When used properly and to maximum benefit, a credit card can actually make you money. Sure,
the finance companies are hoping you start carrying a balance so they can charge you interest.
But the smartest credit card users pay off their balance every month, on top of earning hundreds
(or thousands) of dollars in free rewards.
If you want to become a credit card power user, you’ll need at least one of the cards that pays
off big when it comes to cash back or miles rewards. The cards on this list all offer generous
cash back rewards. Some are geared towards travel, others towards everyday spending like
gas and groceries. No matter which one suits your lifestyle, here are the top rated cash back
credit cards.
Chase Unlimited Freedom
The Chase Unlimited Freedom Visa card offers oodles of cash back on… well, almost
everything. The biggest earner, though, is travel. If you book your vacations through Chase
Unlimited Travel, you’ll get 6.5% back. Merely booking through Chase Travel will still net you 5%
back.
A ton of more common purchases will earn you cash too. This card features 4.5% back on
drugstore and dining (including delivery). All other purchases earn 3% cash back, up to $20,000
in spending in the first year. You’ll also earn an additional 1.5% cash back in the first year, as a
welcome bonus.
This credit card comes with no annual fee and a variable APR of 17.24% to 25.99%. There’s no
minimum redemption amount for your cash back, which can come in the form of account credit
or a direct deposit to your bank account.
Discover it Cash Back
The Discover it Cash Back credit card is another great choice for earning serious dollars on your
spending. It earns a generous 5% cash back on tons of everyday purchases, like Amazon.com,
most grocery stores, restaurants, gas stations, and paying via PayPal. There is a quarterly
spending maximum though. If you hit it, you’ll only earn 1% until the next quarter starts.
The best feature of this card is arguably Discover’s Cashback Match. After the first year,
Discover will match all the money you’ve earned, dollar for dollar, instantly doubling your
rewards.
This card has a $0 annual fee and a variable APR range of 15% to 25.99%, depending on your
creditworthiness. There’s also a 15-month 0% APR introductory period for both purchases and
balance transfers.
Blue Cash Everyday from American Express
If you prefer American Express over Visa, Mastercard, or Discover, then you may want to opt for
the AmEx Blue Cash Everyday credit card. It offers comparable rewards for basically the same
costs – that is, no annual fee and a 17 to 28% variable APR.
When it comes to cash back, the Blue Cash Everyday card offers 3% back on the most common
spending categories of supermarkets, online retail shopping, and gas stations. (Each category is
limited to $6,000 of annual spending though.) You’ll earn 1% back on all other purchases, and
purchases made beyond the spending limits.
There’s a $200 welcome bonus for spending $2,000 in the first six months, along with an
attractive 0% introductory purchase and balance transfer APR for 15 months.
Capital One SavorOne Cash Rewards
If you’re looking for a good cash backs reward card with no annual fee, check out the Capital
One SavorOne Cash Rewards credit card. With no annual fee and an 18 to 28% variable APR,
it’s a great choice. There’s a $200 welcome bonus, which only requires $500 of spending in the
first three months.
It offers 3% cashback on groceries, along with dining, entertainment, and popular streaming
services. (It’s worth noting, though, that the 3% cashback on groceries excludes superstores like
Walmart or Target.)
This card really shines on entertainment and travel though, offering a whopping 8% back on
Capital One Entertainment purchases and tickets through Vivid Seats. You’ll also get 5% back
on hotels and rental cars booked through Capital One Travel.
U.S. Bank Cash+ Visa Signature Card
The U.S. Bank Cash+ Visa Signature card requires a bit of extra planning on your part.
However, when used properly, this card can be extremely rewarding. It offers 5% cash back on
up to $2,000 of quarterly spending on two categories that you select yourself. That means you
can switch the categories to gas and restaurants before your summer road trip, or retail and
groceries before the Thanksgiving/Christmas holiday season.
This card also offers 5% back on air, hotel, and rental cars booked directly through the Rewards
Travel Center. There’s 2% back on other non-selected categories, like EV charging, and 1%
back on pretty much everything else.
This card has a $0 annual fee and industry standard APR range of 17.49% to 27.49%. The
$200 welcome bonus should be easy to hit, since it only requires $1,000 of spending in the first
120 days. There’s also 15 months of 0% APR on purchases and balance transfers.
American Express Gold Card
The American Express Gold Card holds a certain level of status in the United States. Sure, a lot
of that is clever marketing. But make no mistake, the Gold Card can be an extremely useful and
rewarding credit card.
Unlike other cards who offer a percentage of your purchases as cash back, this AmEx card
converts rewards to points. There’s even a 60,000 point bonus if you spend $4,000 in your first
six months. Depending how you spend those points, they could be worth up to $1,200.
After that, you’ll earn 4X points on restaurants (including takeout and delivery) and
supermarkets (up to $25,000 in spending per year). There’s a 3X points bonus on certain travel
purchases too (mostly flights).
The Gold Card comes with a $250 annual fee, but you should be able to more than cover that
by racking up reward points. Linking your card to certain services, like Uber or Uber Eats, offers
a free $10 monthly credit. The Gold Card’s APR ranges between 16% and 26%, depending on
your creditworthiness.
All these points can be redeemed for a variety of things. The best bang for your buck will be
using them for travel. However, you can also exchange them for gift cards or redeem them
against your balance.
