Best Cash Back Credit Cards

Cash back credit cards are a great personal finance tool. They offer many standard credit card perks and features, plus, they allow you to earn cash rewards whenever you use your card.

Choosing a cash back credit card can be a lot of fun – after all, they come in all shapes and sizes, and there are many offers to consider.

However, there are also many things that you need to be on the lookout for before deciding on one. Knowing what to consider can help you make as much extra money as possible without incurring too many costs.

Best Cash Back Credit Cards for February 2023

Here are the best cashback credit cards for February:

  1. Citi Custom Cash℠ Card: $200 bonus
  2. Ink Business Unlimited® Credit Card: $900 bonus
  3. Chase Freedom Flex℠: $200 bonus
  4. Chase Freedom Unlimited®: $200 bonus
  5. Ink Business Cash® Credit Card: $900 bonus
  6. Blue Cash Preferred® Card from American Express: $250 bonus
  7. Citi® Double Cash Card - 18 month BT offer: up to 2% Cash Back
  8. Capital One Quicksilver Cash Rewards Credit Card: $200 bonus
  9. U.S. Bank Cash+® Visa Signature® Card: $200 bonus
  10. Discover it® Cash Back Credit Card: Cash Back Match bonus

Citi Custom Cash℠ Card Logo1. Citi Custom Cash℠ Card

Citi is offering new Custom Cash℠ Card cardmembers a welcome bonus of $200 when spending $1,500 in the first six months of ownership.

This is in addition to the 5% cash back each month on purchases in your top eligible spend category each billing cycle (up to the first $500 spent, 1% thereafter).

The Citi Custom Cash Card is a great addition to your wallet if you’re looking for a set it and forget it cashback card with some variety. Rather than the standard cashback tiers of other cards, it gives you 5% rewards on your top spending category each statement up to a spending limit.

Citi Custom Cash℠ Card - $200 bonus

The Citi Custom Cash℠ Card offer requires you to make purchases using the account's card in order to earn the $200 bonus. Full requirements to receive this bonus are:

  1. Apply for a new Citi Custom Cash℠ Card using the link below.
  2. Within 6 months, spend $1,500 using your new card.
  3. Bonus will be credited as $200 cash back.

read the full terms

Ink Business Unlimited® Credit Card Logo2. Ink Business Unlimited® Credit Card

In addition to the other card perks like cash back and no annual fee, Chase is offering a $900 bonus to new Ink Business Unlimited® cardholders.

They've lowered the spending threshold and raised the bonus amount in their BEST offer ever on this card!

The Ink Business Unlimited Card from Chase offers steady cashback across all categories, so you don’t have to worry about tracking bonus categories or spending caps. It’s a great option for earning modest rewards with a welcome bonus and a host of ongoing incentives for applicants.

Ink Business Unlimited® Credit Card - $900 bonus

The Ink Business Unlimited® Credit Card offer requires you to make purchases using the account's card in order to earn the $900 bonus. Full requirements to receive this bonus are:

  1. Apply for a new Ink Business Unlimited® credit card using the link below.
  2. Within 3 months, spend $6,000 using your new card.
  3. Bonus will be credited within 6 to 8 weeks in the form of 90,000 points, which can be redeemed for $900 cash.

read the full terms

Chase Freedom Flex℠ Logo3. Chase Freedom Flex℠

In addition to the other card perks like cash back and no annual fee, Chase is offering a $200 bonus to new Chase Freedom Flex℠ cardholders.

You will also earn 5% cash back on grocery store purchases (excluding Target® and Walmart®) on up to $12,000 spent in the first year, which equates to a possible $600 additional bonus if you max the benefit.

If you’re willing to monitor categories and spend strategically, you can really maximize your earnings with the Chase Freedom Flex Card. It provides a welcome bonus, generous cashback rewards, and rotating quarterly bonus categories with a slew of other perks.

Chase Freedom Flex℠ - $200 bonus

The Chase Freedom Flex℠ offer requires you to make purchases using the account's card in order to earn the $200 bonus. Full requirements to receive this bonus are:

  1. Apply for a new Chase Freedom Flex℠ credit card using the link below.
  2. Within 3 months, spend $500 using your new card.
  3. Bonus will be credited within 6 to 8 weeks in the form of 20,000 points, which can be redeemed for $200.

read the full terms

Chase Freedom Unlimited® Logo4. Chase Freedom Unlimited®

In addition to the other card perks like cash back and no annual fee, Chase is offering a $200 bonus to new Chase Freedom Unlimited® cardholders.

