Tag: underscored money

While it’s important to have a credit card that earns rewards every time you swipe it, one of the best — and fastest — ways to rack up a bunch of cash back or travel points and miles right off the bat is with a lucrative credit card sign-up bonus. Accumulating rewards from a sign-up bonus is the best way to put more money in your wallet, or to jet off on a dream vacation, from flying down to Disney World to exploring the beaches of Thailand.

But offers come and go regularly, so it’s vital to know when a credit card is offering a top-notch sign-up offer that can earn you the biggest possible bonus. And since many credit card issuers these days restrict the number of cards you can get with them — or the number of times you can get a card — you’ll want to apply for a credit card when it’s offering a peak sign-up bonus.

So, how do you know which credit card sign-up bonuses are currently higher than normal? We’ve put together a list of the best credit card sign-up bonus offers available in January 2023 so you can get as many points or miles as possible when you apply. Get a new credit card with the right offer, and you’ll rack up rewards in no time.

Best for flexibility: Chase Sapphire Preferred® Card
Best for groceries: Blue Cash Preferred® Card from American Express
Best for bonus categories: Citi Premier® Card
Best for travel perks: The Platinum Card® from American Express
Best for United flights: United Quest℠ Card
Best for IHG stays: IHG® Rewards Premier Credit Card
Best for Hilton stays: Hilton Honors American Express Surpass® Card
Best business card with no annual fee: Ink Business Unlimited® Credit Card
Best for small businesses: American Express® Business Gold Card

Why did we choose these credit card sign-up bonus offers as the best for January? Dive into the details of each card with us, and see how they stack up.

If you want rewards that are flexible and easily redeemable, then the Chase Sapphire Preferred offers many options. And right now, new applicants can earn 60,000 bonus points after you spend $4,000 on purchases in the first three months after opening the account.

Although this isn’t one of the highest offers we’ve seen from this card, it’s still a great card for those getting their feet wet in points and miles and you can still get a ton of value from the sign-up bonus.

The Chase Sapphire Preferred earns Chase Ultimate Rewards points, which can be redeemed for cash back at 1 cent apiece, or for travel via the Chase travel portal at a rate of 1.25 cents each. At that rate, 60,000 bonus points would be worth $600 in cash or $750 in travel, which on its own is a great return just for getting one credit card.

But you can also transfer your points to any of Chase’s 14 airline and hotel partners and potentially get even more value for them. That’s why frequent flyer website The Points Guy values Ultimate Rewards points as high as 2 cents apiece, meaning 60,000 points can be worth up to $1,200 in travel.

Aside from the sign-up bonus, you’ll also earn 3 points for every dollar you spend on dining, select streaming services and online grocery purchases with the Chase Sapphire Preferred, 2 points per dollar on travel (or 5 total points for travel booked through Chase Ultimate Rewards) and 1 point per dollar on all other purchases. Plus, through March 2025, you’ll also earn 5 points per dollar on Lyft rides, which is a nice extra bonus.

Other money-saving benefits of the Chase Sapphire Preferred include a complimentary DoorDash DashPass membership for at least 12 months when you sign-up by Dec. 31, 2024. The card also offers many extra insurance benefits, such as purchase protection, extended warranty, trip delay/cancellation protection, trip delay protection, lost baggage protection and primary rental car coverage.

With a relatively low $95 annual fee, the Chase Sapphire Preferred is the perfect card to dip your toes in the water with travel rewards and start learning how to utilize them to get outsized value.

Now, if you prefer a luxury credit card, the Chase Sapphire Reserve® is another option. It currently offers new card holders the same 60,000 bonus points after spending $4,000 on purchases within the first three months after opening the account. Points from the card can be transferred to the same travel partners as the Chase Sapphire Preferred — at the same 1-to-1 ratio — or can be redeemed through the travel portal at a higher rate of 1.5 cents each.

While this card has a significantly higher annual fee of $550 per year, you’ll find many benefits that help offset the cost, such as $300 in annual travel credits, a Priority Pass Select membership and more.

Click here to earn 60,000 bonus points when you apply for the Chase Sapphire Preferred.
Click here to earn 60,000 bonus points when you apply for the Chase Sapphire Reserve.

If you prefer a credit card that puts cash right in your pocket, that’s where the Blue Cash Preferred Card from American Express comes into play, and right now, new card members can earn a $250 statement credit after spending $3,000 in purchases in the first six months after opening an account.

Since the card offers a $0 introductory annual fee for the first year, then $95 (see rates and fees), you’re coming out well ahead in the first year, and the $3,000 minimum spending requirement averages out to just $500 per month.

The Blue Cash Preferred is also one of the best cards to use for groceries, since you’ll earn 6% cash back as a statement credit on up to $6,000 in U.S. supermarket purchases each year (then 1%). With groceries taking up a significant portion of the average household budget, this could mean some serious cash back.

You’ll also earn 6% cash back on select U.S. streaming subscriptions with the Blue Cash Preferred, 3% cash back on transit and at U.S. gas stations and 1% on all other purchases. But if you’d prefer a card that never has an annual fee, the Blue Cash Everyday® Card from American Express might be the better choice. It offers less in cash back and has a smaller welcome offer, but it could make sense if you don’t spend that much on groceries each year.

Click here to learn more about the Blue Cash Preferred.
Click here to learn more about the Blue Cash Everyday.

While Citi credit cards don’t typically get as much attention as Chase and American Express cards, don’t overlook the Citi Premier card, especially right now. New card holders can earn 80,000 bonus points after spending $4,000 on the card in the first three months after opening the account. That’s the highest bonus we’ve ever seen on the Citi Premier.

And even after you’ve earned the bonus, it’s easy to keep racking up points with the Citi Premier, because the card comes with a slew of bonus categories. You’ll earn 3 points for every dollar you spend at gas stations, at restaurants, at supermarkets, at hotels and on air travel, and 1 point per dollar on all your other purchases.

Once you’ve got all those points, you can redeem them for gift cards or book travel with them through Citi’s travel portal and get 1 cent per point in value. But if you’ve got some time and flexibility, you can do even better by transferring your points to any of Citi’s 16 airline and hotel partners, which now includes both Choice and Wyndham hotels.

