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Cashback rewards?

24

Comments

  • Money_and_Travel
    Money_and_Travel Posts: 83 Forumite
    10 Posts
    If your balance is always £0 then there's unlikely to be any cashback!
    What I mean is, I pay off all purchases as soon as they move from Pending to completed, hence the balance is always at £0 come statment time.
  • Money_and_Travel
    Money_and_Travel Posts: 83 Forumite
    10 Posts
    I thought that too, but if she does that then her reply to the post about cashback being credited to her bill in month 13 doesn't make a lot of sense to me 🤷‍♂️

    Why doesn't it make sense?

    I purchase something and it apperars as "Pending".

    When it changes to cleared, I pay in the funds to clear it, hence the balance is £0 at the time my next statement is issued.
  • Money_and_Travel
    Money_and_Travel Posts: 83 Forumite
    10 Posts
    WillPS said:
    or request a balance refund.
    Will that not constitute a cash withdrawl, and attract a fee?
  • WillPS
    WillPS Posts: 4,372 Forumite
    Part of the Furniture 1,000 Posts Newshound! Name Dropper
    edited 22 June at 10:02AM
    WillPS said:
    or request a balance refund.
    Will that not constitute a cash withdrawl, and attract a fee?
    No - you must request an in-credit balance refund though, and not simply withdraw the cash from a machine (which may well end up charged as a cash advance!). This is usually then paid as a BACS payment to your  current account, it helps to have a DD setup at this stage I find (some providers get sniffy about needing proof of your account details otherwise).
  • Ayr_Rage
    Ayr_Rage Posts: 1,661 Forumite
    1,000 Posts First Anniversary Photogenic Name Dropper
    If your balance is always £0 then there's unlikely to be any cashback!
    What I mean is, I pay off all purchases as soon as they move from Pending to completed, hence the balance is always at £0 come statment time.
    What a strange way to run an account, you are missing out on interest that you could be earning from when you pay for the purchase until the next statement payment date.
  • Ayr_Rage said:
    you are missing out on interest that you could be earning from when you pay for the purchase until the next statement payment date.
    My credit card pays me interest?
  • WillPS said:
    (some providers get sniffy about needing proof of your account details otherwise).
    My credit card is issued by the same bank I have my current account with?
  • WillPS
    WillPS Posts: 4,372 Forumite
    Part of the Furniture 1,000 Posts Newshound! Name Dropper
    edited 22 June at 10:17AM
    WillPS said:
    (some providers get sniffy about needing proof of your account details otherwise).
    My credit card is issued by the same bank I have my current account with?
    Should be fine then, presuming this is Lloyds, Halifax or Barclays,
  • WillPS
    WillPS Posts: 4,372 Forumite
    Part of the Furniture 1,000 Posts Newshound! Name Dropper
    edited 22 June at 10:23AM
    Ayr_Rage said:
    you are missing out on interest that you could be earning from when you pay for the purchase until the next statement payment date.
    My credit card pays me interest?
    No, but the money you're using to pay your card off up to 56 days earlier than necessary could.

    Also worth noting that your credit report is going to look the same as if you had a credit card which you never or hardly ever used, which isn't great if you're trying to build up a record of responsible usage.

    What you could do, if you want to make sure you're not spending money you don't have, is open a current account which attracts in-credit interest (Kroo might be a good shout for this, though I've never used them myself), then transfer money to that account each time you use your credit card. Finally, set up a Direct Debit to clear your statement in full each month using that new current account.

    You'll likely earn far more than the 0.25% cashback you're already getting this way.
  • Ayr_Rage
    Ayr_Rage Posts: 1,661 Forumite
    1,000 Posts First Anniversary Photogenic Name Dropper
    edited 22 June at 11:10AM
    @WillPS you've nailed it with that idea.

    There are plenty of accounts that are paying around 5%, both current and savings, so @Money_and_Travel if your current account isn't paying that, just move your money to a new account and then pay off the full balance of your CC when the bill arrives, either by Direct Debit or manually online.
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