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Credit card rewards

Earn cashback, points & more

Chris Collier
Chris Collier | Edited by Helen Saxon
Updated 20 August 2024

Spend on one of these cards and it pays you – either in pure cashback or points that convert into vouchers for shops, airlines, hotels and more. If you're debt-free and pay off your card every month, you can earn goodies worth £100s each year. Plus our Reward Credit Card Eligibility Calculator will show cards you've the best odds of getting.

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In this guide

Best reward credit and debit cards

Who's this guide for? People who pay off their credit card balance in full every month who want to be rewarded for their spending.

Not what you want? If you're looking to cut debt costs or want other ways to get rewards, see...
Top airline credit cards | 0% balance transfers | Full credit cards section

How do reward credit & debit cards work?

They're quite simple. You just do your everyday spending on them and, in return, you get cashback or points which you can turn into vouchers, or money off at various shops. Reward cards can be a great way of earning £100s' worth of bonuses/cashback.

It sounds great – everyone loves something for nothing. But unless you're careful, credit cards will actually deliver nothing for something, as you'll likely get hit with interest if you don't pay them off IN FULL every month. Some cards even impose a minimum spend to get the rewards – so always read carefully before choosing a card.

What types of reward cards are there?

There are many types of reward cards, some are credit cards and some are debit cards. They give different levels of protection should a purchase go wrong. Credit cards give Section 75 protection, whereas debit cards give the lesser, but still useful, chargeback protection.

  • Cashback credit cards. Get a percentage of the amount you spend back, usually as credit added to your card balance annually or monthly. You may get a flat cashback rate across everything you pay for, or differing percentages depending on where you shop. The amount of cashback you can earn is often capped.

  • General points credit cards. Collect points that can be exchanged for perks, vouchers, or goods and services.

  • Supermarket / department store reward scheme cards. Earn points whenever you spend on your card which you can then use with your chosen store. 

  • Travel and airmile credit cards. Earn points you can exchange for flights or discounts on upgrades, hotels, and airport lounges. See our top airline credit cards picks.

The five reward card need-to-knows

Get it wrong, and you could actually be left out of pocket, so here's all you need to know to get the best from reward credit cards...

  • 1. Set up a direct debit to repay credit cards IN FULL each month to ensure you never pay interest

    Getting charged interest almost always scuppers even the very best reward schemes, so quite simply…

    If you want rewards, always set up a direct debit to repay the card in full each month, so interest doesn't wipe the gain.

    By doing this, you've effectively made your credit card a debit card, but one that pays you every time you spend on it. Just make sure you stay within the credit limit or you'll pay charges.

    Sadly, some card providers deliberately miss the 'repay in full' option off when you set up your direct debit. If it's not there, call the lender and ask them to make sure the direct debit is set up to pay off in full.

    If you're not sure that you'll always be able to repay the card in full, DON'T pick a reward card. Focus on a card with a lower interest rate instead – see our 0% spending credit cards guide.

  • 2. Use the card for all NORMAL spending to max rewards (these cards aren't an excuse to overspend)

    Once you've got a reward card, you get paid almost every time you use it. While this isn't an excuse to spend more, it does mean from now on…

    Use the rewards card for ALL normal spending, replacing cash and other debit, credit and charge cards.

    For those who have work expenses they need to reclaim, this can be a powerful way to earn more, at no cost to you, provided you can cope with paying the bill in full each month.

    Do check it's fine with your employer though, as there's a chance it could be seen as a taxable benefit (you'll still be up even if it is).

    Can I add an additional cardholder to my account to boost cashback or reward points?

    Yes, you can. Though with credit cards there's no such thing as a joint card – it's your card and you're giving them permission to spend on it. Any spending is yours to pay off, not theirs.

  • 3. Check the rewards are right for you and the real value of the points (then see if you can boost it)

    Some schemes are focused on making people think they're earning large, when actually payouts are pretty paltry, so go through our best buys below meticulously to check which you'll actually get value from. Broadly, there are two types of scheme...

    • Cashback. This is the most straightforward type of scheme – for every pound spent, you get a certain amount back, for instance, 1%. But watch out for tricky terms – cashback tends to be paid annually as credit to your statement, and some cards have a minimum spend requirement to get any cashback.

