Credit Cards

The 5 Best Credit Cards for Earning Cash Back on Groceries

With Americans traveling and eating out at historically low rates, you’re probably spending more money at grocery stores than ever before. If so, it makes sense to find the credit card that offers you the most valuable rewards every time you go grocery shopping.

Thankfully, there are credit cards designed to offer great bonus rewards for these purchases, and you might be underestimating how much you can earn.

5 Best Credit Cards for Groceries: Cash Back

Blue Cash Preferred® Card from American Express

With this card, you can earn 6% cash back on your first $6,000 spent each year at U.S. supermarkets. You also earn 6% back on select streaming subscriptions, 3% back at U.S. gas stations and on transit, and 1% cash back on other purchases.

New applicants earn a $300 statement credit after spending $3,000 on their card within three months of account opening. That bonus more than makes up for this card’s $95 annual fee, which is waived the first year.

American Express Gold Card

Among rewards cards enthusiasts, this card is a favorite, as it offers 4x points on up to $25,000 spent each year at U.S. supermarkets. These Membership Rewards points are extremely valuable as they can be redeemed for gift cards, merchandise or travel reservations. And you can often get the most value when you transfer them to airline miles or hotel points.

You also earn 4x points on purchases from restaurants, including takeout and delivery. Other benefits include $120 in annual dining credits ($10 a month at Grubhub and at select restaurants) and a $100 annual statement credit towards airline fees. Finally, new applicants will earn 35,000 bonus points after spending $4,000 within three months of account opening. All of these extras go a long way to making up for this card’s $250 annual fee.

Chase Freedom Flex℠

This extremely popular rewards card is now offering new applicants 5% cash back at grocery stores, on up to $12,000 in spending during their account’s first year. It also features 5% cash back on up to $1,500 spent on purchases in featured bonus categories that change each quarter. For example, in Q4 of 2020 (October, November and December), the featured bonus purchases are Walmart and PayPal. There’s no annual fee for this card.

Chase Freedom Unlimited®

Like the Freedom Flex, the Chase Freedom Unlimited is offering new applicants 5% cash back at grocery stores, on up to $12,000 in spending during their account’s first year. But instead of rotating bonus categories, you get unlimited 1.5% cash back on all purchases, making it one of the best all-around cash back cards available. There’s no annual fee for this card.

Blue Cash Everyday® Card from American Express

Here’s a no-fee card that offers you 3% cash back at U.S. supermarkets (on up to $6,000 per year in purchases). New applicants can earn a $200 statement credit after making $1,000 in purchases within three months of account opening. You also earn 2% cash back at U.S. gas stations and at select U.S. department stores and 1% back on other purchases.

Bottom line

By choosing the best credit card for purchases at the supermarket, you’ll earn great cash back and other rewards every time you go grocery shopping.

Source: Money / Featured image by freepik

Joseph Tanner

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