Best Credit Cards for Grocery Shopping

POPSUGAR Smart Living

Source: Best Credit Cards For Grocery Shopping

If groceries are a common expense for you, why not take advantage of it by choosing the credit card that will give you optimal rewards for supermarket spending. After all, if travel is not your thing, it wouldn't make any sense for you to sign up for a credit card that's best for flights and hotels. Here are the cards that'll get you the best rewards if grocery shopping is one of your biggest expenditures:


Blue Cash Preferred® Card from American Express

  • Rewards: Get six percent cash back when spending in US stand-alone supermarkets. The first $6,000 spent in supermarkets will qualify for the six percent cash back. After that, you will receive one percent cash back. Get three percent cash back on gas at at stand-alone gas stations and select department stores. Get one percent cash back on all other purchases.

  • Sign-up bonus: Earn $150 reward dollars for spending $1,000 within three months.

  • Annual fee: $75.

  • APR:The APR rate is zero for the first year, then 12.99 percent to 21.99 percent.

  • Pros: The points are easy to redeem and you can start earning cash back as soon as you get the card. You also get the typical benefits as an American Express card holder which includes roadside assistance, car rental damage and loss insurance, extended warranty for up to one year, and more. Further, you get access to the Blue Savings program, that offers members discounts on things like Hertz rentals (up to 25 percent off) and more.

  • Cons: Fees are pretty high and don't get waived in the first year. You need a high credit score to get approved. There is a 2.7 percent foreign transaction fee and American Express isn't accepted everywhere.



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Blue Cash Everyday® from American Express®

  • Rewards: Three percent cash back at US stand-alone supermarkets. The first $6,000 spent in supermarkets will qualify for the three percent cash back. After that, you will receive one percent cash back. Get two percent cash back from US stand-alone gas stations and select department stores, and one percent cash back on all other purchases.

  • Sign-up bonus: Earn 100 reward dollars if you spend $1,000 in the first three months.

  • Annual fee: No annual fee.

  • APR:The APR rate is 12.99 to 21.99 percent. But you'll get a zero percent APR rate for the first 12 months.

  • Pros: The points are easy to redeem and you can start earning cash back as soon as you get the card. You also get the typical benefits as an American Express card holder which includes roadside assistance, car rental damage and loss insurance, extended warranty for up to one year, and more. Further, you get access to the Blue Savings program, that offers members discounts on things like Hertz rentals (up to 25 percent off) and more.

  • Cons: Foreign transaction fee is 2.7 percent and American Express isn't accepted everywhere.


Target REDcard

  • Rewards: Get five percent back when shopping in Target stores and on Target's website.

  • Sign-up bonus: None.

  • Annual fee: No annual fee.

  • APR: 22.9 percent.

  • Pros: Get free shipping if you shop from Target.com and an extra 30 days to return an item. Instead of the credit card, you can even choose to get a debit card and still access the same rewards.

  • Cons: High APR rate. Can't use this card outside of Target.



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U.S. Bank Cash+™ Visa Signature® Card

  • Rewards: Two percent cash back on groceries. But you'll have to choose between getting two percent cash back on groceries or gas or drugstores. You can get five percent cash back on up to two select categories like department stores, restaurants, home improvement stores, airlines, and more.

  • Sign-up bonus: None mentioned.

  • Annual fee: No annual fee cited. It says you have to see your local branch for details.

  • APR: No APR estimate cited. It says you have to see your local branch for details.

  • Pros: No limit on cash back earned.

  • Cons: APR rate may be high depending on your credit score and there's not much information on the website about the rate you can expect and the fees. You need to enroll in spending categories every quarter or you'll only get one percent cash back on purchases.


BankAmericard Cash Rewards™ Credit Card

  • Rewards: Two percent back on groceries and three percent back on gas for the first $1,500 in combined gas and grocery purchases each quarter. Otherwise, you get one percent cash back on all purchases.

  • Sign-up bonus: Get $100 cash back bonus after you spend $500 in the first three months.

  • Annual fee: No annual fee.

  • APR: Zero percent for the first 12 months, then 12.99 percent to 22.99 percent.

  • Pros: Get a 10 percent cash reward bonus when you redeem your rewards directly into your Bank of America checking or savings account. Rewards are automatic and do not expire. You get travel and emergency assistance and automatic car rental insurance.

  • Cons: The APR rate is pretty high, and there is a three percent foreign transaction fee. There is a cap on rewards for grocery spending.


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Disney Premier Visa® Card from Chase

  • Rewards: Two percent back in reward dollars on purchases made in grocery stores, gas stations, restaurants, and purchases made in Disney locations. One percent back in reward dollars on other purchases. Reward dollars can only be redeemed for Disney-related purchases and airline tickets.

  • Sign-up bonus: Earn $100 Disney gift card if you spend $500 within the first three months.

  • Annual Fee:$49.

  • APR: Zero APR in the first six months, then 14.24 percent.

  • Bonus: No cap on amount you earn and discount retailers like Target and Walmart are categorized under supermarket spending. Lots of discounts when you visit the Disney theme park.

  • Cons: Reward dollars can only be redeemed for Disney-related purchases and airline tickets. It only makes sense if you frequently visit Disney theme parks or buy a lot of Disney merchandise.


As always, be careful when you're using credit cards, and if you don't have the means to pay it back in full before the end of the month, you should consider spending less.