The ability to transfer points to Citi’s airline partners is why The Points Guy values Citi ThankYou points at 1.8 cents apiece. At that rate, those 80,000 bonus points are worth as much as $1,440 in travel.

Plus, if you get the Citi Premier and like the way it works, you can dive even further into the Citi ThankYou Rewards ecosystem by pairing it with either the Citi® Double Cash Card or the Citi Custom Cash℠ Card — or both. Both cards are marketed as cash back cards, but they actually earn rewards in the form of ThankYou points, which you can then combine all together in one big pot.

So you can put all the cards in your wallet and use each one where it earns the most rewards — the Citi Premier in its bonus categories, the Citi Custom Cash in the one eligible category each month where you spend the most money and the Citi Double Cash for everything else. It’s a great strategy to quickly rack up a huge balance of travel rewards while paying only one $95 annual fee across all three cards.

Click here to earn 80,000 bonus points when you apply for the Citi Premier card.

If you expect to be flying the skies often in 2023, The Platinum Card from American Express provides many elite VIP benefits when you travel… and a few even when you aren’t.

Right now, new card members can earn 80,000 bonus points when you spend $6,000 on purchases within the first six months of card membership. Frequent flyer website The Points Guy values American Express Membership Rewards points at 2 cents each, making this offer worth as much as $1,600 in travel.

The list of benefits that come with the Amex Platinum card are endless. But with a $695 annual fee (see rates and fees), you’ll have to make sure you can use those benefits.

One of the most popular perks that comes with the card is access to more than 1,300 airport lounges around the world, including Amex Centurion Lounges, Delta Sky Clubs (when flying Delta) and Priority Pass Select lounges (enrollment required). You’ll also receive complimentary Marriott Gold and Hilton Gold elite status (enrollment required), which offers special perks such as room upgrades (when available), complimentary breakfast at participating properties, bonus points on paid rates and more.

And, if you rent cars often, you’ll also be bumped up to Avis Preferred status, National Car Rental Emerald Club Executive status and Hertz Gold Plus Rewards (enrollment required).

Then there are the annual credits. The Amex Platinum comes with up to $200 in credits each year for airline incidental fees, up to $200 in Uber Cash each year (doled out in $15 monthly portions with $35 in December), up to $240 in annual digital entertainment credits in portions of $20 per month, up to $189 in annual CLEAR® membership credits and up to $100 in credits for purchases at Saks Fifth Avenue, split into $50 increments for each half of the year (enrollment required before using these credits). Additionally, you’ll get up to $100 in credits toward a Global Entry or TSA PreCheck membership every five years you have the card.

The Amex Platinum also comes with cell phone protection, extended warranty protection, purchase protection, trip cancellation and trip insurance, trip delay insurance, car rental loss and damage insurance and no foreign transaction fees (see rates and fees).

Click here to learn more about The Platinum Card from American Express.

If you’re looking for United miles, the United Quest Card currently comes with an impressive sign-up bonus. Right now you can earn 80,000 bonus miles after you spend $5,000 in the first three months after opening the account. The Points Guy values United miles at 1.21 cents apiece, which would make 80,000 miles worth $968 in United travel.

The United Quest Card does come with a $250 annual fee, but there are a number of benefits that can help offset a good chunk of that cost, including up to $125 in statement credits for United purchases charged to your card. This is a yearly benefit — available every 12 months from the date you first open the card — and if you can use all $125 in credits each year, you’re effectively knocking off half of the $250 annual fee.

Also, starting at your first anniversary as a card holder — meaning one year after you were approved for the card — and each year thereafter, you’ll get 5,000 United miles back when you redeem your miles for a United- or United Express-operated flight, regardless of the number of miles redeemed. You can even earn this mileage rebate twice per year.

For those chasing United elite status, the United Quest Card earns 500 Premier Qualifying Points (PQP) for every $12,000 you spend on the card, up to 3,000 PQP per year. While this won’t earn you elite status on its own, if you aren’t flying as much in 2023 as you typically might, it can help push you over the threshold.

Other benefits of the United Quest Card include 3 points for every dollar you spend on United purchases (after your $125 in annual credits), 2 miles per dollar on travel, dining and select streaming services, up to $100 in Global Entry or TSA PreCheck fee credits, free first and second checked bags for you and a companion traveling on the same reservation, priority boarding, 25% back on United in-flight purchases, one year of DashPass membership (must activate by 12/31/2024) and no foreign transaction fees.

Click here to earn 80,000 bonus points when you apply for the United Quest Card.

If you’ve been contemplating getting the IHG Rewards Premier Credit Card at some point, now’s a great time to do it. New card applicants can currently earn 140,000 bonus points after spending $3,000 on the card within three months of opening the account.

While 140,000 points sounds like an earth-shattering amount, remember that not all travel points are created equal. The Points Guy values IHG points at 0.5 cents apiece, so 140,000 points are worth about $700 toward IHG hotel stays, which is still a pretty sizable haul for a low-priced credit card.

Also, starting with the second year you have the card and every year thereafter, you’ll receive a reward night certificate that can be used at any IHG property costing up to 40,000 points. And the certificate can now also be augmented with additional points so you can use it at nearly any IHG hotel in the world. The IHG chain includes Holiday Inn, InterContinental and Kimpton Hotels, among many others, making this certificate an incredibly flexible perk. Just using this benefit each year can easily offset the card’s $99 annual fee.

Plus, all IHG Premier card holders receive complimentary IHG Platinum elite status and their fourth night free when using points to book an award stay. So if you’re booking a four-night stay at a property that costs 40,000 points a night, you’ll only have to redeem 120,000 points for it.

Click here to earn 140,000 bonus points when you apply for the IHG Premier card.

The Hilton Honors American Express Surpass Card is one of the top mid-tier hotel credit cards you’ll find, and potentially the best perk that comes with the card is automatic Hilton Honors Gold elite status. Although this is a step below Hilton’s highest Diamond status level, you’ll still get space-available upgrades, complimentary continental breakfast for two guests, your fifth night free on award nights and the possibility of lounge access if you’re upgraded to the executive lounge floor.

