Cashback Bank Accounts

Fancy earning money for paying bills, for spending on your debit card, or for simply holding an account? Cashback current accounts offer cash rewards for spending that we'd do anyway, as long as we pick one that best suits us.

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Monthly balance:
£1,000
£0
£750
£2,000
Monthly overdraft:
£0
£0
£500
£1,000
Days overdrawn:
0 days
0 days
15 days
31 days

Based on your input
SORT DEALS BY: Annual Earnings Annual Overdraft Cost Monthly Fee Total Earnings/Costs (annually)
Halifax Reward
  • £3 reward each month: pay in £750, have at least two direct debits and stay in credit
  • £125 cashback when you switch to Halifax
  • £50 overdraft buffer (subject to status)
  • Visa debit card, online, mobile and telephone banking
1st year:
£161
2nd year:
£36
1st year:
£0
2nd year:
£0
None1st year:
£161
2nd year:
£36
Account requirements

Representative example: If you use a planned overdraft of £1,200, then you will be charged £1 a day when you use it.
Danske Bank Danske Cash Reward
danske cash reward
  • £7 cash reward every month (subject to conditions), £2 monthly fee
  • No fee for arranged overdrafts of up to £7,500
  • Contactless Debit MasterCard
  • eBanking, Mobile Banking and Tablet banking
1st year:
£84
2nd year:
£84
1st year:
£0
2nd year:
£0
£2.001st year:
£60
2nd year:
£60
Account requirements

Not available
via Choose
Representative example: 18.09% EAR variable. £1,200 total amount of credit.
HSBC Basic Bank Account
basic bank account
  • Telephone, mobile, branch and Internet Banking
  • Withdraw up to £300 a day from cash machines*, branches or at the Post Office®
  • Access to HSBC Mobile Banking app
1st year:
£0
2nd year:
£0
N/aNone1st year:
£0
2nd year:
£0
Account requirements

Not available
via Choose
TSB Classic Plus Account
  • 3% AER variable interest on balances up to £1,500
  • No monthly fees
  • Earn £5 cashback for having two direct debits per month, plus another £5 cashback if you spend with your debit card 20 times a month
  • £25 interest and fee-free planned overdraft (subject to application and approval)
1st year:
£0
2nd year:
£0
1st year:
£0
2nd year:
£0
None1st year:
£0
2nd year:
£0
Account requirements

Representative example: Overdraft interest rate on the first £25: 0% EAR* variable. The overdraft interest rate on the next £1,175 will be 19.84% EAR* variable and a Monthly Overdraft Usage Fee of £6 will apply.
M&S Bank Current Account
current account
  • Access to 5% AER savings account if you switch
  • £185 M&S gift card when you switch and stay
  • Minimum £500 overdraft at account opening (subject to status)
  • No monthly fee
1st year:
£0
2nd year:
£0
1st year:
£0
2nd year:
£0
None1st year:
£0
2nd year:
£0
Account requirements

Not available
via Choose
Representative example: If you use an overdraft with a limit of £1,200: the Overdraft Interest rate on the first £100 will be 0% EAR variable; and the Overdraft Interest rate on the next £1,100 will be 15.9% EAR variable.
Tesco Bank Current Account
current account
  • Overdraft available subject to status
  • No monthly account fee
  • Use your debit card to collect Clubcard points
  • Earn 3% AER credit interest on balances up to £3,000 until 1 April 2019 when you pay in at least £750 and have at least 3 direct debits each statement month
1st year:
£0
2nd year:
£0
1st year:
£0
2nd year:
£0
None1st year:
£0
2nd year:
£0
Account requirements

Not available
via Choose
Representative example: Annual interest rate 17.44% (variable). Total amount of credit: £1,200. EAR 18.90% (variable).
Santander 123 Lite Current Account
123 lite current account
  • £1 monthly account fee
  • Monthly cashback on selected household bills
  • No overdraft useage fee for the first 4 months
1st year:
£0
2nd year:
£0
1st year:
£0
2nd year:
£0
£1.001st year:
£-12
2nd year:
£-12
Account requirements

Not available
via Choose
Representative example: 0% EAR (variable) Arranged Overdraft. Arranged Overdraft Usage Fee of £1 per day. If you are switching to Santander then there will be no Arranged Overdraft Usage Fee for the first 4 months. Assumed Arranged Overdraft credit limit: £1,200. Actual credit limit may differ. Daily Usage Fee depends on the amount of overdraft you are using.
NatWest Reward
  • Earn 2% back in Rewards on 7 types of household bills if paid by Direct Debit.
  • Also earn at least 1% back in Rewards at partner retailers
  • NatWest Reward customers earn, on average, £83 in Rewards per year. Based on monthly bills of £345 excluding the monthly £2 fee.
1st year:
£0
2nd year:
£0
1st year:
£0
2nd year:
£0
£2.001st year:
£-24
2nd year:
£-24
Account requirements

