Which Credit Card Has The Best Rewards Program

The Best Rewards Credit Cards For Earning Points And Miles Of 2022

If you’re using a plain old credit card every day that doesn’t offer rewards, you’re missing out.

There are plenty of credit cards with good rewards out there that pay you back for your daily spending.

We’re talking things such as travel perks, cash, merchandise, and more.

We surveyed the top credit card offers on reward points and miles, to find out which are best for your needs. We found that some cards offer more rewards per purchase than others while there were a few with no minimum spend requirement at all!

In our opinion, after much analysis, these are the top rewards credit cards that you can find today.

Types Of Rewards Cards

Rewards cards can widely vary based on types of rewards and bonus categories, but three common types include cash back, travel, and business. The rewards program thats best for you will depend on your spending habits and what youre looking to gain from the card. For example, you may want to use your rewards to upgrade your travel experiences, or to save on several small purchases over time.

The different types of rewards cards can also affect how you earn rewards. Some rewards cards are more geared toward earning on everyday purchases, while others are focused on certain bonus categories or specific travel purchases.

You can even maximize different types of rewards and build your own trifecta or card pair to make the most of nearly every dollar you spend. Heres more about these three different types of rewards credit cards:

Best For Travel Rewards: Capital One Venture Rewards Credit Card

• Best features: This easy-to-use travel card stands apart from many other travel rewards cards that come with complicated rewards programs. Plus, the big sign-up bonus, high-earning rewards and flexible redemption options add to the appeal.
• Biggest drawbacks: Rewards maximizers might find the cards redemption options a little too straightforward. Given the miles you earn on your Venture card are largely worth 1 cent per mile, the exchange rate is low for most transfer partners.
• Alternatives: Another card that suits travelers who value simplicity, the Discover it® Miles offers a flat 1.5 miles per dollar on every purchase and, like the Venture card, allows you to redeem your miles for nearly any outside travel purchase. Youll also pay no annual fee or foreign transaction fees.
• Bottom line: This popular Capital One credit card checks all the boxes in terms of what people should look for in a travel rewards card: a competitive 2X miles back on all purchases, a generous sign-up bonus, no foreign transaction fees and up to a $100 credit to put toward the application fee for Global Entry or TSA PreCheck.

Read our full Capital One Venture Rewards Credit Card review or jump back to this cards offer details.

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Other Factors To Consider

Before you apply for a rewards credit card it may be a good idea to find out the answers to these questions:

• How do the rewards add up? Consider how many points you earn for a dollar and how many you need to get a reward. Check to see how many points you can earn each year and how quickly those points expire. It usually pays to do some research.
• How easy is it to get the reward? Many cash rewards programs reward you automatically as soon as youve spent enough to qualify. With others, you can redeem your rewards online or by phone whenever you choose. Its a good idea to check out how user-friendly a card companys website is before you apply.
• Is there a catch? Rewards credit cards may charge an annual fee or have higher interest rates than other cards. There may also be a fee to redeem your points or shipping fees to deliver merchandise rewards. A great program may be worth the extra cost, but make sure you know all the details up front.
• What about late payments? Late or missed payments can affect your ability to earn or redeem points or remove your rewards balance completely. Some issuers charge a fee to reinstate rewards points when a payment is late after a certain number of days.

Different Kinds Of Rewards Credit Cards

Remember how we said that not all rewards cards are created equal? Part of the reason for that is the fact that each category or type of card offers a different rewards currency. Furthermore, how you much value you get out of your points depends heavily on how you redeem them.

There is a credit card for just about everyone out there, but it is impossible to list each of them on this site. The cards on this page are for people who are responsible credit card users and are looking to take advantage of rewards points and cash back bonuses. Depending on your credit card usage, you may benefit most from a cash back card, a gas rewards card, a point rewards card, or a travel rewards credit card.

The following chart illustrates how each type of card works:

As youll notice, all rewards cards offer a distinct currency that is unique to their program or brand. In almost every case, the points you earn with any rewards card are based on a percentage of your spending. Although earning 5 points per $1 spent isnt unheard of, most rewards credit cards offer between 1-2%.

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Understand The Bonus Rewards Categories

For certain purchases to qualify for a bonus rewards rate, the merchant category code must match the bonus rewards category.

Therefore:

Rewards credit cards will issue bonus rewards based on where you make purchases, not on what you buy.

You can buy anything at a qualifying merchant and still earn the bonus rewards rate. So, if youre earning a high bonus rewards rate at grocery stores, all purchases at the local supermarket will earn bonus rewards.

Each merchant has its own MCC, which can vary based on the card network. . Furthermore, each location of the same merchant company could have a different MCC.

