As grocery prices continue to rise, maximizing your rewards at the checkout can significantly ease your budget. Many credit cards offer excellent grocery rewards that can help you earn points, cashback, or even travel rewards while shopping for your essential items. In this article, we will explore the best credit cards for grocery rewards in 2023, evaluate their features, and help you determine which one aligns best with your shopping habits.
Why Choose a Grocery Rewards Credit Card?
Choosing a grocery rewards credit card allows you to earn benefits tailored specifically for your shopping needs. Here are a few reasons why these cards are worth considering:
- Cashback Benefits: Many grocery rewards cards offer up to 6% cashback on grocery purchases, which can add up quickly over time.
- Flexible Rewards: Points earned can often be redeemed for a variety of options, including travel, statement credits, or gift cards.
- Introductory Offers: Many cards come with attractive sign-up bonuses for new customers, providing additional value.
- No Annual Fees: Some of the best grocery rewards cards have no annual fees, making them accessible to a broad audience.
Top Credit Cards for Grocery Rewards in 2023
1. Blue Cash Preferred® Card from American Express
The Blue Cash Preferred® Card offers an impressive 6% cashback on U.S. supermarkets (up to $6,000 per year), making it one of the best choices for grocery shopping.
- Annual Fee: $95 (waived for the first year)
- Sign-Up Bonus: Earn $300 in statement credits after you spend $3,000 in purchases in your first 6 months.
- Other Rewards: 3% cashback on U.S. gas stations and 1% on other purchases.
This card is ideal for families or individuals who spend a significant amount on groceries, allowing you to maximize your returns on essential shopping.
2. Costco Anywhere Visa® Card by Citi
If you’re a Costco member, the Costco Anywhere Visa® Card is a fantastic option. It offers 4% cashback on eligible gas, but the grocery rewards are equally compelling.
- Annual Fee: None (must be a Costco member)
- Sign-Up Bonus: None specific, but you can earn cashback on every purchase.
- Other Rewards: 3% cashback on restaurant and eligible travel purchases, 2% on Costco purchases, and 1% on all other purchases.
With no annual fee beyond your Costco membership, this card can be an incredible recurring value for frequent grocery shoppers.
3. Chase Freedom Flex℠
The Chase Freedom Flex℠ card is a popular choice due to its rotating categories that can include grocery stores.
- Annual Fee: $0
- Sign-Up Bonus: Earn a $200 bonus after spending $500 in the first 3 months.
- Other Rewards: 5% cashback on up to $1,500 in qualifying purchases in bonus categories each quarter, and 1% on all other purchases.
This card is perfect for those who want flexibility and can adapt their purchases to align with the rotating categories.
4. Capital One SavorOne Rewards Credit Card
The Capital One SavorOne Rewards card is a great choice for foodies and grocery shoppers alike.
- Annual Fee: $0
- Sign-Up Bonus: Earn a one-time $200 cash bonus after you spend $500 on purchases within the first 3 months.
- Other Rewards: 3% cashback on dining, entertainment, and popular streaming services, 1% on all other purchases.
This card is a strong choice for those who dine out often and also want to maximize grocery rewards.
5. Discover it® Cash Back
The Discover it® Cash Back card offers fantastic rotating categories that can yield high rewards for grocery purchases.
- Annual Fee: $0
- Sign-Up Bonus: Discover will match all the cashback you’ve earned at the end of your first year.
- Other Rewards: 5% cashback on rotating categories (including groceries during certain months), and 1% on all other purchases.
This strategy can maximize your rewards when you time your grocery shopping to coincide with the grocery category months.
How to Choose the Right Credit Card for Grocery Rewards
With so many options available, choosing the right credit card for grocery rewards can be overwhelming. Here are some tips to help you decide:
- Analyze Your Spending Habits: Review your grocery spending to determine which card offers the best rewards for your purchasing patterns.
- Consider Introductory Offers: Pay attention to sign-up bonuses that can add significant value in the first year.
- Factor in Annual Fees: Make sure to account for any annual fees versus the rewards you expect to earn.
- Check Redemption Options: Ensure that the points or cashback can be redeemed in a way that suits your lifestyle.
Conclusion
Finding the right credit card for grocery rewards can significantly impact your budget and allow you to make the most of your spending. In 2023, cards like the Blue Cash Preferred® Card from American Express, Costco Anywhere Visa® Card, Chase Freedom Flex℠, Capital One SavorOne, and Discover it® Cash Back are among the best options available. Evaluate your shopping habits and financial goals to choose the card that best suits your lifestyle and shopping needs.
FAQs
1. How often do grocery rewards categories change?
For cards with rotating categories, the change typically occurs quarterly, meaning you’ll need to stay updated on which categories apply each season.
2. Do I need a good credit score to qualify for these cards?
Most rewards credit cards require a good to excellent credit score for approval. It’s advisable to check your credit score before applying.
3. Can I use these cards for online grocery shopping?
Yes, most grocery rewards credit cards can be used for online grocery shopping as long as the purchase is made at the designated grocery store categorizing them.
4. Are cash rewards better than points?
It depends on your personal spending habits. Cash rewards provide instant redemption while points may offer better value for travel rewards. Analyze which aligns better with your lifestyle.
5. Is there an annual fee for grocery rewards credit cards?
Some cards have an annual fee, while others are fee-free. Be sure to weigh the annual fee against the potential rewards to determine what’s best for you.
