One of the most striking examples of cooperation between credit organizations and retail representatives can be safely considered cashback. Probably, every second owner of a plastic card knows what it is today.
Mechanism of work
In the service sector, there is an ongoing struggle for customers, and companies are coming up with new ways to attract the attention of the audience. A very interesting tool is cashback. What is it, in Russia have learned recently, and even the correct spelling of the term has not yet been determined.
Literally, cashback translates to “cashback." This is a type of bonus program that is used in the field of gambling business banking and commerce to increase customer loyalty.
Unlike discounts and discounts that are familiar to us, cashback works according to a different scheme. Upon purchase, the customer pays the retail price set by the seller. A little later, the bonus (part of the purchase price) is returned to him, but from a third party partner. The source of cashback is the commission that the partner receives from the seller for ensuring the influx of customers.
Single platform
In the field of e-commerce, there are cashback portals. They collaborate with a large number of stores and are navigation platforms that direct visitors to their chosen websites.
In addition, the portals offer related services and additional services, for example, finding the right product, comparing stocks, prices and discount programs of various online stores.
Goods from the Middle Kingdom
The most popular among shopaholics recently enjoy goods manufactured in the Middle Kingdom. Almost every portal offers cashback. "AliExpress" offers millions of inexpensive goods, it is interesting to many.
It is not very difficult to choose the most reliable and profitable service cashback. Pay attention to the following features:
- number of stores;
- the presence of an affiliate program;
- commission percentage;
- withdrawal conditions.
It is worth noting that buyers prefer services where the minimum amount for withdrawal is not indicated, and even one ruble can be credited to an electronic wallet, bank card or mobile phone account.
The biggest cashback for Aliexpress is promised by Cash4brands service - up to 25%. Earned bonuses arrive within two weeks after automatically receiving purchase information from the store. If there was no transfer, then the support service is always open for customers and is ready to correct the error.
About scammers
A huge number of cashback services are registered on the Web, which offer a large percentage and other favorable conditions to customers. When choosing, you should pay attention to the reputation of the site, read the basic rules and, of course, reviews. It is the experience of online shopaholics that turns out to be the most valuable.
Most often, deceived buyers are faced with a lack of crediting cashbacks for purchases or invited friends. It would seem that the support service should deal with this issue, but it can also remain silent for weeks or even months. A similar situation has developed among Best Cashback customers.
Another danger of dubious services is the disclosure of personal information. At any time, all the data that was entered in the authorization and purchase forms is available to fraudsters. No cases of mass withdrawal of funds from customers' cards have been recorded so far, but to pay for goods online it is best to open a separate plastic card.
Bank Loyalty Programs
Beginners often do not understand the benefits of stores and banks that offer cashback.What is it, it is not difficult to figure out, but why did the company decide to share its profit (albeit a small part)?
From online trading we are moving to the banking sector. The cashback payment scheme is a bit more complicated, because there is a third party here - an acquiring bank (source of funds).
The acquiring bank installs terminals for operations with plastic cards at retail outlets, and after each purchase transfers the commission to the issuing bank, some of which goes to cardholders.
Banks use cashback for two reasons:
- Attraction of new clients. Despite the small size of the bonus, people like to receive it.
- Stimulation of consumer demand and, as a consequence, an increase in the volume of settlements with plastic cards.
Another trick is that cashback is most often offered under credit terms rather than debit cards. Counting on the return of part of the spent funds, the client can go beyond the grace period, after which interest begins to accrue.
In practice, a credit institution unilaterally also has the right to refuse cashback due to abuse of the loyalty program. For example, a client who often buys medicines at a particular pharmacy (for himself or for acquaintances) may be suspected of illegal business and strip the reward.
Simple rules
According to experts, when choosing a plastic card with a cashback, you should pay attention to the following points:
- the cost of issuing a card and its annual maintenance;
- maximum reward limit;
- list of companies offering cashback for goods or services.
As a rule, bonuses are not accrued for cash withdrawals, transfers, replenishment of electronic wallets and other operations. It is better to check the full list directly at the bank office or in the support service.
Another obstacle to getting cashback is credit card debt.
Tinkoff
Until recently, Tinkoff Bank products were considered the most popular. Tinkoff Black debit card cashback offers a return of 1% to 30%. The maximum value is intended for special promotions from partners, and the minimum percentage is charged for any purchases using a card. In addition, in the personal account, the client can select several categories with a cashback of 5%.
During the billing period, the amount of remuneration is limited to no more than 3,000 rubles (100 euros, 100 dollars, 100 pounds). Earned cashbacks over the limit are not carried over to the next month and simply burn out.
At the discretion of the holders, three categories are selected from the proposed list in the section Tinkoff cashback. Transport, pharmacies, clothes and shoes, fuel, souvenirs, fast food, sports goods, restaurants and much more. In total, 22 positions are presented for which remuneration is accrued during one quarter.
The above conditions apply only to the Tinkoff Black product. Bank experts also developed loyalty programs for credit cards:
- AliExpress card: 1-5% of the amount of purchases;
- eBay card: 3% + welcome bonuses;
- Lamoda Card: 1-5%;
- Rendezvous card: 10% of purchases in the Rendez-Vous store.
"Thank"
Many commercial banks quickly appreciated the benefits of issuing cards that make it possible to receive cashback. What is it, relatively recently, customers of the most famous bank in the country also learned.
In November 2011, Sberbank announced the launch of the “Thank you” program, the event was timed to coincide with the 170th anniversary of the credit institution.
Members of the program can become owners of any cards (credit, salary and debit), with the exception of Maestro Social and Maestro products issued by North-West Bank. To connect, select one of three methods:
- in the personal account of Sberbank Online;
- at an ATM;
- through the “Mobile Bank”.
Given the amount salary projects in Sberbank, do not count on big bonuses - it would be wrong to open a new card for them. The “Thank you” size is at least 0.5% of the value of any purchases.However, the list of partners with accrued increased remuneration is constantly growing. For example, customers get up to 4% for paying Gett taxis, while shopping at the Uuterra home goods store will bring up to 5% bonuses.
The official site “Thank you” has a complete list of partners who not only accrue, but also accept bonuses for payment. The program involves online stores, tour operators, fast food restaurants, retail stores, cinemas, pharmacies, mobile phone stores, gas stations and even educational centers.
The obvious advantage is the long shelf life of the rewards. “Thank you” must be spent within 36 months.
