Best Cash Back Credit Cards for September 2024

The best cash back cards offer the opportunity to earn money back on your purchases and a range of benefits tailored to your spending patterns. That's why the Wells Fargo Active Cash® Card is our top choice for cash back cards, with its unlimited 2% cash rewards on purchases and no annual fee.

However, a different card might be the better option if your expenses are concentrated in specific areas — like the Capital One SavorOne Cash Rewards Credit Card for making the most of dining and entertainment spending. Whether you're looking to maximize rewards across all purchases or in specific categories, our picks for the top cash back cards will help you earn more with every swipe.

Whether you seek flat-rate rewards or category-specific cash back, MoneyGeek's picks for the best cash back cards stand out for their value. For instance, the Wells Fargo Active Cash provides unlimited 2% cash rewards on all purchases, while the Blue Cash Preferred offers 6% cash back on U.S. supermarkets and streaming services. We assessed each card based on the cash back you earn on purchases as well as for other factors, including annual fees, issuer satisfaction, acceptance rates, penalties and fees and 0% APR introductory periods.

Flat-rate no-annual-fee cash back cards score particularly well in our overall assessment, but you'll also find bonus cash back and 5% cards.

Comparing cash back credit cards apples-to-apples can be tricky due to the variety of rewards schemes available. One card might offer 2% cash back on all purchases, whereas another offers 5% on groceries but only 1% on everything else.

To cut through the noise, we estimated the effective rewards rate for each card and made it the core of our scoring system. This rate estimates the cash back you can earn from a card based on its rewards structure and the spending profile of the median American household. By calculating this rate, we were able to compare cards more objectively.

MoneyGeek then collected and reviewed 32 data points for the top 60 cash back credit cards. We scored each card based on several factors, with the following weights applied:

• Effective Rewards Rate (50%): Measures the estimated cash back from the card based on its rewards structure and the spending profile of the median American household.
• Annual Fee (10%): Evaluates the cost of the card. The highest rating goes to cards with no annual fees.
• Offer ROI (10%): Measures the return on investment from the card's introductory offer.
• Balance Transfer Offer (5%): Evaluates the attractiveness of the balance transfer offer.
• Introductory Purchase APR (5%): Measures the appeal of the introductory APR on purchases.
• Recommended Credit (5%): Assesses the accessibility of the card based on recommended credit scores. A higher rating was given if the card is available to almost all credit scores.
• Issuer Satisfaction (5%): Measures customer satisfaction with the card issuer based on J.D. Power studies.
• Penalties (5%): Evaluates the penalty rates and fees, giving the highest rating to cards with none.
• Regular APR (5%): Measures the regular APR of the card, with higher ratings for lower APRs.
• Foreign Transaction Fees (5%): A high rating indicates no foreign transaction fees.

We follow this methodology to ensure our ratings are objective, comprehensive and trustworthy. In the end, you should match a card with your spending habits to determine which will provide the most value for you.

A cash back card is a type of credit card that rewards you with a percentage of your purchases back in cash. Different cards offer varying reward schemes. For example, the SavorOne Cash card offers 3% cash back on dining, entertainment, streaming services and grocery stores, whereas the Wells Fargo Active Cash provides a flat 2% cash back rate on all purchases.

Cash back cards are popular for their straightforward rewards. You earn cash back on your purchases, which can be easily redeemed as statement credits, direct deposits or even gift cards. Many cash back cards (like the Wells Fargo Active Cash) come with no annual fee and offer additional perks like 0% intro APR periods and welcome bonuses.

Cash back cards come with trade-offs for their rewarding simplicity. They often have shorter introductory 0% APR periods than the best balance transfer cards, which are designed to help you work down existing balances. And although cash back cards are more straightforward, points cards can sometimes be worth more when you redeem points for travel or transfer to loyalty programs.

Many people ask whether cash back or points are better when it comes to rewards. The short answer is that you should pick the rewards system based on how it makes you feel and how much work you want to put into managing your credit cards. Cash back is simpler to manage, but it lacks the thrill of the deal that a points redemption can provide.

There are three main types of cash back credit cards to consider: flat-rate, bonus category and rotating category cards. Each type has its own set of benefits and potential drawbacks.

Cash back credit cards often feature bonus categories that allow cardholders to earn extra rewards on specific purchases. Knowing these common categories can help you choose a card that best aligns with your spending habits.

Once you've selected the cash back card that's best for you, using it responsibly will help you maximize your rewards and avoid common pitfalls of cash back credit cards. Here are some expert tips to help you manage your cash back cards effectively.

Avoid Carrying a Balance

Carrying a balance means you are paying interest on your purchases, which can quickly negate any cash back gains. Bruce McClary, the vice president of communications at the National Foundation for Credit Counseling, warns, "A trap cash back cardholders often fall into is carrying a balance on their card. That's not the ideal situation with any credit card, but because cash back cards often have a higher APR than non-rewards-based credit cards, it's a really bad idea."

Understand Fees and Interest Rates

Familiarize yourself with all the rules, restrictions and limitations of the card. Liz Frazier Peck, financial planner and author of Beyond Piggy Banks and Lemonade Stands: How to Teach Young Kids About Finance, advises, "Make sure the amount you pay in interest and fees is worth the cash or rewards you are receiving."

Avoid Unnecessary Spending and Chasing Rewards

"The pursuit of points can lead to unmanageable debt, and so can the process of redeeming rewards," cautions McClary. To help make sure you can pay off your balance, don't treat your credit cards as free money or get so caught up in the game of earning rewards that you overspend. Callie Renner, a wealth advisor at Beacon Pointe Advisors, recommends that you "only use credit cards on purchases you can afford."

Simplify and Maximize Rewards

By focusing on a few cards that offer the best cash back for your spending habits, you can maximize your cash back without complicating your finances. "For my household, that means using two primary cards," says Ethan Pew, Ph.D., assistant professor of marketing at the University of Texas at Austin, "One of them is a flat-rate card, while the other one has restaurant bonus categories."

MoneyGeek answers some of the most common questions about the best cash back credit cards, to aid you in making an informed decision.