Finding the best cash back credit card can seem daunting. There are so many rewards credit cards to choose from, and with several issuers offering competitive rewards and benefits, it can be difficult to find the right card for you.
Discover offers several cash back credit cards, including the popular Discover it® Cash Back. If you want a card that you can hold on to for the long haul, there are plenty of reasons to consider it over all the others. Here are three reasons we love this card – and why you might like it, too.
Spinning rewards you can maximize
One of the main advantages of this card is the way it distributes the rewards. When you sign up for Discover it Cash Back, you earn 5% on up to $ 1,500 spent in rotating categories each quarter (activation required), after which you earn 1%. The rotating bonus categories are listed on Discover’s Cash Back calendar every year, and they always include those that consumers can easily use.
For example, categories in 2021 include the following:
- January – March (Q1): Grocery stores, Walgreens and CVS
- April to June (T2): gas stations, wholesale clubs and some streaming services
- July – September (T3): Restaurants and Paypal
- October to December (Q4): Amazon.com, Walmart.com and Target.com
Find out that customers need to activate their categories for 5% back in order to maximize them, but they can easily increase the rewards with bonus category spending afterwards. For the last quarter of the year, for example, you can easily maximize your 5% rewards by filling your holiday shopping list with Amazon, Walmart, and Target.
Cash Back Match
Another reason to sign up for Discover it Cash Back is its Cashback Match program. This program essentially doubles any rewards you earn after the first year, regardless of how much you spend and how much cash back you earn.
Suppose you can maximize the bonus categories in each quarter to earn $ 75 every three months, but you also spend an additional $ 1,000 on your card each month for an additional $ 120 in rewards over 12 months. By the end of the first year, you would have earned $ 420 in cash back rewards, which Discover would double to $ 840 with no extra work on your part.
APR launch offer
While the Discover it Cash Back is best known for its rewards program, cardholders can also benefit from an introductory interest rate for over a year. In fact, new customers who sign up for this card get 0% APR on purchases and balance transfers for 14 months, followed by a variable APR of 11.99% to 22.99%.
This makes the Discover it Cash Back a great option if you want to pay off large purchases without interest over time, or if you want to consolidate and pay off other high interest debt.
Why you might consider another cash back credit card
The Discover it Cash Back is great in every way, especially as a no annual fee card, but there are a few areas where it can fall short of other cards. For example, the duration of its introductory APR offer is not as attractive as some other rewards cards. In fact, there are many cash back credit cards that give you 0% APR on purchases or balance transfers for 15 months or more.
Also note that the Discover it Cash Back does not have a traditional signup bonus which can be a bit of a hassle. Your rewards are doubled after the first year, but that’s different from other cash back credit cards that offer $ 200 or more when you meet a minimum spend requirement in the first few months.
The bottom line
There are many great cash back credit cards on the market today, but that doesn’t mean there is one “best” card for everyone. In fact, some cards meet different types of needs better than others. This is the main reason why you should shop around and compare all of the best rewards credit cards available before making your decision. Discover it Cash Back might be the card of your dreams, but you won’t know for sure if you don’t compare all of your options.