Retailers offer rewards in various forms, including cashback on groceries, gas, and streaming services. But, such perks are often left unused due to a lack of awareness or understanding of how to use them before expiration. Fortunately, using cashback is straightforward, and those who are new to this savings strategy can take advantage of certain dedicated websites and platforms that help them earn a portion of the money they spend while shopping.
How do cashback sites work
Cashback sites allow users to earn a small percentage of the expense on qualifying purchases made through their portal. Once the cashback earnings reach a specific amount, it can be withdrawn to a bank account, sent to a financial service, or redeemed in other ways. Qualifying websites can be found on the cashback website or retailer platforms.
Tips to maximize savings with cashback websites
1. Understand the types of cashback
Different dedicated websites may offer cashback in various forms. Knowing these cashback types can help one in picking a website, retailer, or bank that suits one’s needs and preferences.
- Flat rate cashback – Here, a user gets a flat rate cashback irrespective of the type of purchase. For example, some retail outlets or cashback websites may offer a flat 10% rate on any amount spent. So, a user who shops for $100 will receive $10 as cashback.
- Tiered rate cashback – A person’s annual spending influences the tiered cashback rate. For instance, a 0.5% cashback rate is applicable if the annual spend is below $5,000. This can be around 1% if the annual spend exceeds $5,000.
- Different rate cashback – In this scenario, one is eligible for different rates depending on the type of purchase. For instance, supermarket spending might come with a 1% cashback, while fuel expenses may have a 3% cashback.
2. Explore redemption methods
Several cashback websites and retailers offer options for customers to redeem their earnings. In some cases, a cashback redemption may involve a minimum redemption threshold.
- Bank deposit- The cashback gets deposited into one’s checking or savings account.
- Statement credit- Here, cashback can offset one’s credit card balance. For instance, if an individual’s credit card balance is about $50, and the cashback is $5, the applicable payment amount shown on the statement would be $45.
- Gift cards- Some retailers may return cashback in the form of gift cards, allowing the individual to use the money at select outlets.
3. Use a browser extension
One can install various browser extensions that can help one save hundreds of dollars while shopping online. Most extensions are downloadable and can be added to a preferred web browser. A browser extension automatically searches for and applies promo codes during checkout. The extension can also award cashback for qualifying purchases. They also inform users if the product they opted for is available for a lower price on another site and recommend the most suitable combination of cashback, price comparisons, and coupons to help them make informed shopping decisions.
4. Check user reviews
One must check user reviews to determine if a cashback website is worth signing up for. Most cashback websites are listed on search engines. Former and existing users review the platform, which could help one determine the cashback reliability.
5. Combine voucher codes
Another way to use cashback websites effectively is by combining voucher codes. Most cashback websites let users merge voucher codes with cashback, helping them increase savings. But, one must remember to check the terms and conditions for these codes, including the validity, minimum shopping value, and applicable categories.
6. Pick the right cashback website
When using a cashback website for savings, one must pick a platform that aligns with one’s shopping preferences. It is important to check the retailer list to ensure the website partners with stores one frequents. One must also look at the cashback rates, as some offer competitive rates. Depending on one’s shopping habits and needs, the choice of cashback website could vary. By understanding how these platforms work, one can unlock big cash savings and make the most of one’s shopping experience.
- Rakuten – This is one of the popular cashback websites for online and in-store shopping. Rakuten offers cashback deals at more than 3,500 popular retailers. One can use the website to find online and in-store deals across several top retail outlets. After signing up for free on Rakuten, one can start shopping on store sites. Once the cashback adds up to the account, it can be sent via PayPal or a check as soon as two weeks after the first purchase. Following the first payment, Rakuten issues all subsequent payouts every quarter.
- Ibotta – Ideal for grocery shopping, Ibotta is a website that offers cashback deals across popular retailers. The website has cashback rebates on many popular grocery brands and deals applicable to food and drink categories. To use Ibotta, one must typically find offers for one’s desired products and add them to the list, use online grocery and delivery services, shop in-store with the list, and submit a receipt or link the store loyalty account. One can withdraw the amount once their earnings hit $20.