You’ll be forgiven for missing the fact that the Nationwide Select Credit card will be reducing their cashback from 0.5% to 0.25% on 11th January 2018.
Those of you that visit my blog regularly will know that I love a credit card that gives cashback. Pay off your balance in full every month, and it’s like you’re paid to shop. Well, almost. And my favourite card has to be the Nationwide Select Card. Not only does it give you 0.5% back on all purchases, you can also find some great discounts through their Simply Rewards scheme.
Now, 0.5% might not be the best rate on the market but unlike many other companies, Nationwide doesn’t charge you a fee for the card. This is great as it doesn’t pressure you into spending more so you can cover the fee.
A change in the Cashback rate
In the last week, a friend asked my advice for the best card. I, of course, recommended the Nationwide Select card and searched for a link for her. But in my search, I came across this:
From 11 January 2018 the cashback rate will reduce from 0.5% to 0.25% for all existing customers who have opened their Select credit card before the above date.
So 0.25% may not sound like much, but they are halving their rate. That means the £60 I earned this year will only be worth £30 next year.
Now, if Nationwide sent me any details about this, I may have thrown out the letter thinking it was junk. I’m pretty sure that I never received clear notification about it though, as it is my main credit card and the reason I use it.
Should you keep the Nationwide Select credit card?
0.25% is better than nothing. And the Simply Rewards scheme can be pretty useful.
That said, most Select card holders will have a Nationwide current account, and so will qualify for the scheme with their debit card. And there’s little point keeping a card for cashback when there are better rates elsewhere.
A couple of alternative worth looking at.
This card offers 0.5% cashback on all purchases. The card is aimed more at people with poorer credit ratings, so if you already have a Select card, you should qualify for this. However, because of its target market, the cards interest rate is high at 34.9%. That means you have to be doubley certain to clear that balance every month!
This card is slightly more complicated when it comes to cashback. Basically, you will earn at least 0.5% back on all your spending. For every £2 you spend, you earn 1 Amazon Reward Point. If you shop at Amazon, you will earn 1.5 points per £2 spent. Even better, if you’re a Prime member, you’ll earn 3 points for every £2 spent at Amazon. That’s the equivalent of 1.5% cashback. You’ll also get a £10 voucher just for signing up.
Once you’ve earned 1000 points, you can exchange them for a £10 Amazon voucher.
This card is great if you’re a fan of Amazon. But as the cashback comes to you in the way of an Amazon voucher, then it’s not quite as good as cash.
If you still want to get rid of your Nationwide Select credit card, but neither of the above takes your fancy, have a look at these other options.