Plus, Chase recently updated this offer to also include 5% cash back on the first $12,000 spent at grocery stores within the first year. If you max that benefit, you could see an extra $600 in your pocket, in addition to the $200 welcome offer.

Tip: Want to earn even more? You can earn an additional $500 cash back each year by referring friends, with each successful referral earning you $100.

If you’re looking for a card that works for you on all fronts, check out Chase Freedom Unlimited. With enticing offers for new cardholders, top-notch rewards, and flexible redemption options, it brings more to the table than a lot of no-annual-fee cards.

Chase Freedom Unlimited® - $200 bonus

The Chase Freedom Unlimited® offer requires you to make purchases using the account's card in order to earn the $200 bonus. Full requirements to receive this bonus are:

  1. Apply for a new Chase Freedom Unlimited® credit card using the link below.
  2. Within 3 months, spend $500 using your new card.
  3. $200 Bonus will be credited within 6 to 8 weeks.

read the full terms

Ink Business Cash® Credit Card Logo5. Ink Business Cash® Credit Card

In addition to the other card perks like cash back and no annual fee, Chase is offering a $900 bonus to new Ink Business Cash® cardholders.

They've lowered the spending threshold and raised the bonus amount in their BEST offer ever on this card!

The Chase Ink Business Cash Card is a great rewards card for small business owners, especially if you rack up a lot of telecom and office supply purchases. Since the card earns Chase Ultimate Rewards, you can redeem them a number of ways, making the fee-free card even more appealing.

Ink Business Cash® Credit Card - $900 bonus

The Ink Business Cash® Credit Card offer requires you to make purchases using the account's card in order to earn the $900 bonus. Full requirements to receive this bonus are:

  1. Apply for a new Ink Business Cash® credit card using the link below.
  2. Within 3 months, spend $6,000 using your new card.
  3. Bonus will be credited within 6 to 8 weeks in the form of 90,000 points, which can be redeemed for $900 cash.

read the full terms

Blue Cash Preferred® Card from American Express Logo6. Blue Cash Preferred® Card from American Express

American Express has quite a few welcome offers on their credit cards, starting with their Blue Cash Preferred Card. Here you can earn $250 back as a statement credit after making $3,000 worth of purchases within the first six months.

The card offers 6% back at U.S. super markets (on up to $6,000 per year in purchases, then 1%), 6% on select U.S. streaming subscriptions, 3% on U.S. transit and gas stations, and 1% on all other eligible purchases. *terms apply.

Once you've earned at least $25, you can choose to receive your rewards as statement credits, gift cards or merchandise.

Families with large grocery bills can rack up some serious cash back rewards with the American Express Blue Cash Preferred Card. The card is also also great for rewards on streaming services, gas, and transit costs.

Blue Cash Preferred® Card from American Express - $250 bonus

The Blue Cash Preferred® Card from American Express offer requires you to make purchases using the account's card in order to earn the $250 bonus. Full requirements to receive this bonus are:

  1. Apply for a new Blue Cash Preferred® Card using the link below.
  2. Within 6 months, spend $3,000 using your new card to earn $250 as a statement credit.
  3. Bonus will be credited within 8-12 weeks of meeting the requirements in the form of statement credits.

read the full terms

Offer Terms | Rates & Fees

Citi® Double Cash Card - 18 month BT offer Logo7. Citi® Double Cash Card - 18 month BT offer

You'll earn up to 2% cash back each month on purchases (1% when you buy + 1% when you pay).

The Citi® Double Cash Card is hard to beat when it comes to straightforward rewards with no annual fee. You get a flat rate of 2% rewards—1% when you buy and another 1% when you pay it back—an incentive to build up your credit score by making payments on time.

Citi® Double Cash Card - 18 month BT offer - up to 2% Cash Back

The Citi® Double Cash Card - 18 month BT offer offer requires you to make purchases using the account's card in order to earn the 2% Cash Back. Full requirements to receive this bonus are:

  1. Apply for a new Citi® Double Cash Card using the link below.
  2. Spend with your new card, earn 1% cash back.
  3. By the due date, pay at least the minimum balance due, earn an additional 1% cash back.

read the full terms

Capital One Quicksilver Cash Rewards Credit Card Logo8. Capital One Quicksilver Cash Rewards Credit Card

The Capital One Quicksilver Cash Rewards Credit Card comes with a $200 welcome bonus. All you need to do to qualify is make $500 worth of purchases within three months of opening the account.

