. Perhaps opening the occasional regular saver with the same company.
    Outside my current building society I have one S&S ISA and Premium Bonds. Quite happy bumbling along.
    Very pleased I do not have an addictive personality.
    Chasing switches is quite a worthwhile endeavour and over the course of a year could easily bring in well over £1000 for what's likely to be at most a couple of hours worth of work setting up accounts. Unless you've got tens of thousands of pounds sitting around that you don't need to spend, that's far more than you're ever going to see in interest payments over an equivalent period. Might not be lifechanging amounts of money, but it's more than enough to make a real positive difference in a lot of people's lives especially when it's practically being given away for free.

    The banks keep offering the switch bonuses and the amounts keep on getting larger, so it must be getting them the results they want to see as they could quite easily just not have any bonus at all. I'm sure they are quite aware that people will just switch accounts for the bonuses and will have almost certainly calculated the cost vs benefit they get from running these offers - drawing in large numbers of new customers is seemingly worth more to them overall than handing out £200 en masse, even if a significant proportion of those people switch away immediately.

    The value in things like monthly cashback is a bit more debatable with the amounts being smaller and typically needing a more involved approach and potentially crossing into grey areas if done on a large scale. But at the same time, the banks aren't stupid and they do set their own criteria, so if it was something they felt that concerned over they could always have just had additional restrictions in place from the start (i.e. one reward per person for Halifax rather than one per account, or stipulating that a direct debit has to be paid to a utility provider etc.).
    Moo…
  • WillPS
    WillPS Posts: 5,142 Forumite
    Part of the Furniture 1,000 Posts Newshound! Name Dropper
    edited 19 September 2024 at 9:54AM
    I know this is not very MSE but all this switching accounts to make a few extra pounds and chasing cash back deals I just don’t get. For some of you it seems obsessive and in some cause verging on the unhealthy. I also believe the stretching of the rules some regularly undertake to make a few extra pounds in interest here and there has an impact on other bank customers too, as banks/building societies add restrictions to protect themselves. 
    I last ‘switched ‘ a good few years ago to have everything completely with a building society to avoid being with a bank. There is one exception, as I have a second basic current account with the Co-Op for emergencies should there be an issue with IT with my other account. Up to now there hasn’t been.
    I am quite happy with these arrangements. I make  a few hundred a year interest by doing hardly anything. Perhaps opening the occasional regular saver with the same company.
    Outside my current building society I have one S&S ISA and Premium Bonds. Quite happy bumbling along.
    Very pleased I do not have an addictive personality.

    For my fiancee and I it's £58 for about 20 mins of "effort" (if you can call it that!) a month. Multiply that over a year and you get to £696 which is a week's worth of a nice hotel and a few meals while we're there!
    As "addictions" go, it's pretty harmless and profitable.
    It doesn't exclude the possibility of interest either, in fact part of that 20 mins of effort goes to topping up the 6 regular saver (all earning more than 6%) and ensuring any excess is left with Barclays Rainy Day Saver (5%).
  • AmityNeon
    AmityNeon Posts: 1,085 Forumite
    1,000 Posts Second Anniversary Photogenic Name Dropper
    edited 19 September 2024 at 9:54AM
    I know this is not very MSE but all this switching accounts to make a few extra pounds and chasing cash back deals I just don’t get. For some of you it seems obsessive and in some cause verging on the unhealthy.
    I last ‘switched‘ a good few years ago to have everything completely with a building society to avoid being with a bank. There is one exception, as I have a second basic current account with the Co-Op for emergencies should there be an issue with IT with my other account. Up to now there hasn’t been.
    I am quite happy with these arrangements. I make a few hundred a year interest by doing hardly anything. Perhaps opening the occasional regular saver with the same company.
    Outside my current building society I have one S&S ISA and Premium Bonds. Quite happy bumbling along.
    Very pleased I do not have an addictive personality.
    Why can't you be happy with your own arrangements without insulting others? It comes across as trying to justify your own complacency.
  • phillw
    phillw Posts: 5,665 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    edited 19 September 2024 at 9:54AM
    I know this is not very MSE but all this switching accounts to make a few extra pounds and chasing cash back deals I just don’t get. For some of you it seems obsessive and in some cause verging on the unhealthy. I also believe the stretching of the rules some regularly undertake to make a few extra pounds in interest here and there has an impact on other bank customers too, as banks/building societies add restrictions to protect themselves. 
    There are worse hobbies.

    I don't see how any restrictions will affect those who don't stretch the rules. Unless you mean people shouldn't have applied for multiple switch bonuses, because now banks have cottoned on then you can't get multiple switch bonuses.

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