Everyone’s favourite money-saving expert, Martin Lewis has shared a way to earn a bit of extra cash.
And his tip is perfect in the run-up to Christmas when most of us will be splashing out a bit more than usual.
Speaking on ITV’s The Martin Lewis Money Show, Martin said the scheme works especially well if you’re planning on making a big purchase.
‘Christmas is a heavy spending period of the year, as is January sales, so I wanted to talk to you about maximising the cashback,’ he explained.
Martin said you can ‘get paid to spend’ with his handy tip and earn hundreds of pounds a year.
‘There are three ways to do it,’ he explained, ‘and you can combine them all.’ Here’s how …
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Use a cashback debit card
His first tip was to use a cashback card, which he describes as the easiest cashback hack.
He recommends the Chase debit card which gives you 1% cashback on ‘most spending’. The card offers a maximum of £15 per month for users, which adds up to £180 per year.
He added that the bank doesn’t do a hard credit check, meaning it won’t affect your credit score. You don’t have to do a card switchover either, so you can keep your normal current account going and can just transfer the money you would like to spend.
Pick the right credit card
In terms of credit cards, Martin recommended the Amex Platinum Everyday which gives you 5% back on your transactions for three months with a maximum of £100, and then 1% after that.
‘If you’re making a big purchase, you may as well,’ he said.
This option is great for big spenders, he explained.
But make sure you pay it off in full each month, he added, because the interest rate is 31% APR.
You will get the cash paid to you in full over a year, but only if you spend £3,000 in that period – so don’t get the card if you don’t think you’ll spend that much.
If you’re planning on spending over £10,000, it’s worth getting the Amex Platinum, Martin said, as this pays out more.
One viewer told Martin that they signed up for the Amex cashback credit card and saved £100 in cashback – but made sure they paid their statement in full each month.
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Use cashback sites
Martin said that cashback sites such as Topcashback or Quidco are great ways to earn while you spend.
‘Cashback websites get paid when you buy things through them,’ he explained. They’ll give you a cut when you use them.
Martin adds that you should still make sure you’re buying from the retailer that will give you the best deals.
A fan explained that since they started following Martin Lewis’ tips, they earned £6,000 through cashback websites. They said they booked hotels, flights and even Mother’s Day gifts to earn the big bucks.
Martin added that while this is an extreme case, if you’re checking cashback sites throughout the year, it does add up.
Sign up for Airtime Rewards
Earn more rewards with the Airtime Rewards app too, Martin explained.
It links your bank account and gives you rewards on your spending which can be spent on certain phone networks.
This works if you’re on O2, EE, Vodaphone, GiffGaff or Three.
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Be a ‘cashback combiner’
Martin said that you can use the bank cards, the cashback sites and the airtime rewards in conjunction with each other to maximise the rewards.
‘It all adds up – be a cashback combiner,’ he said.
This is not the first time Martin has spoken about the benefits of cashback either with other banks, such as Santander offering their own cashback options.
