UnionBank Rewards vs. UnionBank Cash Back Which Is Better?
/
UnionBank Rewards vs. UnionBank Cash Back Which Is Better?
Rewards or Cash Back — What’s Best for You?
If you’re thinking about getting your first credit card in the Philippines, you’ve probably seen these two names: UnionBank Rewards Credit Card and UnionBank Cash Back Credit Card. Both are popular, both come from a trusted bank — but they serve different lifestyles.
The big question is: Should you go for points (rewards) or real money back (cashback)?
In this blog, we’ll explain how each card works, what kind of spender benefits the most, and how to calculate your potential savings using the Credit Card Cost Calculator. Whether you’re a first-time credit card user or just comparing your options, this guide will help you pick the smarter card for your lifestyle.
TL;DR: Quick Summary
Card Type
Best For
Main Benefit
Annual Fee
Ideal User
UnionBank Rewards Card
Everyday spenders who love points
Earn points for every ₱30 spent
Around ₱2,500 (waived for qualified users)
You like redeeming travel, dining, or shopping perks
UnionBank Cash Back Card
Practical users who prefer savings
Earn up to 6% cashback on groceries and gas
Around ₱3,000
You want real money back on essentials
In short: 👉 Choose Rewards if you like perks and freebies. 👉 Choose Cash Back if you want simple, direct savings.
What Is a Credit Card?
A credit card lets you buy now and pay later — kind of like borrowing money from the bank for short-term convenience. You get a credit limit, which is the maximum amount you can spend. You then repay it monthly, either in full or partially.
For example: If your limit is ₱20,000 and you use ₱10,000 for groceries, you’ll pay that amount (plus interest if you don’t pay in full).
Understanding how a credit card works helps you avoid interest charges and use your card smartly — especially if you’re deciding between Rewards and Cash Back types.
How UnionBank Rewards Credit Card Works
1. Earn Points with Every Swipe
Every time you spend, you earn points — typically 1 point per ₱30 spent on purchases. These points can be redeemed for:
Shopping vouchers
Airline miles
Dining rewards
Gift certificates
2. No Limit to Points
There’s no expiration on your earned points, which means the more you use your card, the more rewards you can collect over time. Perfect for long-term spenders who like maximizing every peso.
3. Ideal for Lifestyle Spenders
The UnionBank Rewards Card fits best if you love dining out, shopping online, or traveling. The more you swipe, the more you earn — so it rewards active spending.
Example:
Let’s say you spend ₱20,000 per month. That’s ₱240,000 per year. You’ll earn 8,000 points (₱240,000 ÷ 30).
You can use these points for vouchers or convert them into airline miles for your next trip.
How UnionBank Cash Back Credit Card Works
1. Real Money Back on Essentials
Instead of earning points, this card gives you actual money back (credited to your bill). You can earn up to:
6% cashback on groceries and gas
2% cashback on telecom bills
0.2% cashback on other purchases
2. Monthly Cashback Cap
Cashback is capped per month (usually ₱1,500), but that’s still a great deal for regular spenders on essentials.
3. Ideal for Budget-Conscious Users
If you’re a practical buyer who wants to save directly on your expenses, the Cash Back card is your best friend.
Example:
Let’s say you spend ₱15,000 monthly on groceries and gas. You’ll earn ₱900 in cashback (₱15,000 × 6%). That’s over ₱10,000 saved per year!
Rewards vs. Cash Back: Side-by-Side Comparison
Feature
UnionBank Rewards
UnionBank Cash Back
Earning Type
Points per ₱30
% Cashback
Redemption
Travel, dining, shopping perks
Deducted from monthly bill
Annual Fee
Around ₱2,500
Around ₱3,000
Spending Focus
Lifestyle & leisure
Essentials (groceries, gas, bills)
Points Expiry
No expiry
N/A
Best For
Those who enjoy rewards
Those who want real savings
Which One Saves You More?
This depends on your spending habits. If you spend more on experiences (travel, shopping, dining), Rewards gives you more value in perks. If your spending is mostly practical (groceries, gas, bills), Cash Back saves you money instantly.
Pro Tip:
To know your real savings, try using the Credit Card Cost Calculator. It helps you estimate how much you’ll earn in rewards or cashback based on your monthly expenses — and see how interest or annual fees affect your total benefit.
Requirements to Apply for a UnionBank Credit Card
To apply, you’ll need:
At least ₱30,000 to ₱50,000 monthly income (depending on the card)
A valid government-issued ID
Proof of income (payslip, ITR, or certificate of employment)
Proof of billing
Minimum age: 18 years old (21 for principal cardholder)
Tip for First-Time Applicants:
If you’re a first-time cardholder, choose the one that fits your monthly expenses — it’s easier to maintain and get approval.
How to Apply for a UnionBank Credit Card
Step 1: Choose Your Card Type
Decide if you want Rewards or Cash Back based on your spending.
Step 2: Fill Out an Application Form
You can apply online or at a UnionBank branch. Prepare your documents for quick approval.
Step 3: Wait for Approval
UnionBank will review your credit history and income. Once approved, you’ll receive your card via courier.
Step 4: Activate and Start Spending Wisely
After activation, you can use your card immediately — but always track your spending to build a strong credit history.
Tips for Using Your Credit Card Responsibly
Pay on time. Avoid late fees and protect your credit score.
Pay in full if you can. This avoids high interest charges.
Track your spending. Use your credit card statement as a budget tool.
Avoid cash advances. They have higher interest.
Use your card for planned expenses only.
Remember: A credit card is a financial tool, not “free money.”
Pros and Cons Summary
Category
UnionBank Rewards
UnionBank Cash Back
Pros
Great for lifestyle perks and travel
Direct savings on essentials
Cons
Points may not always be practical
Cashback cap per month
Best Use
Leisure and online spending
Monthly bills and necessities
Final Verdict: Which Should You Choose?
If you love earning points for travel, shopping, or dining, UnionBank Rewards is exciting and flexible.
But if you prefer straightforward savings every month, the Cash Back card wins in real financial benefit.
Our recommendation:
Rewards Card → for spenders who enjoy perks
Cash Back Card → for budget-savvy users who love simplicity
Either way, both are excellent for building credit and enjoying cardholder benefits — as long as you use them responsibly.
FAQs
1. What’s the difference between Rewards and Cash Back? Rewards earn points you can redeem; Cash Back gives direct bill rebates.
2. Which UnionBank credit card is best for beginners? The Cash Back card is simpler for first-timers who want savings without tracking points.
3. How can I apply for a UnionBank credit card? You can apply online or in-branch with your income documents and valid ID.
4. Can I own both Rewards and Cash Back cards? Yes! Some people use one for leisure (Rewards) and one for essentials (Cash Back).
5. What’s the best way to avoid credit card debt? Always pay your balance in full every month and spend only what you can afford.
In summary: Whether you choose UnionBank Rewards or UnionBank Cash Back, both help you enjoy financial flexibility — the key is choosing what fits your lifestyle. And before applying, check your numbers with the Credit Card Cost Calculator to see how much you can actually save each month.
