American Express Blue Cash Preferred Card

A top cash back card for families: 6% at US supermarkets up to $6,000 a year and 3% on gas and transit, for $95.

Who it's for

This card is for you if groceries are a big line in your budget. You earn 6% cash back at US supermarkets on up to $6,000 a year, 6% on select US streaming, 3% on transit and US gas stations, and 1% on everything else. The annual fee is $95. If you spend around $100 a week on groceries, the 6% alone can cover the fee several times over.

Who should skip it

Skip it if your grocery spending is light, because the Blue Cash Everyday earns 3% at supermarkets with no annual fee. Skip it if you mostly shop at warehouse clubs or superstores, which usually don't count as supermarkets. And if you carry a balance, focus on paying it down first, since interest will cancel out the cash back.

How to get the most from it

Use this card for every supermarket trip until you reach the $6,000 yearly cap, then decide whether another card earns more for the rest of the year. Move your streaming subscriptions that qualify onto it to earn 6%. Use it for gas and transit too. Put other purchases on a flat 2% card so you're never stuck at 1%. A quick check: if you spend less than about $60 a week at supermarkets, run the numbers against the no-fee Blue Cash Everyday.

Pros

• 6% at US supermarkets (up to $6,000 a year)
• 6% on select US streaming
• 3% on transit and US gas
• Simple cash back, no points to manage
• 0% intro APR for up to 18 months on purchases and balance transfers

Cons

• $95 annual fee
• Supermarket cap of $6,000 a year
• Only 1% on everything else
• Warehouse clubs and superstores usually don't count

Frequently asked questions

Blue Cash Preferred or Blue Cash Everyday?

Do the math on your grocery spending. The Preferred earns 6% at US supermarkets for $95 a year; the Everyday earns 3% with no fee. The Preferred usually wins if you spend more than about $3,200 a year at supermarkets.

Does Costco count as a supermarket for the Blue Cash Preferred?

Warehouse clubs and superstores usually don't count. Check American Express's terms for the current list.

What happens after you hit the $6,000 supermarket cap?

Supermarket purchases earn 1% for the rest of the year.

Is the Blue Cash Preferred good for gas?

Yes. It earns 3% at US gas stations.