Representative example: Overdraft limit: £1,200. Arranged Overdraft Usage Fee: £6 per charging period. Monthly Account Fee: £3. Interest Rate: 19.89% (variable)
Santander 123 Current Account
  • 1% cashback on water, council tax and Santander mortgage payments (£1,000 max mortgage payment)
  • 2% cashback on gas and electricity bills
  • 3% cashback on mobile, home phone, broadband and paid for TV packages
  • £500 minimum monthly deposit required
1st year:
£0
2nd year:
£0
1st year:
£0
2nd year:
£0
£5.001st year:
£-60
2nd year:
£-60
Account requirements

Representative example: 0% EAR (variable) Arranged Overdraft. Arranged Overdraft Usage Fee of £1 per day. If you are switching to Santander then there will be no Arranged Overdraft Usage Fee for the first 4 months. Assumed Arranged Overdraft credit limit: £1,200. Actual amount may differ.
M&S Bank Premium Current Account
premium current account
  • Access to 5% AER savings account if you switch
  • £185 M&S gift card when you switch and stay
  • Minimum £500 overdraft at account opening (subject to status)
  • £10 monthly fee to hold the account
1st year:
£0
2nd year:
£0
1st year:
£0
2nd year:
£0
£10.001st year:
£-120
2nd year:
£-120
Account requirements

Not available
via Choose
Representative example: If you use an overdraft with a limit of £1,200: the Overdraft Interest rate on the first £100 will be 0% EAR variable; and the Overdraft Interest rate on the next £1,100 will be 15.9% EAR variable.

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Any calculations provided are intended as a general guide only for comparison purposes and should not be considered as an exact representation of what you will have to pay.


Finding the best cashback bank account

How do cashback current accounts work?

There are two main kinds of current account that offer cash back on a regular basis: those that pay cash back on bills and payments made via direct debit, and those that pay customers for using their debit card in a certain way - for making contactless payments for example, or with certain retailers.

A couple of accounts also pay out a fixed reward every month we meet their terms and conditions, and now that some supermarkets and high street stores also provide banking, it's possible to get a "cash back" account that rewards us in loyalty points or gift cards instead.

Some banks also offer cash as a switching incentive, either in place of or on top of any other rewards for having the account; for some people a switching bonus will be a far greater reward than they may be able to earn through an account's regular cash back system.

For more on current accounts that offer rewards see this guide.

How much can I earn from a rewards account?

How much we can earn in rewards or cash back depends on how much we're willing to pay for our current account. Those that offer cash back on bills paid by direct debit are the most generous, and they often don't cap earnings - but they do charge a monthly account fee, which holders will need to factor in when working out how much they could earn.

Free rewards current accounts, on the other hand, offer much lower returns. People with these accounts can expect to earn around £5 a month. A couple of these accounts combine the fixed monthly reward for sticking to the terms of the account with some form of cash back on spending, but the extra earnings are often quite limited themselves.

When is a rewards account a good deal?

The best cash back account for us depends on the kind of reward we're looking at and how we use our current account. Those that offer cash back on bills paid by direct debit have the potential to earn a tidy sum each month, but this needs to be offset against the monthly fee for having the account.

These are best suited for those of us who are always in credit, even if it's not by a huge amount, as the amount we can earn is based on our spending rather than our average balance - but the overdraft facilities are often quite expensive and will rapidly wipe out any earnings.

Rewards accounts that offer loyalty points or gift cards are clearly best suited to people who do the majority of their spending in their bank's partner stores. Some of these banks only reward spending in partner stores, while those who pay up wherever we shop tend to do so at a higher rate when we remain loyal – which translates into more money or vouchers to put towards future purchases in those locations.

When is a cash back account not such a good deal?

Those who are regularly overdrawn should focus on looking for a current account that can offer them the best overdraft for their needs instead, as it's highly unlikely that any cash back account will pay out enough in rewards to cover the cost of using their overdraft facilities. Compare accounts with overdrafts here.

The most rewarding cash back accounts pay out on bills paid by direct debits, so people who have low regular bills or who pay them by some other means won't get the full benefit. However, they may still find that an account that pays out on debit card spending or that offers a set reward each month could still be a good option.

Cash back accounts also aren't the best deal available for those who always have a high average balance, as it may be possible to earn more with an account that pays interest instead – although there are some accounts that offer both interest on balances and rewards on spending.

Go back up to the bank account deals  

Other comparisons

Search all accounts: compare
High interest bank accounts: compare
Packaged bank accounts: compare
Bank accounts with overdrafts: compare
Basic bank accounts: compare

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