Everyone likes to save money, and choosing a credit card that offers cash-back or bonuses can be a great way to do so. Further, everyone has to purchase groceries, so grocery rewards cards can be a smart choice for saving money because you will use them frequently. These cards can be helpful for weekly grocery shopping for yourself or your family, but they can be even more rewarding if you purchase groceries for your business. Some cards charge an annual fee, so you have to determine whether or not you will be getting enough back for those card companies to be worth your business; however, there are many cards that have no annual fee. Here are five credit cards that offer great rewards for grocery purchases. Some of them might surprise you.
1. Target REDcard
Yes, Target recently suffered a massive data breach that left consumers feeling unsure about the company. While the data breach was certainly disheartening, it doesn’t mean that we should all avoid Target for the rest of our shopping lives.
Target offers a credit card and a debit card. There are some restrictions, but the REDcard offers 5 percent off of all purchases, free shipping at Target.com, and 30 extra days for all returns. Neither card has an annual fee, and they can be easily managed online. Target also gives consumers the ability to choose a K-12 school, and Target will then donate 1 percent of all your purchases to that school. Target further offers pharmacy rewards, which you can stack with your regular 5 percent off by using your REDcard. If you shop at Target regularly and have a Target with a grocery store, this card could save you a lot of money.
2. Blue Cash Preferred Card From American Express
New card members can currently receive a one-year Amazon prime membership if they meet the spending requirement and are new to Amazon Prime. New members can also get 100 Reward Dollars, which can be redeemed for a $100 statement credit if they spend $1,000 on purchases in the first three months. Most of us spend at least that much on groceries every three months, so this is a great deal. American Express also offers 6 percent back — up to to $6,000 per year — on purchases at supermarkets. The card offers 0 percent intro APR on purchases and balance transfers for 15 months, after which the APR changes to a variable rate.
3. BankAmericard Cash Rewards Credit Card
This card offers 1 percent back on all purchases. The card also offers 2 percent back at grocery stores and 3 percent on gas for the first $1,500 in combined grocery store and gas purchases each quarter, which can be a great savings — especially if your grocery store has it’s own gas station and allows you to accrue fuel points based on your purchases.
The card has no annual fee, and allows shoppers to choose whether they want to redeem their cash back for a statement credit or put it into a checking or savings account with Bank of America. Rewards do not expire, and the card also includes an online-exclusive $100 cash rewards bonus for consumers who purchase at least $500 in the first 90 days (after the account is opened), which is a much smaller monetary spending requirement than similar cards.
4. American Express Premier Rewards Gold Card
This card offers 2x points for purchases at U.S. supermarkets and gas stations, which allows you to double up by using your rewards credit card and your grocery rewards card for fuel points if your grocery store has a gas station and offers fuel points. Members who spend $2,000 during the first three months also earn 25,000 bonus points. The points can be used for dining, entertainment, and shopping. The card also gives points for travel and other purchases, and has a $0 introductory annual fee for the first year, but then it becomes $175. If you are interested in a card that offers points, the Hilton HHonorscard (from American Express) offers five points back at US supermarkets.
5. Discover it
The Discover it card is not specifically a grocery rewards card, but it made the list because it is just an exceptional card for saving money. Along with purchasing groceries often comes eating out at restaurants, and this card can save money on restaurants depending on the current quarter. Currently, card holders can receive five percent back on movies and restaurants. Although it probably should not be your primary rewards card because the money-back categories rotate, it is an excellent complimentary card and a must have for saving money. The card has no annual fee, offers a free FICO score on your monthly statement, and best of all, offers 5 percent back on all purchases made in a particular category each quarter. Even though this isn’t a card specifically for groceries, it is a card that can save you a lot of money.
There are several other cards that offer grocery rewards, but these are some of the best. In addition to choosing credit cards that offer cash back for groceries, you can also save money by requesting a shoppers perks card for a particular grocery store. Several grocery stores offer free member cards that the cashier swipes each time you make a purchase. As your purchases add up, you get coupons, discounts, or fuel points depending on the store. You can also maximize these cards, or grocery rewards cards, by purchasing your gift cards at a grocery store.
Now that you have a place to start when searching for the best grocery rewards card, you can also check out Which Credit Card is Best for You to determine which card is best if you want to transfer a large balance, need a business card, want a low interest rate, or travel a lot.