Asda to offer cashback credit cards

cashback credit cards

cashback credit cardsThe supermarket is no longer just a place to do our weekly shop - whether it's the latest chart CD or the new line clothing we're after, it pretty much caters to our every need. And it appears you may now even want to consider adding family bank to that list, with cashback credit cards now also on offer at your local store.

Asda has become the latest retail store to get involved with the creation of Asda Money, looking to win our business from Britain's battered banks in the wake of the financial crisis.

The company has offered personal finance products for a decade but is now set to provide an unlimited cashback credit card.

It comes after the recent announcement that Marks & Spencer is planning to open 50 bank branches over the next two years, while Tesco makes its moves towards offering mortgages.

So what's the product?

The Asda cashback credit card will offer 1% unlimited cashback on Asda shopping and fuel purchases, as well as 0.5% cashback on shopping outside of Asda.

Kirsty Ward, head of Asda Money, said the credit card will appeal to shoppers frustrated with "gimmicky" points-based reward cards offered by other retailers.

She added: "Times have changed and shoppers don't want complicated points schemes or rewards that don't translate into real every day savings."

Picking the right credit card

Cashback credit cards are often picked because they are transparent in their 'rewards'. For example, 1% cashback is worth £1 per £100 spent.

On the other hand, one reward 'point' per £100 could be worth anything - or nothing at all. So could 1,000 points.

However, when deciding which is best for you make sure you are aware of all the credit card charges involved as those that you miss could come back to bite you. They often catch us unprepared and can cost a lot of money.

Credit cards can be very useful, and can even save money if used in the right way. Despite this, millions of Britons are missing out on the benefits, and paying more than they need to for their debts, all because they don't know how to use their card correctly.