What is the difference between a rewards credit card and a cashback credit card?

A cashback credit card offers you rewards in the form of statement credits or vouchers when you meet a spend requirement, or for ongoing eligible spending. Sometimes, you can get a cashback offer on a credit card with ongoing low rates and low or $0 annual fees that aren't typically available with cards that offer ongoing rewards. Standard rewards credit cards offer points for each $1 of eligible spending, which you can redeem for travel, retail items, gift cards, cashback and more.

How much cash can I expect to get back when I spend?

You can typically get between $10 and $500 from an introductory cashback offer when you meet the spend requirements. For credit cards that offer ongoing cashback, it's usually between 0.49% and 1% of each eligible transaction. While these are 2 of the most common types of cashback on credit cards, there are sometimes other promotions that could offer different amounts. For example, a card that has personalised cashback offers with retail partners could offer you $10 back when you spend $30 with the retailer.

Can I use cashback to pay the annual fee or my credit card debt?

Yes, you can generally use cashback rewards to pay your card's annual fee or the outstanding balance of a credit card if you redeem it through a rewards program. But if you get cashback as a credit on your account, you usually still need to make a minimum payment on your account by the statement due date to avoid late payment fees.

Who can apply for a cashback credit card? And how do I apply?

Anyone who meets the eligibility requirements for a cashback credit card can apply. These requirements vary between cards, but you can usually expect the following: Eligibility requirements Age. You need to be at least 18 years old to apply for a credit card in Australia. Residency status. Most lenders require you to be a permanent Australian resident or citizen, though some do offer products to specific visa holders. Income requirements. Some cards list a minimum income amount that you need to earn before you can apply, others require you to earn a regular income. There are also cards that don't list an income requirement – but even then you'll need to include details about your money when you apply. Credit card eligibility requirements are usually listed on individual card pages, as well as at the start of an online application. Make sure you read them before you apply to help save you time. How to apply You can apply online in around 10-20 minutes. Before applying, make sure you meet the eligibility requirements and have the necessary documents needed to complete your application. You'll need to provide proof of identification, proof of income and some additional information about your finances. Once you have completed and submitted your application, you'll usually receive a response from the credit card provider within 60 seconds. If you're approved, you'll receive your card in the mail within 1-2 weeks.