Blue Cash Everyday Review: Cash Back Card with No Annual Fee
Read more about Blue Cash Everyday® Card from American Express,
If you’re looking for a cash back credit card that rewards you for common purchases and doesn’t charge an annual fee, you should check out the Blue Cash Everyday Card from American Express. This card also offers $100 back after you spend $1,000 on purchases on your new card in your first 3 months.
Pros and Cons
Great cash back card for cardholders who pay in full
Bonus: Introductory Offers
This card offers a 0% introductory APR on purchases and balance transfers for the first 15 months of card membership. After that, the APR will be a variable rate, currently 12.99% to 21.99%, based on your creditworthiness and other factors. Be sure you pay your balance off before the introductory period ends, because the APR for this card can range from 12.99% to 21.99%.
You get $100 back after you use your new Card to make $1,000 in purchases within the first 3 months. You will receive $100 back in the form of a statement credit.
Once upon a time, Blue Cash cards had a spending threshold that had to be met before cardholders could start to earn the full cash back. Thankfully, American Express altered this policy with this card, so cardholders are now able to accrue cash back rewards with this card at the full rate.
Cardholders receive extra cash back at US supermarket, at US gas stations and select US department stores, which are some of the most common expenses for many families. The rate is 3% cash back at US supermarkets (up to $6,000 per year in purchases) and 2% cash back at US gas stations and select US department stores. All other eligible purchases also earn you cash back at the rate of 1%. (The first $6,000 of purchases at US supermarkets in a calendar year qualifies for 3% cash back; 1% thereafter.)
Other American Express cards may reward cardholders more for some purchase categories, but those cards often feature an annual fee. When choosing between the cards, your best bet is to look at your purchases in the last several months and see how much you could have earned with the cash back rewards. You can then make an estimate of your annual cash back earnings. If your estimated earnings are more than the annual fee for the other card, then that card may be your best bet. If you are uncertain whether you will make enough purchases with your credit card to hit the annual fee, then a card like this one may be a better choice for your wallet.
How you interpret what that offer means may differ from the credit card company. American Express considers a supermarket as a store that offers a variety of food and household products, including produce, meat, and dairy as well as cleaners and pet food.
Chances are if a store sells groceries in addition to clothes and electronics, it is not — in Amex’s view — a supermarket. So-called big-box stores (like Wal-Mart and Target), online superstores (like Amazon), and warehouses (like Costco) are NOT considered supermarkets. Your mom-and-pop corner grocery store or specialty shop that only sells cheese or meat are also NOT considered supermarkets. Retailers that qualify include Whole Foods, Meijer, Shoprite, Winn-Dixie, Stop and Shop, Vons, Pathmark, and online supermarket FreshDirect, among others.
Gas Station List
The good news about this card’s cash back for gas station purchases is it goes beyond just gas. If the gas station you frequent also has a convenience store, consider using your Amex at the pump and inside the store to get your milk or other last-minute items (don’t go crazy just to get the cash back, however, as items you buy in a gas-station store are usually more expensive than you can buy elsewhere).
Amex views qualifying gas stations as those in the United States that primarily sell gasoline, so supermarkets (like Safeway) and warehouse clubs (like Costco) do NOT fall under this category even if they have their own pumps. Shell, Mobil, Hess, Exxon, Gulf, and Murphy are some of the gas stations where you can get 2% back with this card.
Department Store List
Earn 2% cash back at select department stores in the U.S.. You can get cash back for purchase made online or at the stores that have these specific names:
The Blue Cash Everyday card also provides cardholders with extra travel and purchase protections, including car rental loss and damage insurance, travel accident insurance, travel assistance, extended warranty, purchase protection and return protection.
Using the Blue Cash Everyday card for travel expenses will allow cardholders to gain access to the travel benefits. The car rental loss and damage insurance provides coverage for theft or damage of eligible rental vehicles. This saves cardholders from the costly insurance fees charged by rental companies. And with travel assistance, cardholders can gain medical, legal and other emergency assistance when travelling more than 100 miles from home.
A return protection plan also helps cardholders when they want to return an eligible item; if the merchant won’t take the eligible product back and it has been less than 90 days, American Express will take it and issue a refund of the full purchase price up to $300 per item. This benefit excludes shipping and handling and maxes out at $1,000 annually.
Foreign Transaction Fee
Unfortunately, the Blue Cash Everyday has a 2.7% foreign transaction fee. If you plan to travel internationally, you may want to consider a no foreign transaction fee credit card instead.
Blue Cash Everyday is a good credit card for people who want cash back on their most common purchases and pay their balance in full each month. Remember, as with all credit card offers, terms and limitations apply.
(Editing by Erin K)
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Editorial Note: This content is not provided by American Express. Any opinions, analyses, reviews or recommendations expressed in this article are those of the author's alone, and have not been reviewed, approved or otherwise endorsed by American Express. This site may be compensated through the Advertiser's affiliate programs.
Disclaimer: This content was first published on September 24, 2011. This content may have been updated on April 30, 2015. Information including APR, terms and benefits may vary, be out of date, or not applicable to you. Information is provided without warranty. Please check American Express website for updated information.
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