Best Rewards Credit Cards

Comparing the top rewards credit cards

A closer look at the best rewards credit cards

Chase Sapphire Preferred

Rewards rate: Earn 5x total points on travel purchased through Chase Ultimate Rewards, 2x on other travel purchases, 3x points on dining, online grocery purchases and select streaming services and 1 point on all other purchases.

Annual fee: $95

Intro APR: N/A

Regular APR: 21.24% to 28.24% APR

Signup bonus: 60,000 bonus points after spending $4,000 on purchases in the first 3 months.

Our verdict: The Chase Sapphire Preferred is one of the best travel rewards cards on the market. This card offers a huge sign-up bonus for new cardholders and the opportunity to earn extra points on travel, dining and more.

While there is no special 0% APR offer, users will get travel perks that will more than make up for the $95 annual fee.

Pros:

• Can earn a sign-up bonus that’s enough for one round-trip international flight.
• Points worth more when you redeem for travel.
• Variety of redemption options.
• Free lounge access to Priority Partner lounges.
• No foreign transaction fees.
• Can get a $50 statement credit for hotel stays.
• Can transfer rewards to partner companies.

Cons:

• No special APR promotion period.
• Comes with an annual fee.

Apply now: Chase Sapphire Preferred Credit Card

Wells Fargo Active Cash® Card

Rewards rate: 2% on all purchases

Annual fee: $0

Intro APR: 0% APR on new purchases and balance transfers for 15 months.

Regular APR: 19.99%, 24.99% or 29.99% APR

Signup bonus: $200 after spending $500 in the first three months.

Our verdict: If you’re looking for a basic cash-back card with no annual fee, this is our top pick. You’ll earn rewards without worrying about manually activating special cash-back categories, a huge weight off your shoulders.

Plus, there’s no annual fee and you’ll get 0% APR for 15 months for purchases and balance transfers, perfect if you have a few big expenses coming up that you want to pay off slowly.

Pros:

• Easy to earn 2% cash back.
• Free cell phone protection if you pay your bill with the card.
• No annual fee.
• Free FICO credit score access.
• Variety of reward redemption options.
• Don’t have to annually activate categories to get extra cash back.
• Generous 0% APR offer for both new purchases and balance transfers.

Cons:

• The sign-up bonus isn’t as large as other cards.
• 3% foreign transaction fees.

Apply now: Wells Fargo Active Cash® Card

More: Wells Fargo Active Cash® Card Review

Chase Freedom Flex

Rewards rate: Earn 5% cash back on categories that change every quarter, 5% on travel purchased through the Chase Ultimate Rewards portal, 3% on dining and drugstore purchases, and 1% on all other purchases.

Annual fee: $0

Intro APR: 0% APR for 15 months

Regular APR: 20.24% to 28.99% APR

Signup bonus: $200 after spending $500 in the first three months.

Our verdict: Cardholders who want to easily earn cash back and avoid an annual fee should open the Chase Freedom Flex card.

Pros:

• A generous 0% introductory APR offer.
• The sign-up bonus is easy to earn.
• Includes bonus cash back categories for everyday expenses.
• No annual fee.
• Rewards don’t expire while the card is active.
• Can earn referral bonuses if people sign up through your affiliate link.

Cons:

• Limit on how much you can earn in rewards.
• Must activate rewards to earn 5% cash back.
• 3% foreign transaction fees.

Apply now: Chase Freedom Flex

Capital One Venture Rewards Credit Card

Rewards rate: 5x miles on hotels and rental cars booked with the Capital One travel portal and 2x miles on all other purchases.

Annual fee: $95

Intro APR: N/A

Regular APR: 20.99% to 28.99% variable APR

Signup bonus: 75,000 miles after spending $4,000 in the first three months.

Our verdict: This card comes with a sizable sign-up bonus that’s fairly easy to reach. If you’re eligible for this card, which requires an excellent credit score, you can earn points that can be redeemed through the Capital One travel portal.

If you spend $1,500 every month, you’ll earn 36,000 miles a year. Miles can also be transferred to more than 15 Capital One travel partners, similar to other credit card providers.

