Cashback websites pay you a percentage of your spending when you shop through their links. They earn commission from retailers and share it with you. Over time, the rewards add up to meaningful money for doing nothing different.
How Cashback Websites Work
The process is simple:
- You sign up for a free cashback account.
- Before shopping, you click through from the cashback website to the retailer.
- The cashback site tracks your purchase using cookies.
- The retailer confirms your purchase and pays commission.
- The cashback site passes a share of that commission to you.
- Once you reach a minimum balance, you withdraw the cash.
It costs you nothing extra. The retailer pays the commission, not you.
Top Cashback Sites
United Kingdom
- TopCashback - Often claims to offer the highest rates. No membership fee on the basic tier. Members earn cashback on thousands of retailers. Typical rates: 1% to 15% depending on the retailer.
- Quidco - One of the UK’s most popular cashback sites. Offers a premium membership for £1 per month that boosts cashback rates. Has a cashback guarantee if tracking fails.
- KidStart - Cashback that goes into a child’s savings account rather than to you directly.
United States
- Rakuten - The biggest cashback site in the US. Formerly known as Ebates. Offers quarterly cashback payments via PayPal or cheque. Typical rates: 1% to 10%.
- BeFrugal - Offers competitive rates and a cashback bonus if you find a higher rate elsewhere.
- Ibotta - Primarily for in-store grocery cashback through linking loyalty cards or scanning receipts.
Canada
- Rakuten Canada - Same platform as the US version but tailored for Canadian retailers.
- Ebates Canada - Now part of Rakuten. Offers cashback at hundreds of Canadian stores.
- Honey - Browser extension that combines cashback with automatic coupon codes.
Typical Earnings
If you spend £1,000 per month online, you might earn between £50 and £100 in cashback per year, depending on your shopping categories. Some categories pay much higher rates:
- Insurance - 10% to 30% cashback on home or car insurance
- Broadband and mobile - £25 to £50 cashback per signup
- Fashion - 3% to 10% cashback
- Electronics - 1% to 5% cashback
- Groceries - 1% to 3% cashback
- Travel - 3% to 12% cashback on hotel bookings
A household spending £12,000 per year online could earn £600 to £1,200 annually if shopping through cashback links consistently.
Tips for Maximising Cashback
Always Check Cashback Before Buying
Make it a habit to search for the retailer on a cashback site before every online purchase. Even a 2% rate on a £200 purchase earns you £4 for a few seconds of effort.
Clear Your Cookies
Retailers may not track your purchase if you have existing cookies from visiting their site directly. Clear your browser cookies or use a private browsing window before clicking through from the cashback site.
Use a Cashback Credit Card for Double-Dipping
Some credit cards offer their own cashback on purchases. If you buy through a cashback website AND pay with a cashback credit card, you earn rewards on both layers. This is called double-dipping.
Example:
- You spend £200 at a retailer offering 5% cashback through TopCashback
- You pay with a credit card offering 1% cashback
- Total cashback earned: £10 from the website plus £2 from the card = £12
Stack with Voucher Codes
Many cashback sites allow you to use voucher codes alongside your cashback purchase. Check for codes before completing your purchase to get both the discount and the cashback.
Be Patient with Payouts
Most cashback sites hold your money for 30 to 90 days before you can withdraw. This allows time for the retailer to confirm the purchase is valid. Do not expect instant payouts.
Check the Terms
Some cashback offers exclude certain products or require minimum spends. Read the terms before relying on a specific cashback amount.
Real Examples of Cashback Rates
Here are typical cashback rates you might find on popular UK retailers:
| Retailer | Category | Cashback Rate |
|---|---|---|
| Argos | Electronics | 1.5% |
| ASOS | Fashion | 5% |
| Currys | Electronics | 2% |
| Hotels.com | Travel | 8% |
| Morrisons | Groceries | 2% |
| Sky | Broadband | £50 per signup |
| British Gas | Energy | £30 per signup |
Rates change frequently. Always check the current rate before purchasing.
Common Mistakes to Avoid
- Forgetting to click through before buying
- Using ad blockers that prevent tracking
- Closing the browser window before the purchase completes
- Returning items after cashback has been confirmed
- Ignoring small amounts that add up over time
Summary
Cashback websites are free money for purchases you already make. Sign up with one or two trusted sites, always check before buying, clear cookies, and combine with credit card rewards for maximum savings. Even modest online shoppers can earn hundreds per year with minimal effort.