Cashback rewards?

Money_and_Travel

SuperAllyB said:

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

SuperAllyB said:

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

WillPS said:

or request a balance refund.

Will that not constitute a cash withdrawl, and attract a fee?

WillPS

Money_and_Travel said:

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

Money_and_Travel said:

SuperAllyB said:

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.

Money_and_Travel

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?

Money_and_Travel

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

Money_and_Travel said:

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

Money_and_Travel said:

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

@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.