Pros:

• Two free lounge passes to a Capital One lounge or one within the Partner Lounge Network.
• No foreign transaction fees.
• $100 credit for Global Entry or TSA PreCheck.

Cons:

• Need to have an excellent credit score to qualify.
• No intro 0% APR offer.
• No other bonus cash-back categories other than travel.

Apply now: Capital One Venture Rewards Credit Card

Capital One Venture X Rewards Credit Card

Rewards rate: 10x miles on hotels and rental cars booked through Capital One Travel, 5x miles on flights booked through Capital One Travel, and 2x miles on all other purchases.

Annual fee: $395

Intro APR: N/A

Regular APR: 21.99% to 28.99% variable APR

Signup bonus: 75,000 miles after spending $4,000 in the first three months.

Our verdict: The Capital One Venture X Rewards Credit Card includes a 10,000-mile bonus for your anniversary.

This card is similar to the Capital One Venture Rewards card, except consumers will earn more cash back when booking hotels and rental cars through the Capital One Travel portal. The cash-back percentages remain the same for flights and all other eligible purchases.

Prospective cardholders need excellent credit to qualify, similar to other luxury cards.

Pros:

• $300 travel statement credit.
• Unlimited Capital One, Plaza Premium Group, and Priority Pass airport lounge access for you and two guests.
• No foreign transaction fees.
• Free cards for authorized users.
• Miles never expire while the account is active.
• Users can earn extra miles when a friend or family member also signs up for the card.

Cons:

• Only available for cardholders with excellent credit.
• Must use the Capital One portal to earn extra cash back.
• No special introductory APR offer.

Apply now: Capital One Venture X Rewards Credit Card

Chase Sapphire Reserve®

Rewards rate: 5x points on flights purchased through the Chase Ultimate Rewards® portal, 10x points on hotels and car rentals, and 3x on other travel purchases. These bonus points are only available after spending the first $300 on travel purchases. Earn 3x points on restaurants and takeout and 10x points on Chase Dining purchases with Ultimate Rewards.

Annual fee: $550

Intro APR: N/A

Regular APR: 22.24% to 29.24% variable APR

Signup bonus: 60,000 points after spending $4,000 in the first three months.

Our verdict: As the more sophisticated version of the Chase Sapphire Preferred card, the Chase Sapphire Reserve offers a slew of both travel and non-travel benefits for cardholders.

For example, cardholders receive luxury benefits like a free subscription to DashPass from DoorDash, which includes $0 delivery fees on some orders, and a Lyft Pink membership, which includes discounts on some Lyft rides.

Pros:

• $300 travel credit.
• Free TSA PreCheck or Global Entry when you buy the membership with the card.
• No foreign transaction fees.
• Bonus points are worth $900 in travel rewards if redeemed with the Chase Ultimate Rewards portal.
• Free Priority Pass lounge access.

Cons:

• Annual fee higher than many other travel rewards cards.
• Bonus points lower than competing cards.
• Authorized users must pay a separate annual fee of $75.

Apply now: Chase Sapphire Reserve®

Bank of America® Customized Cash Rewards Credit Card

Rewards rate: 3% cash back on gas, online shopping, dining, travel, drug stores or home improvement/furnishings, 2% cash back on grocery stores and wholesale clubs and 1% cash back on all other purchases.

Annual fee: $0

Intro APR: 0% APR for 18 months on new purchases and balance transfers, as long as they are made within 60 days of opening the card.

Regular APR: 17.99% to 27.99% variable APR

Signup bonus: $200 after spending $1,000 in the first three months.

Our verdict: Just as the name suggests, the Bank of America® Customized Cash Rewards credit card lets cardholders choose their bonus cash-back category. They can pick from gas, online shopping, dining, travel, drug stores, or home improvement/furnishings to earn 3% cash back.

Rewards can be redeemed into a Bank of America bank account or an eligible Merill account. Cardholders can set up automatic redemptions.

