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Erika's Picks for Best Cashback Credit Cards
- Best for rotating categories:
Chase Freedom Flex® - Best for groceries & gas:
Blue Cash Preferred® Card from American Express - Best for dining & entertainment:
Capital One Savor Cash Rewards Credit Card - Best for cashback matching:
Discover it® Cash Back Credit Card - Best for flat-rate cashback:
Citi Double Cash® Credit Card - Best for customized rewards:
Bank of America® Customized Cash Rewards Credit Card
A cashback credit card does exactly what it sounds like: it lets you earn cash in return for any spending you do on the card.
There are lots of different types of cashback cards out there, but the best ones offer generous percentages of cashback on popular spending categories like travel and dining out. Many come with welcome offers, too.
The right card for you will depend on your spending habits and how involved you want to be in maximizing the rewards you earn.
Best for Rotating Categories
Chase Freedom Flex®
Rewards Rate
- 5% cashback on rotating categories each quarter (up to $1,500 in purchases, then 1%; activation required) and travel purchases through Chase Travel℠
- 3% on dining and drugstore purchases
- 1% on all other spending
Welcome Offer
Earn $200 cashback after spending $500 in the first 3 months
Annual Fee
$0
The Chase Freedom Flex® lets you maximize your rewards through rotating bonus categories.
You earn 5% cashback on rotating categories like gas stations, grocery stores, and restaurants. The categories change every quarter, allowing you to earn a higher reward up to $1,500 per quarter (after that, rewards drop down to 1%).
You’ll also earn elevated cashback on travel booked through Chase Travel™, dining (including takeout and delivery), and at drugstores.
Other benefits include:
- No annual fee
- Cellphone protection (up to $800 per claim, $1,000 per year)
- Purchase protection (up to $500 per claim, 120 days)
- Extended warranty
- Zero liability protection
- Trip cancellation/interruption insurance (up to $1,500 per person, $6,000 per trip)
- 24/7 fraud monitoring
- Access to Chase Offers for extra savings
One downside is that you’ll have to activate the rotating category each quarter. This could be a hassle to manage, and if you forget, you’ll only get 1% cashback on your purchases. There’s also a quarterly cap limiting how much you can get back on purchases.
While the Freedom Flex card gives you access to Chase Travel™, you won’t have the same travel benefits as other premium cards, notably lounge access.
The Chase Freedom Flex® is one of the best rotating category cards, plus rewards on travel, dining, and drugstore purchases. If you don’t mind keeping track of each category, it can be a good card to maximize cashback rewards.
You won’t pay an annual fee, and you’ll still get access to several perks that Chase offers.
Best for Groceries & Gas
Blue Cash Preferred® Card from American Express
Rewards Rate
- 6% cashback on purchases at U.S. supermarkets (up to $6,000 per year, then 1%) and on select streaming services
- 3% on U.S. gas station and transit purchases
- 1% on all other spending (cashback is received in the form of Reward Dollars that can be redeemed as a statement credit or on Amazon.com at checkout)
Welcome Offer
Earn $250 statement credit after spending $3,000 in the first six months
Annual Fee
$0 intro annual fee for the first year, then $95 (rates and fees)
The Blue Cash Preferred® Card from American Express earns you cashback on everything, but you can earn the most on your regular groceries, as well as on select streaming services, gas stations, and transit services (including rideshares, taxis, tolls, and public transportation).
Other notable perks include:
- Annual fee waived for first year
- $84 Disney bundle credit (enrollment required)
- Purchase protection for covered purchases (up to $1,000 per purchase, $50,000 per account)*
- Return protection (up to $300 per item, $1,000 per year)*
- Extended warranty coverage (maximum $10,000, up to $50,000 per account)*
- Access to Amex Offers for discounts and savings
- Car rental loss and damage insurance*
- 24/7 Global Assist Hotline*
- Exclusive access to presale tickets and events through American Express Experiences®
It’s important to note that cashback is issued as Reward Dollars rather than literal cash. You can only redeem this as a statement credit. Other cards allow you to withdraw cashback rewards directly, so the Blue Cash Preferred is a less flexible option.
There’s also a cap on how much cashback you can earn. The 6% reward on groceries only applies to the first $6,000 spent in a year — after that, it drops to 1%. The average U.S. household spends around $14,000 per year on groceries, which means you probably won’t earn the full reward value.
* Eligibility and Benefit level varies by Card. Terms, Conditions, and Limitations Apply. Please visit americanexpress.com/benefitsguide for more details. Underwritten by Amex Assurance Company.
