Top Credit Cards for Grocery and Gas Spending in 2023

Why Choosing the Right Credit Card Matters

When it comes to everyday expenses like groceries and gas, using the right credit card can make a significant difference in your overall savings. With average credit card debt in the U.S. hovering around $6,580 and an average APR of 20.5%, it’s essential to choose a card that not only offers rewards but also helps you manage your spending effectively. Let’s dive into some of the best credit cards for grocery and gas spending that can help you earn rewards and save money in the long run.

1. Chase Freedom Flex

The Chase Freedom Flex card is a fantastic choice for those who want to earn cash back on groceries and gas. This card offers 5% cash back on eligible purchases in rotating categories each quarter, which often includes groceries and gas stations. Plus, you’ll earn 1% on all other purchases.

For example, if you spend $500 on groceries in a quarter when they’re a 5% category, you can earn $25 in cash back. With no annual fee, this card is a great tool for budgeting your grocery and gas expenses while also benefiting from rewards.

2. Blue Cash Preferred Card from American Express

If you frequently shop at supermarkets, the Blue Cash Preferred Card from American Express may be your best bet. This card offers a whopping 6% cash back on the first $6,000 spent at U.S. supermarkets each year, then 1%. You’ll also earn 3% cash back on transit and gas stations, making it a comprehensive choice for your travel and grocery expenses.

Let’s break that down: if you spend the full $6,000 on groceries, you’ll earn $360 in cash back. With a $95 annual fee, you’ll need to make sure your spending aligns with the rewards to truly benefit, but for regular grocery shoppers, this card can be a game-changer.

3. Capital One SavorOne Cash Rewards Credit Card

The Capital One SavorOne Cash Rewards Credit Card is an excellent option for food lovers and travelers alike. This card offers 3% cash back on dining and entertainment, as well as 2% on grocery stores. It has no annual fee, which makes it a low-risk option if you’re unsure about how much you’ll spend in these categories.

For instance, if you spend $300 a month on groceries, you’re looking at $72 back in cash rewards over a year, just for using this card. Plus, you’ll also earn 1% on all other purchases, which can add up over time.

4. Chase Sapphire Preferred Card

For those who love to travel and want to earn points that can be redeemed for travel rewards, the Chase Sapphire Preferred Card is worth considering. While this card may not offer the highest cash back for grocery and gas purchases, it does provide 2x points on travel and dining, and 1 point per dollar spent on all other purchases.

The real benefit comes when you redeem your points through the Chase Ultimate Rewards program, where your points can be worth 25% more. If you’re a frequent traveler, this can significantly enhance the value of your rewards. Just keep in mind the $95 annual fee, which can be offset with smart spending.

5. Discover it Cash Back

The Discover it Cash Back card is another solid option for earning rewards on groceries and gas. This card offers 5% cash back on rotating categories that change quarterly, which often includes grocery stores and gas stations. Additionally, you’ll earn 1% on all other purchases.

What’s unique about this card is its cashback match feature, which means Discover will match all the cash back you earn in your first year. So, if you earn $200 in cash back during that time, Discover gives you another $200, effectively doubling your rewards. There’s no annual fee, making it a great starter card for those looking to maximize their spending.

6. Citi Premier Card

The Citi Premier Card is ideal for those who want to earn points on a variety of everyday purchases, including groceries and gas. This card offers 3x points on restaurants, supermarkets, and gas stations, and 1 point per dollar spent on other purchases.

If you regularly spend $200 a month on groceries and $100 on gas, you can accumulate 7,200 points in a year. These points can then be transferred to various airline partners for flights, giving you more flexibility with your rewards. The $95 annual fee can be justified with regular spending in the bonus categories.

Bottom Line

Choosing the right credit card for grocery and gas spending can lead to significant savings and rewards. Whether you prefer cash back or travel points, there are plenty of options available that fit various spending habits. The key is to evaluate your spending patterns and select a card that aligns with your lifestyle. Remember, using these cards responsibly and paying off your balance each month will help you avoid high-interest charges, allowing you to truly benefit from the rewards.

Take the time to consider how much you spend on groceries and gas each month, and compare these cards to find the best fit for your financial goals. Happy spending!