Centsible Cards, Part 1

If you have read this blog and decided that you want to earn and save money, or be able to pay your big bills with credit cards every month, you're probably wondering which cards give you the best rewards.  Come to your Centses is here to help you with this process.  Today, I will begin a series of posts entitled "Centsible Cards".  I will be providing details of the best cards to use to earn a good amount of cash back/rewards for categories outside of mortgage/rent payments that make a up a good chunk of the average consumer's budget.  The first product we will discuss is from American Express.


American Express Blue Cash Everday/Preferred

The American Express Blue Cash offers consumers 3% cash back at grocery stores (up to $6000 in purchases per year), 2% cash back at gas stations and department stores, and 1% cash back everywhere else.  The Preferred version, which I carry, offers 6% cash back at grocery stores (with the same stipulation mentioned above), 3% cash back at gas stations and department stores, and 1% everywhere else.  American Express charges a $75 annual fee for the Preferred version, so it's important to track your spending and make sure that you are still making a profit after factoring in the fee.  The focus of this post will be the Preferred version. 

The American Express Blue Cash Preferred card lets you earn unlimited cash back, and it's pretty easy to redeem.  Once you have earned $25 in rewards, you are able to redeem.  You can earn $25 quickly with this card.  One complaint I have about this card is the amount of time that it takes for the cash back to post.  Essentially, the cash back is available one billing cycle behind the current one.  That means you have to wait almost 30 days after your billing cycle closes to be awarded the cash back dollars.  Once they are awarded, however, you can redeem them in a few easy steps.  Your rewards dollars are displayed prominently on the page, allowing you to click the "Explore Rewards" button to view ways to redeem your cash back.  I personally redeem the cash back as a statement credit.  You do have the option to use it to buy goods in through an online portal, as well as gift cards.  You will get the best value and easiest redemption, generally speaking, by redeeming for a statement credit.  The credit will show up in your balance the day after you redeem it. 

6% cash back at grocery stores is particularly useful for large families.  You can save even more money if you shop at stores that offer fuel points and take advantage of coupons and sales. For instance, Kroger gives 1 fuel point for every dollar spent on items in their store.  They are currently giving 2 fuel points per dollar spent on weekends.  This is definitely something to take advantage of.  Per the terms and conditions, American Express does not count Target, WalMart, and other stores in this category as grocery stores, even though these places have large grocery sections.

Cash back at gas stations can be earned inside the store and at the pump.  This is not the case with all cards that award rewards on gas, so it's important to note this fact.  Purchases at grocery stores and superstores that also sell gas are unfortunately not awarded cash back, per the terms and conditions.

Most department stores qualify for the cash back option.  You can get a list of stores here.

The Blue Cash Preferred offers other features, such as roadside assistance and purchase protection.  You can read about those and other features in detail here.

I believe that this card is a great option for your wallet.  I carry it and have been very pleased with my earnings.  Tomorrow, we will continue our series on the most rewarding credit cards for every day purchases.