One of the highest cash back percentage you’ll find anywhere is five percent on select categories that change every three months. There are two major credit cards that offer 5% cash back: the Discover it® Card and the Chase Freedom Visa. These rotating categories are one of the reasons each of these cards made our list of the best cash back credit cards.
6% Cash Back: There is one card that offers 6% cash back on up to $6,000 in groceries each year. It’s the Blue Cash Preferred Card from American Express.
But there is a catch. You need to sign up for the 5% categories each quarter in order to be eligible for the increased payout. It only takes a few seconds to sign up online, but you don’t want to forget. With the start of a new quarter upon us, here are the current categories for July, August and September:
Discover it® 5% Categories
You can get five percent back on up to $1,500 in purchases made in various categories that change quarterly. For July through September 2016, the 5% cashback bonus applies to home improvement stores and Amazon.com.
Learn more about the Discover it® card here.
Chase Freedom 5% Categories
For 2016, you can earn bonus cash back on up to $1,500 spent each quarter on the following categories:
- Gas Stations
- Ground transportation
- Grocery stores
- Wholesale clubs
- Wholesale clubs
- “Holiday shopping” (TBD)
As with the Discover card, you can earn this increased bonus on up to $1,500 in purchases.
As an added bonus, Chase has extended the 5% cash back on wholesale clubs through the end of 2016. According to Chase spokesperson Rob Tacey:
With the Costco credit card acceptance changing to Visa on June 20, including those issued by Chase, Chase Freedom is announcing that it will continue to offer the 5% cash back category of Wholesale Clubs through the end of the year. Chase Freedom cardholders earn 5% cash back each quarter on up to $1,500 in combined purchases from Wholesale Clubs, including Costco®, BJ’s® and Sam’s Club®, and other additional rotating quarterly categories.
Learn more about the Chase Freedom card here.