The card has no annual fee, and cardholders also enjoy experiences such as VIP tickets and 5-star meals, among other perks.

The Capital One Quicksilver Cash Rewards Credit Card is a straightforward option, with a decent flat interest rate across all spending categories. While some cards offer more cash back and perks, it's a good choice if you don’t want to worry about tracking your spending in bonus categories.

Capital One Quicksilver Cash Rewards Credit Card - $200 bonus

The Capital One Quicksilver Cash Rewards Credit Card offer requires you to make purchases using the account's card in order to earn the $200 bonus. Full requirements to receive this bonus are:

  1. Apply for a new Capital One Quicksilver Cash Rewards Credit Card using the link below.
  2. Within 3 months, spend $500 using your new card.
  3. Bonus will be credited to your rewards balance within 2 billing cycles.

read the full terms

U.S. Bank Cash+® Visa Signature® Card Logo9. U.S. Bank Cash+® Visa Signature® Card

U.S. Bank's Cash+ Visa Signature Card offers new cardholders a welcome bonus of $200 after spending $1,000 on eligible purchases within the first 120 days of opening the account.

This is up from their old offer of $150, but the spend requirement is also higher (the old offer required $500 within 90 days).

The Cash+ Visa Signature Card offers a customizable cashback scheme, and no annual fee.

If you’re a rewards card strategist, the U.S. Bank Cash+ Visa Signature might be worth adding to the collection to maximize your rewards, offering solid rewards across its bonus categories. However, it isn’t our top pick as a standalone cashback card, with more rewarding—and less complicated—options out there.

U.S. Bank Cash+® Visa Signature® Card - $200 bonus

The U.S. Bank Cash+® Visa Signature® Card offer requires you to make purchases using the account's card in order to earn the $200 bonus. Full requirements to receive this bonus are:

  1. Apply for a new U.S. Bank Cash+® Visa Signature® Card using the link below.
  2. Within 120 days, spend $1,000 using your new card.
  3. Bonus will be credited to your rewards account within 6 to 8 weeks of meeting the requirement.

read the full terms

Discover it® Cash Back Credit Card Logo10. Discover it® Cash Back Credit Card

The Discover it® Cash Back credit card offers new cardholders a bonus 2X "Cashback Match" on all cash back earned in the first year. This means that if you earned $150 in cash back, Discover will give you an additional $150.

You'll be automatically enrolled when you open your new account, and there's no limit to how big of a bonus you can earn.

Keep in mind that this deal is in addition to the 0% intro APR that both cards offer for the first 15 months.

Discover it® Cash Back Credit Card - Cash Back Match bonus

The Discover it® Cash Back Credit Card offer requires you to make purchases using the account's card in order to earn the Cash Back Match bonus. Full requirements to receive this bonus are:

  1. Apply for a new Discover it® Cash Back or Discover it® Chrome credit card using the link below.
  2. For the first year, use your credit card to earn cash back: for Discover it® Cash Back, you'll earn 5% in rotating categories, 1% on everything else; for Discover it® Chrome, you'll earn 2% at gas stations and restaurants, 1% on everything else.
  3. After 12 consecutive billing cycles, bonus cash will be credited to your rewards account within 2 billing cycles.

read the full terms

What Are Cash Back Credit Cards?

Cash back credit cards are credit cards that offer cash back on purchases made through that credit card. Cash can be rewarded in several ways, including instant cash back, rewards cash back, and statement credits.

In most cases, cashback is rewarded through funds deposited directly into your account.

As such, you’ll be able to spend your rewards anywhere you like without restrictions. There are exceptions that you must keep in mind, such as cards that offer statement credit cash back.

You can only use this cashback to pay off your credit card bills. On the other hand, cards that offer rewards cashback work similarly to store gift cards that you can only spend at specific places.

How Do Cash Back Credit Cards Work?

Cash back credit cards function just like any other type of credit card. The only difference is that you earn a percentage of what you spend back as a cashback reward.

Cashback is typically rewarded at the end of the statement cycle, meaning you get a monthly cash bonus. However, this is not a rule – so you may encounter exceptions.

Some banks will reward you with cashback as soon as the purchase is verified from their end.