    • Rewards schemes. Here you earn days out, flights, holidays and more by getting points – and that's where the problems can start. Always ensure you know what a point is worth.

      Generally, most cards in this guide have one point being worth between 0.5p and 1p. If you're not sure, check BEFORE you take the card out.

    Boost the rewards you get

    By correctly targeting the right rewards to redeem your points on, it's possible to substantially increase the amount. To find out how to do this for all schemes and specific info for Avios, Nectar and Tesco, read our Boost your loyalty points and Avios boosting tricks guides.

  • 4. Don't apply for a credit card if you’ve a major credit application coming up, such as a mortgage

    All credit card applications have a slight short term negative impact on your credit worthiness, so you need to weigh up whether getting a reward card now could harm other, more important credit applications you may have on the horizon, like a mortgage.

    A single application may not kibosh your chances, but together with other negatives, it may well do. See Credit score boosting for more tips.

    Additionally, if you’ve debts elsewhere, you'll save more by keeping your debts cheap instead of going for reward cards. See Best balance transfers for the top credit card debt-cutting cards and Debt problems for full step-by-step help.

  • 5. Don't borrow or withdraw cash on these credit cards

    They're a tool to get you rewards by using them like a debit card and clearing them each month, and we rate them based on that.

    If you need to borrow as well, you're far better off focusing on getting the lowest interest rates – that'll save you much more money. See 0% credit cards for spending and Best balance transfers for more info.

    And when it comes to withdrawing cash, the rule is simple – never, ever, ever use these cards for cash withdrawals, as you'll often be charged a fee and interest, even if you pay the card off in full.

 Credit Card Eligibility Calculator

See which reward credit cards you've the best chance of getting, in your own personal best-buy table.

Usually, applying for a new card is the only way to know if you'll be accepted for it or not. Yet that marks your credit file, affecting your ability to get future credit. To help, our tool uses a 'soft search' to find your chances of acceptance before applying.

Check your chance of acceptance

Top reward credit & debit cards

The top rewards cards are usually from American Express due to its big intro bonuses and/or unbeatable ongoing rewards when compared with the rest of the market, though we include other options where their flexibility and/or lack of fee mean they will beat Amex for many. 

Amex isn't as widely accepted as Mastercard and Visa and you won't get the intro bonuses below if you've had a personal (not business) Amex in the last two years.

Top reward credit and debit cards – what we'd go for

All of our top picks offer cashback or points for everyday spending. The Amex cards also have introductory bonuses if you spend a certain amount, though pay them off IN FULL each month or the interest will dwarf the gain. This is our analysis to help you decide, scroll down to the table for full details of each card.

• Chase is our top-pick debit card – it gives 1% cashback on most spending (max £15/month), though there are some exclusions and after a year you need to pay in £1,500/month to continue getting the cashback. You do have to open a new bank account, but it's easy to get, only requiring an ID check instead of a full credit-check. 

• New. The Amex Cashback Everyday credit card offers 5% cashback, usually only for purchases in the first three months (max £100), but right now it's boosted this to five months (max £125). After this you get up to 1% cashback, though you need to spend £3,000+ each year to get any cashback – so it's best for those with an upcoming big purchase or a high spend period.

• The Amex Preferred Rewards Gold credit card gives intro points worth £115 in vouchers for Amazon, M&S, Sainsbury's & more, though you'll need to spend £3,000+ in the first three months – so, again, it's best for bigger spenders or those with an upcoming big purchase. There's also £5 cashback on two £5+ Deliveroo orders a month and four free visits to airport lounges each year.

After the three months you get one Amex point per £1 spent (worth 0.5p). The card is free in the first year, but from year two there's a hefty £195/year fee, so diarise to cancel if you don't want to pay. You also get 2,500 points every time you spend £5,000 (max 12,500 points/year), though don't use this as an excuse to overspend.

