MANY of us carry shop loyalty cards, but is there actually a benefit to doing so?

Yes, according to research from cashback site TopCashback, which found that Scottish consumers typically earn £110 a year from loyalty schemes, with 27 per cent of people saving the money to help them through tough financial times.

Adam Bullock, UK director of TopCashback, said: “Reward programmes are now huge in the UK with many of the largest retailers offering consumers something in return for their loyalty. And now our research shows consumers are using these rewards to help during financially hard times or periods of high spending.”

Consumers typically belong to five loyalty programmes and in Scotland the Tesco Clubcard is the most popular, followed by Nectar and Boots Advantage.

Most loyalty schemes work in a similar way. You are given a loyalty card that allows you to collect points every time you spend. You can then redeem the points, usually with the same store or a list of selected partners.

Tesco Clubcard, for example, gives you one point for every £1 you spend in store or online, or £2 spent on Tesco fuel. You can also earn Tesco Clubcard points with Esso and Tesco Bank current account customers who pay with a debit card earn additional points, as do those who pay with a Tesco credit card.

However, experts advise caution.

Kevin Pratt of price comparison site MoneySuperMarket said: “Don’t choose a bank account or credit card solely on the basis of loyalty points. It should be the right deal for you and your financial needs.

“You should also try to pay off any credit card balance in full each month, or you will start racking up interest charges, which will quickly erode the value of any points.”

Each Clubcard point is worth a penny and you receive vouchers every three months based on the amount of points collected. In other words, if you spend £200 you will earn 200 points and so be entitled to a £2 voucher. You can then spend the voucher in store, online or at the pump.

Alternatively, you can bump up the spending power of your vouchers with Clubcard Boost, which gives you up to four times the value of your voucher at a number of Tesco partner outlets. For example, £2.50 of Clubcard vouchers would give you £10 to spend at Pizza Express.

Nectar card holders can collect points at a variety of retailers including Sainsbury’s, BP and Debenhams. The amount of points varies but at the moment you can collect one point for every £1 you spend in Sainsbury’s supermarkets and for every litre of fuel you buy at Sainsbury’s petrol stations.

You can collect a more generous two points for every £1 spent on rail travel, as long as you buy your ticket through the Virgin Trains website and at least part of your journey is taken with Virgin Trains along the West Coast mainline.

One Nectar point is usually worth 0.5p, but again, there are ways to boost the value of your points. Sainsbury’s occasionally runs double-up days, when you can double the value of your vouchers. You can also often boost the value of your points if you keep an eye on the deals available on the Nectar website.

The Boots loyalty scheme is one of the most generous. If you use the Boots Advantage card in store and online you collect four points for every £1 you spend. Each point is worth 1p and can be redeemed on most items in store. Members of the scheme often receive special offers with deals to earn extra points on particular products or on particular days.

The good news is that you do not have to be loyal to a loyalty scheme. They are free to join so it makes sense to sign up for a loyalty card wherever you regularly shop.

If you do not want to stuff your purse or wallet with too many cards, most of the bigger retailers offer a loyalty app. Apps such as Stocard or Ubamarket can also incorporate your loyalty cards into your smartphone.

The apps can come in handy if you forget your card and can make it easier to manage your loyalty accounts. In a recent survey by Ubamarket, 25 per cent of consumers had lost track of their loyalty points.

Will Broome, founder and chief executive of Ubamarket, says: “Loyalty schemes have a huge amount to offer consumers. But the way people collect, track and reclaim points is horribly outdated. Shopping apps with in-built loyalty schemes are an easy way to overcome these issues.”