Pros:

• 0% APR introductory offer lasts for 18 months and is available for both purchases and balance transfers.
• Cardholders receive their FICO score for free every month.
• Bank of America preferred members can earn 25% to 75% more in cash back.
• Can choose which category they earn extra cashback on.

Cons:

• There is a limit on how much extra cash back you can earn.
• 3% foreign transaction fees.
• Cannot redeem rewards for travel purchases.

Apply now: Bank of America® Customized Cash Rewards Credit Card

Blue Cash Preferred® Card from American Express

Rewards rate: Earn 6% cash back on groceries and streaming services and 3% cash back on transportation including gas stations, rideshare services, parking, public transit and more. Earn 1% cash back on all other purchases.

Annual fee: $0 for the first year, then $95

Intro APR: 0% APR for 12 months on purchases and balance transfers.

Regular APR: 18.99% to 29.99% variable APR

Signup bonus: $250 after spending $3,000 in the first six months.

Our verdict: Cardholders who spend a lot of money at the grocery store can benefit the most from this card, which offers 6% cash back on groceries. Plus, if you don’t find the benefits useful, you can cancel the card within the first year to avoid the annual fee.

Pros:

• Can split purchases with Venmo or PayPal directly from the American Express app.
• Cardholders have six months to earn the sign-up bonus.
• Users can get pre-approved without a credit check.
• Rewards can be redeemed as a statement credit.
• Cardholders can have an item refunded even if the original merchant won’t accept them.
• $7 monthly credit if you sign up for a Disney+ membership.

Cons:

• 2.7% foreign transaction fees.
• $95 annual fee after the first year.

Apply now: Blue Cash Preferred® Card from American Express

Discover it® Cash Back Credit Card

Rewards rate: 5% cash back on categories that rotate every quarter, including grocery stores, gas stations, Amazon.com, restaurants and more. Earn 1% cash back on all other purchases.

Annual fee: $0

Intro APR: 0% APR for 15 months on purchases

Regular APR: 16.99% to 27.99% variable APR

Signup bonus: None

Our verdict: This card is one of the few on this list that doesn’t come with a sign-up bonus, a downside for users hoping to earn an easy reward. However, cardholders will receive 0% APR on purchases for 15 months. Note: this will not apply to balance transfers.

Pros:

• Discover will match all cash back earned after the first year.
• 0% APR for 15 months on purchases.
• No annual fee.
• Cash back never expires.
• Rewards can be used for Amazon.com or PayPal purchases or redeemed for cash with no minimum redemption amount.
• No foreign transaction fee.
• Customers can get their free FICO credit score once a month.
• Can easily freeze your card with the Discover app.

Cons:

• No sign-up bonus is available.
• Can be hard to track when the 5% cash-back category changes.
• There is a limit to how much cash back you can earn in the 5% category.
• Cardholders must active the extra 5% cash back category to earn more rewards.

Apply now: Discover it® Cash Back Credit Card

U.S. Bank Cash+® Visa Signature® Card

Rewards rate: Earn 5% cash back on the first $2,000 in two categories of your choice, 2% cash back in one category including gas, stations, grocery stores or restaurants. Earn 1% cash back on all other purchases. Earn 5% cash back on travel purchases made through the Rewards Travel Center.

Annual fee: $0

Intro APR: 0% APR for 15 months

Regular APR: 19.49% to 29.49% variable APR

Signup bonus: $200 after spending $1,000 in the first four months.

Our verdict: Like other rewards cards, the U.S. Bank Cash+® Visa Signature® Card offers cardholders the chance to pick which categories they want to earn more cash back in. However, there is a limit to how much extra back consumers can earn – putting a major damper on this perk.

Pros:

• The sign-up bonus is one of the easiest to earn.
• Cardholders can pick which category they want to earn more cashback in.
• Rewards can be redeemed as a statement credit, deposited into a U.S. Bank checking or savings account, or on a separate rewards card.
• Cardholders can get a $30 Costco.com gift card if they buy a Costco membership with your card.

Cons:

• A low limit on cash back earnings.
• 3% foreign transaction fee.

