Best Rewards Credit Cards

The best points credit card is Chase Sapphire Reserve® or U.S. Bank FlexPerks® Gold American Express® Card because both cards give points that are worth 1.5 cents each when redeemed for travel. These two cards' points have more value than other points-earning credit cards currently on the market. The average credit card point has a redemption value of 1 cent.

Points earned on a Chase credit card are called Chase Ultimate Rewards points, and they redeem at different values depending on which credit card you have and what you redeem for. Overall, Chase Ultimate Rewards points are most valuable when redeemed for travel booked through the Chase travel portal. But points earned on the Chase Sapphire Reserve Credit Card are worth the most out of all the Chase credit cards. You'll earn 3 points / $1 spent at restaurants and 1 point / $1 on every other dollar spent, plus an initial bonus of 50,000 points (worth $750 in travel) after spending $4,000 in the first 3 months. The card's annual fee is $550.

It's not clear how much U.S. Bank FlexPerks points are worth for other redemption methods, but they have an exceptional redemption rate for travel booked through U.S. Bank. Airfare, hotels, and rental cars are considered travel to U.S. Bank. The U.S. Bank FlexPerks Gold Credit Card has great points-earning potential, too: 5 points / $1 spent at restaurants, 2 points at gas stations and airlines, and 1 point / $1 for everything else. Plus, the intro bonus of 30,000 points for $2,000 in the first 4 months is worth $450 in travel. The annual fee is $85.

When shopping around for a points credit card, it's important to keep in mind that points (along with miles) are one of the credit card rewards currencies that can change in value at any time. Moreover, credit card companies reserve the right to change rewards programs at their leisure, or to cancel them altogether. There are lots of rules governing each credit card's rewards system, so make sure you're aware of those rules before you sign up for the card.

Chase Freedom Flex is the best Chase credit card for bonus rewards on ongoing purchases, giving 5% cash back on the first $1,500 spent per quarter in bonus categories that change every 3 months. Also, you will get 5% back on travel booked through Chase, 3% on restaurants and drugstore purchases. All other spending earns 1% cash back. Plus, the Chase Freedom Card's initial bonus is $200 for spending $500 in the first 3 months. And Freedom Flex has a $0 annual fee.

The best Chase credit card initial bonus offer comes from Sapphire Preferred: 60,000 points for spending $4,000 in the first 3 months. Those bonus points are worth $750 in travel booked through Chase Ultimate Rewards or a $600 statement credit. That can cover the card's $95 annual fee for nearly 6-7 years, depending on how you redeem. Plus, Sapphire Preferred's ongoing bonus is 2 points per $1 spent on travel and dining (1 on everything else).

Plenty of credit cards give bonus cash back rewards in certain purchase categories. Cardholders may receive extra value on gas, groceries, dining, entertainment, wholesale clubs and more. Other cards have bonus categories that change every quarter, giving you the chance to earn big on different types of purchases every few months.

Best credit cards with cash back bonus rewards:

• Blue Cash Preferred® Card from American Express
• Alliant Cashback Visa® Signature Credit Card
• Capital One® Savor® Cash Rewards Credit Card
• Blue Cash Everyday® Card from American Express
• Capital One SavorOne Cash Rewards Credit Card
• Discover it® chrome
• Discover it® Cash Back
• Chase Freedom Flex℠
• Bank of America® Cash Rewards credit card

Lots of credit cards with cash back bonus rewards on purchases also offer an initial cash rewards bonus for spending a certain amount in the first few months. Plus, it's good to remember that many credit cards without cash back bonus rates still give a solid cash back rate on all purchases.

This information is accurate as of March 2019. Terms apply.

The best Visa rewards card depends on how you plan to use the card and redeem your rewards. People who travel a lot will want different cards than people who mainly charge gas and groceries, for example. Similarly, students will want cards that cater to their specific needs, as will business owners. Your choice of cards is limited by your creditworthiness, too. Luckily, there are options for everyone.

Popular Visa Rewards Cards:

• Capital One Venture Rewards Credit Card

• Chase Sapphire Preferred® Card

• Chase Freedom Unlimited®

• Bank of America® Travel Rewards Credit Card for Students

• Capital One® Spark® Cash for Business

The best Visa rewards cards provide the most value if you pay your monthly bill in full. If you carry a balance from month to month, interest charges could negate, if not wipe out completely, any rewards earned.

Credit cards change networks from time to time, but all of the above cards are Visas as of the date of posting.

Choosing between cash back rewards and travel rewards ultimately comes down to your spending preferences, the perks that specific cards offer, and how you plan to redeem rewards earnings. In general, people looking for flexible redemption options and rewards with clear values that can't be changed by the card's issuer should choose cash back rewards. But frequent travelers who enjoy perks such as free flights, airport lounge access, and hotel room upgrades have the chance to earn more total value from travel rewards.

