5 best cash back credit cards of October 2023,Best overall cash back card ,Best cash back card for the household CFO,Best cash back card for students.
Credit cards continue to serve as a valuable tool for managing cash flow and financing significant purchases, a trend that is likely to persist. In fact, the average person holds around four credit cards.
With this in mind, why not take advantage of cash back rewards when making credit-based purchases?
Perhaps you’re uncertain about how to select the most suitable option. If that’s the case, don’t worry, as we’ve undertaken the rigorous task for you. The Fortune RecommendsTM team conducted an extensive assessment of over 50 cash back credit cards currently available, ranking them based on criteria like annual fees, rewards structure, annual percentage rate (APR), consumer benefits, and more. Continue reading to discover our top recommendations.
Best overall cash back card
The Navy Federal Visa Signature® Flagship Rewards credit card boasts numerous enticing features, including a substantial sign-up bonus, a competitive rewards program, and a range of valuable additional benefits.
Navy Federal Visa Signature® Flagship Rewards Card
| Key numbers | |
| Welcome bonus | 40,000 bonus points (a $400 value) |
| Annual fee | $49 |
| Regular APR | 15.24%–18% |
| Recommended credit score | Good to excellent |
click here – Best Travel Credit Cards for February 2024
Why we like this card
The Navy Federal Visa Signature Flagship Rewards card excels in several key areas for cash back cards. It offers a compelling base rewards rate of 2x points per dollar, with 3x points on travel expenses. Cardholders can benefit from a generous 40,000 bonus points sign-up reward, equivalent to $400, by spending $4,000 within the first 90 days of account opening. Additionally, the card includes a year of Amazon Prime, valued at $139, and provides travel perks such as a statement credit for Global Entry or TSA Precheck and zero foreign transaction fees. The $49 annual fee is outweighed by the card’s value.
Pros:
- Competitive APR, especially for applicants with strong credit.
- Substantial sign-up bonus.
- Attractive base rewards rate.
Cons:
- $49 annual fee.
- Membership in the credit union is required to apply.
Card Details:
- Balance transfer APR: 15.24%–18.00% variable.
- Cash advance APR: 2% above your variable APR.
- Penalty APR: 18.00%.
- Late payment fee: Up to $20.
- Foreign transaction fee: None.
- Rewards: 3x points on travel, 2x points on all other purchases.
- Consumer benefits: Purchase protection, travel accident insurance, auto rental collision damage waiver, lost luggage reimbursement.
- Additional perks/benefits: Statement credits (up to $100) for Global Entry or TSA Precheck, free year of Amazon Prime.
click here – Best Credit Cards for Students in October 2023
Best cash back card for those who want the most value
1.Chase Freedom Unlimited credit card
| Key numbers | |
| Welcome bonus | $200 bonus after you spend $500 on purchases in the first 3 months from account opening |
| Annual fee | $0 |
| Regular APR | 20.49%–29.24% Variable |
| Recommended credit score | Good to excellent |
Why we like this card
The Chase Freedom Unlimited card is an excellent choice for those seeking high rewards and benefits without an annual fee. It offers a generous 5% cash back on travel through Chase Ultimate Rewards, 3% cash back on drugstore purchases, and 1.5% cash back on all eligible purchases. Cardholders also earn 5% cash back on Lyft purchases until March 2025.
New cardholders can enjoy significant savings in the first year, with a $200 bonus after spending $500 in the first 3 months. Plus, you can earn 5% cash back on combined gas station and grocery store purchases (excluding Target and Walmart) on up to $12,000 spent in the first year. The card also features a 0% APR on purchases and balance transfers for the first 15 months.
The Chase Freedom Unlimited card provides valuable protections, including extended warranty, purchase protection, trip cancellation/interruption insurance, and rental car coverage. Cardholders also receive a complimentary three-month DashPass and Instacart+ membership, with the opportunity for statement credits for Instacart purchases.
Pros:
- $0 annual fee.
- $200 sign-up bonus.
- 0% APR for 15 months.
Cons:
- Foreign transaction fee.
Card Details:
- Balance transfer APR: 20.49%–29.24% Variable, plus a fee of either $5 or 3% of the transfer amount (whichever is greater) within 60 days of account opening. After that, either $5 or 5% of the transfer amount (whichever is greater).
- Cash advance APR: 29.99% Variable, plus a fee of either $10 or 5% of each transaction amount (whichever is greater).
- Penalty APR: Up to 29.99%.
- Late payment fee: Up to $40.
- Foreign transaction fee: 3% of the transaction amount in U.S. dollars.
- Rewards: 5% cash back on travel purchased through Chase Ultimate Rewards, 5% cash back on Lyft purchases (until March 2025), 3% cash back on dining (including takeout and eligible delivery service), and 1.5% cash back on all eligible purchases.
- Consumer benefits: Purchase protection, extended warranty protection, trip cancellation/interruption insurance, auto rental collision damage waiver.
- Additional perks/benefits: Complimentary DashPass and Instacart+ memberships.
click here – 8 Reasons Your Credit Card Was Declined (And What To Do About It)
Best cash back card for the household CFO
The Chase Freedom Flex℠ card is tailored to align cash back rewards with your individual spending patterns.
