Best Rewards Credit Cards

Yes, rewards credit cards are worth it as long as you don't overspend just to earn the rewards and you avoid interest charges by paying your bill in full every month. The best rewards credit cards are worth more than $2,000 in savings for the average person over the first two years of use, after annual fees.

You need good or excellent credit to get the most worthwhile rewards cards, however. Things aren't as clear-cut for people with lower scores.

How to Choose a Worthwhile Rewards Credit Card

When determining if a rewards credit card is worth it or not, you have to weigh the worth of the rewards against the cost of the card. If the rewards card has no annual fee and you plan to pay the bill in full every month, it's pretty easy to decide the card is worth it.

However, you'll often get the best rewards and biggest signup bonuses from cards that do have annual fees. In that case, you just have to crunch the numbers to make sure you'll get your money's worth.

Popular Rewards Credit Cards to Consider

How to Get the Most Value From Your Rewards Card

Regardless of which rewards card you choose, be sure to understand how you can earn rewards most efficiently. Some cards have higher rewards rates for specific categories, and some give a flat rewards rate that you earn on all purchases. The fastest way to earn credit card rewards is through signup bonuses.

Many of the top rewards cards come with signup bonuses that you can get for meeting a minimum spending requirement in the first three months. The signup bonuses are usually worth several hundred dollars, enough to cover the cards' annual fees for years. And you can get them for spending money you were already planning on spending.

Many credit cards give you money for signing up and then spending a certain amount of money in the first few months. One of the best credit card sign-up bonuses is from the Citi Premier® Card, which offers 60,000 points for spending $4,000 in the first 3 months.

It's less common for credit cards to give you money just for signing up, but that does happen in a few cases. For example, on the Amazon.com Credit Card, the bonus is a $60 gift card that is automatically loaded to your Amazon account after your application for the card is approved.

Popular Credit Cards With Initial Bonuses

Citi Premier® Card 

Initial bonus: 60,000 points for spending $4,000 in the first 3 months

Annual fee: $95

Ongoing rewards:

Amazon.com Credit Card

Initial bonus: $60 Amazon.com gift card upon approval ($150 for Prime members)

Annual fee: $0

Ongoing rewards:

Marriott Bonvoy Boundless® Credit Card 

Initial bonus: 3 Free Nights for spending $3,000 in the first 3 months

Annual fee: $95

Ongoing rewards:

Capital One Venture X Rewards Credit Card 

Initial bonus: 75,000 miles for spending $4,000 in the first 3 months

Annual fee: $395

Ongoing rewards:

Chase Sapphire Preferred® Card 

Initial bonus: 60,000 bonus points for spending $4,000 in the first 3 months

Annual fee: $95

Ongoing rewards:

Bank of America® Travel Rewards credit card

Initial bonus: 25,000 points for spending $1,000 in the first 90 days

Annual fee: $0

Ongoing rewards:

Wells Fargo Active Cash® Card 

Initial bonus: $200 cash rewards after spending $500 in the first 3 months

Annual fee: $0

Ongoing rewards:

Capital One Quicksilver Cash Rewards Credit Card 

Initial bonus: $200 for spending $500 in the first 3 months

Annual fee: $0

Ongoing rewards:

U.S. Bank Altitude Reserve Visa Infinite® Card 

Initial bonus: 50,000 points for spending $4,500 in the first 90 days

Annual fee: $400

Ongoing rewards:

JetBlue Plus Card 

Initial bonus: 60,000 points after spending $1,000 in the first 90 days and paying the annual fee

Annual fee: $99

Ongoing rewards:

Capital One Savor Cash Rewards Credit Card 

Initial bonus: $300 for spending $3,000 in the first 3 months

Annual fee: $95

Ongoing rewards:

You can learn more about the best credit cards with signup bonuses on WalletHub.

The best way to choose a rewards credit card is to narrow down your choices to what your credit score qualifies you for, then compare the rewards rates and costs of the remaining options. Next, pick the credit card with the highest expected rewards earnings, based on your spending habits, minus any annual fees.

In addition to net rewards value, there are many secondary features that might influence you to pick one card over another when choosing a rewards credit card. For example, you may want a card that gives a certain type of rewards, whether cash back, points or miles. You may also want qualities like no annual fee, no foreign transaction fee, introductory financing on purchases, or perks with certain airlines or hotels. How long you want to keep the card and where you want to use it will factor into your decision as well.