With travel rewards credit cards, the number of points or miles you'll need to redeem for a free flight or hotel night, for instance, varies from issuer to issuer and card to card. Points/miles can also lose their value any time the card's issuer decides to raise the number needed to get a certain dollar amount in redemption value. Cash back rewards, on the other hand, are easy to understand and will retain their value because they're already expressed in terms of dollars and cents.

All told, cash back rewards are the better way to go for most people. However, there are a number of variables to consider on both sides. Not everyone always needs to choose between cash back and travel rewards, either. Having both a cash back credit card and a travel rewards card in your wallet can make sense in some situations.

Cash Back vs. Travel Rewards Credit Cards

When choosing between cash back and travel rewards, it's important to be realistic in how you're going to use the card. And whichever type of rewards you pick, make sure to pay your bill in full each month, or else you could end up spending more in fees and interest than the rewards are worth.

Bottom Line: Cash Back vs. Travel Rewards

• You should get a cash back credit card if you want to earn everyday rewards and enjoy straightforward, flexible redemption options.
• You should get a travel rewards credit card if you travel multiple times per year and are confident you'll earn enough in rewards to cover the cost of the annual fee – without overspending.
• You should have both if you can manage more than one account responsibly and want the best collection of earning rates for your biggest spending categories. Just make sure you pay your balances in full each month.

As long as you use your credit cards responsibly, you have the potential to reap lucrative rewards on your everyday purchases. Just be sure to actually put those rewards to use. Rewards that go unredeemed defeat the purpose getting the card in the first place.

Each credit card company has its own rewards program. And each credit card rewards program has a unique reputation. Some are known for good customer service. Others are notable for offering rewards cards to people with less-than-good credit. You can find the latest rankings in WalletHub's annual Credit Card Rewards Study, which reviews major credit card rewards programs based on earning potential, eligibility, transparency and more. The study also includes scores and rankings for individual cards.

Given that your ultimate goal should be to find the single best rewards card for your needs, your focus should be more at the card level than the issuer or rewards program level. The quality of a rewards program matters in the sense that it impacts what you can redeem your earnings for and how much they're worth when you do. But a credit card's core terms – annual fee, rewards earning rates, etc. – are what matter most.

With that being said, the first step in choosing the right rewards program is asking yourself this question: Do I rack up 30,000+ airline miles or 20+ hotel nights per year?

If your answer is “yes,” get one of WalletHub's best travel rewards credit cards. Most people will be better off with a card that's equally rewarding no matter where you book travel accommodations. But if you always fly with the same airline or stay at the same hotel chain, it's worth at least considering that company's credit card.

If you answered “no,” we recommend getting the best cash back credit card for your spending habits. Credit card companies can easily devalue points/miles by increasing the number that you need to redeem for certain items. That makes saving them up for infrequent redemption a bit risky. But issuers can't play the same games with cash. Cash back rewards also give you versatility in that you can redeem earnings for any type of expense by getting a statement credit.

The best reward card app is probably Stocard. Stocard is a free app that lets you input the information of all your store loyalty rewards cards, which allows you to use your app instead of carrying around a wallet full of cards. You can input each loyalty rewards card's information manually or scan its barcode using the app (depends on the type of rewards card). Then, when it's time to pay, you can have the cashier scan the barcode on the app or type in the card's ID number to access your reward card.

Stocard is available for free on the Apple Store and Google Play store. One other thing to note – the app isn't just for loyalty rewards cards. Stocard can also store gift cards, Passbook/Apple Wallet Passes and airline tickets. It doesn't work with credit cards, though.

If you have a rewards credit card, the best reward card app is the app of your credit card issuer. Downloading it will let you manage every aspect of your credit card account on the go. You can do all kinds of things, from paying your bill to checking your rewards to adding an authorized user. And you'll be able to log in using the same information as your online account.

The best 2% rewards credit cards are Citi Double Cash, Capital One Venture, and Barclaycard Arrival Plus Preferred. They each give 2 rewards per $1 spent, but cover all the different types of credit card rewards. Citi Double Cash gives you 2% cash back. Capital One Venture gives you 2 miles per $1 on all purchases. And Barclaycard Arrival Plus also gives you 2 miles $1 on all purchases.

In other words, Citi Double Cash is the best 2% cash back credit card. Capital One Venture and Barclaycard Arrival Plus are the best double miles credit cards. And the best double points credit card would have to be Chase Sapphire Preferred.

2% rewards credit cards that give the 2% rate on everything, like Double Cash and Venture, are hard to find. Most of the time, the higher rate will be in a bonus category, like with Sapphire Preferred. But if you make frequent purchases in that category, these cards can be well worth your time.

Here are the best 2% rewards credit cards:

• 2% cash back on all purchases: Citi Double Cash. No annual fee. Good credit needed.
  