Chase Freedom Flex Credit Card
| Key numbers | |
| Welcome bonus | $200 cash bonus after spending $500 on purchases within your first three months |
| Annual fee | $0 |
| Regular APR | 20.49%–29.24% Variable |
| Recommended credit score | Good to excellent |
Why we like this card
Are you the money manager in your household, responsible for budgeting and shopping? If so, you’ll find the Chase Freedom Flex℠ card appealing.
Similar to the Freedom Unlimited, it offers a nearly identical rewards structure: 5% cash back on travel via Chase Ultimate Rewards, 3% on dining and drugstore purchases, and 1% cash back on all other expenses. You also get the same $200 bonus, a 5% cash back deal on gas and grocery store purchases, a 15-month 0% APR introductory period, and benefits like DashPass, Instacart+, and no annual fee.
The key difference lies in the Freedom Flex card’s bonus categories, allowing you to earn up to 5% back in specific categories, capped at $1,500 in combined quarterly purchases. These categories include gas stations, wholesale clubs, gyms, and more (subject to the Chase cash back calendar). Activation of these bonus categories is required each quarter.
In addition to extended warranty, purchase, and travel protections, the Cash Freedom Flex card also provides cell phone insurance.
Pros:
- Up to 5% cash back in select spending categories.
- 0% introductory purchase APR for 15 months from account opening.
- $0 annual fee.
Cons:
- Quarterly limits on cash back in bonus categories.
- Activation required for bonus categories.
- Foreign transaction fee.
Card Details:
- Balance transfer APR: 20.49%–29.24% Variable, plus a fee of either $5 or 3% of the transfer amount (whichever is greater) for transfers within 60 days of account opening. Afterward, either $5 or 5% of the transfer amount (whichever is greater).
- Cash advance APR: 29.99% Variable, plus a fee of either $10 or 5% of each transaction amount (whichever is greater).
- Penalty APR: Up to 29.99%.
- Late payment fee: Up to $40.
- Foreign transaction fee: 3% of the transaction amount in U.S. dollars.
- Rewards: 5% cash back on activated bonus category purchases each quarter (up to $1,500 in purchases, then 1 percent), 5% cash back on travel via Chase Ultimate Rewards, 5% cash back on Lyft rides (until March 2025), 3% cash back on dining (including restaurants, takeout, and eligible delivery services), and 1% cash back on all other purchases.
- Consumer benefits: Purchase protection, extended warranty protection, trip cancellation/interruption insurance, auto rental collision damage waiver, cell phone protection.
- Additional perks/benefits: Complimentary DashPass and Instacart+ memberships.
click here –Chase Freedom Unlimited review:New Welcome Offer Doubles Your Points (up to 10x) for Your First 12 Months
Best cash back card for students
The Chase Freedom® Rise card is an excellent choice for students who are in the early stages of learning about managing their finances and building credit.
Chase Freedom RiseSM credit card
| Key numbers | |
| Welcome bonus | N/A |
| Annual fee | $0 |
| Regular APR | 26.99% variable |
| Recommended credit score | Thin credit file/no credit history required |
Why we like this card
For newcomers to the world of credit cards, the Chase Freedom RiseSM card offers an excellent first experience. You’ll earn an unlimited 1.5% cash back on all your spending, along with 5% cash back on Lyft rides through March 31, 2025, and there’s no annual fee.
New cardholders can also enjoy a $25 statement credit by signing up for automatic payments within the first three months of opening the account. Additionally, you’ll receive three months of DashPass and Instacart+ membership. The card provides valuable protections, including extended warranty, purchase protection, and trip cancellation/interruption insurance.
If you’re concerned about qualifying for this card with limited or no credit history, it’s designed for newcomers to credit management. Having a Chase checking account with a balance of at least $250 before applying can improve your approval chances. If approved, you may be eligible for a credit line increase in as little as 6 months.
Pros:
- No annual fee.
- Approval possible with limited credit history.
Cons:
- No welcome bonus.
- No introductory 0% APR.
Card Details:
- Balance transfer APR: 26.99%, plus a fee of either $5 or 5% of the transfer amount (whichever is greater).
- Cash advance APR: 29.99%, plus a fee of either $10 or 5% of each transaction amount (whichever is greater).
- Penalty APR: Up to 29.99%.
- Late payment fee: Up to $40.
- Foreign transaction fee: 3% of the transaction amount in U.S. dollars.
- Rewards: 1.5x cash back on all purchases.
- Consumer benefits: Purchase protection, extended warranty protection, trip cancellation/interruption insurance.
- Additional perks/benefits: $25 statement credit for signing up for automatic payments within the first 3 months of account opening.
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Best cash back card for paying off existing debt
The Fifth Third 1% Cash/Back Card is a no-annual-fee card with an extended 0% APR introductory period, making it an excellent choice for individuals looking to pay down their balances.