How to Choose a Rewards Credit Card

1. Eliminate cards you can't qualify for. Check your credit score, then narrow down your options to the cards you can qualify for with that score.
2. Decide what kind of rewards you want. It's clear how much cash back rewards are worth. Cash back can't be devalued, either, unlike points or miles. But many points and miles cards offer increased redemption value toward travel.
3. Think about where you want to use the card. Some credit cards give extra rewards at certain merchants or types of merchants, so you might look for a card that caters to your biggest purchase categories. Or you might want a card with a good flat earning rate on everything.
4. Consider how long you want to keep the card. If you're only planning to keep the card for a year, initial bonuses and promotional financing will probably factor heavily into your decision. If you're looking for a card for the long haul, terms like fees and ongoing rewards rates are more important.
5. Compare offers based on expected net value. Calculate the amount of rewards you expect to earn in a year or two with each card you're considering, based on your spending habits. Then, subtract the cards' annual fees to see which one provides the most value.
6. Compare perks. There are all kinds of features that might sway you to pick one rewards card over another. Some examples are $0 foreign transaction fees, big initial bonuses, 0% introductory APRs, credits for certain types of purchases, and airport lounge access.

At the end of the day, the best way to choose a rewards credit card is to figure out what you want out of a card and then pick the credit card offer that most closely matches that description. And you can use WalletHub's editors' picks for the best rewards credit cards as a starting point to do just that.

In addition, you can use WalletHub's CardAdvisor tool to get credit card suggestions based on your answers to a few simple, anonymous questions. Or, you can create a free WalletHub account to get access to personalized credit card recommendations based on your WalletHub profile and credit report info.

The smartest way to use a credit card that has rewards is to make purchases that you can pay off fully by the due date each month. Avoiding interest is key to maximizing the value of a rewards credit card, since credit card interest rates are higher than credit card rewards rates.  

Smartest Way to Use a Rewards Credit Card

1. Pick the right credit card. Credit cards offer different types of rewards. If you travel a lot, a credit card with points or miles might be the best option for you. If not, a cash back credit card might be the more profitable choice.
2. Get the sign-up bonus. Many rewards credit cards offer an introductory bonus for users who charge a certain amount to the card within a specified period of time after opening an account. Make sure that the spending requirement for the sign-up bonus is attainable without having to overspend.
3. Use the card for the right purchases. Many rewards credit cards have different rewards rates for different expense categories – travel, dining and groceries, for example. You can use WalletHub's Island Approach to determine the best way to distribute your purchases among multiple cards.
4. Cut down overspending. As appealing as it is to see your rewards balance go up, making purchases to the brink of your credit limit will likely reflect badly on your credit score. Plus, it can put you at risk of accruing more debt than you can comfortably manage.
5. Pay your balance in full. Unless you pay your balance in full each month, you will incur interest charges, which could quickly outweigh any rewards earned.

You can easily use WalletHub's credit card comparison tool to find the best rewards credit card for your spending habits.

The best cash back credit cards give at least 1.5% cash back on purchases, along with $0 annual fees, initial bonus offers, or 0% APR promotions. Some of the best cash back credit cards offer the same cashback rate on all purchases, while others provide bonus cashback in certain purchase categories.

Best Cash Back Credit Cards in 2023

This content is not provided or commissioned by any issuer. Opinions expressed here are the author’s alone, not those of an issuer, and have not been reviewed, approved or otherwise endorsed by an issuer. Please keep in mind that while some offers may come from WalletHub advertising partners, sponsorship status played no role in card selection.

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The best rewards programs are Delta SkyMiles for free flights, Wyndham Rewards for free hotel nights, Capital One Rewards for credit cards with a lot of cash back or miles, and apps like Swagbucks and Shopkick for online shopping rewards and discounts. There are roughly 4 billion U.S. consumers enrolled in customer rewards programs. But you can't just join them all. It would be too difficult to manage.

The best approach is to find a select number of standout options that suit your spending habits, shopping preferences, travel plans, etc. Fortunately, WalletHub has done a lot of research to help identify the top options in the most popular categories.

For example, WalletHub's latest Frequent Flyer Program Report concluded that Delta SkyMiles is the best airline rewards program because of notable features like 5 SkyMiles per $1 spent on Delta flights, flexible redemption options and miles that never expire. It's also free to join, as is the case with all major frequent flyer programs. The main downside is that the value of SkyMiles changes frequently.

Similarly, Wyndham Rewards is the best hotel rewards program because it enables members to quickly earn free nights at more than 9,000 properties in over 80 countries. After joining for free, members earn either 10 points per $1 spent directly on room costs or 1,000 points per hotel stay, whichever is higher. In addition, points redeemed for hotel stays cover taxes and fees. The main downside of Wyndham Rewards is that points expire four years after they post to your account.

There are lots of different types of rewards programs, though. You can check out some of the best, most popular options listed by category below. All of these rewards programs are free to join.

