Cashback 2% in € or 1% in CHF

I would like to buy something that is not very “life hacking” which costs 1419 chf (iphone). If I converte the CHF into EURO to top up the Crypto.com card in order to receive 2% cashback in cronos which at the moment are also low-priced, would you think it would be worth it? Unfortunately, I just requested the amex with 1% cash back but I don’t know how long it takes to arrive once all the documents have been sent by post, in theory with the amex I would also have a 2-year warranty extension. What do you think? Wait for the amex to arrive?

Cashbacks are schemes to charge consumers (you) more in the long run, without noticing it.

Avoid using them as often as you can. That includes favoring credit cards which don’t have Cashback whenever possible.

how do they charge expenses?

Why should I not take a credit card with cashback and no fees (e.g. cembras new certo cards) compared to a credit card without cashback?

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It is perfectly fair though to say that cash back and other rewards are designed to encourage consumers to spend more.

But saying that cash back costs you more in the longrun is not entirely correct. Credit cards, and cashless payments in general, could be considered a scheme to push up prices by the amount of their merchant fees. The same is true for referrral programs (not to mention Google) which drive up prices with their advertising/sales commissions. However, we live in a society where these institutions are so tightly embedded that there is no escaping the pseudo-VAT they levy.

Credit cards with rewards do not have higher merchant fees than credit cards from the same issuer which do not have rewards. Instead, the issuer “gives” you part of their fee as a reward to encourage you to spend more (or to use cashless instead of cash). The same applies to referral programs (e.g. Poinz, Rabattcorner) which give you part of the sales commissions they earn as cash back.

If you will make a purchase anyway, and you will use cashless service to pay for it, then using a payment method with cash back is preferable to using one without cash back, in my opinion.

In the OPs case, I would focus on finding the best possible deal for the desired iPhone. Cash back should be an absolute side thought. Once your find the cheapest deal available, check whether the merchant participates in any cash back programs (i.e. Poinz or Rabattcorner) which could get you additional cash back. Then use the highest-cashback credit card option to pay. In the best case you can shave a few percentage points of the store price.

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