Blue Cash Preferred® Card from American Express Review
First off, you'll get a sweet $150 cash back bonus after spending $1,000 on the card in the first 3 months. And the card offers great everyday cash back too, as you'll get 10% back at U.S. restaurants during the first 6 months you have the card, up to a $200 cash back maximum. You'll also earn 6% back at supermarkets - the highest ongoing cash back rate we've seen, making the Blue Cash Preferred® Card from American Express a terrific choice for anyone who spends a significant amount on groceries. Additionally, commuters and others can take advantage of the generous 3% on gas (no spending cap), and shoppers everywhere will appreciate 3% back (no cap) at select department stores like JCP, Kohls, Macys, Sears and Nordstrom. All other purchases will earn a standard 1% cash back with no cap.
The card does have a $95 annual fee, but if you have the spending habits of most people you'll more than earn it back each year (to find out for sure use our free Cash Back Credit Card Calculator). For example, if you spent the maximum amount of $6,000 each year at supermarkets (or $500/month, pretty easy for families to do), you'd get $360 cash back annually just on the groceries you already shop for. If you subtract the annual fee, that's still $265 in cash back each year, and that doesn't include the $150 intro bonus or all the other potential cash back you'd get at restaurants ($200 in the first 6 months!), on gas and on other purchases. Or, if you'd prefer a card with no annual fee, consider its sister card the no-fee Blue Cash Everyday Card from American Express, which offers similar cash back rewards, a 0% intro APR and a $100 cash back bonus. However, if you spend the same $500 per month at supermarkets with Blue Cash Everyday you'll only earn $180 cash back each year, as opposed to $360 each year with Blue Cash Preferred, so your choice depends on your individual spending patterns.
Blue Cash Preferred's 12-month 0% introductory APR on purchases and balance transfers is great way to save money on interest fees for over a year. With this no-interest APR you can make purchases now and pay absolutely zero interest for 12 months. You can also transfer your balances from other high-APR cards to this one, taking advantage of the 0% APR to pay down your balance and save some money on interest fees. There is a 3% balance transfer fee, but depending on how much interest you're currently paying and how much it might cost you to transfer your balance to this card it could be worth it.
The Blue Cash Preferred® Card from American Express also features chip-enabled technology, allowing you to make international purchases easily. Non-U.S. countries are requiring this technology with a greater frequency, so having it allows you to make the purchases you want without an issue. Note that this card does charge a 2.7% foreign transaction fee on all purchases made outside the U.S., so it's important to take that into consideration.
In sum, this is a terrific cash back card with a great $150 cash back bonus, generous ongoing rewards, and a lengthy 0% intro APR on balance transfers and purchases. It will particularly appeal to those who spend more on groceries, restaurants, gas and department stores.
Highlights From American Express
- Limited Time Offer: Apply by 5/3/17 – Earn 10% cash back on purchases at U.S. Restaurants in the first 6 months, up to $200 back.
- Plus, earn $150 back after you spend $1,000 in purchases on your new Card within the first 3 months.
- Everyday Cash Back: 6% at U.S. supermarkets on up to $6,000 per year in purchases (then 1%); 3% at U.S. gas stations; 1% on other purchases. Terms and limitations apply.
- No rotating reward categories. No enrollment required.
- Cash back is received in the form of Reward Dollars that can be redeemed as a statement credit. You can only earn cash back on eligible purchases.
- $95 Annual Fee. 0% intro APR on purchases and balance transfers for 12 months, then a variable rate, currently 13.74% to 23.74%, based on your creditworthiness and other factors.
- Terms Apply.
- Get $150 back after you spend $1,000 in purchases on your new Card in your first 3 months. You will receive $150 back in the form of a statement credit
- Earn 10% cash back on purchases at U.S. Restaurants in the first 6 months, up to $200 back. Must apply by 5/3/17 to qualify.
- Earn 6% cash back at U.S. supermarkets (excluding superstores and warehouse clubs) up to $6,000. After the first $6,000 of purchases in a calendar year users will earn 1% cash back.
- Earn 3% at U.S. gas stations and select department stores with no spending cap.
- Earn 1% on all other eligible purchases with no spending cap.
- Redeem reward dollars for statement credits in increments of $25 whenever your total available reward dollar balance is $25 or more.
- Minimum redemption is 25 reward dollars.
Fees and APR
- Annual Fee: $95
- Purchase APR: 0% on Purchases for 12 months, then 13.74%-23.74% Variable, based on creditworthiness .
- Balance Transfer APR: 0% on Balance Transfers for 12 months, then 13.74%-23.74% Variable, based on creditworthiness.
- Balance Transfer Fee: Either $5 or 3% of the amount of each transfer, whichever is greater.
- Foreign Transaction Fee: 2.7% of each transaction after conversion to US dollars.
- Late Payment Fee: Up to $38
- Cash Advance Fee: Either $5 or 3% of the amount of each cash advance, whichever is greater.
- APR for Cash Advances: 25.99%
- Penalty APR: 29.99%
- Returned Payment Fee: Up to $38.
|Features:||Earn 10% cash back at US restaurants in the first 6 mos ($200 max), 6% cash back at US supermarkets (up to $6K), 3% back on US gas & select US dept stores; 1% back on other purchases. $150 intro bonus after spending $1K in first 3 mos. Terms apply.|
|Purchase APR:||0% on Purchases for 12 months, then 13.74%-23.74% Variable|
|Balance Transfer APR:||0% on Balance Transfers for 12 months, then 13.74%-23.74% Variable|
|Credit Needed:||Excellent, Good|
NextAdvisor Credit Cards Blog Headlines
- Can I Decline a Credit Card if I Change My Mind?
Applying for a new credit card is an exciting and somewhat nerve-racking experience. Whether you’re hoping to be approved for […]
- We Learned All About the Upgrades Coming to The Platinum Card from American Express
Three of the NextAdvisor employees (myself included) got the opportunity to attend a special event at the Ritz-Carlton in San […]
- Which Airline-Branded Credit Cards are Best for Frequent Flyers?
If you fly frequently, whether it’s for business or leisure, you likely have a favorite airline that you choose to […]
- Get a 0% Intro APR on Purchases with These Credit Cards
We talk a lot about credit cards with long 0% intro APR periods on balance transfers, but what if you’re […]
Related Forum Posts
- Will the cash back percentages for the Blue Cash Preferred Card from American Express change?
American Express reserves the right to change cash back percentages for the Blue Cash Preferred Card from American Express, including those that are[...]
- How much cash back can I earn at restaurants with the Blue Cash Preferred Card from American Express?
Right now, Blue Cash Preferred Card from American Express is offering a limited-time offer for people who apply by 5/3/17 that lets you earn 10% cash[...]
- How do I get the cash back rewards from Blue Cash Preferred Card from American Express?
Cash back you earn with Blue Cash Preferred Card from American Express will be applied to your account in the form of reward dollars. You can redeem[...]
- Can I save my Blue Cash Preferred Card from American Express reward dollars to redeem later?
Rewards dollars you earn with Blue Cash Preferred Card from American Express are redeemed for cash back in the form of statement credits. You can[...]
- Does applying for Blue Cash Preferred Card from American Express count as a hard inquiry on my credit?
Whenever you apply for a credit card, such as the Blue Cash Preferred Card from American Express, your credit will be subject to a hard inquiry. This[...]