Fifth Third 1% Cash/Back Card
| Key numbers | |
| Welcome bonus | $0 |
| Annual fee | $0 |
| Regular APR | 16.24%–27.24% |
| Recommended credit score | Good to excellent |
Why we like this card
At first glance, the Fifth Third 1% Cash/Back Card offers an average 1% cash back on all purchases, which is typical. However, its standout feature is the impressively long 21-month 0% APR introductory period for both purchases and balance transfers. This extended zero-interest period provides ample time for those carrying significant balances to pay them down without accruing new interest charges.
An additional advantage is the inclusion of cell phone insurance, providing protection for your device. With no annual fee, there’s no extra cost to enjoy these valuable benefits.
Pros:
- 0% APR for 21 months.
- No annual fee.
- Cell phone insurance.
Cons:
- Low flat rewards rate compared to other cards.
- No welcome bonus.
Card Details:
- Balance transfer APR: 16.24%–27.24%, plus a fee of either $5 or 4% of the transfer amount (whichever is greater).
- Cash advance APR: 29.99%, plus a fee of either $10 or 5% of the cash advance amount (whichever is greater).
- Penalty APR: N/A.
- Late payment fee: Up to $40.
- Foreign transaction fee: None.
- Rewards: 1x points on all purchases.
- Consumer benefits: Cell phone protection.
- Additional perks/benefits: N/A.
Cash back credit card comparison
Top 10 cash back credit cards*
| Wells Fargo Active Cash® Card | $0 | 2% | $200 | 15 | 20.24%–29.99% | No |
|---|---|---|---|---|---|---|
| Chase Freedom Unlimited® credit card | $0 | 1.5%–5% | $200 | 15 | 20.49%–29.24% | Yes |
| Discover it® Cash Back Credit Card | $0 | 1%–5% | $390.12 | 15 | 17.24%–28.24% | No |
| Citizens Cash Back Plus™ World Mastercard® | $0 | 1.80% | $150 | 15 | 21.24%–29.24% | No |
| Chase Freedom FlexSM Credit Card | $0 | 1–5% | $200 | 15 | 20.49%–29.24% | Yes |
| TD Double Up Credit Card | $0 | 2% | $100 | 15 | 20.24%–30.24% | Yes |
| Capital One Quicksilver Rewards | $0 | 1.50% | $200 | 15 | 19.99%–29.99% | No |
| Regions Cash Rewards Visa Signature Credit Card | $0 | 1.5% | $200 | 12 | 19.24%–29.24% | No |
| Discover It® Student Cash Back | $0 | 1%–5% | $390.12 | 6 | 18.24%–27.24% | No |
| American Express Cash Magnet® Card | $0 | 1.50% | $200 | 15 | 19.24%–29.99% | Yes |
Key cash back credit cards resources
What is a cash back credit card?
A cash back credit card is a type of credit card that lets cardholders earn a portion of their spending back as cash rewards. These rewards can either be a fixed percentage, such as 1.5% on all purchases, or they can vary by spending category, like 3% on dining, 2% on groceries, and 1% on everything else. Some cards may provide promotional periods with increased cash back rates or bonuses for meeting specific spending thresholds in a set period.
Can you get cash back with a credit card?
You’re absolutely right. Many credit cards offer cash back rewards, where you earn a percentage of your purchases as a reward. For instance, if a card provides 1% cash back on all purchases and you spend $100, you’d earn $1 in rewards. Over time, these rewards accumulate and can be redeemed in different ways, such as a statement credit, check, or bank account deposit. It’s crucial for cardholders to consider potential annual fees, interest rates, and any reward expiration or limitations to make the most of the benefits while keeping costs in check.
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Frequently Asked Questions
Q.1 Are cash back cards a good idea?
Using a cash back card can indeed be a smart way to earn money back on your regular spending if you manage your credit cards responsibly. However, if you’re dealing with debt and have difficulty paying your credit card bills on time, it’s advisable to avoid credit cards in general. Responsible credit card use involves timely payments and not carrying high balances, as high-interest charges can quickly outweigh any cash back rewards.
Q.2 What credit card gives you 3% back?
You’re correct; there aren’t many credit cards that offer a flat 3% cash back rate on all purchases. However, there are cards like the Amex EveryDay® Preferred Credit Card, Bank of America® Customized Cash Rewards Credit Card, and Capital One SavorOne Rewards that provide 3% cash back in specific spending categories, which can be a valuable way to maximize rewards in those areas while still earning on other purchases.
Q.3 How do you get 5% cash back on everything?
You’re absolutely right; there isn’t a cash back card that offers a flat 5% cash back rate on all purchases. However, several cards like the US Bank Cash+ Visa Signature® Card, Credit One Bank Platinum X5 Visa, and Discover it Cash Back card provide 5% cash back on specific and popular spending categories, such as groceries and gas, allowing cardholders to earn higher rewards in those areas.
Q.4 How much is 1.5% cash back on $1,000?
That’s correct. If you spend $1,000 on a credit card with a 1.5% cash back rate, you would earn $15 in cash back rewards. Cash back rewards are typically calculated as a percentage of your eligible purchases, so for every dollar you spend, you earn a percentage of that amount back as a reward.