Blue Cash Preferred Card® from American Express Review

Jacob Wade

Writer

Blue cash preferred by american express

The Blue Cash Preferred Card® from American Express offers high cash back rates on everyday shopping categories, such as supermarkets, streaming services, transportation, and gas stations.

It’s the ultimate cash back card for families, with 6% cash back at supermarkets (up to $6,000 spending annually, then 1%), giving you up to $360 per year just for buying food. The other bonus categories make this cash back card hard to beat. But it does come with an annual fee after the first year (rates and fees).

Here’s everything you could ever want to know about this credit card.

Blue Cash Preferred Card® from American Express quick facts

  • Current welcome offer: Earn a $250 statement credit after spending $3,000 in purchases within six months
  • Annual fee: $0 intro annual fee in the first year, then $95 (rates and fees)
  • Rewards: Earn 6% cash back on U.S. supermarket purchases (up to $6,000 in spending each year, then 1%), 6% cash back on select U.S. streaming services, 3% cash back on transit and gas station purchases, and 1% cash back on everything else.
  • Insurance and protections: Car rental loss and damage insurance (secondary coverage), Purchase protection, extended warranty and return protection
  • Perks: Moreover, Disney Plus bundle statement credits offer up to $84 per year (enrollment required, subject to auto-renewal). Additionally, Equinox Plus subscription monthly statement credits provide up to $120 per year (enrollment required).

Pros and cons of the Blue Cash Preferred Card® from American Express

The Blue Cash Preferred Card® from American Express offers some incredible cash back bonuses, but it’s not the best card for everyone. Here are a few pros and cons of this card:

Pros

  • Earn a $250 statement credit after spending $3,000 within six months
  • Up to 6% cash back at U.S. supermarkets (up to $6,000 each year, then 1%) and U.S. streaming services
  • Statement credits for Disney Plus Bundle and Equinox Plus services (enrollment required)
  • Secondary car rental coverage available

Cons

  • $95 annual fee after first year (rates and fees)
  • 2.7% foreign transaction fee
  • Does not earn American Express Membership Rewards points

Overview of the Blue Cash Preferred Card® from American Express

The Blue Cash Preferred Card® from American Express is a cash back card tailored for everyday spending. It provides 6% cash back at U.S. supermarkets (up to $6,000 in annual spending, then 1%), U.S. streaming services, and U.S. gas stations. Coupled with a $250 welcome bonus and multiple bonus reward categories, the Blue Cash Preferred card stands out as one of the best cash back cards available.

The Blue Cash Preferred Card® from American Express charges a $95 annual fee, but it waives the fee for the first year. And you can easily earn that amount back in cash back with just spending at supermarkets. At 6% cash back, if you max out your supermarket spending for the year, you’ll earn $360 in cash back at supermarkets alone. Add to that additional cash back categories, and you can earn far more than the $95 annual fee each year.

Furthermore, American Express provides its industry-leading car rental loss and damage insurance. saving you money on car rentals and covering theft or damage to a rental vehicle.

Overall, if you want a simple cash back card that offers big spending bonuses, the Blue Cash Preferred Card® from American Express is one of the best available today.

Welcome offer

Currently offering a $250 welcome bonus in the form of a statement credit after spending $3,000 within six months of opening the account. Additionally, with the ability to earn over $300 in spending at supermarkets cash back, you can easily earn over $500 in cash back in the first year.

To be eligible for the welcome bonus, there are some qualifications, including:

  • You can’t have opened a Blue Cash Preferred Card, Morgan Stanley Blue Cash Preferred Card, or previous versions of these cards in the past
  • You can’t have more than five American Express cards open at one time
  • You can’t apply for more than two American Express cards within a 90-day period

This means not everyone will qualify for the welcome bonus, so make sure to read through the terms and conditions before applying. 

Earning rewards

You can earn 1 point per dollar spent but there are several bonus categories that payout much higher rewards, including:

  • 6% cash back on U.S. supermarket purchases (up to $6,000 in spending each year, then 1%)
  • 6% cash back on select U.S. streaming services
  • 3% cash back on transit services (including taxis, rideshare, parking, tolls, trains, buses, etc.)
  • 3% cash back at U.S. gas stations
  • 1% cash back on all other purchases

The biggest benefit is for sure the bonus rewards rate at U.S. supermarkets. According to the USDA, Americans spend anywhere from $5,000 to $15,000 per year on food costs. Therefore, you should be able to max out this benefit easily.

