Get up to 6% cash back on groceries with this rewards credit card
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Updated: January 14, 2025
Interest rates have come down significantly after hitting a record high of 9.1% back in June 2022. The annual inflation rate stands at 2.4% as of Sept. 2024 in line with the Federal Reserve’s 2% inflation target.
While this trend has been cheered by economists, consumers are far from happy. 74% of Americans say they are very concerned about the price of food and consumer goods, according to Pew Research Centre.
Instead of waiting around for lower inflation to tame prices, savvy consumers can take action to ensure no dollar is wasted. One of the simplest ways to do this is by finding a credit card that maximizes rewards for everyday spending.
Enter the American Express Blue Cash Preferred Card, a $0 intro annual fee card that gets you up to $6,000 cash back on groceries.
American Express Blue Cash Preferred® Card
4.5
Earn $300
Welcome offerGood
Suggested credit scoreEarn a $300 statement credit after you spend $3,000 in purchases on your new Card within the first six months. Terms apply.
Pros
-
Industry-leading rewards rate on groceries
-
Enticing welcome offer
-
0% Intro APR
Cons
-
Annual fee (after the first year)
-
Foreign transaction fee (if traveling outside of the US)
Eligibility
Good
Recommended Credit Score
Recommended Credit Score
Good
6%
Cash Back at U.S. supermarkets on up to $6,000 per year in purchases (then 1%).
6%
Cash Back on select U.S. streaming subscriptions.
3%
Cash Back at U.S. gas stations.
3%
Cash Back on transit (including taxis/rideshare, parking, tolls, trains, buses and more).
1%
Cash Back on other purchases.
Cash Back at U.S. supermarkets on up to $6,000 per year in purchases (then 1%).
6%
Cash Back on select U.S. streaming subscriptions.
6%
Cash Back at U.S. gas stations.
3%
Cash Back on transit (including taxis/rideshare, parking, tolls, trains, buses and more).
3%
Cash Back on other purchases.
1%
18.24% - 29.24%
Variable APR 18.24% to 29.24% based on your creditworthiness and other factors as determined at the time of account opening. This APR will vary with the market based on the Prime Rate.
18.24%
Balance Transfer Rate based on creditworthiness, other factors, and Prime Rate
29.49%
Cash Advance APR This APR will vary with the market based on the Prime Rate.
$95
Annual Fee $0 intro annual fee for the first year, then $95*
2.7%
Foreign Transaction Fee 2.7% of each transaction after conversion to US dollars.
Variable APR
18.24% - 29.24%
Balance Transfer Rate
18.24%
Cash Advance APR
29.49%
Annual Fee
$95
Foreign Transaction Fee
2.7%
Pros
-
Industry-leading rewards rate on groceries
-
Enticing welcome offer
-
0% Intro APR
Cons
-
Annual fee (after the first year)
-
Foreign transaction fee (if traveling outside of the US)
Eligibility
Good
Recommended Credit Score
Recommended Credit Score
Good
6%
Cash Back at U.S. supermarkets on up to $6,000 per year in purchases (then 1%).
6%
Cash Back on select U.S. streaming subscriptions.
3%
Cash Back at U.S. gas stations.
3%
Cash Back on transit (including taxis/rideshare, parking, tolls, trains, buses and more).
1%
Cash Back on other purchases.
Cash Back at U.S. supermarkets on up to $6,000 per year in purchases (then 1%).
6%
Cash Back on select U.S. streaming subscriptions.
6%
Cash Back at U.S. gas stations.
3%
Cash Back on transit (including taxis/rideshare, parking, tolls, trains, buses and more).
3%
Cash Back on other purchases.
1%
18.24% - 29.24%
Variable APR 18.24% to 29.24% based on your creditworthiness and other factors as determined at the time of account opening. This APR will vary with the market based on the Prime Rate.
18.24%
Balance Transfer Rate based on creditworthiness, other factors, and Prime Rate
29.49%
Cash Advance APR This APR will vary with the market based on the Prime Rate.
$95
Annual Fee $0 intro annual fee for the first year, then $95*
2.7%
Foreign Transaction Fee 2.7% of each transaction after conversion to US dollars.
Variable APR
18.24% - 29.24%
Balance Transfer Rate
18.24%
Cash Advance APR
29.49%
Annual Fee
$95
Foreign Transaction Fee
2.7%
Where inflation hurts the most
Despite slowing rates, grocery prices remain sky-high. Groceries, such as eggs, have risen in cost by 8% from August to September 2024. Over the past year alone, the price of eggs has gone up by 40%.
The American Express Blue Cash Preferred Card offers an industry-leading rate of 6% Cash Back at U.S. supermarkets on up to $6,000 per year in purchases (then 1%). and 3% Cash Back at U.S. gas stations..
If you or your family spend $115 a week at the grocery store, that translates to $360 in cash back from one category alone. That’s more than enough to cover the $95 annual fee beginning in year two of card membership.
Additional perks
The grocery store and the gas station aren’t the only places where you can optimize your spending with this card.
The Blue Cash Preferred card also gets you 6% back on select U.S. streaming subscriptions, 3% back on transit, including U.S. gas stations, plus 1% cash back on everything else.**
You also get an enticing welcome bonus with a $300 back after you spend $3,000 in purchases within the first six months.***
Pros and Cons
Pros
-
Industry-leading rewards rate on groceries
-
Enticing welcome offer
-
0% Intro APR
Cons
-
Annual fee (after the first year)
-
Foreign transaction fee (if traveling outside of the US)
**Terms apply. Cash Back is received in the form of Reward Dollars that can be redeemed as a statement credit or at Amazon.com checkout.
***Terms apply.
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