• 2 miles per $1 on all purchases: Capital One Venture.10 miles per $1 on hotels.com.50,000-mile bonus for spending $3,000 in the first 3 months. $95 annual fee. Good credit needed.
• 2 miles per $1 on all purchases: Barclaycard Arrival Plus. 60,000-mile bonus for spending $5,000 in the first 90 days. $89 annual fee. Good credit needed.
• 2 points per $1 on travel and dining: Chase Sapphire Preferred. 1 point per $1 on all other purchases. 50,000-point bonus for spending $4,000 in the first 3 months. $95 annual fee. Excellent credit needed.
• 2 points per $1 on dining out and entertainment: Citi ThankYou Preferred. 1 point per $1 on other purchases. No annual fee. Excellent credit needed.
• 2% cash back on all purchases: Capital One Spark Cash for Business. $500 bonus for spending $4,500 in the first 3 months. $95 annual fee. Good credit needed.
• 2% cash back at restaurants and gas stations: Discover it Secured. 2% rate applies to the first $1,000 spent per quarter in those categories. 1% on other purchases.Rewards earned the first year get doubled.No annual fee. For bad credit.
• 2 points per $1 at supermarkets: Amex EveryDay. 2 points per $1 on first $6,000 spent per year at supermarkets. 1 per $1 on other purchases. 10,000-point bonus for spending $1,000 in the first 3 months. No annual fee. Good credit needed.
• 2 miles per $1 on Delta purchases: Gold Delta SkyMiles. 1 mile per $1 on other purchases. $95 annual fee. Good credit needed.
• 2% cash back at restaurants and gas stations: Discover it Student Chrome. 2% rate applies to the first $1,000 spent per quarter in those categories. 1% back on other purchases. Rewards earned the first year get doubled.No annual fee. For students with limited credit history.

As you can see, there are even 2% rewards credit cards for people with bad or limited credit. But most cards will only give you the higher rate on certain categories.

There are also many credit cards that will give you higher than 2% rewards rates on some purchases, such as Chase Sapphire Reserve, Discover it Cash Back and Amex Blue Cash Everyday. But you'll need good or excellent credit to get them. And most come with fairly high annual fees.

The short answer is yes, you may want to have more than one rewards card, especially if you get an airline miles credit card. Most airline credit cards are best when used solely for airline spending. And that leaves plenty of other purchases in need of a good earning rate. So it's wise to fill the void with a cash back credit card or a travel rewards card that is equally rewarding on all purchases.

Of course, this all depends on whether you pay your credit card bills in full every month. If you do, getting different rewards cards for each of your biggest expense categories is a great idea. But if you don't plan to pay in full, you'll save more by using a 0% or low-interest credit card for purchases that will lead to an end-of-month balance.

The practice of using multiple cards to serve a collection of specific purposes is called the Island Approach. And trying it makes more and more sense the better your credit is. People with good or excellent credit have far more options and far fewer fees, after all.

If you don't know what kind of shape your credit is in, you can check your latest credit score for free on WalletHub.

The best Bank of America credit card for rewards is the Bank of America Premium Rewards card. It has a signup bonus of 50,000 points for spending $3,000 in the first 90 days, and it gives 2 points for every dollar spent on travel and dining as well as 1.5 points on all other purchases. The Premium Rewards card also gives cardholders a $100 credit for TSA Precheck or Global Entry every four years, and an annual $100 credit to cover air travel incidentals. All of those rewards come at the price of a $95 annual fee.

There are less expensive options too. The best Bank of America credit card for rewards and no annual fee is the Bank of America Cash Rewards credit card. It gives cardholders 3% cash back on gas or their choice of one of five popular categories and 2% back on groceries and wholesale club purchases. The 3% and 2% cash back is capped at the first $2,500 spent in those categories each quarter. All other purchases earn unlimited 1% cash back. The BofA Cash Rewards card's signup bonus is $200 for spending $1,000 in the first 90 days.

Best Bank of America Credit Cards for Rewards:

- Bank of America Premium Rewards Credit Card: 1.5-2 points for every dollar spent. Signup bonus of 50,000 points for spending $3,000 in the first 90 days. $95 annual fee.

- Bank of America Cash Rewards Credit Card: 1-3% cash back on all purchases. Signup bonus of $200 for spending $1,000 in the first 90 days. $0 annual fee.

- Bank of America Travel Rewards Credit Card: 1.5 points for every dollar spent. Signup bonus of 25,000 points for spending $1,000 in the first 90 days. $0 annual fee.

- Bank of America Cash Rewards Credit Card for Students: 1-3% cash back on all purchases. Signup bonus of $200 for spending $1,000 in the first 90 days. $0 annual fee.

- Bank of America Travel Rewards Credit Card for Students: 3 points for every dollar spent at the Bank of America Travel Center and 1.5 points on all other purchases. Signup bonus of 25,000 points for spending $1,000 in the first 90 days. $0 annual fee.

All of these Bank of America rewards credit cards require good-to-excellent credit, except the student cards. Individuals with limited credit can be approved for the two Bank of America student credit cards, but they'll also need to be students.

If you don't have good credit and aren't a student but want a Bank of America card, your best option is the BankAmericard Secured credit card. It doesn't give any rewards, but applicants with bad credit can be approved.