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Earn cash rewards on your spending with our best cashback current accounts

Our best cashback current accounts

Cashback current accounts reward you with cash each month for paying bills and regular spending.

Find a cashback current account

We compare cashback current accounts from leading banks
Fact checker
Last updated
January 10, 2024

Cashback current account deals

4 results found, sorted by monthly account fee.

TSB Spend & Save

Overdraft interest rate
39.9%EAR
AER
0.00%
Monthly fee
No
Joint account
Yes
Representative example:
If you use an arranged overdraft of £1,200 you will be charged 39.9% APR Representative/EAR variable. Subject to financial status. How does this overdraft compare? Representative APRs help you compare the cost of different credit products.
More Information
Additional information
  • Eligible for Cashback if you open a new Spend & Save account, including changing from an existing TSB current account, other than from a Classic.
  • Earn 2.92% AER variable interest on your Savings Pots too. Includes a bonus of 1.52% AER for the first year.
  • Access to a Monthly Saver paying 6.00% Gross/AER fixed for a year. Save £25 to £250 per month by standing order from your TSB current account. Interest is paid on maturity.
  • UK residents only, 18+.
Eligibility
Maximum AgeUnlimited
Maximum InvestmentUnlimited
Minimum Age18 years
Permanent UK Resident

TSB Spend & Save Plus

Overdraft interest rate
39.9%EAR
AER
0.00%
Monthly fee
£3
Joint account
Yes
Representative example:
£100 interest and fee free overdraft, subject to financial status. If you then use an arranged overdraft of £1,200 you will be charged 39.9% EAR variable. Representative APR: 40.1%. How does this overdraft compare? Representative APRs help you compare the cost of different credit products.
More Information
Additional information
  • Eligible for cashback if you open a new Spend & Save Plus account, including changing from an existing TSB current account.
  • Zero TSB card changes abroad. ATM operators/foreign banks may charge & sellers may apply a currency conversion fee on purchases.
  • Set up Savings Pot and earn 2.92% AER variable.
  • Interest-free overdraft up to £100. Subject to approval. UK 18+
Eligibility
Maximum AgeUnlimited
Maximum InvestmentUnlimited
Minimum Age18 years
Permanent UK Resident
See your other bank accounts and credit cards in one place

Monzo Plus

Overdraft interest rate
39%EAR
AER
0.00%
Monthly fee
£5
Joint account
No
Representative example:
If you use an arranged overdraft of £1,200 you will be charged 39% APR Representative/EAR variable. Subject to financial status. How does this overdraft compare? Representative APRs help you compare the cost of different credit products.
More Information
Additional information
  • Instant Access Savings Pots 4.6% AER (variable). No minimum deposit & maximum deposit £100k. You must have a Monzo account to get an Instant Access Savings Pots. T&Cs apply.
  • Overdraft limit up to £2000. You must be over 18 to get an arranged overdraft. Credit subject to status. Terms and conditions apply. Monzo Bank Limited Address: Broadwalk House, 5 Appold St, London EC2A 2AG.
  • Access to offers from a range of brands. Offers may change without notice, T&Cs vary by vendor.
Eligibility
Maximum AgeUnlimited
Maximum InvestmentUnlimited
Minimum Contract Term3 months
Minimum Age18 years
Permanent UK Resident
Exclusive metal card + phone insurance (exclusions apply)

Monzo Premium

Overdraft interest rate
39%EAR
AER
0.00%
Monthly fee
£15
Joint account
No
Representative example:
If you use an arranged overdraft of £1,200 you will be charged 39% APR Representative/EAR variable. Subject to financial status. How does this overdraft compare? Representative APRs help you compare the cost of different credit products.
More Information
Additional information
  • Instant Access Savings Pots 4.6% AER (variable). No minimum deposit & maximum deposit £100k. You must have a Monzo account to get an Instant Access Savings Pots. T&Cs apply.
  • Overdraft limit up to £2000. You must be over 18 to get an arranged overdraft. Credit subject to status. Terms and conditions apply. Monzo Bank Limited Address: Broadwalk House, 5 Appold St, London EC2A 2AG.
  • Access to offers from a range of brands. Offers may change without notice, T&Cs vary by vendor.
Eligibility
Maximum Age69 years
Maximum InvestmentUnlimited
Minimum Contract Term6 months
Minimum Age18 years
Permanent UK Resident
Uswitch Limited is a credit broker, not a lender, for consumer credit.
Our services are provided at no cost to you. We may receive a commission from the companies we refer you to, but this does not affect what you will pay for the product you choose.

How do cashback current accounts work?

A cashback current account is a bank account that can make your money work harder for you each month. It does this by rewarding the account owner with cashback whenever they spend through the bank account. This could be by paying regular bills or using the debit card with high street retailers.  A cashback current account may charge the account holder a monthly fee.

The amount of cashback depends on the bank, but it’s usually a percentage of your total purchases. For example, if the current account offers 1% cashback on every £100 spend, you’ll earn £1.