Redeeming rewards

The Blue Cash Preferred Card® from American Express is a cash-back card and doesn’t earn rewards points. Instead, you can use your cash back as statement credits to pay down your credit card balance.

To redeem your cash-back balance, here’s the process:

  • Log in to your American Express account
  • Click on “Use Reward Dollars”
  • Select your amount in increments of $25 ($25 minimum)
  • Rewards dollars will post as a statement credit against your credit card balance

Benefits

Here are a few of the additional benefits of the Blue Cash Preferred Card® from American Express:

  • Secondary car insurance: American Express secondary car insurance, allowing you to decline the collision damage waiver when renting a car and have car rental loss and damage insurance.
  • Disney Plus Bundle credit: Up to $84 per year as a statement credit for The Disney Plus Bundle, paid out in $7 monthly statement credits. Enrollment required and subject to auto-renewal.
  • Equinox Plus credit: Up to $120 per year as a statement credit for an Equinox Plus membership, paid out in $10 monthly statement credits. Enrollment required.

Who should get the Blue Cash Preferred Card® from American Express?

The Blue Cash Preferred Card® from American Express is one of the better cash-back rewards cards out there, especially for families. For those who spend heavily at supermarkets, you can maximize rewards on the Blue Cash Preferred Card® from American Express, yielding over $300 in annual cash back. Additionally, if you have a lengthy commute or utilize public transportation, the 3% cash back at U.S. gas stations or for transit services can accumulate.

Alternatives to the Blue Cash Preferred Card® from American Express

Although offering significant value with bonus cash-back opportunities and featuring a moderate annual fee, this card may not be the best choice for everyone.

Here are a few Blue Cash Preferred Card alternatives to consider:

Blue Cash Preferred Card® from American Express vs. Blue Cash Everyday® Card from American Express

Both the Blue Cash Preferred Card® from American Express and the Blue Cash Everyday® from American Express offer great cash-back perks. While the Blue Cash Preferred card offers 6% cash back on U.S. supermarket purchases and select U.S. streaming services, the Blue Cash Everyday card offers 3% cash back at U.S. supermarkets, U.S. gas stations, and U.S. online retail purchases. But the Blue Cash Everyday card has no annual fee, while the Blue Cash Preferred card has a $95 annual fee.

Get started with the Blue Cash Everyday® from American Express or read our full review

Blue Cash Preferred Card vs. Chase Freedom Unlimited®

It offers incredible cash-back incentives for grocery shopping but with a limit of $6,000 in spending per year. The Chase Freedom Unlimited, on the other hand, offers unlimited 1.5% to 5% cash back, depending on your purchase. If you dine out more than you cook at home, you could earn more with the Freedom Unlimited.

Get started with the Chase Freedom Unlimited.

Blue Cash Preferred Card vs. Citi Double Cash® Card

The Citi Double Cash card stands out as one of the most flexible cash-back cards, offering 2% cash back on all purchases. It provides 1% when you buy and another 1% when you pay off, with no limits. The higher cashback in certain categories and lower cashback for most other purchases. The Citi Double Cash card also has no annual fee, while the Blue Cash Preferred card has a $95 annual fee after the first year.

Get started with the Citi Double Cash Card

Hand paying with credit card. Blue Cash Preferred Card® from American Express Review

Blue Cash Preferred Card® from American ExpressBlue Cash Everyday Card® from American ExpressChase Freedom Unlimited® CardCiti Double Cash® Card
Welcome Bonus$250 statement credit after $3,000 spent in the first 6 months$200 statement credit after $2,000 spent in the first 6 months$200 in bonus points after $500 spent in the first 3 monthsNone
Annual Fee$0 intro annual fee first year, then $95 $0$0$0
Bonus Rewards– 6% cash back at U.S. supermarkets (up to $6,000 per year, then 1%)

– 6% cash back on select U.S. streaming services

– 3% cash back on transit services (including taxis, rideshare, parking, tolls, trains, buses, etc.)

