Charity affinity cards vs cash back cards

If you want to generate extra income for a charity at no direct cost to yourself, using an affinity credit card is a great way to do it: the donations from the bank all happen automatically, you don't need to do anything other than use the card and you don't have to pay anything to the charity out of your own pocket.

However, if you used a cashback card instead, you could receive back a much higher level of cash than your chosen charity would receive if you used its affinity card. Once you've received your cash back, you could make a direct donation to the charity (whether giving all of it or keeping something back to spend on yourself). If you're a taxpayer, your gift to the charity could also qualify for gift aid, enabling the charity to claim back the tax you paid on the amount of your donation - further increasing the value of your donation.

Whether or not this would be a better option depends on two things:

1) how much you would spend on your card each year;
2) all good intentions aside, whether you would actually take the time and trouble to make that manual donation to the charity.

When considering the first point, remember that it's not quite as simple as looking at a cashback card rate and comparing it to spend-related donations from an affinity card. Usually, an affinity card also generates an initial lump sum payment to the affinity partner - and sometimes further lump sums over time, over and above spend-related payments (eg annually).

Your likely level of spend may therefore dictate whether or not using a cash back credit card would be a more lucrative option for benefiting the charity. On the other hand, of course, Gift Aid can significantly boost the value of direct donations - which may provide more than enough counterbalance.

When considering the second point, just be honest with yourself! Will you actually make that donation if it's left to you?

If your main aim is to benefit a particular cause - and that cause has an affinity card - many might regard an affinity credit card as a more straightforward and reliable way to lend extra support to the charity at no direct cost to themselves.