Apply now: U.S. Bank Cash+® Visa Signature® Card

Delta SkyMiles® Gold American Express Card

Rewards rate: 2x miles on restaurants, take-out, supermarkets, and Delta purchases and 1x miles on all other purchases.

Annual fee: $0 for the first year, then $99

Intro APR: N/A

Regular APR: 20.74% to 29.74% variable APR

Signup bonus: 65,000 miles after spending $2,000 in the first six months.

Our verdict: If you’re a fan of Delta Airlines, this card is for you. You’ll get tons of extra perks and benefits including free priority boarding, a free checked bag, and a discount on Delta flights. Plus, there are no foreign transaction fees – perfect if you’re traveling abroad.

Pros:

• No annual fee for the first year.
• Cardholders get six months to earn the sign-up bonus, longer than most other cards.
• One free checked bag on Delta flights.
• $100 Delta flight credit if you spend $10,000 in a calendar year.
• Can save 15% on award travel booked through Delta directly.
• Priority boarding on Delta flights.
• No foreign transaction fees.

Cons:

• Only benefits cardholders who fly with Delta.
• No special introductory APR offer.

Apply now: Delta SkyMiles® Gold American Express Card

Citi Custom Cash℠ Card

Rewards rate: Earn 5% cash back on a category of your choice and 1% cash back on all other purchases. The 5% cash back only applies to the first $500 for each billing cycle; then it will be 1% cash back.

Annual fee: $0

Intro APR: 0% APR for 15 months on both new purchases and balance transfers.

Regular APR: 18.99% to 28.99% variable APR

Signup bonus: $200 after spending $1,500 in the first six months.

Our verdict: With the Citi Custom Cash Card, you will earn 5% cash back on your top eligible category each month. This can include restaurants, gas stations, grocery stores, select travel, select transit, select streaming services, drugstores, home improvement stores, fitness clubs or live entertainment. However, you can only earn 5% cash back on $500 per billing cycle or $25 in rewards.

Pros:

• More time to earn the signup bonus than most cards.
• No annual fee.
• 0% APR for 15 months on both new purchases and balance transfers.
• Points can be redeemed for cash as statement credit, as a check or directly into your bank account.
• Rewards can also be redeemed through Amazon.com, gift cards or travel purchases.

Cons:

• A low limit on the 5% custom cash back category every month.

Apply now: Citi Custom Cash℠ Card

Is a rewards credit card right for you?

Rewards cards work best for responsible cardholders who want to take advantage of their credit card benefits and perks.

However, rewards cards aren’t right for everyone. They usually have higher interest rates than regular credit cards, so be careful if you’re prone to carrying a balance on cards. Also, don’t be tempted to spend more just because you’re earning rewards – it’s always best not to change your spending habits.

Related: Are Rewards Credit Cards Worth It?

How to compare rewards credit cards?

1. Annual fee

Some card companies charge an annual fee on rewards cards, especially high-paying travel and cash-back cards. If you use the card frequently, your rewards may outpace the annual fee. Make sure to calculate your earnings to ensure you’re not paying more than you receive in points and rewards.

2. Sign-up bonus

Many cards offer a sign-up bonus to new cardholders, which you can earn after spending a minimum amount that is usually between $500 and $5,000. Cardholders usually have three months to earn the bonus, but some cards give you up to six months.

3. A 0% intro APR

Credit cards usually charge interest on balance transfers and new purchases, but some card providers offer 0% APR for a limited time. These offers usually last between six and 21 months. During this time, you will not be charged interest even if you only make the minimum payment.

4. Foreign transaction fees

When you spend money abroad, you may be charged a foreign transaction fee. This usually costs 2% or 3% of the total purchase. Many travel and rewards cards waive foreign transaction fees, which could save you hundreds of dollars if you travel overseas frequently.

How to choose the best rewards card for you?

• Decide what you need in a credit card, such as 0% APR on new purchases or extensive travel perks.
• Find cards that fit those criteria and compare their annual fees, interest rates and benefits.
• See if you can get pre-approved for a card without hurting your credit score.

Learn more: How to Choose the Best Rewards Credit Card?