Either way, cash back awards you a fixed dollar value based on your spending. The rewards structure and available rewards categories differ from one card to another, which is why a little research can help you make sure you pick the right card.

Types of Cash Back Credit Cards

Not all cash back cards work in the same way. Generally speaking, each one will fall into one of four categories. The type and structure of rewards may influence how much money you make depending on your spending habits.

Here are the four main categories that you need to be aware of:

1. Flat Rate

Flat-rate cash back cards give you a fixed reward rate on all eligible purchases. Rewards are typically restricted to one general category, such as everyday purchases.

It is worth pointing out that most, if not all, banks will append the word eligible when defining which purchases earn cash back. While most regular purchases will be eligible, not all purchases will earn cash back – even if your card has one cash back rate for all purchases. Card issuers will regularly note that terms apply for this reason.

  • Citi Double Cash Card

2. Tiered

Tiered cash back credit cards pay out different rates for different purchase categories. Most specialized cash back credit cards will offer tiered cash back.

For example, a credit card might offer 3% cash back on dining out, but 1% on all other purchases.

  • Capital One SavorOne Cash Rewards Credit Card

3. Dynamic Bonus Categories

Rotating bonus categories work similarly to tiered cash back credit cards. The only difference here is that the bonus categories change periodically- typically every month or every quarter.

Some credit card issuers allow you to pick and choose the category of your choice, while some rotating category cards may come with preset categories.

  • Chase Freedom Flex

4. Co-Branded

Co-branded cash back credit cards are for customers of a particular organization or retailer program. Large retailers such as Walmart or Amazon commonly run these sorts of programs.

  • Amazon Prime Rewards Visa Signature Card

Common Cash Back Categories

Cash rewards can fall into all sorts of categories. These credit card spending categories define how your rewards will be structured and allow you to choose a card that offers cash back on the purchases you make the most.

While not all banks offer the full complement of categories, here are some of the most common cash-back categories you’ll find today:

  • Drugstore purchases
  • Grocery store purchases
  • Amazon purchases
  • U.S. gas stations purchases
  • Streaming services subscriptions
  • Travel purchases
  • Takeout and dining
  • Everyday purchases
  • Wholesale clubs
  • Online shopping

How to Compare the Best Cash Back Credit Cards

Choosing a cash back credit is hardly ever easy.  Many banks offer amazing cash back credit cards that seemingly try to one-up each other.

To maximize your rewards, selecting a cash-back card that closely aligns with your spending habits is essential.

Also consider the following aspects of cash back credit cards to ensure you get as good, if not great, of a deal as possible.

Annual Fee: Some cards come with an annual fee. Annual fees vary from card to card, so carefully weigh whether you’re earning enough cash back to make the fee worthwhile.

Fees: Consider any other applicable fees such as foreign transaction fees, late payment fees, returned payment fees, and any others that might apply.

Interest Rates: The card’s interest rate, listed as APR (Annual Percentage Rate), is the interest rate you’ll need to pay on your balance. Most cards come with an interest rate range. The applicable rate will depend on several factors, including your credit score (e.g., excellent credit can earn you better interest rates).

Not paying off your credit card balance in full each month will offset the value of any cashback earned.

Cash Back Categories: Cash back credit cards that offer rewards for spending on the things you regularly buy will help you save more money. A card offering cash back on groceries might not sound as exciting as one that offers bonus cash back on categories like clothes and electronics; however, evaluate your spending to see which will earn more in the long-run.

Cash Back Percentage: The actual cashback percentage and the hard limit on the cash amount you can earn may influence how much total cash back you earn. Some cards come with unlimited cash back, while others have a cap on potential earnings.

Sign-Up Bonus: A lot of credit cards come with a sign-up bonus. Think of these bonuses as free money as a thank you for choosing the card. Make sure you go through the applicable terms and qualifying criteria. Also, remember to look at the big picture rather than being blinded by bonuses alone.

Perks: Many cards include additional perks like cell phone protection and insurance. These are always worth factoring in but do consider what actual value they bring to your finances. You should also think about redemption options because not all of them might work for you.

Intro APR: Many cards have an introductory APR rate usually much lower than the standard applicable rate. Think of this as a welcome bonus typically running for the first year from account opening. While any short-term APR offer is good, consider the applicable rate once the honeymoon period is over. Keep in mind that paying any interest will likely negate the value of cash back.

Balance Transfer Fee: If you’re transferring a credit card balance, different transfer fees may apply. Some cards offer intro balance transfer rates; however, it’s good practice to consider any future transfers and their applicable rates.

