What is cashback?

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Cashback is a card benefit that allows consumers to get a proportion of their money back in cash. Several debit card accounts now give cashback benefits, which were previously only available with credit cards.
*Cashback programmes began in the 1990s as an extension of credit card issuers' general rewards schemes.
*Cashback rates are scaled based on annual spending. So, for example, if your yearly expenditure is less than AU$10,000, you'll get a 1% cash back rate, and if your yearly spend is more than AU$10,000, you'll get a 2% cashback rate
*Some credit card companies offer e-certificates or gift cards for popular merchants to redeem your cashback.
*Cashback should not be viewed as an inducement to overspend. Instead, think of cashback as a bonus for the money you would have spent otherwise.

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