There are three ways to identify the merchant code of a location or website:

It’s often very difficult to dispute a transaction’s eligibility for bonus rewards.

See the rates & fees for the mentioned American Express cards: Blue Cash Preferred from American Express .

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Nerdwallet’s Best Rewards Credit Cards Of October 2022

• Chase Freedom Unlimited®: Best for Cash back â bonus categories + high ongoing rate
• Blue Cash Preferred® Card from American Express: Best for Cash back â families
• Citi Custom Cashâ Card: Best for Cash back â 5% categories tailored to your spending
• Citi® Double Cash Card: Best for Cash back â high flat rate
• Chase Freedom Flexâ : Best for Cash back â up to 5% in multiple categories + cash bonus
• World of Hyatt Credit Card: Best for Hotel credit card

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Capital One Savorone Cash Rewards Credit Card

Our pick for: Dining and groceries + no annual fee

Love the night life but dead-set against paying an annual fee? Consider the Capital One SavorOne Cash Rewards Credit Card. It pays a lower cash-back rate on dining and entertainment than the regular Savor card, but the rewards are nevertheless quite good. The sign-up bonus is smaller than on the annual-fee version, too, but it’s still solid. Read our review.

Td Aeroplan Visa Infinite*

While the TD Aeroplan Visa Infinite is an Aeroplan card, allowing you to earn Aeroplan points on your purchases, its also a powerhouse of a travel card. In addition to getting you 1.5 Aeroplan points per $1 on groceries, gas and Air Canada purchases , this card comes with a roster of premium perks. These include your first checked bag for free for you and up to 8 people, free NEXUS travel application fee every 48 months, free six-month Uber Pass membership, and a suite of travel insurance. For new cardholders, theres a head-turning bonus of up to 50,000 Aeroplan points when you make your first purchase , spend $1,500 within the first 90 days , and spend $7,500 within the 12 months of opening an account . Add on the NEXUS application fee rebate and the annual fee waiver, this promotion is worth $1,400.

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Excellent Rewards Credit Cards From Our Partners

Recently Updated September 30, 2022

Product Details

Pros & Cons

• INTRO OFFER: Earn an additional 1.5% cash back on everything you buy – worth up to $300 cash back!

• Enjoy 6.5% cash back on travel purchased through Chase Ultimate Rewards®, our premier rewards program that lets you redeem rewards for cash back, travel, gift cards and more 4.5% cash back on drugstore purchases and dining at restaurants, including takeout and eligible delivery service, and 3% on all other purchases .

• After your first year or $20,000 spent, enjoy 5% cash back on Chase travel purchased through Ultimate Rewards®, 3% cash back on drugstore purchases and dining at restaurants, including takeout and eligible delivery service, and unlimited 1.5% cash back on all other purchases.

• No minimum to redeem for cash back. You can choose to receive a statement credit or direct deposit into most U.S. checking and savings accounts. Cash Back rewards do not expire as long as your account is open!

• Enjoy 0% Intro APR for 15 months from account opening on purchases and balance transfers, then a variable APR of 17.24% – 25.99%.

• No annual fee – You won’t have to pay an annual fee for all the great features that come with your Freedom Unlimited® card

• Keep tabs on your credit health, Chase Credit Journey helps you monitor your credit with free access to your latest score, real-time alerts, and more.

Product Details

Pros & Cons

Product Details

Pros & Cons

Product Details

Pros & Cons

Best For Students: Capital One Savorone Student Cash Rewards Credit Card

• Best features: The SavorOne Student card earns unlimited cash back and even has bonus categories that cover student-friendly spending areas like dining, popular streaming services and grocery stores. Its also one of the few student cards to offer a sign-up bonus, which could come in handy for students preparing to head back to school in the fall.
• Biggest drawbacks: This card wont be much help if you need to pay off a large purchase over time because it lacks a 0% introductory APR offer. Plus, if you already have good credit or better, you may be better off applying for the non-student version of the card to benefit from its intro APR offer and sign-up bonus.
• Alternatives: Though the SavorOne Student card offers several lucrative cash back categories, its hard to match the level of variety youll get with the Discover it® Student Cash Back cards rotating bonus categories. Plus, Discover will match all the cash back you earn at the end of your first year, which could make for an impressive cash rewards payday.
• Bottom line: The Capital One SavorOne Student Cash Rewards Credit Card is worth a look if youre a student looking for a chance to build credit with responsible use while enjoying terrific cash back variety.

Read our full Capital One SavorOne Student Cash Rewards Credit Card Review or jump back to this cards offer details.