Terms and Conditions: All cards come with fine print, otherwise known as terms and conditions. With credit card debt being a big problem for many Americans, reading through any applicable T&Cs will help you avoid troubles down the line.

How to Maximize Cash Back Rewards

Once you get your hands on your cash back rewards credit card, it is important to maximize the rewards program to your benefit.

The most important way to ensure your cashback earnings are secure is to make payments in full. Late payment fees and interest rates will wipe out any cash back you make in no time.

Reviewing your spending habits regularly to ensure you have enough money left in your budget to cover all payments is a must.

You might also need to reconsider where and how you make your purchases to earn as much cash back as possible.

Introductory and seasonal card offers can also help you boost your earnings. Here, it is important to consider the bigger picture. For example, a higher cashback percentage does not mean you should overspend.

Remember that any money spent on your credit card needs to be paid back. Always ensure you spend wisely and never buy things for rewards alone.

Pros and Cons of Cash Back Credit Cards

Just like everything else, cash back credit cards have pros and cons. Several factors will determine the advantages and disadvantages a cash back credit card will have for you.

Pros

  • Rebates on purchases – Using a cash back credit card is like getting a rebate on purchases. While the percentage might not be very high, over time, it adds up.
  • Flexibility – Cash back credit cards come in all shapes and sizes, making it likely to find one that fits your budget and lifestyle.

Cons

  • Interest – Just like other credit cards, a cash back credit card has an APR interest rate, making it potentially expensive. If you use your card wisely and pay off your balances, you can easily avoid this.

Frequently Asked Questions

What’s the highest paying cash back credit card?

The highest cash back credit card will depend on which card you qualify for and your spending habits. A good welcome offer, such as bonus cash or 0% introductory APR, may also help you ensure you make the most out of your new card.

Is cash back from a credit card taxable?

No. The IRS treats cash back as a rebate, and no tax applies to these earnings.

Does cash back expire?

Whether cash back expires or not will largely depend on the card. Some cards will keep the cash back active for as long as you pay the annual fee to keep the card active. Others may impose a deadline by which you need to redeem it.

Are cash back credit cards worth it?

Cash back credit cards can be worth it if used within the limits of your usual spending habits. You might want to look at your annual spending to see where you spend the most, then choose a credit card that rewards you for those categories.

You will also need to consider the interest rates and fees. While interest rates depend on several factors, such as your credit score, many credit card providers have fixed fees.

Some cards, such as the Capital One SavorOne Cash Rewards credit card and Wells Fargo Active Cash Card, have no annual fee.

How can I redeem cashback earnings?

Cash back redemption can vary from one card to another. Always ensure you’re familiar with your card’s terms to avoid missing out. Some cards will instantly redeem your cash back without having to do anything on your part. Others may require you to redeem them after collecting enough points.

Should I get a cashback card or a travel card?

Travel credit cards offer rewards that better suit cardholders who travel often. A cashback card will reward you with cashback on other certain categories, helping you earn money back even if you do not travel.

Is cash back or points better?

Which card type is better depends on what you hope to get out of your card. The card’s cashback categories are perhaps more important when learning what you can earn and how.

Make sure you refer to our cash back credit card comparison list for a better picture of what you need to consider when making a decision.

Is 2% cash back a lot?

Whether or not 2% cash back is a lot depends on the eligible categories and whether there is a hard ceiling on how much money you can earn. It’s always important to consider every aspect of your preferred card, as lower cashback rates might be made up for in other ways.

Should I have two cash back credit cards?

Cardholders constantly reaching their cashback ceiling might want to consider getting a second card. Keep in mind that this might mean more fees to pay.

Having two credit cards might also affect your credit score. Alternatively, you should consider a travel rewards credit card to get rewards on bookings and other travel-related expenses if you travel a lot.

Are Cash Back Credit Cards a Good Idea For You?

A cash back credit card is a simple way to earn cash back on everyday purchases, but remember that you must make all payments on time, as interest charges can wipe out any cash back you make.

Furthermore, you need to choose a cash back credit card that fits your lifestyle. Like all other credit cards, you must use cash-back cards responsibly.

While it’s easy to treat them like free money or use them for emergencies, they are a costly form of credit. Used wisely, they can help you build your credit history and, with cashback cards, even help you earn a little bit of extra money when making your everyday purchases.