Best Airline Rewards Programs:

• Delta SkyMiles
• United MileagePlus
• JetBlue TrueBlue
• Southwest Airlines Rapid Rewards
• Hawaiian Miles
• Alaska Airlines Mileage Plan
• American Airlines AAdvantage
• Frontier Airlines
• Sun Country Airlines
• Spirit Airlines

Best Hotel Rewards Programs:

• Wyndham Rewards
• Radisson Rewards
• Best Western Rewards
• Choice Privileges
• Marriott Bonvoy
• Hilton Honors
• World of Hyatt
• Drury Rewards
• IHG Rewards Club

Best Credit Card Rewards Programs:

• Capital One Rewards
• Barclays Rewards
• U.S. Bank Rewards
• Citi ThankYou Points
• Navy Federal Credit Union
• Chase Ultimate Rewards
• Pentagon Federal Credit Union
• Bank of America Preferred Rewards
• PNC Bank Rewards
• Discover Cash Back Rewards
• Wells Fargo Rewards
• American Express Membership Rewards

Retailer Rewards Programs:

• Barnes & Noble Membership
• CVS ExtraCare
• Office Depot Rewards
• Target Circle
• My Best Buy Rewards
• Starbucks Rewards

Rewards Apps:

• MyPoints
• SwagBucks
• Belly
• Fronto
• Shopkick
• Checkout 51

Rewards Programs for Online Shopping:

• Rakuten Rewards (formerly Ebates)
• Mr. Rebates
• Coupon Cactus
• Drop

We clearly have a long list of free rewards programs available to us these days. But it's important to remember that not all rewards programs are equal. In some cases, you'll earn points with every dollar spent and redeem those points for future purchases. Other businesses may offer free or discounted items when you make purchases either in-store or from their website. Be aware also that not all rewards programs are free. A handful of rewards programs such as Amazon Prime change with a membership fee.

You should always read the fine print before you sign up for any rewards program. Familiarize yourself with earning rates, redemption rates and costs, if any, to make sure the program you're signing up for is worth it. You don't want to find a surprise membership fee or other hidden charges among your bills.

The best Chase credit card for bonus rewards is the Chase Sapphire Preferred® Card, which offers an initial bonus of 60,000 bonus points for spending $4,000 in the first 3 months, worth up to $750 in travel booked through Chase. The Chase Sapphire Preferred® Card also offers ongoing bonus rewards of up to 5 points / $1 spent on purchases. It comes with a $95 annual fee.  

Best Chase Credit Cards for Bonus Rewards

Chase Freedom Unlimited® is the best Chase credit card for bonus rewards on ongoing purchases, giving 1.5 - 5% cash back. Plus, Chase Freedom Unlimited has a $0 annual fee.

A lot of people assume that rewards credit cards with no annual fee are the best offers on the market (some of these cards are issued by WalletHub partners). They feature the best of both worlds, as they give but do not take. That might seem logical, but with credit cards, you have to pay for admission to the best deals. In other words, the best rewards cards on the market tend to charge annual fees but offer more than enough in rewards to make up for it. This promotes card use, which in turn allows issuers to make money off interchange fees. What can we learn from this environment? Well, it would seem that no annual fee rewards cards are best when your planned annual spending on your new card (and corresponding rewards earning potential) is not high enough to justify paying for better earning rates. They’re also good for people who don’t want to have to worry about racking up annual fees if they ever stop using their account. So, if you have such a need, compare the cards listed below in order to find the suite of rewards that best complement your spending habits. If you’re shopping for your primary everyday credit card, on the other hand, we recommend comparing all rewards credit cards, regardless of whether or not they charge a membership fee.

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Business rewards credit cards give small business owners cash back, miles or points for every dollar they spend. Some business rewards credit cards give the same amount of rewards on all purchases, while others give more rewards in designated bonus categories such as office supplies or telecom services. You could also nab an initial bonus worth hundreds of dollars for spending a certain amount during the first few months your account is open with many business rewards credit cards (some offers are from WalletHub partners). To help you find the best small business rewards credit card for your company’s needs, WalletHub’s editors compared more than 1,500 offers.

When comparing offers, it’s important to remember that points, miles and cash back aren’t the only perks that business rewards credit cards provide. They also help small business owners track company expenses, manage employee spending privileges, and earn rewards on everything employees buy. So it’s definitely a good idea to get one for everyday business expenses.

At the end of the day, the best business credit cards with rewards are actually the best business credit cards overall. That’s because it’s dangerous to carry a balance from month to month with most business cards. They don’t have the same user protections as consumer cards, so credit card companies can increase the interest rate applicable to a business credit card balance at any time. And if you’re not going to carry a balance, you’ll want to compare cards mainly based on their rewards and annual fees.

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The best credit cards for at least 3% cash back in major spending categories are:

All of these credit cards give 3% cash back, or more, on some types of purchases. There is no credit card currently on the market that gives 3% cash back on all purchases. The best flat-rate cash back credit cards typically give 2% cash back on all purchases.

Overall, the best credit card that gives at least 3% cash back in major spending categories is Chase Freedom Unlimited®. It offers 5% cash back on travel through Chase, 3% back at restaurants and drugstores, and 1.5% back on all other purchases (plus an additional 1.5% cash back on everything, up to $20,000 spent the first year). Chase Freedom Unlimited also has a $0 annual fee.