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We believe everyone should be able to make financial decisions with confidence. And while our site doesnt feature every company or financial product available on the market, were proud that the guidance we offer, the information we provide and the tools we create are objective, independent, straightforward and free.

So how do we make money? Our partners compensate us. This may influence which products we review and write about , but it in no way affects our recommendations or advice, which are grounded in thousands of hours of research. Our partners cannot pay us to guarantee favorable reviews of their products or services.Here is a list of our partners.

How Much Effort Are You Willing To Put Into Maximizing Your Earnings

Many cash back rewards cards are relatively low-effort, as they generally earn rewards on everyday purchases without requiring extra effort to maximize your redemption value. In fact, some issuers even allow you to automatically redeem cash back for an easier experience.

But if you dont mind putting in a bit of effort, a travel-centric rewards card lets you strategically redeem your points or miles for potentially more value. This may mean booking through an issuers travel portal or transferring rewards to a higher-value travel partner. While this effort can pay off, you may not find it worth the headache and sometimes higher annual fee.

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Best Cash Back Credit Card: Chase Freedom Unlimited

Heres why: The card offers a high base rewards rate of 1.5%.

Cardholders will also earn

• 5% back on travel booked through the Chase Ultimate Rewards® platform
• 5% cash back on gas station purchases on up to $6,000 spent during your first year with the card
• 3% cash back on dining, including takeout and eligible delivery services
• 3% cash back at drugstores

After getting the card, youll earn a $200 bonus when you spend $500 on purchases in the first 3 months your account is open.

And the card doesnt charge an annual fee.

Check out our review of the Chase Freedom Unlimited® for more information.

Best Rewards Cards For Shopping

We all have different shopping habits, so picking a credit card that best serves your personal spending may require some personal reflection and a hard look at your recent bank statements.

Clark says that most people will benefit from the simplicity of rewards programs that dont focus on categorical spending, but there are some exceptions to that for people who could consistently beat 2% cash back with a card that rewards their specific spending patterns.

For example, many store-branded cards offer as much as 5% cash back for shopping there. And other cards may match that level of return for spending in one category such as dining or grocery shopping.

We have assembled a group of credit cards that should give you top rewards based on your type of spending.

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How Travel Rewards Credit Cards Work

Travel rewards credit cards can be general purpose or specific to a certain airline or hotel. General travel rewards credit cards earn points or miles that can be redeemed through your issuers rewards program, often by booking directly through the issuer site or transferring to a travel partner.

A co-branded travel rewards credit card earns points or miles you can instead redeem through a specific airline or hotel chains rewards program. These cards can be advantageous if you always fly with a specific airline or stay at a certain hotel brand, but otherwise limit your redemption options.

Keep in mind that you dont have to redeem your points or miles for travel with travel rewards cards, though this will often result in the best value for your points. Many issuers also offer points and miles redemptions for cash, statement credits, directly for items when shopping, or gift cards. Check your card account to figure out all the ways you can redeem your rewards currency.

Discover It Cash Back

Our pick for: Cash back â bonus categories + cashback match

The Discover it® Cash Back earns bonus cash back in quarterly categories that you activate. In past years, those categories have included common spending areas like grocery stores, restaurants, gas stations and Amazon.com. Category activation can be a hassle, but if your spending aligns with those categories , you can rake in serious rewards. You also get the issuer’s signature “cash-back match” bonus in your first year. Read our review.

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Chase Ink Business Preferred

Why the Ink Business Preferred is worth it: The Ink Business Preferred® Credit Card has a massive welcome bonus offer and earns transferable Ultimate Rewards points, and it comes with substantial travel and purchase benefits.

Welcome bonus offer: Earn 100,000 points after spending $15,000 on purchases in the first 3 months from account opening

There are dozens of small-business credit cards on the market with options to earn cash back, airline miles, hotel points, or flexible rewards. Our pick for the best rewards small-business card is the Ink Business Preferred® Credit Card because it covers all of those bases. Plus, you can earn a huge welcome bonus worth $1,800 based on Insider’s valuations when you transfer your Ultimate Rewards points to airline and hotel partners, but you can also redeem the bonus for $1,000 in cash back or $1,250 in travel booked through Chase.

You don’t have to own a million-dollar corporation to qualify for a small-business credit card. Sole proprietorships and side gigs like freelancing, driving for Uber, or renting out your property on Airbnb all count.

The card charges a manageable $95 annual fee, and it’s well worth it if you can take advantage of its benefits. Cardholders earn 3x points on shipping purchases, advertising purchases on social media sites and search engines, internet, cable, and phone services, and travel and 1 point per dollar on all other purchases.

Cons: 3x rate capped at $150,000 in annual spending.