Asda shoppers can earn cashback with new rewards card – here’s how it stacks up
Asda has teamed up with Jaja Finance to launch the Asda Money Credit Card, which offers cashback on purchases at Asda and elsewhere. The cashback can only be spent at Asda though. Below we explain the pros and cons and compare the new deal to other rewards options – where it's largely beaten.
Update Monday 15 August: Asda has now rolled out its 'Asda Rewards' loyalty scheme nationwide, letting customers earn money-off vouchers on their groceries. See our Asda Rewards launch MSE News story for full info on how it works and how to join.
As with all cashback and reward credit cards, make sure you repay the balance each month IN FULL to avoid paying interest, which can often wipe out any bonuses you've earned - and never use cashback and reward cards as an excuse to overspend. See our Credit Card Rewards guide for more info.
Here’s how the Asda Money Credit Card works
The Asda Money Credit Card pays 1% on everything you spend on the card at Asda, and 0.3% on non-Asda spending. There's also an introductory offer of 2% cashback on Asda spending for your first 60 days if you apply before 28 August.
Cashback is then paid in the form of "Asda Pounds". To use your Asda Pounds, you must first download the Asda Rewards app from the Apple App Store or Google Play store and link it to your card. You can then use the app to turn your Asda Pounds into vouchers to spend online or in-store in any of Asda's 633 locations around the UK.
If you don't use the card for 12 months, any cashback not moved to your rewards account "cashpot" will expire. In addition, any Asda Pounds in your cashpot expire after six months – so you'll need to redeem them before this happens.
The card doesn't have a monthly or annual membership fee but it charges 22.9% rep APR. So ensure you repay in full each month to avoid the interest.
Here's how Asda's card compares to other cashback cards
There are a number of cashback credit card providers that give holders a certain percentage of their spending back when they use the card. Plus, depending on how much you spend, you can get better cashback rates elsewhere, and you’re not limited to spending your rewards at one retailer.
See the table below for how Asda's new card stacks-up against American Express's (Amex's) leading cashback cards, although bear in mind that not all retailers accept Amex.
Card, monthly fee and rep APR | Bonuses and cashback | How much you'd earn in cashback on a £5,000/yr spend (1) | Where cashback can be spent |
|---|---|---|---|
Amex Platinum Cashback Everyday (No fee, 25.7% rep APR) | - 5% cashback for first 3mths/max £100 - Then 0.5% cashback on up to £10,000 - Then 1% cashback on £10,000+ - Cashback paid annually | £115 in year one, £25 after | Anywhere |
Amex Platinum Cashback(£25/yr fee, 31% rep APR incl fee) | - 5% cashback for first 3mths/max £125 - Then 0.75% cashback on up to £10,000 - Then 1.25% cashback on £10,000+ - Cashback paid annually | £118.75 in year one, £12.50 after (2) | Anywhere |
(No fee, 22.9% rep APR) | - 1% cashback on Asda spending - 0.3% cashback on non-Asda spending | £50 if spent solely at Asda, or £15 if spent solely elsewhere | Asda |
(App-only debit card) | - 1% cashback on all spending for first 12 months - Fee-free overseas spending & ATM withdrawals | £50 in year one, after which introductory deal ends | Anywhere |
(1) £5,000 example spend chosen as it's above the £3,000 Amex spending threshold required to earn any cashback. Calculations assume all introductory promotional criteria are met. (2) Accounts for annual fee.
If you're not an Asda loyalist, there are also credit cards that offer non-cashback rewards in exchange for spending - although you'll often earn more by spending at certain retailers only. For example, Amex, Amazon, M&S and Sainsbury's pay up to 1p in points per £1 spent at particular retailers. Many also offer introductory bonuses. For more information see our Top Reward Credit Cards guide.
If Asda's new card is right for you, you can apply – subject to eligibility checks – and manage the account online or using the Asda Money Credit Card app.
Before applying for any credit card it's worth using our Eligibility Calculator first to check if you're likely to be offered the card, as unlike our tool, any card application will show up on your credit file and may dent your credit score (see our Credit Scores guide for more on how they work). However, bear in mind that Asda's new card has yet to be added to our tool.
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10 September 2024
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