Right now inflation is rising so much that we are almost daily surprised by new price increases. Any way to save money helps. Especially when shopping online there are often discounts. A good and lasting option is cashback. And here’s how it works:
Cashback – what is it?
When you pay for something in an online shop, the money is debited from your account. Unfortunately it usually does not come back.It's different with cashback. As a thank-you for purchases you receive small rewards that are transferred directly to your account. Bonus savings are available for thousands of products. But they can only be accessed via cashback providers. You can shop at the same shops you normally use. The only difference is: you have to click the online shops via your cashback provider’s website. Otherwise you cannot use the bonus savings. Cashback should not be confused with collecting points. There are fixed bonuses for specific products. They consist directly of cash. However, cashback is only possible when shopping online.
Cashback providers – who are they?
Cashback providers are advertising partners for the online shops. They sign contracts with hundreds or even thousands of retailers. If a product is purchased via the cashback provider, the retailer pays a small commission. This commission is shared between the cashback provider and the respective buyer.This creates a win-win situationYou receive a small sum of money for using the cashback platform for an online purchase. The size of the bonus depends on the products purchased and the platform.
What to watch out for with cashback providers?
Trustworthiness is important with cashback. If you have to pay a fee to register, steer clear of it. The cashback program should always be free. To participate, you only need to register with reputable providers. Then you can start immediately. Nevertheless, there are differences between cashback platforms.
- Each cashback platform has different shops and products in its bonus program. If you have a favorite shop, you should choose only a cashback provider that offers discounts for it.
- The rewards vary in amount. It's often worth comparing different providers.
- In order for the bonus reward to be transferred to your account, cashback portals set different minimum amounts. It should be as low as possible. Do not choose a platform where you first have to save up €50 in bonus before you can make a payout.
Combining cashback with vouchers – is that possible?
The rule for discount programs is usually: only a single bonus program may be used per purchase. Nevertheless, cashback sometimes offers additional saving opportunities. Do you have a value voucher for a particular shop? If your cashback provider works with the same retailer, you can usually combine both. First redeem the voucher and then pay the remaining amount by bank transfer. For this remaining amount you will generally still receive the bonus. Which exact saving combinations are possible is stated on the websites of the cashback providers. If you use cashback programs and additionally combine them with voucher discounts, you can save smartly.
