what is cashback?

Ive recently opened a bank account and whenever I use my debit card the store assistant always asks would you like cashback..I always reply NO, simply cus i feel to dumb to ask her/he what it is..

Sorry, I know this is a pretty stupid question..

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  • 1 decade ago
    Favourite answer

    if you want them to give you money out of your account. (bit like a cash machine!)

  • 5 years ago

    Cashback as an anwer to the question what is cashback is simply money back to you from a purchase made either online or in the high street for goods. This can be through a dedicated cashback website or through a brands cash back to you by cheque or bank transfer once you have completed verification of the purchase and complied with all terms and conditions.

  • Anonymous
    5 years ago

    Cashback is when the cashier gives you change (notes) which will then be deducted from your debit card. Cashback is the only situation when you get change from a bankcard transaction in a supermarket. Cashback is always a multiple of 5 pounds and - as far as I know - the maximum cashback you could get at 99% of the places is 50 pounds. However, if you're lucky and your card is in balance, you may try to get more.

  • Erika
    Lv 4
    4 years ago

    What Is Cashback

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  • 5 years ago

    This Site Might Help You.

    RE:

    what is cashback?

    Ive recently opened a bank account and whenever I use my debit card the store assistant always asks would you like cashback..I always reply NO, simply cus i feel to dumb to ask her/he what it is..

    Sorry, I know this is a pretty stupid question..

    Source(s): cashback: https://tinyurl.im/BLFvg
  • 7 years ago

    The idea behind cashback is quite simple. Cashback site links to thousands of online stores. Every time you make a purchase via it’s link, the cashback site gets commission. So, in order to encourage you to shop with them, cashback sites are sharing their commission with you.

  • 4 years ago

    Whats Cash Back

  • 4 years ago

    1

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  • 1 decade ago

    Debit card cashback is a service offered to retail customers whereby an extra amount of money is added to the total purchase price of a transaction (paid by debit card) and the customer receives the extra amount in cash along with their goods. For example, a customer purchasing £18.99 worth of goods might ask for twenty pounds cashback. They would pay a total of £38.99 (£18.99 + £20.00) with their debit card and receive £20 in cash along with their goods. Many customers find this a useful way to obtain cash, instead of making a separate trip to a cash machine. The idea was originally hatched by Tesco in order to reduce the amount of cash banking stores needed to carry out, the customer service aspect being a side-effect of this.[citation needed]

    The service is offered by both banks and merchant service providers in countries such as the United Kingdom, Republic of Ireland, Belgium, Canada and The Netherlands because of the fee structures in use in these locales:

    1. When accepting payment by debit card, merchants pay a fixed commission fee (as opposed to a percentage) to their bank or merchant services provider. (This is because the commission paid by the merchant for accepting debit cards, unlike credit cards, does not need to fund interest free credit or other incentives).

    2. Accepting payments in cash can be costly for merchants, given that many British banks charge around 0.5% for depositing cash into a business bank account, along with the costs of transporting and insuring the cash.

    The combination of these two points means that the retailer can save money by offering the cashback service. It does not cost the retailer more in commission to add cashback to a debit card purchase, but in the process of giving cashback, the retailer can "offload" cash which they would otherwise have to pay to deposit at the bank.

    Merchants do not offer cashback on payments by credit card because they would pay a percentage commission of the additional cash amount to their bank or merchant services provider.

    Some vendors enforce a minimum purchase amount or add a fixed fee when providing cashback to a customer.

    In many cases, retailers require customers to initial the cashback entry on the till receipt to confirm that they have received the cash. This system is used to prevent cashiers surreptitiously adding cashback amounts to a transaction and keeping the money for themselves (or accusations of same).

    Cashback can be useful in many scenarios. In locations where there are no cash machines nearby, or nearby machines are out-of-order, a local retailer may be able to supply the required cash instead. Sometimes it is simply more convenient to combine the transactions at the retailer and ATM into a single cashback transaction with the retailer.

  • Anonymous
    1 decade ago

    They charge your card and give you the equivalent in cash out of the till

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