In today’s financial landscape, finding the best rewards credit cards can significantly enhance your spending power by giving you cash back, points, or other benefits. This guide is designed for individuals who diligently pay off their credit card balance each month and want to be rewarded for their spending habits.
Whether you’re seeking to earn cashback, collect points for travel, or simply maximize your everyday purchases, there’s a rewards card tailored to your needs. By carefully selecting the right card and using it wisely, you can turn routine expenses into valuable bonuses that add up over time.
The Top Reward Cards to Consider
Best Amex Credit Cards
Amex Cashback Everyday
For those who prefer a card without annual fees, the Amex Cashback Everyday card offers an enticing 5% cashback for the first three months, followed by up to 1% cashback after meeting a minimum annual spend of £3,000.
This card is particularly advantageous for high spenders or those planning significant purchases within the initial three months. The key to maximizing this card’s benefits is to ensure you reach the £3,000 annual spend threshold to qualify for ongoing cashback rewards.
Amex Preferred Rewards Gold
Aimed at big spenders, the Amex Preferred Rewards Gold card comes with a lucrative welcome bonus of 20,000 points if you spend £3,000 within the first three months. Despite its £195 annual fee from the second year onwards, it offers multiple ways to earn points, including 2,500 points for every £5,000 spent.
Additional perks include four complimentary airport lounge visits annually and monthly Deliveroo cashback. This card is ideal for those who travel frequently and can take advantage of the extensive rewards and benefits it offers.
Best Non-Amex Reward Credit Cards
Santander Edge Credit Card
Santander’s new offering, the Edge Credit Card, provides 2% cashback on most purchases for the first year, up to £15 per month, with a £3 monthly fee. After the first year, the cashback rate drops to 1%. This card is an excellent choice for those who already have a Santander current account and are looking to maximize their cashback on everyday purchases. It’s particularly beneficial for individuals who can manage the monthly fee and want a straightforward cashback structure.
Asda Money Credit Card
Asda’s Money Credit Card is ideal for regular shoppers at Asda, offering 5% cashback on Asda purchases for the first 90 days and 1% cashback thereafter. Additionally, it provides 0.3% cashback on purchases made elsewhere.
The rewards come in the form of ‘Asda pounds,’ which can be converted into discount vouchers for future use at Asda stores. This card is perfect for those who do a significant portion of their shopping at Asda and want to maximize their rewards.
John Lewis Credit Card
John Lewis offers a credit card that is particularly beneficial for loyal John Lewis and Waitrose customers. This card offers double points on eligible spending at these stores for the first 60 days and five points per £4 spent thereafter.
Points are converted to vouchers, which can be used for future purchases at John Lewis and Waitrose. This card is a great option for frequent shoppers at these stores, providing them with tangible rewards that enhance their shopping experience.
Types of Reward Credit Cards
Cashback Credit Cards
These cards offer a percentage of your spending back as cash. This cashback can be credited to your account monthly or annually. While some cards provide a flat rate across all purchases, others offer higher cashback rates for specific categories, such as groceries or fuel. The key to maximizing these cards is to use them consistently for everyday purchases and to keep track of any caps on the cashback amount you can earn.
Points-Based Credit Cards
These cards accumulate points for every pound spent, which can be redeemed for various perks such as vouchers, goods, or services. Some cards partner with specific stores, offering higher points for purchases made there. It’s important to understand the value of the points and how they can be redeemed to ensure you’re getting the most out of your spending.
Store-Specific Reward Cards
Supermarket and department store reward cards offer points for purchases made at their respective stores. These points can be redeemed for discounts or other benefits at the same store. These cards are particularly useful for loyal customers who frequently shop at these stores and want to maximize their rewards.