Other Hilton Amex Surpass card member perks include a free weekend night when you spend $15,000 on your card within a calendar year, 10 free visits each year to Priority Pass airport lounges worldwide and 12 points for every dollar spent at Hilton properties.

Best of all, right now, the Hilton Amex Surpass is offering 130,000 bonus points when you spend $2,000 on purchases within three months of opening the account. While we’ve seen slightly better offers in the past, this is still a great opportunity to snag a huge number of Hilton points with one credit card offer.

Now, if you prefer to earn top-tier Hilton Diamond status right off the bat, you’ll want to instead consider the Hilton Honors American Express Aspire Card. The card comes with a slew of benefits, including automatic Diamond status without ever having to step foot in a Hilton property. That top-tier status — along with up to $250 in annual airline fee credits, an annual $250 resort credit, Priority Pass Select airport lounge membership and an annual weekend night certificate upon account renewal — can help offset the annual fee. While this card’s utility is nearly unmatched among luxury hotel credit cards, you’ll pay a pricey $450 annual fee every year you have it.

All information about the Hilton Honors American Express Aspire Card has been collected independently by CNN. The Hilton Honors American Express Aspire Card is not currently available through CNN.

Click here to learn more about the Hilton Honors American Express Surpass Card.

Chase currently has some unbelievable sign-up offers on its no-annual-fee business credit cards, including the Ink Business Unlimited. Right now, new card holders can earn $900 in bonus cash back after spending $6,000 on purchases in the first three months. You’ll be hard pressed to find an offer this high on any other credit card with no annual fee.

This card is very straightforward, as you’ll earn 1.5% cash back on all purchases, with no bonus categories to worry about or track. And if you prefer travel rewards to cash back, the Ink Business Unlimited offers potential flexibility on that front as well.

If you have a premium Chase Ultimate Rewards card, such as the Chase Sapphire Preferred, the Chase Sapphire Reserve or the Ink Business Preferred℠ Credit Card, the rewards you earn with the Ink Business Unlimited can be transferred to your premium card, and from there, redeemed for travel at a higher rate, or even transferred to one of Chase’s partner loyalty programs for potentially even more value.

Even though it’s a no-annual-fee card, you’ll still find many valuable benefits on the Ink Business Unlimited, such as purchase protection, extended warranty protection and primary car rental coverage when you rent a car for business purposes. But you’ll want to steer clear of using this card internationally, as you’ll be charged a 3% foreign transaction fee on overseas purchases.

And this isn’t the only Chase business card currently offering a top-of-the line sign-up bonus. The Ink Business Cash® Credit Card also earns $900 in bonus cash back after you spend $6,000 within the first three months after opening the account. The main difference between the two cards are the number of points you’ll earn on your everyday purchases, as the Ink Business Cash has several bonus categories but earns only 1% on all other purchases instead of the 1.5% of the Ink Business Unlimited.

Finally, the Ink Business Preferred is also offering an incredibly rich credit card sign-up bonus — 100,000 bonus points when you spend $15,000 in the first three months after opening the account. This card comes with a $95 annual fee, but additional point-earning opportunities and even more benefits.

Click here to earn 90,000 bonus points when you apply for the Ink Business Unlimited.
Click here to earn 90,000 bonus points when you apply for the Ink Business Cash.
Click here to earn 100,000 bonus points when you apply for the Ink Business Preferred.

The American Express Business Gold Card is an intriguing card for small businesses who don’t have expenses the fall into easy-to-predict categories each month, and the card currently comes with a rich welcome offer of 70,000 bonus points after you spend $10,000 on eligible purchases within the first three months after opening the account.

With the Amex Business Gold, you’ll earn 4 points per dollar on the two select categories where your business spends the most each month, and those categories will automatically change each month to match where you’ve spent the most. There’s a $150,000 annual cap for earning bonus points in these select categories, but you’ll still earn 1 point per dollar even after you reach the cap.

The select categories eligible to earn bonus points are:

The Amex Business Gold card does have a $295 annual fee (see rates and fees), but when you use your points to book flights through American Express Travel, you’ll get 25% of your points back (up to 250,000 points per calendar year) for flights booked with one airline that you choose annually, or on any airline when you book business or first class flights.

Learn more about the American Express Business Gold Card.

Need help getting rid of credit card debt? Find out which cards CNN Underscored chose as our best balance transfer credit cards available right now.

Get all the latest personal finance deals, news and advice at CNN Underscored Money.

Click here for rates and fees of the Blue Cash Preferred card.
Click here for rates and fees of the Blue Cash Everyday card.
Click here for rates and fees of the American Express Platinum card.
Click here for rates and fees of the American Express Business Gold card.

American Express cell phone protection, extended warranty, purchase protection, trip cancellation and interruption insurance, trip delay insurance, and car rental loss and damage insurance eligibility and benefit levels vary by card. Terms, conditions and limitations apply. Visit americanexpress.com/benefitsguide for more details. Purchase protection, extended warranty and car rental loss and damage coverage underwritten by AMEX Assurance Company. Trip delay, trip cancellation and interruption insurance and cell phone protection underwritten by New Hampshire Insurance Company, an AIG Company. Car rental loss and damage coverage offered through American Express Travel Related Services Company, Inc.

A lot of people still use cash or a debit card to pay for everything they buy, either because they’re not comfortable using a credit card, they don’t understand how credit cards work or they just don’t want to take the time to change their routine.

But every time you use a credit card to make a purchase, you get something in return — or at least you do if you’re using the right credit card. Many credit cards earn rewards such as cash back or airline miles, while others have features that help you pay down your existing debt or finance a large purchase over time with no interest.

And some credit cards offer travel protections in case you have an issue during a trip, purchase protection if an item you buy happens to break the next day, or even cell phone protection if your phone is damaged or stolen.

There are tons of benefits to having a credit card, so 2023 should be the year that you put away that debit card and start using a card that gives you something back in return. Let’s take a look at what you’re missing out on when you’re not using a credit card, with these six reasons to get a credit card in the new year.

