How would it be if each time you swipe your credit card to fill petrol, you get a discount? Imagine how much such discounts will amount to when you know that you’d be using your card repeatedly for such transactions. That is fundamentally how the cashback system benefits you. A cashback card lets you get a percentage of the purchase you make with your card and the amount gets credited back to your account. And these small amounts keep accumulating on your card. In fact in Singapore, right now, there are cards that give you up to 20% savings on petrol, like the Citi Cash Back card. Only, not many of us are fully aware of the benefits that our cash back cards offer and know how to make the most of it.

Here is an illustration: Let us assume you buy petrol on which you save 20%, then you shop at the local grocery, on which your card offers you an 8% saving and then you follow that up finally with a lunch at your local café, for which your card offers you a 8% savings. You now have been saving up on all the transactions that you made during this shopping trip. The grid though is different. While petrol gives you 20% savings, your restaurant bill gave you just 8%. Knowing this difference and knowing where all your card will allow you to avail a saving, is the key to making the most of the cashback system. Those who understand this system can actually expect to save somewhere around S$900 a year. And that is a decent amount for you just using your card correctly. After all, it is an added benefit, the primary benefit being the credit you can access through your card.

Every bank or a card issuer who offers a cashback card today in Singapore will have its own set of rules and promotions. How it works on a Cit card is that once you accumulate S$50 or more cash back in a month, it will be automatically credited to your statement in multiples of S$10. And your cash back never expires. In case of the Citi Cash Back Card there are also added benefits like exclusive dining deals, travel insurance and offers on bookings. There are all kinds of cashback cards available today—Visa and Master cards. If you cannot walk into a branch and apply for one, go online. Applying online is easier and you will get a call, in most cases, the very next day to take your application further. Just make sure you read through the card page for information on the kind of documentation you need to keep ready. Typically NRIC, passport, payslips, tax notice of assessment etc are asked for.