Our top three rewards debit and credit cards 

 

KEY FEATURES

 Chase Mastercard Debit Card*

Amex Cashback Everyday Credit Card*

Amex Preferred Rewards Gold Credit Card*
Intro rewards? 1% cashback
 on most debit card spending (max £15/month)		 New. 5% cashback for 5mths
(max £125)

Intro pts worth £115
at Amazon, M&S, Sainsburys & more

 
Minimum spend for intro rewards? No £3,000+/yr £3,000+ in first 3mths
Ongoing rewards? 1% cashback 
on most debit card spending after year one (max £15/month) when you deposit £1,500/month		 0.5% cashback on first £10,000 spend, 1% above

One Amex point per £1 spent (worth 0.5p),
plus 2,500 Amex points each time you spend £5,000 (max 12,500 pts/yr)

 

See what you can use points for
Minimum spend for ongoing rewards? No £3,000+/yr No
Other perks? Fee-free spending overseas, linked 3.85% AER savings account No £5 cashback on two £5+ Deliveroo orders a month, four free visits to airport lounges each year
Fees? NO FEE NO FEE £195/year fee
(free in first year)
Interest charges if not REPAID IN FULL each month? No 31% rep APR 88.8% rep APR
Easy credit-check? Yes
just ID check

No

full credit check

No

full credit check
How to get the card? Apply*
(or read our full review)

Check eligibility
or

Apply*

Check eligibility
or

Apply*

See all official APR examples.

Next-best fee-free credit & debit reward cards

We've more choice below if none of the above suit – both are decent picks and have no fee to hold the card...

Fee-free cashback & reward credit cards - best of the rest

The American&nbsp;Express<sup>®</sup> Rewards Credit&nbsp;Card

Amex Rewards Credit Card

- 10,000 bonus Nectar points when you spend £2,000+ in the first 3mths
- 1pt per £1 spent

- 31% rep APR

 

See what you can use points for

 Check eligibility
Apply*

Amazon Barclaycard (1)

- £20 Amazon voucher on acceptance
- 1% cashback at Amazon (2% during Prime Days & Black Friday etc)
- 0.25% cashback elsewhere (0.5% for year one)

- 28.9% rep APR

 Apply

(1) Did you have one of Amazon's old credit cards? If so, you may get boosted rewards – a £50 Amazon voucher, plus 2% Amazon cashback and 1% elsewhere for the first six months. Log in to your Amazon account to check if you're eligible. | See all official APR examples.

Next-best credit & debit reward cards with ongoing fees

These cards aren't fee-free – so only get them if you're sure the rewards you'll get with them beat all the fee-free cards after accounting for the fee. 

Cashback & reward credit cards with ongoing fees - best of the rest

Amex.pngAmex Cashback Credit Card

- 5% intro cashback in first 3mths (max £125)
- 0.75% cashback up to £10,00/yr
- 1.25% cashback above
- £25 annual fee

- 31% interest on spending
- 37.8% rep APR

 Check eligibility
Apply*
Santander Edge credit card.png
Santander Edge Credit Card
(must have a Santander current account to apply)

- 1% cashback (2% in year one; max £15/mth) 
- £3 monthly fee

- 23.9% interest on spending
- 29.8% rep APR

 Apply*
amex_nectar_card.png
Amex Nectar Credit Card

- 20,000 bonus Nectar points when you spend £2,000+ in the first 3mths
- 2pts per £1 spent
- £0 annual fee in year one, £30 from year two

- 31% interest on spending
- 37.8% rep APR

 Check eligibility
Apply*

See all official APR examples.

Cashback sites may pay you for signing up

As an extra boon, members of specialist cashback websites can be paid when they sign up to some financial products. Do check that it's exactly the same deal though, as terms can be different. And remember the cashback is never 100% guaranteed until it's in your account.

For full help to take advantage of this and the pros and cons, see our Top cashback sites guide.

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Reward cards FAQs

  • Do I get Section 75 protection on these cards?

    Yes – with a credit card. Another bonus to using a rewards credit card is you have far more consumer protection. This all comes about due to what's called Section 75 of the Consumer Credit Act 1974. It means that if you buy something costing between £100 and £30,000, here or abroad, and pay on a credit card, the card issuer's equally liable if something goes wrong.

    Now this protection only applies to credit cards, not debit cards or any other plastic (so if you opt for the Chase card, for example, you won't get it), and it's hugely important. If a retailer were to go kaput, you'd still be able to claim your money back from the card company.