One of the best benefits of using a credit card is that with most cards, you’ll earn rewards on every single purchase you make. The most common types of rewards include cash back or travel points or miles, but there are other options as well.

Merchants generally aren’t allowed to charge you more for using a credit card to pay for your purchase instead of cash or a debit card, and you’ll never pay interest on a credit card as long as you pay your bill in full every month. That means if you’re doing it right, there’s absolutely no reason to leave money on the table with a debit card when a credit card is giving you something back for no cost at all.

Some credit cards even offer what we call “bonus categories.” This means on certain categories of purchases — such as groceries, food deliveries or even just filling up your gas tank — you can earn extra rewards every time you use your card.

Not every credit card has an annual fee, but some popular cards do, so you need to weigh the cost of the card versus the rewards you’re earning or other perks of the card. But there are many highly recommended credit cards with no annual fee that earn rewards at truly no cost.

On top of the rewards you’ll earn on all your purchases, many credit cards offer some pretty enormous sign-up bonuses. This means just by applying for a credit card and using it to spend a certain amount of money in the first few months you have the card (known as a “minimum spending requirement”), you can earn a big chunk of rewards right away to get you started off in the right direction.

Many travel credit cards offer benefits that can make your trips even more enjoyable. These perks can include anything from elite status at hotels to being able to get into exclusive lounges at airports around the world.

Other credit cards will reimburse you for certain purchases, such as credits when you spend money at specific restaurants or with certain food delivery services, or when you apply for a travel program such as Global Entry or TSA PreCheck or check a bag with your airline credit card.

You’ll even find some credit cards that hand out nightly award certificates for free hotel rooms, or the opportunity for a friend to fly with you at a significant discount. So just having a certain credit card can provide an experience you might not have had access to otherwise — and even save you money along the way.

Of course, travel credit cards with all these perks typically carry an annual fee — sometimes a big one. But if you can actually use all the benefits, you’ll find that the value you receive from them far outweighs the annual fee you pay for the card.

If you already have debt from past credit card use or some other loan, and the interest from that debt is making it difficult to get your head above water financially, having a credit card that allows you to consolidate your debt might be the best New Year’s present you could ask for.

Some credit cards, when you first get them, offer what’s known as an introductory interest rate on balance transfers. That means if you transfer your existing debt from another credit card or other type of loan to your new card, you’ll pay no interest on that debt for a preset period of time — usually between six and 21 months.

Depending on how much existing debt you have and your current interest rate, this can mean substantial savings. For instance, if you’re currently paying 15% interest on $4,000 of credit card debt and you transfer that debt to a balance transfer credit card with a 0% interest rate for 18 months, you’ll save a whopping $900 in interest on your debt over those 18 months. That’s money you can use to pay down what you owe instead of seeing it disappear to pay interest.

In order to transfer an existing balance to a new credit card, you’ll typically have to pay a fee — the current standard is 3%. But you’ll save much more than that by avoiding the sky-high interest you’re currently paying on your debt, so you can pay it off faster.

In addition to credit cards that offer an introductory interest rate on balance transfers, some credit cards offer an introductory interest rate on new purchases.

When you first get a credit card with an introductory rate on purchases, you’ll pay no interest on anything you buy with the card for a preset period of time, usually six to 21 months. That means you can afford to make a large one-time purchase — such as an engagement ring — and pay for it over time without accumulating interest.

Now, going into debt is one of the big dangers of using a credit card, so it’s never a good idea to use an introductory offer on purchases in order to buy things you can’t otherwise afford and won’t be able to pay off in a timely manner. Because once the introductory period has ended on your new card, the interest rate on any remaining debt jumps to an extremely high rate that makes it very difficult to pay off.

So, while it can make sense to use an introductory offer on purchases to spread out the cost of a major expense over time, or tide you over for a short period when things are tough, you should have a plan in place ahead of time so you know how you’re going to pay what you owe, and only make purchases that you can ultimately afford in the long run.

If you’re planning a trip for 2023 or beyond, many credit cards offer a whole suite of travel insurance benefits. These protections can cover you if something unfortunate happens before, during or even after your trip.

Some typical travel protection benefits include trip cancellation and interruption insurance, trip delay insurance, lost luggage reimbursement, baggage delay reimbursement, rental car insurance, travel accident insurance and emergency evacuation insurance. Not every credit card has all of these benefits, and the type of protection that’s most useful to you will vary depending on your situation.

For example, if you fall ill prior to a covered trip and can’t travel as a result, the trip cancellation and interruption insurance on a credit card can help you out — even if the airline itself won’t reimburse you for the tickets. Some credit cards will even reimburse you for as much as $10,000 per person for covered prepaid travel expenses.

Hopefully these are benefits you’ll never have to use, and you’ll need to pay for your trip with the right credit card in order to be covered. But credit card travel protections can come in very handy — and save you a ton of money — if and when you ever need them.

Think about this scenario: You just purchased a brand-new $600 camera, then three days later you accidentally drop it on the floor. The store you bought it from isn’t going to replace it since it was your fault, even though it was an accident. But if you purchased that camera on a credit card that offers purchase protection, your card will actually cover the cost to repair or, if necessary, replace the item.

Coverage varies quite a bit among credit cards that offer purchase protection, but you’ll typically find that most cards that offer it will cover you up to either 90 or 120 days from the date of purchase, and for between $500 and $1,000 per item.

Aside from purchase protection, you’ll also find that some cards offer return protection. If you need to return an item but the merchant won’t take it back, this benefit will help you out by reimbursing you for the full purchase price excluding any shipping and handling charges.

Although this is a perk that’s been disappearing from many credit cards in recent years, if you use a card that offers return protection, you’ll protect yourself from any issues with a merchant that has a difficult return policy.

Finally, a new benefit that’s become popular across many credit cards in recent years is cell phone protection. When you have a credit card with cell phone protection and you pay your monthly cell phone bill with that card, you’ll be reimbursed if your phone is stolen or damaged, typically with just a small deductible of $25-$50 per claim. And, you can often use this cell phone coverage up to twice a year, depending on the card.