This is an easy way to receive a small amount of money each month just by running your account as normal. 

UK debit card transactions in September 2023[1]
2.12bn
fscs-logo
Is my money safe?
The Financial Services Compensation Scheme (FSCS) guarantees that the first £85,000 you have saved with a UK-authorised bank or building society (or the first £170,000 for a joint account) will be safe even if the business goes bust.

5 things you need to know about cashback current accounts

It’s a way to add a little extra money to your account

If you are someone who struggles with saving money each month, a cashback current account rewards you for spending and gives you a little extra every month. It might be small, but every little helps.

You need to spend in the right places to get the cashback

Cashback current accounts don’t automatically offer you cashback on any purchase, so it’s important to check the terms and conditions to see whether your spending habits would be rewarded.

Check the limitations and fees involved

As with any bank account, there will be specific terms and conditions that you’ll need to follow if you want to maximise the cashback potential. Some accounts state that you need to pay in a minimum amount each month and others might ask for at least two direct debits to unlock the rewards. There could also be a monthly fee for this type of account.

Some bills may offer different cashback rates

Cashback current accounts can have different reward rates for different types of bills, so it’s always worth checking to see how you can get the most cashback. For example, gas and electricity bills might give you a 2% reward but council tax and water bills might offer a 1% reward.

Calculate spending before opening an account

Once you are clear on the terms and conditions of the account, try and calculate how much you might spend over the course of a month and then a year. This will help you to work out how much cashback you could earn and whether this is the right account for you.

Pros and Cons

Pros

You earn money on your normal spending
The money is normally automatically paid into your account each month
Cash rewards can be available for switching

Cons

Cashback current accounts can charge a monthly fee, so if you don’t earn enough cashback it might not be worth the extra cost
There is normally a cap on how much cashback you can receive
You may have to pay in a minimum amount of money each month to unlock benefits
Cashback earned on different annual spends
Money earned when the cashback rate is 1% and monthly fee is £5

Money earned when the cashback rate is 1% and the monthly fee is £5

Figures include a deducted monthly fee of £5 and assume no limit on how much cashback can be received each year.

Source: Uswitch. Updated: December 19, 2023

Are there other rewards available on current accounts?

Current accounts offer different types of perks depending on the bank, and these range from cashback and monthly cash rewards to discounts and other extras. 

Cashback is great if you use your account for household spending, but bear in mind that other bank accounts also offer exclusive deals and offers for account holders that could prove more valuable. There is also the opportunity for other extras, for example, some bank accounts offer free railcards that give you discounted rail travel. 

The alternatives to a cashback current account

Standard current accounts

A standard current account comes without any frills and normally allows you to access online banking or an app to help you manage your money. You’ll also get a debit card to use for your spending and normally the option to have a cheque book.

High-interest bank accounts

This account acts like a standard account but with a higher rate of interest. This often depends on your balance at the end of the month or the amount you can pay in, so it will suit people who have a large balance in their current account. 

Packaged accounts

Packaged current accounts perform the same basic functions as standard current accounts but come with a monthly fee in exchange for exclusive benefits. This could be cashback, high interest on positive balances or benefits like mobile phone insurance or breakdown cover.

A cashback current account enables you to earn extra cash each month, but always check whether your spending aligns with the cashback incentives.

FAQs

How can I find the best cashback bank account?

It’s important to do your research if you are interested in a cashback current account. There are a lot of options available so browse the different providers and choose the right cashback to suit your current spending. You can also take a look at our table above to see some of the best deals on the market.

How much cashback could I earn?

The amount of cashback you could earn depends on how much you are spending each month. If you are a big spender on the items or bills that give you cashback, you will earn more money. However, many current accounts offering cashback will have a maximum amount that they will pay out each month, so bear this in mind too.

Is it possible to choose the rewards?

If rewards are attached to your current account, some providers will allow you to choose a reward from a selection of options. However, it will depend on the terms and conditions for each account.

When will I get the cashback in my account?

Cashback is normally automatically paid into your account, but when you receive it will depend on the provider. Some providers will pay the cashback into your account each month just before your statement is sent and others will pay the cashback on or before the last working day of the month. Check the current account terms and conditions to find out the specific timeframes.

Can I have an overdraft with a cashback current account?

Yes, you may be able to have an overdraft with a cashback current account. But the fees and charges could be higher than on a standard current account. If you use your overdraft frequently then make sure you're happy with any charges that could be due.

Current account guides

Find out more about how current accounts work with our in-depth guides
How to Easily Switch your Current Account
How to Easily Switch your Current Account
Are there any risks in opening a joint account?
Are there any risks in opening a joint account?
Online Banking Explained
Online Banking Explained

About the author

Lucinda O'Brien
Lucinda O'Brien has spent the past 10 years writing and editing content for regional and national titles. She applies her industry knowledge to ensure readers can make confident financial decisions.

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References

1. UK finance card spending update for September 2023: There were 2.12 billion debit card transactions in September 2023 - 5.9 per cent more than in September 2022.