Dosh dilemma: Cath’s cashback windfall – keep it or give it back?

Have you ever checked your bank account and been pleasantly surprised to find a little more money than expected? A nice surprise for sure, but what if that extra cash wasn't yours?

Cath thought she'd landed the cashback deal of a lifetime. But now she's wondering whether spending the money could land her in hot water.

Cath had been putting off replacing her ageing washing machine for months.

When the appliance finally gave up, she spent hours comparing prices and hunting for the best deals. Eventually, she bought a new machine for £499 through a cashback website offering £75 cashback on selected appliances.

"It wasn't a huge amount, but every little helps," says Cath. "I was pleased I'd done my research and found a way to save some money."

A few months later, Cath received an email confirming her cashback claim had been approved.

So far, so good.

But when she checked her bank account, she couldn't believe her eyes.

Instead of the expected £75, she'd been paid £750.

"I thought there must have been a mistake," she says. "I checked the email again, and it definitely said £75."

At first, Cath assumed the cashback company would notice the error and correct it.

But days turned into weeks.

The money remained in her account.

Meanwhile, Cath's finances were under pressure. Rising household bills and the cost of replacing the washing machine had left her relying more heavily on her credit card than she'd like.

That unexpected £750 could wipe out a large chunk of her balance and save her money in interest.

Friends and family have offered conflicting advice.

Some say she should keep quiet and enjoy her good fortune.

Others think she should contact the cashback company.

One friend even told her that if the company hasn't noticed by now, the money is effectively hers.

Cath isn't so sure.

"I don't want to do anything dishonest," she says. "But at the same time, £750 would make a real difference to me right now."

Although it may feel like a lucky break, money paid into your account by mistake generally doesn't become yours simply because it arrived there.

If a cashback company has accidentally paid Cath ten times the amount she was entitled to receive, it may be able to ask for the overpayment to be returned once the error is discovered.

That means spending the money could create problems later if the company requests repayment and Cath no longer has the funds available.

The safest approach would be to keep the money separate and avoid spending it until the situation is clarified.

Cath could contact the cashback provider, explain the discrepancy and ask them to confirm the correct payment amount. If it turns out to be an error, she can arrange for the excess funds to be returned.

If she chooses not to contact them, she should still avoid treating the money as her own. Errors can sometimes take months to come to light, particularly where large numbers of transactions are involved.

The good news is that Cath is still entitled to the cashback she legitimately earned. The question is whether the extra £675 is worth the risk and worry of hanging over her finances.

Finding unexpected money in your account can feel like a blessing, especially when household budgets are stretched.

But before planning how to spend it, it's worth asking one simple question: "Would I be able to repay this if someone asked for it back tomorrow?"

If the answer is no, leaving the money untouched could save a lot of stress further down the line.