It’s vitally important to be responsible when carrying a credit card. You must pay your bill in full and on time every month and make sure you aren’t spending more than you can afford. If you don’t feel you can be disciplined enough to do that consistently, then you might find using cash or a debit card is your best option for now.

But if you’re comfortable with the responsibility that comes with having a credit card, getting one and using it can bring you a wealth of rewards, benefits and protections. And if you’re not sure what card is right for you, CNN Underscored’s Money section is the perfect place to learn more about credit cards in general, the individual benefits of each credit card and the best credit cards on the market today.

So make 2023 the year to enhance your financial knowledge, and decide if a credit card can open up a whole new world for you.

Check out CNN Underscored’s list of the best credit cards currently available.

Get all the latest personal finance deals, news and advice at CNN Underscored Money.

Groceries are a significant part of the monthly budget for most American households, which means you want to earn as much cash back or travel points on your supermarket purchases as you can. Fortunately, not only are there a number of great credit cards for grocery shopping, but some cards even feature limited-time bonuses on groceries.

But which credit card is best for groceries right now? CNN Underscored has picked our current favorite credit cards to use at the supermarket. The right card truly depends on your needs and shopping habits, but rest assured — there’s a card for everyone.

Blue Cash Preferred® Card from American Express: Best for cash back at U.S. supermarkets
American Express® Gold Card: Best for travel rewards
Costco Anywhere Visa® Card by Citi: Best for groceries and gas
Amazon Prime Rewards Visa Signature: Best for Whole Foods and Amazon Fresh
Target REDCard: Best for groceries at Target
Amex EveryDay® Credit Card from American Express: Best for travel rewards with no annual fee

All information about the Amex EveryDay® Credit Card from American Express has been collected independently by CNN. The Amex EveryDay® Credit Card from American Express is not currently available through CNN.

Why did we pick these as our best credit cards for groceries this year? Let’s dive into the details of each of these cards and see how they compare to one another.

If you spend more money at grocery stores than anywhere else, then the Blue Cash Preferred from American Express is for you. Although some other cards are currently offering more rewards on groceries for a limited time, this card will always give you a great return on your supermarket purchases 365 days a year.

The Blue Cash Preferred offers 6% cash back as a statement credit at U.S. supermarkets for up to $6,000 in purchases per year (then 1% cash back after that). There’s no other card that offers this much cash back on groceries on an ongoing basis, so this is truly the best card when it comes to getting cash into your pocket.

Aside from the 6% cash back, the Blue Cash Preferred also offers a strong 6% cash back on select U.S. streaming subscriptions. There’s a good chance you’ve upped these subscription services in recent years, so this is one way to save some money in that department.

You’ll also receive 3% cash back at U.S. gas stations and on transit with the Blue Cash Preferred. As life gets back to normal, these will undoubtedly become a larger portion of your monthly budget again, so this is an ideal card to use on those categories as well.

All cash back earned with the Blue Cash Preferred comes in the form of reward dollars that can be redeemed as statement credits, so getting your cash is easy.

Keep in mind that the Blue Cash Preferred offers a $0 intro annual fee for the first year, then $95 (see rates and fees). However, if your family makes at least $6,000 in purchases at U.S. supermarkets each year — which is an average of $500 per month — then the annual fee pays for itself quite quickly.

But if your grocery expenses aren’t that high, you might consider the Blue Cash Everyday® Card from American Express instead. The Blue Cash Everyday is a no-annual-fee card (see rates and fees) and earns 3% cash back at U.S. supermarkets (up to $6,000 per year, then 1% cash back). That means if you spend less than about $3,166 in grocery purchases annually, you’re better off with the Blue Cash Everyday instead of the Blue Cash Preferred after the first year.

Learn more about the Blue Cash Preferred.
Learn more about the Blue Cash Everyday.

The American Express Gold Card is a top-notch card for groceries, as you’ll not only get a relatively high return, but also some incredible baked-in benefits. It’s not a cheap credit card with a $250 annual fee (see rates and fees), but you might find that the perks outweigh the fee.

With the Amex Gold, you’ll earn 4 points per dollar spent at U.S. supermarkets (up to $25,000 per year in purchases, then 1x), 4 points per dollar spent at restaurants worldwide, 3 points per dollar spent for flights booked directly with airlines or at amextravel.com and 1 point per dollar spent on everything else.

Frequent flyer website The Points Guy values Amex Membership Rewards points at 2 cents each. That means you’re looking at an effective 8% return at U.S. supermarkets, which is the highest total return you’ll see for groceries on any credit card on an ongoing basis, even if other cards on our list are better for a limited time.

Aside from earning a lot of points, the Amex Gold also offers several annual statement credits. Right now, the easiest one to take advantage of is the up to $120 in dining credits. With this perk, you’ll earn up to $10 in statement credits each month when you use your card to pay at select merchants, including Grubhub, Seamless, The Cheesecake Factory, Ruth’s Chris Steak House, Boxed and participating Shake Shack locations (enrollment is required before you use this benefit).

With both Grubhub and Seamless on this list, if you order out regularly, you can easily use up these credits each month. And with the Amex Gold, you’ll also get $10 each month in Uber Cash, which can be used for either Uber rides in the U.S. or Uber Eats deliveries (enrollment required).

Learn more about the American Express Gold Card.

If you like to buy in bulk — and save money along the way — there’s a good chance that you’re frequently at Costco. And if you drive regularly, you probably spend a lot of money on gas as well. People who fall into this bucket may find that the Costco Anywhere Visa Card by Citi is a great option for both your grocery and gas needs.

With this card, you’ll earn 4% cash back on eligible gas and EV charging purchases (for the first $7,000 per year, then 1% thereafter), 3% cash back on restaurant and eligible travel purchases and 2% cash back on all other purchases from Costco and costco.com. This is a no-annual fee card, but it does require you to have a Costco membership, which starts at $60 per year.

