Best bank rewards systems in South Africa

South Africa’s banks provide multiple incentives to bank better and spend their money more efficiently, with some offering up to 50% off on international flights.

Completing or signing up for the incentives allows users to upgrade their rewards based on their reward level, which is determined by how well they bank.

For example, similar to how Discovery incentivises users to exercise and drive well through its Vitality products, its online bank does the same for its customers.

Users earn Vitality Money points based on how well they manage five controllable financial behaviours.

These points determine their Vitality Money status, which influences their rewards.

In the case where users receive discounts for domestic and international flights of between 10% and 50%, this discount will depend on whether the user has a Blue, Bronze, Silver, Gold, or Diamond Vitality Money status.

Because the reward systems are so different, it will be difficult to compare the exact return received from the rewards.

For instance, FNB’s eBucks rewards can only be used at certain stores, whereas Capitec’s cash-back rewards are awarded to users in cash.

Thus, the criteria for comparing rewards programmes will be cash-back partners and spending partners.

Cash-back partners refer to businesses where users can earn rewards in the form of points or cash by spending money. Discount partnerships will be included in cash-back partners.

Spending partners are where users can spend the rewards they receive from cash-back partners.

Capitec’s Live Better rewards programme has eight cash-back partners and no specified spending partners. This is because rewards are in the form of cash or discounts rather than a cash-back points system.

The most notable benefit is a R4,000 discount from GetSmarter when paying with Capitec.

Although spending rewards are not limited to a set number of partners, acquiring rewards is. Users can only earn cash-back rewards from four of the partners.

On the other hand, FNB’s eBucks programme has 31 cash-back partners, 21 spending partners, and an additional 10 partners offering discounts and coupons.

However, unlike Capitec, rewards depend on your account’s reward level.

These levels are determined by points, similar to Discovery Bank, which are earned based on spending behaviour.

FNB’s best reward partnership is up to 15% back in eBucks from Checkers, Shoprite, USave, and Spar.

Although this is not the highest return in points, it is the most accessible form of obtaining points because these partners are general grocery stores.

As mentioned above, Discovery Bank uses a spending assessment to determine a user’s Vitality Money status.

A user’s access to rewards depends on their Vitality Money status.

Nothing is earned with spending partners but rather just by spending money. If you do it well, you get rewarded.

It has 20 spending partners and users with Diamond Vitality Money status can get 50% off international and local flights.

Standard Bank’s UCount rewards programme has 23 cash-back partners and 23 spending partners.

Users earn a standard amount of points from partners and can then earn up to 1% extra based on their UCount Rewards tier.

For instance, users will earn 3% back on Zando purchases but can increase this to 4% if they fall within the fifth tier.

Absa’s rewards programme offers elements from both Discovery and Capitec’s models.

Users receive cash rewards, the extent of which is determined by points accumulated using Absa banking products and activities.

Points are calculated at the end of the month, and users are required to complete a minimum of five engagements set by Absa. These include using the banking app and performing transactions.

Absa customers have access to 27 cash-back partners with up to 30% rewards on purchases from Sasol, Woolworths, and Pick n Pay.

It should be noted that cash-back earnings are capped at a specific maximum spend every month, like with many rewards programmes.

Reaching Absa’s maximum rewards tier also isn’t easy, and most clients should expect to achieve tier 4 or lower. This reduces the cash-back earn rate on fuel and grocery purchases to 6.25%, and the credit card earn rate to 0.95%.

Nedbank’s rewards system is far narrower than that of other banks.

Where FNB and Standard Bank have extensive lists of partners, and Capitec and Discovery have specific partners on the cash back or spending side and no restrictions on the other, Nedbank is very limited in both areas.

Nedbank’s Greenbacks programme has six cash-back partners, two of which are Nedbank products—Greenbacks Travel and Avo SuperShop.

Similar to other programmes, users gain access to discounts from certain stores. However, points accumulated can only be redeemed through Nedbank platforms.

Users can earn points by using Greenback-linked bank cards and the Nedbank banking app.

The table below shows the rewards programmes offered by each bank.