Major bank to make massive change to current account deal from TODAY leaving customers fuming
A POPULAR digital bank has made a major change to its popular current account cashback offer today.
Chase, which entered the UK market in 2021, previously offered new customers 1% cashback on most debit card spending for a full 12 months.
This generous perk also extended to all overseas transactions.
However, starting today, the cashback benefits have been slashed.
Shoppers will now only earn cashback in select spending categories, with everyday purchases no longer qualifying for rewards.
Additionally, only spending within the UK and in pounds sterling will be eligible for rewards, with overseas transactions now excluded from the cashback scheme.
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Under the new rules, cashback will now only apply to purchases made in select categories, including groceries, everyday transport, and fuel.
This means spending on dining out, travel, and entertainment will no longer qualify for cashback.
However, the cashback cap remains at £15 per month, meaning customers can still earn up to £180 per year.
Despite the changes to its cashback scheme, Chase remains an appealing choice for holidaymakers, thanks to its continued lack of foreign transaction fees.
This means customers can still shop abroad without incurring any extra charges.
Additionally, Chase offers fee-free cash withdrawals overseas, further enhancing its appeal for travellers.
What is cashback?
CASHBACK is a type of reward offered by banks, credit card providers, and retailers where customers receive a percentage of their spending back as cash.
Essentially, it's a way to earn money while making purchases.
For example, if your card offers 1% cashback and you spend £100, you’ll earn £1 back.
Cashback can be credited to your account, deducted from your balance, or saved up for future use, depending on the provider's terms.
It’s often offered on everyday purchases, such as groceries, fuel, or online shopping, and may be part of a promotional deal or an ongoing benefit of your account.
However, remember to check the terms and conditions, as some transactions may not qualify for cashback rewards.
By using cashback offers wisely, you can usually make your money go further on purchases you'd already be making.
Frustrated customers have turned to social media to express their disappointment over the recent cashback cuts.
One person said on X (formerly Twitter): The 1% debit card cashback on all spending with Chase UK was nice while it lasted.
"Back to Amex for my spending from now on for me."
Another said: "Account if now obsolete."
A third: "Chase has lost most of its UK customers due to restricting cashback."
How else can I earn cashback?
The most well-known way to get cashback is through established sites like TopCashback and Quidco.
They get you money back on things you buy, when you shop through their site or app.
Quidco says its members make an average of £300 a year.
The deals vary, and there are often one-off, time-limited special deals.
If you’re going to buy something, check both these sites to see how much cashback you might get.
When we checked, Quidco was offering six per cent cashback on hotels.com booking, while Topcashback had an exclusive time-limited 12 per cent offer.
Less well-known are sites like Cheddar and Airtime which link to your existing bank or card, applying cashback automatically when you shop with certain stores.
The benefit is that once you’ve registered with the apps, they work without you having to lift a finger.
For a different way to get cashback on your regular spending, you can use e-gift cards with some sites, like Jam Doughnut and Hyperjar, and get paid instant cashback.
The word ‘gift’ is a bit misleading. You can buy these cards for yourself, for something you intend to buy anyway.
It means you can buy a £50 gift card for your usual supermarket, get instant cashback – usually around four to seven per cent – and then use the card to pay for your shopping.
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It’s so easy to do – you can quickly buy a gift card while you’re queuing for the checkout.
You can get cards for all kinds of things – supermarkets, tech shops and department stores like M&S or Selfridges.
What other card providers offer regular cashback?
AMERICAN EXPRESS:
If you're considering a credit card, the American Express Cashback Everyday Credit Card is a great option for those expecting a high-spend period.
It offers an impressive 5% cashback on purchases for the first five months (up to £125).
After this introductory period, you can earn up to 1% cashback, but you'll need to spend over £3,000 annually to qualify for ongoing rewards.
For those who might not meet the £3,000 annual spending threshold, the American Express Cashback Credit Card is another strong choice.
It also offers 5% cashback for the first three months (up to £125), followed by 0.75% cashback on spending up to £10,000 per year and 1.25% above that.
However, this card does come with a £25 annual fee.
AMAZON BARCLAYCARD
If you frequently shop online the Amazon Barclaycard is great for its regular customers.
It offers 1% cashback on Amazon purchases (boosted to 2% during Prime Days and Black Friday) and 0.25% cashback elsewhere (0.5% in the first year).
It also provides an Amazon voucher upon acceptance, usually worth £20.
SANTANDER EDGE CREDIT CARD
Lastly, the Santander Edge Credit Card offers 1% cashback on everyday spending (boosted to 2% in the first year, capped at £15 per month).
It has a £3 monthly fee and is only available to Santander current account holders.