You’ll notice that the strong suit for this card is actually on gas purchases. Yes, you’ll earn 2% cash back on groceries, but that only matches what you’d get on CNN Underscored’s benchmark credit card, the Citi® Double Cash Card, which earns 1% cash back when you make a purchase, and another 1% cash back when you pay it off.

However, Costco only takes Visa cards at its stores, and since the Citi Double Cash is a Mastercard, it’s not an option for your in-store Costco purchases (though you can use it at costco.com, which accepts credit cards other than Visa).

Outside of your grocery purchases, purchase protection is another reason to use the Costco Anywhere Visa. With this benefit, you’ll be covered if any item you buy with the card is damaged or stolen within 120 days of purchase (90 days for New York residents). The coverage is good for up to $10,000 per item and $50,000 annually — a high cap for a credit card with no annual fee.

Learn more and apply for the Costco Anywhere Visa Card.

If you’ve gotten used to shopping through a delivery service, there’s a good chance that Whole Foods and Amazon Fresh are your go-to apps. Although the Amazon Prime Rewards Visa Signature card requires that you be an Amazon Prime member, this is a no-annual-fee card that earns 5% cash back at Amazon and Whole Foods, and that includes Amazon Fresh deliveries.

Aside from the 5% cash back you’ll receive with your Amazon Prime Visa on all of your Amazon and Whole Food purchases — both in-store and through the apps — you’ll earn 2% cash back at restaurants, gas stations and drugstores. Also, unlike some other cards on our list, there’s no cap to the amount of cash back you can receive for grocery shopping at Whole Foods or Amazon Fresh.

The Amazon Prime Visa card also offers purchase protection, which covers you against damage or theft within the first 120 days of your purchase, up to $500 per claim and $50,000 per account. Although this benefit doesn’t matter much for groceries, it could come in handy for your other Amazon purchases. Just keep in mind that if you’re making a purchase larger than $500, you might want to consider another card that offers higher protection limits.

Learn more and apply for the Amazon Prime Visa card.

For those who shop at Target and buy groceries there as well, the Target REDCard should hold a special place in your wallet. With this card, you’ll receive an immediate 5% discount on most of your Target purchases. No need to wait to receive cash back or a rewards certificate — the amount paid during checkout will be instantly reduced by the discount simply by using the Target REDCard.

One thing to know is that the Target REDCard is what’s known as a “closed-loop” card, which means you can only use it at Target — either in-store or online — and nowhere else. However, Target sells many third-party gift cards for other stores and restaurants, and you can get the 5% discount on those gift card purchases. This theoretically allows you to get a 5% discount at many other merchants as well.

Aside from the 5% discount, there are other perks that come along with the Target REDCard. For example, on an annual basis, card holders receive a 10% discount coupon that can be used during a single Target shopping trip. You’ll also get free delivery for most items bought at target.com without the $35 minimum usually required for free delivery.

Additionally, in past years, card holders received other exclusive Target discounts and extra promotions. There’s no telling what offers we’ll see this year, but typically there are a number of opportunities to save money with the Target REDCard.

If you’d like to accrue points and miles to redeem for travel but don’t want to pay an annual fee, The Amex EveryDay Credit Card could be a great fit. It earns 2 points for every dollar you spend at US supermarkets on up to $6,000 per year in purchases (1x thereafter). You’ll also earn an extra 20% bonus on all points earned after you use your card 20 or more times on purchases in a billing period.

The points earned on the Amex EveryDay are American Express Membership Rewards points, which can be redeemed for up to 1 cent apiece via Amex Travel, or for potentially even more value when you transfer them to any of Amex’s 21 airline and hotel partners. Since The Points Guy values Amex points at 2 cents apiece, assuming you use your card 20 or more times each billing cycle, you’ll earn 2.2 points per dollar at U.S. supermarkets, giving you an effective 4.4% return on those purchases.

Now, if you buy a lot of groceries, you might find that having the Amex EveryDay® Preferred Credit Card from American Express is a better option. Although the EveryDay Preferred card comes with a $95 annual fee, you’ll earn a higher 3 points for every dollar you spend at U.S. supermarkets (again up to the same $6,000 per year cap, then 1x point thereafter).

You’ll also receive a 50% bonus on all points earned after you use your card 30 or more times on purchases in a billing period, which means you’d earn 4.5 points per dollar on those U.S. supermarket purchases. And another benefit to the Amex EveryDay Preferred is that you’ll earn 2 points per dollar at U.S. gas stations.

Whether the Amex EveryDay or Amex EveryDay Preferred is right for you ultimately comes down to your monthly budget in these two categories. If it’s high enough, paying an annual fee could be worth it. But if not, stick with the no-annual-fee version of the card.

If you want a credit card that maximizes the cash back you earn on groceries, then the Blue Cash Preferred Card from American Express is your best bet — always. If you’re more interested in travel points for future trips, the Amex EveryDay and the Amex Gold are also great for earning rewards throughout the year. Or, with its current sign-up bonus in hand, the Chase Freedom Unlimited can blow the other cards out of the water for the first 12 months after you open the account.

But one thing to keep in mind with those options is that shopping at specialty stores, superstores and warehouse clubs won’t earn bonus points. So if most of your grocery purchases aren’t made at supermarkets, you might want to focus on their store-specific credit cards such as the Costco Anywhere Visa for Costco, the Amazon Prime Rewards Visa Signature for Whole Foods and Amazon Fresh or the Target REDCard at Target.

Click here for rates and fees of the Blue Cash Preferred card.
Click here for rates and fees of the Blue Cash Everyday card.
Click here for rates and fees of the Amex Gold card.

Looking for the best overall credit card? Find out which cards CNN Underscored chose as its best credit cards to consider right now.

Get all the latest personal finance deals, news and advice at CNN Underscored Money.

For the first time ever, Amazon is launching a second two-day Prime Day-style event in the same year. Called Prime Early Access Sale, it’s taking place on October 11 and 12. And as we’ve seen for other yearly promotions, there’ll be a ton of deals and a lot of potential savings on some of your favorite products — a great way to get a head start on your holiday shopping.

