American Express has increased the introductory cashback rate on its Platinum Cashback Card to 5%, making it the best cashback card on the market for big spenders.
The Platinum Cashback credit card now offers 5% for the first 3 months (capped at £100), followed by a generous ongoing rate of 1.25% for all other purchases. The cashback card also offers double the regular cashback rate in the anniversary month from when you took out the card.
After the three-month introductory period there is no limit to the amount of cashback that can be earned. Cashback is repaid annually in the card anniversary month.
Best suited to credit card big spenders
With a 14% APR on purchases, you should make sure you repay your card in full each month as any interest incurred will eat into any cashback you earn. This card is best suited to high spenders because of its annual fee of £25.
If you spent £250 or £500 per month, you would earn £40.63 or £106.25 in cashback (net of the annual fee). With a cashback card from Capital One (the World MasterCard) you would earn £48.75 or £97.50 in cashback – a better deal therefore for lower spenders. The Capital One card does not charge an annual fee and also offers a 5% intro deal. It then pays between 0.5% and 1.25% cashback on subsequent purchases.
Which? Recommended Provider
Both American Express and Which? Recommended Provider Capital One are rated highly by Which? members, reaching customer scores of 69% and 71% respectively.
Which? credit card expert Bobby Nicholls says: ‘If you are looking for a good cashback credit card both American Express and Capital One offer great deals, but consider how much you are likely to spend on your card each month before deciding which deal is best for you. Small spenders will be better off with a card with no annual fee.’
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