Tag: Grocery shopping

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Best Cash Back Cards for Grocery Shopping in December 2017

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Shopping for groceries can be a painful experience. There are numerous aisles, thousands of items and long checkout lines to contend with. Then there’s one more blow: watching the dollars add up at the register.

But signing up for a solid cashback credit card can be a good way to earn a percentage of your grocery purchases back and take some of the sting out of that shopping trip.

Here are the best cashback cards for grocery shopping.

Blue Cash Everyday® Card from American Express

Blue Cash Everyday® Card from American Express

Annual fee

$0

Cashback Rate

3% at U.S. supermarkets, on up to $6,000 per year in purchases (then 1%), 2% at U.S. gas stations & select U.S. department stores, 1% on other purchases

APR

13.99%-24.99%

Variable

APPLY NOW Secured

on American Express’s secure website

Terms Apply

Rates & Fees

The Blue Cash Everyday® Card from American Express, offers 3% cash back at U.S. supermarkets (on up to $6,000 per year in purchases, then 1%) with a $0 annual fee. This is a great rate for habitual shoppers so long as you spend up to $3,167 a year at supermarkets. If you spend more than that, then you might be better off with the Blue Cash Preferred® Card from American Express, which comes with a $95 annual fee but higher cashback potential.

In addition to a high cash back rate on groceries, you earn 2% cash back at U.S. gas stations and select U.S. department stores, and 1% on other purchases. The Welcome Offer of a $150 statement credit after you spend $1000 in purchases on your new Card within the first 3 months is a good way to maximize your rewards.

Blue Cash Preferred® Card from American Express

Blue Cash Preferred® Card from American Express

Annual fee

$95

Cashback Rate

6% at U.S. supermarkets on up to $6,000 per year in purchases (then 1%), 3% at U.S. gas stations and select U.S. department stores, 1% on other purchases

APR

13.99%-24.99%

Variable

APPLY NOW Secured

on American Express’s secure website

Terms Apply

Rates & Fees

The Blue Cash Preferred® Card from American Express offers the highest cashback rate for big grocery spenders — 6% cash back at U.S. supermarkets (on up to $6,000 per year in purchases, then 1%). This card does come with a $95 annual fee and you need to spend $1,584 a year on groceries to break even. If you spend $3,167 a year ($264 a month) or more on groceries you will benefit from this card more than the Blue Cash Everyday® Card from American Express. You’ll also earn a high 3% cash back at U.S. gas stations and select U.S. department stores and 1% back on other purchases. There’s an added Welcome Offer: $200 statement credit after you spend $1000 in purchases on your new Card within the first 3 months.

Bank of America® Cash Rewards Credit Card

Bank of America® Cash Rewards Credit Card

Annual fee

$0

Cashback Rate

1% cash back on every purchase, 2% at grocery stores and wholesale clubs, and 3% on gas for the first $2,500 in combined grocery/wholesale club/gas purchases each quarter

APR

13.99%-23.99%

APPLY NOW Secured

on Bank Of America’s secure website

The Bank of America® Cash Rewards card offers a decent cashback rate for groceries, however it is lower than what you’ll find with competing cards. You’ll earn 2% cash back at grocery stores and wholesale clubs and 3% on gas for the first $2,500 in combined grocery/wholesale club/gas purchases each quarter. All other spending will earn 1%. There is no annual fee and you can redeem your cash back directly into a Bank of America checking or saving account for a 10% bonus. People who will benefit most from this card are those who are Bank of America Preferred Rewards clients. As a Preferred Rewards client, you could increase your bonus to 25-75%, making your grocery cash back an effective 2.5-3.5%. If you apply online and spend $500 in the first 90 days, you also receive a $150 online cash rewards bonus.

Huntington Voice Credit Card®

Huntington Voice Credit Card®

Annual fee

$0 For First Year

$0 Ongoing

Rewards

3X points in one of 13 categories (capped at $2,000 each quarter or 6000 points), and all other purchases earn 1X points

APR

13.99%-26.99%

APPLY NOW Secured

on Huntington Bancshares’s secure website

The Huntington Voice Credit Card® has no annual fee and earns you 3X points in one of 13 categories. Simply choose to earn 3X points at grocery stores once you open your account. The rewards you earn at the 3X rate are capped at $2,000 each quarter or 6000 points, with all other purchases earning 1X points. You also have the freedom to change your 3X category every quarter to suit your spending. But be aware that if you switch from grocery stores to another category, you’ll only earn 1X points on grocery spending. Points can be redeemed for cash and 1 point equals $0.01, therefore 5,000 points is equal to $50 cash rewards.

Which card is the right fit for me?

With numerous credit cards available to help maximize your grocery rewards, it can be confusing to know which to choose. Some cards provide unlimited rewards at a high rate, while most have caps on grocery spending.

The table below breaks down which grocery card may be a good fit for you when factoring in annual grocery spending, cashback rate and annual fee. (Sign-on bonuses are not reflected.) Keep in mind: This only factors in spending on grocery purchases and doesn’t consider if you
spend in other categories or at the other cashback rates.

Here are a few key takeaways:

  • If you spend about $3,000 a year on groceries, you will benefit more from the Blue Cash Everyday® Card from American Express or the Huntington Voice Credit Card®.
  • If you spend more than $4,000 a year, you will benefit more from the Blue Cash Preferred® Card from American Express.
  • The Bank of America® Cash Rewards Credit Card earns you subpar cash back unless you have $100,000 in a Bank of America checking or savings account.
  

Card

Huntington Voice Credit Card®

Blue Cash Everyday® Card from American Express

Blue Cash Preferred® Card from American Express

Bank of America® Cash Rewards Credit Card: without BofA checking/
savings

Bank of America® Cash Rewards Credit Card: with $100,000 in BofA checking/
savings

Spending

$1,000

$30

$30

-$35

$20

$35

$2,000

$60

$60

$25

$40

$70

$3,000

$90

$90

$85

$60

$105

$4,000

$120

$120

$145

$80

$140

$5,000

$150

$150

$205

$100

$175

$6,000

$180

$180

$265

$120

$210

$7,000

$210

$190

$275

$140

$245

$8,000

$240

$200

$285

$160

$280

$9,000

$250

$210

$295

$180

$315

$10,000

$260

$220

$305

$200

$350

Alexandria White
Alexandria White |

Alexandria White is a writer at MagnifyMoney. You can email Alexandria at alexandria@magnifymoney.com

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