But when you’re ready to pay for your Prime Early Access Sale purchases, using the right credit card is vital. On top of the holiday deals you’re snagging, you could earn extra cash back or points and miles to put toward future travel, or you might want a card that extends the manufacturer’s warranty in case of loss or damage.

We’ve gone through hundreds of options and picked out seven of the best credit cards for your Amazon Prime Early Access purchases. Our list offers an array of cash back, points and perks — a card for everyone depending on your needs.

Citi® Double Cash Card: Best for cash back
Chase Freedom Unlimited®: Best for flexible rewards
Blue Cash Preferred® from American Express: Best for Amazon gift cards
Amazon Prime Rewards Visa Signature: Best for Amazon Prime members
American Express® Gold Card: Best for purchase protections
Capital One® Venture® Rewards Credit Card: Best for travel rewards
Amazon Business Prime American Express Card: Best for businesses

How did we choose our best credit cards for the Amazon Prime Early Access Sale? Let’s dive into each of these cards and see how they compare to one another.

If you want to keep just one credit card in your purse or wallet to earn cash back on everything you buy — including your Amazon purchases — the Citi Double Cash Card is the way to go. You’ll earn 2% cash back — 1% when you buy, and another 1% when you pay your statement — on all your purchases 365 days a year.

That’s a great return for a no-annual-fee card, and it’s simple — you don’t have to worry about bonus categories or figuring out complicated travel points. The card’s simplicity and solid earning rate is why CNN Underscored chose the Citi Double Cash as its benchmark credit card, and why we use it to compare and contrast other credit cards we review.

Where the Citi Double Cash lags is in its shopping benefits. Unfortunately, the card no longer comes with damage and theft purchase protection, return protection or Citi’s previously well-known Price Rewind benefit.

So despite earning great cash back on your purchase with the Citi Double Cash, if you’re buying something expensive, you might want to choose a card that has you covered in the event your item is broken or lost, or you potentially want to return it after the merchant’s return policy has ended.

Learn more and apply now for the Citi Double Cash Card.

If you’re not sure whether you want cash back or travel points, a good compromise option could be the Chase Freedom Unlimited. With this card, you’ll earn 1.5% cash back on every purchase you make, including those at Amazon. That’s less than the Citi Double Cash, but in exchange for a slightly lower earning rate, you’ll get rewards that are potentially more valuable down the line.

When you pair the Chase Freedom Unlimited with a premium Chase Ultimate Rewards card, such as the Chase Sapphire Preferred® Card or Chase Sapphire Reserve®, you can convert your cash back to travel points at a rate of 1 cent per point. Then you’re able to redeem those points for travel at an increased value of 1.25 to 1.5 cents apiece via the Chase travel portal, or in other categories by using Chase’s “Pay Yourself Back” tool.

Even better, once you’ve converted your cash back to points, you can transfer them to any of Chase’s 14 airline and hotel loyalty partners. This amazing flexibility is why frequent flyer website The Points Guy values Chase Ultimate Rewards points at 2 cents apiece. At that rate, since you’re earning 1.5% cash back on the Freedom Unlimited, you could effectively end up with a 3% return on all of your Amazon purchases.

Now, rewards earned with the Citi Double Cash as part of its cash back program can also be used as travel points when you combine them with the Citi Premier® Card. But Citi’s list of transfer partners, while technically bigger than Chase’s, doesn’t have a lot of great domestic airline options, though it does feature hotel chains such as Choice Hotels and Wyndham.

You’ll also find that the Chase Freedom Unlimited is an ideal card to use in several bonus categories. The card earns 3% cash back for dining (including eligible delivery services), 3% cash back at drugstores and 5% cash back on travel booked through Chase Ultimate Rewards. Other benefits include purchase protection and extended warranty protection.

Learn more and apply now for the Chase Freedom Unlimited.

The Blue Cash Preferred from American Express doesn’t earn as much cash back as other cards when you use it to pay for your purchases at Amazon. But thanks to a small workaround, you can actually score a ton of cash back on your Amazon purchases with this card if you’re willing to take one extra step.

One of the best perks of the Blue Cash Preferred is that it earns 6% cash back (in the form of Reward Dollars that can be redeemed as a statement credit) at U.S. supermarkets on up to $6,000 per year in purchases (then 1%). Since many supermarkets sell Amazon gift cards, you can use your Blue Cash card to buy a few and load them into your own Amazon account to use on future Amazon purchases.

If you’re comfortable taking this extra step, you’ll earn 6% cash back for buying the Amazon gift cards at a U.S. supermarket, which means you’re effectively earning 6% cash back on Amazon purchases you make when you use those gift cards for yourself. That’s an even better return than Amazon’s own credit card.

Just be aware that when you use gift cards for your Amazon purchases, you’re losing any credit card protections you would normally get if you paid for them directly with your credit card, such as an extended warranty or purchase protection. Even if you use a credit card that offers those benefits when purchasing an Amazon gift card, the benefits don’t pass through when the gift card is redeemed.

So while the Blue Cash Preferred earns the most cash back at Amazon via gift cards on a regular basis (and the American Express Gold card mentioned below is another top contender for purchasing Amazon gift cards), for items where you might want purchase protections — especially on electronics — you might be better off using a credit card directly versus buying a gift card to earn a few extra rewards.

Learn more about the Blue Cash Preferred from American Express.

If your No. 1 goal is to earn as much cash back as you can at Amazon on an everyday basis, then the Amazon Prime Rewards Visa Signature is the way to go. This card always offers 5% cash back at Amazon and Whole Foods, 2% cash back at restaurants, gas stations and drugstores and 1% back on everything else. That’s a better return at Amazon throughout the year than any other card on our list.

Although we haven’t seen a heightened bonus yet in preparation for the Amazon Prime Early Access Sale, typically during these major events it’s not uncommon for the Amazon Prime Rewards Visa Signature to offer up to 20% cash back on select purchases (including the regular 5% cash back you normally receive). Of course, there’s no guarantees that will happen again this year, but it’s been a common promotion over the past few years.

Additionally, new Amazon Prime Rewards Visa Signature card holders can get a $100 Amazon gift card instantly upon approval for the card.