The Blue Cash Preferred® Card from American Express offers the most cashback rewards for groceries. It also offers a high reward rate for other common household expenses, including streaming services, gas, and transportation.
While there is an annual fee, the high cashback more than covers the annual cost, making it one of the best options for everyday spending.
Best for Dining & Entertainment
Capital One Savor Cash Rewards Credit Card
Rewards Rate
- 8% cashback on Capital One Entertainment purchases
- 5% on hotels and rental cars booked through Capital One Travel
- 3% on dining, entertainment, select streaming subscriptions, and grocery store purchases (excluding superstores)
- 1% on all other purchases
Welcome Offer
Earn a one-time $200 cash bonus after spending $500 in the first 3 months
Annual Fee
$0
The Capital One Savor Cash Rewards Credit Card offers some of the best cashback rewards for dining and entertainment.
If you like to travel, you’ll also earn a high cashback rate on hotels and rental cars booked through Capital One Travel. If you enjoy live events, you’ll earn even more cashback on purchases made through Capital One Entertainment.
Other perks include:
- No foreign transaction fees
- Concierge for dining, travel, or event bookings
- Travel accident insurance
- Access to discounts through Capital One Shopping
- Extended warranty on covered purchases
- 24/7 travel assistance
- $0 fraud liability
- Credit alerts through CreditWise
- Exclusive access through Capital One Dining and Capital One Entertainment
The Capital One Savor Cash Rewards Credit Card is a good option for foodies who enjoy dining out. The reward on groceries also allows you to earn cash on everyday purchases.
Best of all, there's no annual fee with this card, which means you can earn all the cashback and use the benefits without being out-of-pocket.
Best for Cashback Matching
Discover it® Cash Back Credit Card
Rewards Rate
- 5% cashback on rotating categories each quarter (up to $1,500 in purchases, then 1%; activation required)
- 1% on everything else
Welcome Offer
Discover Cashback Match™ will double all cashback earned in the first 12 months
Annual Fee
$0
The Discover it® Cash Back Credit Card earns cashback on everything and also comes with 5% cashback on rotating categories (up to $1,500 in purchases per quarter).
With its Cashback Match feature, Discover will match your rewards with no limits during the first year. Say you earn $500 in cashback during your first year. Discover will match it, bringing your total rewards to $1,000.
Other benefits include:
- No annual fee
- No foreign transaction fee
- Online privacy protection
- FICO score access
- $0 fraud liability
- First late payment forgiveness
- Digital credit card
While the Discover it® Cash Back can be a great way to maximize cashback rewards, there might be challenges with using the card. Discover is not as widely accepted as Visa or Mastercard, which can limit where you can use it and how many rewards you’ll be able to earn.
The 5% cashback option can help you earn more, but you’ll need to remember to activate it each quarter. Matching ends after the first year, which can make the reward value lower than other cards.
All information about the Discover it® Cash Back Credit Card has been collected independently by Erika.com. The card details on this page have not been reviewed or provided by the card issuer.
The Discover it® Cash Back Credit Card is a unique cashback card because Discover matches your rewards during the first year. This basically doubles your reward rate.
The card doesn’t have an annual fee and the rotating cashback category can help you maximize your everyday purchases.
All information about the Discover it® Cash Back Credit Card has been collected independently by Erika.com. The card details on this page have not been reviewed or provided by the card issuer.
Best for Flat-Rate Cashback
Citi® Double Cash Credit Card
Rewards Rate
- Up to 2% on all purchases: 1% when you buy, and another 1% when you pay your balance
- Earn 5% total cashback on hotel, car rental, and attractions when booked on the Citi Travel℠ portal (through 12/31/2025)
Welcome Offer
Earn $200 cashback after you spend $1,500 in the first 6 months
Annual Fee
$0
The Citi® Double Cash Credit Card is a flat-rate cashback card that encourages you to be more responsible with credit. You’ll earn 1% cashback on everything you spend, and Citi will match it when you pay off your purchases, bringing your total rewards to 2%.
There are no rotating categories or limits on how much cashback you can earn. So long as you use your card to make purchases and pay off the balance, you’ll earn rewards.
Other benefits include:
- Bonus 5% cashback on bookings through Citi TravelSM (until 12/31/25)
- $0 fraud liability
- Contactless payments
- 24/7 customer service
- Access to Citi Entertainment® for presale tickets and exclusive events
While the flat cashback rate is simple, Citi’s cashback program may be difficult to keep track of. Cashback rewards are issued as ThankYou® points, which can then be redeemed as cash.
Also, compared to similar cashback rewards cards, Citi is bare-bones. You won't find other benefits like trip protection or a concierge service.