How to apply for a rewards card?

• Decide what card you want to apply for and visit the card’s website.
• Find what the minimum credit score is for approval and compare that to your credit score.
• If the card fits, click to submit an application.
• Some card companies will approve you instantly, but others need a few days.
• If you are approved, you should receive the new card within 10 business days.
• Activate the card and read through the card member’s agreement to understand how it works.
• Types of credit card rewards

1. Cash-back rewards

The most common type of rewards card is a cash-back card, and there are two types of cash-back rewards cards: flat-rate and rotating cash-back cards. Flat-rate cards offer a fixed cash-back percentage on one or more categories, while rates will change on rotating cash-back cards. For example, you may earn 5% cash back on gas for one quarter, but only 1% on gas for the rest of the year.

Some rotating cash-back cards require that you manually activate to get the extra cash back, while others do it automatically. If your card does have manual activation, you should set a reminder in your calendar or you won’t get the extra rewards.

2. Flexible travel rewards

A general travel rewards card will let you earn points that you can redeem for airfare, hotel stays, car rentals, cruises and more. If you’re not dead set on using one type of airline or hotel company, a flexible travel rewards card is your best bet.

Many travel rewards cards let you transfer points or miles to specific travel partners so you can combine rewards easily. For example, if you fly United Airlines often, you can earn frequent flier miles. And if you have a travel rewards card, you can transfer those points to your United Account to get a free or discounted ticket.

3. Airline miles

Airline rewards cards let you earn miles that you can redeem for flights, usually on a specific airline. You may also get other perks, like upgraded status, faster boarding, free checked bags and more.

Airline rewards cards are usually tied to a specific airline, but you might not realize that many airlines are subsidiaries or connected to other airlines. If you live in a city that has a specific airline hub, you can apply for that airline’s rewards card to earn more frequent flier miles and other benefits.

4. Hotel points

When you use a hotel rewards card, you’ll earn points that you can redeem for free nights at a specific hotel chain. You may also receive other perks like early check-in, late check-out and free upgraded rooms.

Most hotel cards are tied to a certain chain, like the World of Hyatt card or the Marriott Bonvoy Boundless Credit Card. When you earn points on these cards, they usually can’t be transferred to another travel company. Make sure you pick a card with hotels near your preferred destinations.

5. Business rewards

Business rewards cards usually offer rewards for business-related purchases like office supplies, shipping services, equipment and more. Using a business card can also help you separate business from your personal expenses.

Some business rewards cards let you combine your points or cash back rewards with your non-business rewards. For example, if you have a Chase Ink Business card and a Chase Sapphire Reserve card, you may be able to merge those points to make redemption easier.

How to maximize your rewards?

The best way to maximize your rewards is to understand your card’s benefits and drawbacks before using it. Figure out how you can earn the most cash back and pay the least amount in fees.

For example, let’s say you have an upcoming vacation to Italy planned, and you want to pick the best travel card. You should look for a card with no foreign transaction fees, a sign-up bonus, and extra travel perks, like free priority boarding or lounge access. In this case, the Chase Sapphire Preferred or the Capital One Venture Rewards Credit Card may be good options.

If you plan to fly a few times a year, including one international trip, then you may even want to apply for the Chase Sapphire Reserve or the Capital One Venture X Rewards Credit Card. These cards have higher annual fees, but they offer more perks that are worth the price if you’re a frequent flyer.

Some cards require that you manually activate cash-back rewards. Read through the cardholder agreement to understand how the card works and pay attention to any updates you receive.

Methodology

The methodology used to calculate the best cards for rewards relied on several factors, with the most prominent of those being:

• The required credit score to apply successfully for the card.
• The additional benefits offered by the card beyond rewards.
• The rewards rate of the card, if applicable.
• Overall difficulty in securing a credit card with fair credit.
• The history of the card issuer itself.
• Any potential costs associated with owning the credit card.

The product information provided here is based on research conducted up to a specific date and may have changed. For the latest and most accurate information, we recommend you to visit the respective card’s website before proceeding.

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