What is cashback?

Cashback-a kind of bonus program, where for the fulfillment of the conditions the client is charged a certain amount of bonuses or part of the money spent.

How does cashback work?

At first, this system may seem rather confusing. Who will just return the money? In addition, in some cases, return from 20 to 40% of the purchase amount.

In fact, it’s very simple. Banks, or cashback services store pays money to attract customers, some of which is returned to you. Thus everyone wins: the one who sells the goods receives customers, the one who attracts them receives money, and the client returns a part of the funds for the purchase.

Cashback on purchase

There is a small difference in the return of funds in the retail store of goods and shopping online portals. In the first case, often the store does not return the money, and bonuses. These bonuses the buyer can later spend on the next purchase. Often, this requires a number of conditions, such as:

  • the purchase must reach a certain minimum amount;
  • the purchase must be made within a certain period of time;
  • the buyer can reduce the price of the goods due to the accumulated bonuses, but not more than a certain percentage of the total purchase price.

Cashback on purchase

With shopping online portals things are somewhat different. The client after the purchase does not receive abstract bonuses, but real money. After registration in the service, the buyer clicks on the link to the product or store, and then selects the product and pays for it. After receiving the goods, the account in the Internet portal receives a certain percentage of the purchase.

After that, you can withdraw money to your Bank card or e-wallet. The catch is that all such services have a certain minimum amount for withdrawal of funds, and it is not always possible to accumulate this amount for one purchase.

Leave a comment

/ INSIDERSINVESTOR / 2019 / All rights reserved