All information about the Citi® Double Cash Credit Card has been collected independently by Erika.com. The card details on this page have not been reviewed or provided by the card issuer.
The Citi® Double Cash Credit Card offers a simple, flat reward that encourages good habits. It’s a good option if you want to earn cashback but are cautious of going into debt.
The card doesn’t come with any fees, and because you’ll earn 1% back for paying off your card, it encourages you not to keep a balance.
All information about the Citi® Double Cash Credit Card has been collected independently by Erika.com. The card details on this page have not been reviewed or provided by the card issuer.
Best for Custom Rewards
Bank of America® Customized Cash Rewards Credit Card
Rewards Rate
- 3% cashback on a category of your choice (including online shopping, dining, travel, gas, EV charging stations, drugstores, home improvement or cable, streaming, internet, and phone services)
- 2% at grocery stores and wholesale clubs (up to $2,500 combined spending in bonus categories each quarter, then 1%)
- 1% on all other spendings
Welcome Offer
Earn $200 cash after spending $1,000 in the first 90 days
Annual Fee
$0
The Bank of America® Customized Cash Rewards Credit Card makes it easy for you to align your rewards with where you spend the most. You can select a 3% cashback category from options like gas/EV charging stations, online shopping, dining, travel, drugstores, or home improvement.
You also earn elevated cashback at grocery stores and wholesale clubs, up to $2,500 per quarter.
Some other benefits of the card include:
- Bonus rewards for Bank of America and Merrill account holders
- No annual fee
- Online rewards calculator
While the Bank of America Customized Cash Rewards Card offers the most flexibility, it has a complicated reward structure to navigate. It also doesn’t come with travel perks or other benefits that you’ll find with other cards.
The ability to earn a higher reward rate on groceries is nice, but be mindful that this higher rate is capped at $2,500 per quarter.
All information about the Bank of America Customized Cash Rewards Card has been collected independently by Erika.com. The card details on this page have not been reviewed or provided by the card issuer.
Few beginner credit cards offer high rewards on things like groceries. The Bank of America® Customized Cash Rewards Credit Card gives you greater flexibility over how you earn rewards.
This is a good option for someone who wants to earn cashback on everyday purchases without all the bells and whistles of other types of reward cards.
All information about the Bank of America Customized Cash Rewards Card has been collected independently by Erika.com. The card details on this page have not been reviewed or provided by the card issuer.
How To Choose a Cashback Credit Card
Not all cashback cards are created equal. Some will provide better rewards than others. Choosing the right one for you depends on your current spending habits.
Evaluate your spending
Look at how the different cards fit into your existing spending habits. You can do this by categorizing your expenses to see where you’re most likely to earn rewards.
For example, if a large portion of your monthly budget goes to groceries, the Blue Cash Preferred® Card from American Express might be a good fit for you. If you regularly dine out and attend concerts with friends, the would probably suit you better.
Compare reward programs
There are three types of rewards to consider: flat-rate, rotating category, and tiered.
Rotating categories can provide higher rewards in unique categories, but you’ll have to keep track of them and they may not always match your spending interests.
If you’re looking for consistent rewards, look for cards with bonus categories you tend to spend the most in, or a flat-rate cashback card with at least 1.5% back on all spending.
Find a great welcome offer
Many cashback rewards cards come with lucrative welcome bonuses. You can earn a one-time cash bonus by hitting a spending requirement, usually in the first three to six months of opening the account.
This can be a great way to get even more rewards from your card — just make sure you can easily hit the spending requirement in time with your usual spending alone. Spending extra just to earn a cash bonus is generally unwise, especially if you can’t pay it off and will then owe interest on the balance.
Watch out for fees
There are a lot of great cashback credit cards that don’t have an annual fee. But that doesn’t mean all cashback cards are completely fee-free. In addition to annual fees, you’ll want to pay attention to balance transfer fees and foreign transaction fees.
An annual fee is not inherently a bad thing; typically, the cards with the best rewards also come with the highest fees. Do the math to make sure it works for you and your budget before adding a fee-bearing card to your wallet.
Know your style
Remembering rotating categories and keeping track of different tiers of rewards can be a lot of work. If you’re a pretty dynamic spender, then this type of cashback card could be right up your alley.
But if you’re new to cashback credit cards or simply don’t want your wallet to get too busy, look for a competitive flat-rate card or one with consistent tiered rewards. This way you can earn rewards on your spending without having to stay on top of rotating categories or activation deadlines.
Types of Cashback Credit Cards
There are three main types of cashback cards: flat rate, rotating category, and tiered. Choosing the right type of cashback card for you will help you maximize your earnings.
