If you have excellent credit, you should find a credit card that offers great rewards that you will actually use.
Currently, there is one credit card on the market that allows you to earn double cash back rewards: the Citi Double Cash Card. This credit card works in a unique way. When you complete a transaction, you earn 1% cash back on your purchase. Later, when you make your payment, you earn an additional 1% back.
Citi is offering new cardholders 0% APR on balance transfers for the first 18 months, but it is important to note that balance transfers do not earn cash back. Other perks of the card include a $100 cash back bonus when new account holders spend $500 within the first three months of opening their account.
While the Citi Double Cash Card is the only card officially labeled as a double rewards card, a number of cards offer increased rewards when you purchase from certain categories. We have compiled a list of the five best.
Bank of America Cash Rewards Credit Card
The Bank of America Cash Rewards credit card offers 3% cash back on gas and 2% cash back on grocery store and wholesale club purchases — up to $2,500. After that, gas, grocery and wholesale club purchases earn 1% cash back like all other transactions. If cardholders redeem the cash back into their Bank of America checking or savings account, they earn a 10% bonus. Once an account holder reaches preferred status, that increases to 25-75%.
When new cardholders spend $500 within the first 90 days of opening their account, they earn $150 cash rewards bonus. Additionally, new account holders can enjoy 0% APR on purchases and balance transfers made within the first 12 months.
Capital One Savor Card
The Capital One Savor Cash Rewards credit card is aimed towards foodies who spend a lot on groceries and dining. Cardholders can earn 3% cash back on dining, 2% on groceries, and 1% on all other purchases. Right now, new account holders can enjoy 0% APR on purchases and balance transfers for 15 months after opening their account.
Capital One Venture Rewards Credit Card
If travel is more important to you than dining, the Capital One Venture Rewards credit card could be a better option than the Savor card. Right now, new account holders can earn 50,000 miles when they spend $3,000 within the first three months of opening their account. That is the equivalent of $500 in travel. Additionally, cardholders earn 2X miles on every purchases, and 10 miles per dollar when they book travel through hotels.com/venture. There is no annual fee in the first year, but it increases to $95 every year thereafter.
Chase Sapphire Preferred
The Chase Sapphire Preferred credit card offers 2X points on travel and dining, and one point for every other dollar spent. Once a cardholder earns 50,000 points, they can redeem it for $625 in airfare or hotel fees or for $500 cash back. Currently, new account holders earn 50,000 points when they spend $4,000 within the first three months of opening their account. The annual fee of $95 is waived for the first year.
With the Discover it card, categories rotate each quarter, so every three months, cardholders will earn 5% cash back on different rewards. Currently, grocery store purchases earn the increased rewards, and all other purchases earn 1% unlimited cash back. Additionally, at the end of your first year, Discover will match all of the rewards you earned.
Currently, new cardholders can enjoy 0% APR on purchases and balance transfers made within the first 14 months.
Which is the best?
Before determining which is best, you will need to examine your spending habits. If you spend a lot on travel, the Capital One Venture Rewards credit card or Chase Sapphire Preferred will get you to free flights faster. However, if you prefer dining in or in your local area, it is hard to beat the Capital One Savor Card.
You will also need to determine whether or not your rewards will be high enough to justify the $95 annual fee charged by Chase and Capital One. If you spend enough to earn free flights, the card will pay for itself.
Finally, if you are someone who regularly pays off your balance each month, the Citi Double Cash Card could be an excellent choice, as you will earn 2% cash back on purchases each month with their double rewards program.