    However, Section 75 protection doesn't apply to additional cardholders – so ensure that any big purchases are made by the main cardholder.

    But be aware of using PayPal to pay on a credit card, as you'll lose this valuable Section 75 protection. Read the full guides to Section 75 refunds and using PayPal to pay on a credit card.

  • How do card companies make money if I always repay?

    While customers paying interest is a big source of income for the card company, it's not the only one.

    The second is the retailer. When you pay on a credit card, the card company gets a small percentage of what you spend from the shop/restaurant and this will often cover the cashback.

    Therefore, in a way, all you're doing is getting back the extra that's been factored in to pricing for all customers to cover credit card costs.

    It's worth noting that Amex tends to charge retailers more than they pay when you use a Mastercard or Visa, which is one of the reasons some smaller companies don't accept it.

  • How many reward cards can I have?

    As many as you're accepted for – there's no limit. Though of course, every credit card application has a small impact on your credit score. So the more you have, the less likely you are to be accepted for more cards.

    Don't apply for lots if you may need credit for something important, such as a mortgage or a balance transfer card. Full info in our Credit rating guide.

  • Is it worth going for a card that gives bigger rewards in one store?

    If you spend a substantial amount of money in a store then it certainly is. But don't let this blind you for the rest of your spending – make sure you maximise what you get elsewhere too (it may be worth having two cards).

    Also remember that lots of cards use a 'double earn' promise, so it looks like you get more points using your credit card in the linked store, but actually you would've got the same just using its normal loyalty card. See our Loyalty points guide for a full explanation. 

  • Which reward card is best for me?

    This largely comes down to two things – which rewards you value and which cards will accept you. 

    Generally speaking, reward credit either offer cashback on spending or award you loyalty points as you spend, which you can typically convert into vouchers or air miles. Take a look at our top-pick cards above to compare the rewards on offer, and decide which you would make use of the most. 

    Our Reward Credit Card Eligibility Calculator will then show you the acceptance odds for most of the top cards before applying. Usually the best bet is to go for the card with the best acceptance odds that meets your needs.

    Once you have a card and to max rewards, do all your normal spending on it – though it's not an excuse to overspend. But if you don't always repay in full (or can't), then don't bother as the interest will dwarf the rewards.

     

  • What reward card has the best rewards?

    Reward cards give you cash or loyalty points when you spend on them. So as long as you repay them IN FULL each month (preferably by Direct Debit so you never forget) and don't bust your credit limit, you neuter the 'debt element' of the card, and just have plastic that pays you to spend on it.

    You'll find our top-pick reward cards above, though you'll need to compare them to determine which rewards you value the most. Our Reward Credit Card Eligibility Calculator will then show you the acceptance odds for most of the top cards before applying.

  • What can I use my Amex points for?

    Amex points give you a choice of rewards (with varying values), so what to go for will come down to both your preferences, and how best to maximise the value. You should receive points within a couple of days after spending, though they can take up to 30 days.

    Here are the main uses of Amex points:

    - Convert them Nectar points. One Amex point is worth 0.5p. Nectar points can be spent at any Nectar partners, including Sainsbury's, eBay, and Argos. 

    - Use them to buy shopping vouchers/gift cards. One Amex point is worth 0.5p. Choose from retailers such as Amazon, M&S and Currys.

    - Use your points to pay online. One Amex point is worth 0.45p. Choose from retailers such as Aldi, Asda and Boots. Generally you'll be offered this way to pay at the till when you check out on the retailers' sites.

    - Airmiles/hotel points. The value of each Amex point varies depending on the scheme – choose from Avios, Virgin Red, Hilton Honors, and more.

    You can see a full list of ways to redeem your points on the Amex Membership Rewards site. 

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MoneySavingExpert.com Limited is an appointed representative of MONY Group Financial Limited. MONY Group Financial Limited is authorised and regulated by the Financial Conduct Authority (FRN: 303190). The registered office address of both MONY Group PLC and MONY Group Financial Limited (registered in England No. 3157344) is MONY Group House, St. David's Park, Ewloe, Chester, CH5 3UZ.