Cash in on cashback: shop around for the best deals

theguardian.com:

With many finances so tight, this is a good time to look at your spending and see whether you can make your money work harder. If you need to buy a particular item or switch to a new service, one way to do this is to look for a purchase or deal that comes with cashback.

From current accounts and mobile phones to investments and electrical appliances, there are dozens of products and services where you can get “free” cash. However, the general rule is: do not buy something or move to a new provider just to get the money.

These offers work when it is something you were going to buy or do anyway, such as quitting your bank because you are unhappy with the service or upgrading your phone contract.

It is vital to shop around because you may find you can save more money by going with one company than you would get in cashback from another.

This week, Lloyds became the latest high street bank to launch a current account switching offer. You can get £125 if you switch from another bank to its Club Lloyds account. You need to pay at least £1,500 a month into the account, otherwise there is a £3 monthly fee. Lloyds says the £125 will be paid directly into your account approximately three working days after the switch takes place. This offer is due to end on 27 June.

A couple of other banks are offering bigger cash incentives. HSBC will give you £170 if you switch from a rival to its Advance account. You will need to pay in at least £1,500 within the first 60 days, among other criteria. This account has no monthly fee but to be eligible you will need to qualify for an arranged overdraft of at least £1,000.

The bank says: “Once you meet all our eligibility criteria, we’ll pay £170 into your account within 30 days.”

First Direct, a