Halifax unveils debit card cashback, but is it worth switching to?
Halifax has become the latest bank to offer cashback on certain debit card purchases, as rivals ramp up offers ahead of a new guarantee where you'll be able to switch banks within seven days from the middle of next month. But is its scheme any good?
Up to 5% interest or Ј150 bonus
Cashback Credit Cards
5% cashback for first 3 months
Basic Bank Accounts
Top accounts for poor credit scores
All Halifax debit card customers with online banking will be able to earn up to 15% cashback from the end of September under its Cashback Extras scheme, but only from selected retailers. (See Best Bank Accounts for the top deals.)
However, it doesn't work automatically like normal cashback on a credit card, as you need to activate each deal. What's more, the list of retailers is small for now.
All new and existing debit card customers with online banking, whether in credit or overdrawn, can take part.
If you have a Reward* account, which already pays Ј5 per month, then this includes you. You'll continue to be paid, as long as you deposit at least Ј750 per month. New joiners also get a Ј100 sign-up
bonus, though you'll need to pass a credit check to get it.
Crucially, this doesn't mean all bank account customers are eligible. You need to have a debit card, and some Halifax accounts don't come with one.
Also, you need to be 18 or over to take part. You can also earn cashback on a Halifax credit card, providing you also have a Halifax debit card.
Where can I earn cashback?
Retailers signed up to date are:
- The Body Shop
- Domino’s Pizza
- Glasses Direct
Concessions in larger stores are excluded from the scheme.
How do I actually get the cashback?
Offers will appear in a "cashback offers" section in Halifax's online banking. You'll need to activate individual offers there. Each deal will last for a different period of time, and the cashback will be between 5% and 15%.
The exact deal for each retailer has yet to be announced. Halifax hasn't said whether cashback with retailers will be for one-off or ongoing purchases.
What you're offered depends on your spending habits, so not everyone will get the same deals.