10 Credit Cards with Best Rewards Programs (Cash Back, Travel, Points)
Do you rely on your credit cards to pay for your vacations, online purchases, and everyday shopping? You are not alone.
According to Statista, there are 196.54 million credit card users in the U.S. alone. There are also quite a number of banks competing to win new clients into their credit card products. To compel us to apply for new credit cards many banks use points, cashback, airline miles, or other rewards.
Thus, as a credit card user nowadays, besides a safe and convenient method to pay for the products or services you acquire, you get an opportunity to get cash back and/or reward points which you can redeem for gifts, merchandise, travel credit, and more. Used wisely, your credit cards can help you save significant money. Check out our post on money-saving tips to pick up a few ideas.
In order to make the most of your purchases, you need to know which credit cards offer the highest rewards and when to use them. To save you time and help you in making the decision on the next plastic to consider, we have reviewed the offers available and came up with the following list of ten highly-rewarding credit cards.
10 Best Rewards Credit Cards
1. Wells Fargo Cash Wise Visa Card
This credit card is perfect for those who do not like planning expenses and flipping credit cards, as it offers the same benefits for all purchases and a consistent signup bonus. If you use it to pay for purchases worth at least $1,000 within the first three months from signup, you receive a $200 cash reward bonus.
The ongoing cash back is 1.5% for all expenses, and they only expire at the closing of the account. There are no annual fees to worry about, and no APR throughout the first 12 months. After that the APR ranges between 14.49 and 26.49%, depending on your creditworthiness. The grace period is 25 days.
2. Chase Freedom Unlimited
A close competitor to the Wells Fargo Cash Wise Visa, this is another credit card for universal needs. You can get $150 cash back bonus if you pay with it for purchases worth at least $500 within the first 3 months from signup and another $25 if you designate an authorized user within the same period.
It offers the same 1.5% cash back for all purchases, but, compared to its above competitor, the introductory APR of 0% is available for the first 15 months. After that, the APR ranges between 16.49% and 25.24%. The grace period is a little shorter – 21 days. There are no annual fees involved.
3. Capital One Quicksilver Rewards
This is another attractive solution for those who appreciate incentives and prefer to use the same rewards credit cards for all their purchases. It comes with a signup bonus of $150 for purchases worth $500 made within the first 3 months and offers 1.5% cash back on unlimited purchases. There is no annual fee, but the APR steps in after 9 months ranging between 14.49% and 24.49%. The grace period is of 25 days.
4. Citi Double Cash Card
This credit card is for those who want to keep things simple and want rewards on various everyday purchases. It has no signup bonus, but it makes up for it through additional cash back. While it initially offers only 1% as cash back on all purchases, it adds an additional 1% when the cardholder pays off those purchases. That’s a compelling offer of 2% cashback; and it has no annual fee. The APR steps in after 18 months and ranges between 14.99% and 24.99%. The grace period is 23 days here.
5. Discover it
If you don’t mind switching between a couple of rewards credit cards in order to maximize the rewards, this credit card is definitely worth looking into. It offers 5% cash back on select purchases (namely, those up to $1,500 per quarter at various grocery stores, gas stations, wholesale clubs, and Amazon.com) and 1% unlimited cash back for other purchases.
There are no annual fees, and the APR is 0% during the first 6 months and ranges between 13.49% and 24.49% afterwards. The grace period is 25 days. There is no signup bonus, but after 12 months of using their credit card, Discover matches the accumulated rewards.
6. Chase Freedom
If the signup bonus matters for you, this is an offer you want to consider. Purchases worth $500 within three months from signup will bring about a bonus of $150, with an additional bonus of $25 available for authorizing a user within the same period.
You get 5% cash back on purchases of up to $1,500 quarterly at merchants in categories that change at the same time interval. The rest of the purchases come with a 1% unlimited cash back offer. The APR steps in after 15 months and ranges between 16.49% and 25.24%. There is no annual fee, and the grace period is of 21 days.
7. American Express Blue Cash Preferred
Another credit card comparable to the Discover it and Chase Freedom rewards credit cards, this one offers a $200 statement credit for purchases of minimum $1,000 made within the first 3 months from signup. You also get back 6% of supermarket purchases with an annual limit of $6,000, 3% at gas stations and department stores, and 1% on other purchases.
You can redeem your cash back for gift cards, statement credits, and merchandise. The APR steps in after 12 months and ranges between 14.49% and 25.49%. There annual fee is $95. The grace period is 25 days.
8. Bank of America Cash Rewards
This credit card offers you a signup bonus of $150 if you use it to pay purchases worth $500 within the first 90 days. Rewards start at 1% and climb to 2% on purchases at wholesale clubs and grocery stores, and 3% on gas, for up to $2,500 quarterly.
Cardholders also receive 10% bonus on cash back redeemed into their savings or checking account. For members of the Bank of America Preferred Rewards program, the bonus can go up to 75%. There is no annual fee. The APR is 0% during the first 12 billing cycles and ranges between 14.49% and 24.49% afterwards. The grace period here is 25 days
9. Chase Sapphire Preferred
This is one of the best rewards credit cards for purchases associated with traveling and dining. It offers a bonus of 50,000 points for purchases worth $4,000 made within 3 months from signup, and 5,000 more points for adding an authorized user within 3 months. While the rewards are of 1 point or mile per dollar for most purchases, they are doubled on travel and dining expenses (both nationally and throughout the world).
You can redeem your points for cash ($1/100 points) or use them to pay for airfare (taking advantage of their one-to-one point-to-mile conversion with most major airlines), car rental, hotel accommodation, or cruises. You have no introductory fee during the first year and an annual fee of $95 thereafter. The grace period is 21 days, and the APR ranges between 17.49% and 24.49%.
10. American Express Premier Rewards Gold
This is another credit card that offers really attractive rewards on travel and dining expenses. It will get you a 25,000 points bonus for purchases worth $2,000 made within 3 months from signup. Rewards start from 1 point per $1 and go all the way up to 3 points per $1 for airfare (and 2 points per $1 spent in U.S. restaurants, gas stations, and supermarkets).
Cardholders also receive $100 airline fees statement credit every year. The Hotel Collection program offers $75 hotel credit for certain charges and room upgrades when available. The grace period is 30 days, and balances past this date are subject to late-payment fees and daily interest percentage rates. The first year is free, but then the annual fee is $195.
What Are the Best Rewards Credit Cards for You?
As mentioned above, these are the rewards credit cards that provide the most benefits, according to our research. When choosing the best ones for you, it is important that you take into account aspects such as:
The type and value of your purchases- Whether or not you will be able to pay off those purchases before the grace period expires
- Your willingness to pay eventual monthly fees
- Whether you will be able to qualify for the initial signup bonuses
From our experience, to maximize your rewards it is best not to spread yourself too thin between an array of credit cards (regardless of how tempting the various rewards programs may sound), but select one credit card and discipline yourself to use only that card for all your expenses. Banks always appreciate loyalty and often offer additional perks and rewards to loyal users.
Once you’ve identified the rewards credit card(s) that match(es) your needs, do not hesitate to let us know what they are and what prompted your selection. This way, you can help others make the right decision as well. Whatever your credit card of choice will be, we hope you found the above information helpful and you will enjoy the rewards to the fullest!
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