The Blue Cash Preferred from American Express is potentially the most rewarding card when it comes to supermarkets and select streaming services in the U.S., in addition to earning a strong rate for purchases at U.S. gas stations. Here’s why the Blue Cash Preferred would make a welcomed addition to any consumer’s wallet. For example, just by spending as little as $1,600 on groceries annually cardholders will earn $96 back, which is enough to cover the fee. That works out to only about $133 in grocery spending each month, which is less than what most families spend in a single week. Cardholders also will earn much more than that after considering the card’s other bonus categories. And take note, consumers can earn that strong 6% cash back rate at other retailers by using the Blue Cash Preferred to purchase gift cards at the grocery store. In addition to the strong grocery and gas rewards, cardholders can earn something back for all of their binge-watching needs. Most streaming services are covered, including Netflix, Spotify, HBO Max, and Hulu. Even lesser-known services like Peacock and Stitcher are covered. Pros
6% cash back for U.S. supermarkets and select U.S. streaming services3% cash back for U.S. gas stations0% intro APR offer for new purchases and on balance transfers for 12 months (then 18.74% to 29.74% variable)
Cons
Annual fee$6,000 annual spending limit at U.S. supermarkets (then 1%)$25 minimum redemption
Statement creditsGift cardsMerchandise
Statement credits will reduce the overall balance of the account. Just keep in mind that it won’t cover the required minimum monthly payment should you revolve a balance. By paying off your statement balance in full each month, you’ll avoid any interest charges, so it’s recommended that consumers get in that habit.
Card benefits
While the true draw for the Blue Cash Preferred is its impressive rewards, cardholders also will find value in its benefits and protections:
$120 Equinox+ credit: Get $120 back in statement credits each year when you pay for an Equinox+ membership.ShopRunner membership: Receive free 2-day shipping on eligible items through the ShopRunner network.Amex Offers: Earn extra rewards on purchases from a list of select merchants.MyCredit Guide: Check your VantageScore 3.0 credit score and TransUnion credit report for free.CreditSecure: Monitor one of your credit scores, get help with identity theft, and receive fraud assistance. It’s $1 for the first month, then $17 monthly.Car Rental Loss and Damage Insurance: Decline the rental car provider’s insurance offer and charge the full amount to your card. Your rental will be covered against damage and theft.Global Assist Hotline: Get help with medical, legal, and other assistance when you’re away from home.Purchase Protection: Your new purchases are covered against damage and theft for 90 days.Return Protection: If the retailer won’t take back a purchase made within 90 days, American Express may refund the purchase excluding the cost of shipping and handling. Up to $300 per item, and up to $1,000 in a calendar year.Extended Warranty: American Express will extend a manufacturer’s warranty for an additional year so long as it’s five years or less.
Eligibility and benefit level varies by card. Terms, conditions and limitations apply. Please visit americanexpress.com/benefitsguide for more details. Underwritten by Amex Assurance Company. The Blue Cash Preferred is designed for consumers with good to excellent credit. To be considered for that credit range, your FICO score must be at least 670, or your VantageScore must be at least 661. While the lack of an annual fee may seem enticing, you’ll actually get more for your money by choosing the Blue Cash Preferred. Check out our page on the 5 best credit cards for groceries to see how it stacks up to the competition. While it does have an annual fee, it doesn’t take much spending at all to cover it, and then some. The grocery rewards add up quickly, before even considering its other bonus categories. Where the card is lacking is in the benefits, but there are still a handful of perks that cardholders can appreciate, such as rental car insurance, Purchase Protection, Extended Warranty, Return Protection, and a ShopRunner membership. The biggest draw is earning a return on spending you’re doing anyway. Earning rewards for purchases you have to make should be an easy choice for most consumers. The benefits of Purchase Protection and Extended Warranty give cardholders added security when making purchases with the card, and the ShopRunner membership cuts down on shipping time if you can take advantage of it.