Flat rate
A flat-rate cashback card gives you the same return on your spending no matter what it is. These cards typically earn 1% to 2% cashback. They are generally easier to manage because you know the amount of cashback you’re earning for each purchase.
The downside is that you won’t be able to maximize the amount of cashback you can earn in certain categories, like dining out. Many flat-rate cards don’t charge an annual fee, though, which makes them convenient regardless of how often you use them.
Rotating categories
A cashback card with rotating categories can give you more bang for your buck. Most offer 5% cashback on categories that change each quarter. To earn the full cashback reward, you have to activate the rotating category and use your card to make purchases in that category.
Rotating category cards are a great way to maximize rewards, however, it might only make sense to use the card for certain categories or part of the year.
Tiered
Tiered cards typically come with a flat rate for all purchases and elevated rates for specific fixed categories. For example, you might earn 3% for dining out, 2% for groceries, and 1% for everything else. Some cards even allow you to choose the category that earns the highest tier of rewards.
The downside with tiered cards is that they can be a lot of extra work to manage. You’ll have to pay attention to the reward structure and develop a strategy for how to use the card. This can get complicated if you have multiple cashback cards, all with different ways to earn rewards.
Pros and Cons of Cashback Credit Cards
Whether it’s trips to the grocery store, monthly streaming subscriptions, or tickets to a Taylor Swift concert, the right cashback card can put money back in your wallet. But they’re not without downsides.
Pros
- Money in your pocket: Earn cashback on purchases you were already planning to make.
- Redemption options: You can cash in via statement credits, transferring to shopping partners, or paid out to you via check.
- Sign-up bonuses: Many cashback cards offer additional cash bonuses when you first sign up.
Cons
- Earning limits: Check the fine print to see if there's a limit to how much you can earn.
- Minimal travel rewards: Most cashback cards are focused exclusively on putting cash in your pocket or a credit on your statement, and may not offer travel perks like insurance or lounge access.
Bottom Line: How Do I Pick the Best Cashback Card?
Choosing the best cashback card for you depends on your spending habits. Take a look at your current bank and credit card statements to see which categories you spend the most money in. Then evaluate the cashback cards on the market.
If your goal is to get the most cashback, look for a card with a rotating category that aligns with your spending. If you prefer simplicity, look for a high flat-rate cashback card instead.
Frequently Asked Questions
Aside from choosing a card that fits your spending habits, there are other ways to maximize the value you can get from cashback credit cards.
Your credit card can be combined with shopping portals like Rakuten or Capital One Shopping. These sites will give you a percentage of cashback on your purchase just by shopping through their platform. You can earn rewards from your cashback credit card and from the platform you’re shopping on. Depending on the retailer, you could double or even triple your rewards.
Most regular consumer purchases, like groceries and gas, qualify for cashback rewards. That being said, there are some limitations. You won’t earn cashback for cash advances or balance transfers. Buying cryptocurrency or foreign currency when traveling abroad might also be excluded.
While rewards policies used to vary in providing cashback for spending with a digital wallet, the increased popularity of this payment option means most credit card issuers will offer rewards on eligible spending made through your digital wallet.
There are several different ways to redeem rewards. One of the easiest ways is to opt for a statement credit on your bill. You can use this as a way to reduce the balance you’ll owe on your payment date.
Many offer redemption as a direct deposit to a bank account, a check, gift cards, or directly to a partner site. Unlike credit card points, which can vary based on redemption, most cashback redemption options have the same value.
Kind of, but not really. Instead of earning cash that you can physically put in your wallet, cashback cards generally issue statement credits. These credits can be put toward your account balance to offset purchases.
You can also redeem cashback rewards as cash equivalent purchases. This is common for booking travel. Instead of paying for a flight out of pocket, you can pay using your points instead. You still benefit from purchasing the flight but you’re not paying for it in dollars.
There are some ways you can get cash from your rewards if you want. You may be able to withdraw your cashback rewards from an ATM, a paper check, or transfer to PayPal.
Technically, cashback rewards are not taxable. In order to receive cashback, you have to spend money. This means rewards are considered discounts on pre-existing purchases rather than taxable income.
If there's no minimum spending for a sign-on bonus, any received cash compensation could potentially be taxed as unearned income.
The average cashback reward on a flat-rate credit card is 1% to 2%. Anything above that is good!
Most rotating category cards offer 5% cashback for specific categories. Some tiered credit cards offer fixed bonus rates of 5% or even 6%. Sync your spending with a 5% reward card to earn more than with a 1% or 2% flat rate card. That said, 5% cashback rates generally have spending caps that limit how much you can earn in that category.
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