– 3% cash back at U.S. gas stations

– 1% cash back on all other purchases
– 3% cash back at U.S. supermarkets

– 3% cash back at U.S. gas stations

– 3% cash back on online retail purchases (up to $6,000 per year in each category, then 1%)

– 1% cash back on all other purchases
– 5% cash back on travel purchased through Chase Ultimate Rewards

– 5% cash back on Lyft purchases (through March 2025)

– 3% cash back on dining
 
– 3% cash back on drugstore purchases

– 1.5% cash back on all other purchase
– 2% cash back on all purchases (1% when you buy, 1% when you pay it off)
Benefits– Up to 6% cash back on certain categories

– Disney Plus Bundle membership credit, $7 per month (up to $84) (enrollment required, subject to auto-renewal)

– Equinox Plus membership credit, $10 per month (up to $120) (enrollment required)

– Car damage and loss secondary insurance

– Return protection

– Extended warranty protection
– Up to 3% cash back on certain categories

– Disney Plus Bundle membership credit, $7 per month (up to $84) (enrollment required, subject to auto-renewal)

– Complimentary ShopRunner membership (enrollment required)
– Up to 5% cash back on certain categories

– 1.5% cash back on all purchases with no limits

– Travel protection benefits

– Purchase protection

– Extended warranty protection

– 2% cash back on all purchases

– Access to Citi Entertainment ticket portal

FAQs

What does Amex Blue Cash Preferred count as streaming?

It offers 6% cash back on select U.S. streaming services, which can include dozens of different services. This may include Disney Plus, Apple TV+, Apple Music, Amazon Music, Netflix, Spotify, Max (HBO Max), Kindle Unlimited, and more.

Is Amex Blue Cash Preferred worth it?

If you spend heavily at supermarkets, it can absolutely be worth it. If you spend over $6,000 within a year, you can max out your 6% cash back and earn $360 annually just from that bonus category. You’ll then earn 1% on subsequent U.S. supermarket purchases for the rest of the year. This more than offsets the $95 annual fee.

Terms apply to American Express benefits and offers. Enrollment may be required for select American Express benefits and offers. Visit americanexpress.com to learn more.

Car Rental Loss and Damage Insurance can provide coverage up to $50,000 for theft of or damage to most rental vehicles when you use your eligible Card to reserve and pay for the entire eligible vehicle rental and decline the collision damage waiver or similar option offered by the Commercial Car Rental Company. This product provides secondary coverage and does not include liability coverage. Not all vehicle types or rentals are covered. Geographic restrictions apply. 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. Car Rental Loss or Damage Coverage is offered through American Express Travel Related Services Company, Inc.

Disclosure: Opinions expressed here are the author's alone, not those of any bank, credit card issuer, hotel, airline, or other entity. This content has not been reviewed, approved or otherwise endorsed by any of the entities included within the post.

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I'm an award-winning lawyer and personal finance expert featured in Inc. Magazine, CNBC, the Today Show, Business Insider and more. My mission is to make personal finance accessible for everyone. As the largest financial influencer in the world, I'm connected to a community of over 20 million followers across TikTok, Instagram, YouTube, Facebook and Twitter. I'm also the host of the podcast Erika Taught Me. You might recognize me from my viral tagline, "I read the fine print so you don't have to!"

I'm a graduate of Georgetown Law, where I founded the Georgetown Law Entrepreneurship Club, and the University of Notre Dame. I discovered my passion for personal finance after realizing I was drowning in over $200,000 of student debt and needed to take action-ultimately paying off my student loans in under 2 years. I then spent years as a corporate lawyer representing Fortune 500 companies, but I quit because I realized I wanted to have an impact; I wanted to help real people and teach them that you can create a financial future for yourself.

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Our aim is to help you make financial decisions with confidence through our objective article content and reviews. Erika.com is part of an affiliate sales network and receives compensation for sending traffic to partner sites, such as MileValue.com. This compensation may impact how and where links appear on this site. This site does not include all financial companies or all available financial offers. This in no way affects our recommendations or article content.

Advertiser Disclosure

Our aim is to help you make financial decisions with confidence through our objective article content and reviews. Erika.com is part of an affiliate sales network and receives compensation for sending traffic to partner sites, such as MileValue.com. This compensation may impact how and where links appear on this site. This site does not include all financial companies or all available financial offers. This in no way affects our recommendations or article content.

Advertiser Disclosure

Our aim is to help you make financial decisions with confidence through our objective article content and reviews. Erika.com is part of an affiliate sales network and receives compensation for sending traffic to partner sites, such as MileValue.com. This compensation may impact how and where links appear on this site. This site does not include all financial companies or all available financial offers. This in no way affects our recommendations or article content.