But there’s one caveat: You must have an Amazon Prime membership to get an Amazon Prime Rewards card, and that can cost as much as $139 per year. Of course, if you’re looking for a card specifically for Amazon purchases, there’s a good chance you’re already a Prime member, in which case this card could be your best option.

While the Amazon Prime Rewards card technically earns points, the points can only be redeemed for a maximum of 1 cent apiece for a statement credit, a direct deposit to a checking or savings account or to pay for Amazon purchases. The card also offers extended warranty protection and purchase protection, but the coverage isn’t as comprehensive as some other credit cards.

For instance, with the card’s extended warranty protection, you’ll get an additional year on eligible warranties of three years or fewer. On the purchase protection side, you’ll be covered on your purchase for 120 days against damage or theft, but only up to $500 per claim and $50,000 per account. If you’re making expensive purchases, these protections won’t cover you as well as some other cards on our list.

And if you’re a regular Amazon shopper but would prefer to just get a store card instead of a credit card, you can apply for the Amazon.com Store Card, which offers financing options depending on the size of your Amazon purchases. Store credit cards are also typically easier to be approved for, as they generally require a lower credit score. But unlike the Amazon Prime Rewards Visa, the Amazon Store card can’t be used anywhere but at Amazon.

Learn more and apply for the Amazon Prime Rewards Visa.

While earning the most cash back or points on your purchase is important, there are sometimes other factors you’ll want to consider when making large purchases. Two credit card benefits that you’ll especially want to factor in are purchase protection and an extended warranty.

Purchase protection protects eligible items you buy against damage or theft. With this protection, you’ll be covered against the cost of replacing or repairing the item. With the American Express Gold card, you’ll get purchase protection for 90 days from the date of purchase, up to $10,000 per claim and $50,000 per card member account per calendar year.

This makes the Amex Gold a fantastic card to use on eligible Amazon purchases, especially the more expensive ones (think big-screen TVs, SLR cameras and computers). Purchase protection is a common benefit among credit cards, but many other cards are capped at $500 to $1,000 per claim, which can be limiting for those more expensive items.

Another great benefit to have on your credit card is an extended warranty. When you charge a covered purchase to the Amex Gold, you’ll get up to one extra year added to the original manufacturer’s warranty of five years or less. Coverage is up to the actual amount charged to your card for the item, up to a maximum of $10,000 per item and $50,000 per card member per calendar year.

And similar to the Blue Cash Preferred, you’ll also earn bonus points at U.S. supermarkets with the Amex Gold, so you can take advantage of the card’s higher rewards rate by purchasing Amazon gift cards on your next grocery trip and earn 4 points for every dollar you spend, up to $25,000 in purchases per year (then 1 point per dollar thereafter). Just keep in mind that you’ll lose your purchase protection and extended warranty benefits if you go this route, since they don’t carry over through gift cards.

Learn more about the American Express Gold Card.

If you want to plan a vacation by earning miles you can redeem for any travel purchase you make, the Capital One Venture Rewards card is one to consider.

With the Capital One Venture, you’ll earn 2 miles for every dollar you spend on every purchase, and the miles can then be redeemed for any travel purchase on your credit card statement in the previous 90 days. This includes hotels, airfare, train rides, taxis, Ubers, Airbnb stays and more. When you redeem Capital One miles this way, you’ll get 1 cent per mile in value.

Alternatively, you can also transfer your miles to many airline and hotel loyalty programs, such as Wyndham Rewards, British Airways Avios and many great partners. Frequent flyer website The Points Guy values Capital One miles at 1.85 cents apiece because they can be transferred to these partner programs, which means your miles can potentially be worth more than just 1 cent each.

The Capital One Venture card also comes with extended warranty protection and up to a $100 credit toward the application fee for Global Entry or TSA PreCheck. It has a $95 annual fee, but no foreign transaction fees.

Earn a great sign-up bonus with the Capital One Venture credit card.

For businesses that make a lot of purchases at Amazon, the Amazon Business Prime American Express Card has a unique feature that could be extremely valuable right now. The card offers a choice of either 5% cash back on U.S. purchases at Amazon — including Amazon Business, AWS and Whole Foods Market — on the first $120,000 in purchases each calendar year (then 1% cash back thereafter), or an interest-free 90 days to pay for those purchases. The cash back is earned in points, which can then be redeemed for eligible purchases at Amazon.

With cash flow tight over the few years for many businesses, having the ability to pay for your Amazon purchases in 90 days without accruing any interest could be a huge help. And the card also earns 2% cash back at U.S. restaurants, U.S. gas stations and on wireless telephone services purchased directly from U.S. service providers, as well as 1% cash back on all other purchases. There’s also no annual fee or foreign transaction fees on the card.

Just keep in mind that you need to have an Amazon Prime or Business Prime membership to be eligible for this card — businesses without a Prime membership can consider the Amazon Business American Express Card instead.

With so many credit cards available to use at Amazon, you’re probably wondering which card is best.

If you want a card that offers straight cash back, you might find the Citi Double Cash to be the ideal choice. Or, if your goal is to earn points for travel, you’ll want to consider the Chase Freedom Unlimited or Capital One Venture.

But during Amazon’s major yearly sales, such as the upcoming Prime Early Access Sale, you’ll most likely find that the Amazon Prime Rewards Visa is your best bet, since there are so many promotions exclusively for card holders. And if you’re a small-business owner, then the Amazon Business Prime American Express may be the best choice when shopping at Amazon.

Now, if your chief concern is protecting your purchase, regardless of the cash back or travel rewards you’d earn, consider the American Express Gold card. And if you’re willing to go the extra step of purchasing Amazon gift cards at U.S. supermarkets, then the Blue Cash Preferred or Amex Gold can earn you the most cash back or travel rewards.

Looking for the best overall credit card? Find out which cards CNN Underscored chose as its best credit cards currently available.

American Express purchase protection and extended warranty eligibility and benefit levels vary by card. Terms, conditions and limitations apply. Visit americanexpress.com/benefitsguide for more details. Underwritten by AMEX Assurance Company.

Get all the latest personal finance deals, news and advice at CNN Underscored Money.