Best Rewards Credit Cards for October 2022

All information about the Capital One Savor Cash Rewards Credit Card and the Amazon Prime Visa Signature card has been collected independently by CreditCards.com and has not been reviewed by the issuer.

Comparing the best rewards credit cards of 2022

Editor’s picks: A closer look at our top-rated rewards credit cards

Best for sign-up bonus: Chase Sapphire Preferred Card

• Best features: The Sapphire Preferred packs in plenty of features to justify its moderate $95 annual fee for many travelers on a budget. Tiered bonus rewards cover travel, dining and most online grocery purchases, which make it a quick rewards earner for home shoppers or those on the go. Chase also offers a 25% bonus to point redemptions when booking travel through its Ultimate Rewards Portal. This makes the sign-up bonus (60,000 points after you spend $4,000 in the first three months) worth up to $750 redeemed for travel through the Ultimate Rewards portal. Because of this boost to rewards redemption, the Sapphire Preferred could provide a lot more value compared to other travel cards.
• Biggest drawbacks: Like most travel cards, you’ll need to pay attention to which redemption options earn more or less than 1 cent per point. Redemptions other than travel through the Chase Ultimate Rewards portal are worth up to 1 cent per point, meaning you can get a decent value for your points, but to truly make the most of your card, you’ll need to funnel redemptions through the issuer’s portal.
• Alternatives: The Chase Sapphire Reserve is a more luxurious version of the Sapphire Preferred, offering a generous $300 annual travel credit that can be used to cover anything from airfare to baggage fees. If you spend a lot on travel and value luxury perks, the Reserve could be more rewarding – despite the card’s $550 annual fee.
• Bottom line: If you’re willing to put in the work needed to get the most value, the Chase Sapphire Preferred is a great option for people looking for a low-cost, versatile travel rewards credit card.

Related: Why the CSP is a great first travel card

Read our Chase Sapphire Preferred Card review or jump back to this card’s offer details.

Best for unlimited miles on purchases: Capital One Venture X Rewards Credit Card

• Best features: The Venture X gives travelers a taste of luxury at a lower cost compared to other premium travel cards. On top of complimentary lounge access, annual credits, bonus miles and a competitive rewards program, Capital One is offering 75,000 bonus miles as the card’s sign-up bonus when you spend $4,000 on purchases in the first three months from account opening, equal to $750 in travel. This is substantial enough to help offset the card’s annual fee of $395 in the first year and give you enough excess to make travel redemptions.
• Biggest drawbacks: Since this is a general-purpose travel card, you won’t get specific perks found with premium cobranded airline or hotel cards, like priority boarding, free first checked bag or a free hotel night at your favorite destination.
• Alternatives: If you’re on the fence about whether you’re willing to commit to the Venture X card’s steep annual fee, the original Capital One Venture Rewards Credit Card is well worth a look, especially if you want to earn travel rewards but don’t typically spend much on travel.
• Bottom line: The Capital One Venture X Rewards Credit Card is a great travel card for those who want a premium card without the large annual fees found with other cards like The Platinum Card® from American Express and the Chase Sapphire Reserve card.

Related: Is the Venture X worth it?

Read our Capital One Venture X Rewards Credit Card review or jump back to this card’s offer details.

Best for fun lovers: Capital One SavorOne Cash Rewards Credit Card

• Best features: The SavorOne offers a competitive 3% cash back on popular food and entertainment categories, including dining, popular streaming services and at grocery stores (excluding superstores like Walmart and Target) and 5% cash back on hotels and rental cars booked through Capital One Travel (terms apply) . That’s a great value for a no-annual-fee rewards card. Plus, the card comes with a nice sign-up bonus, offering $200 after you spend $500 on purchases within the first three months from account opening. This is one of the lowest spending requirements on the market, matched by the Chase Freedom Flex.
• Biggest drawbacks: If you prefer to earn rewards for essential purchases, other rewards cards earn higher rewards for grocery purchases and also offer bonus rewards in other everyday categories like gas. Plus, the exclusion of superstores decreases the card’s value for shoppers who save more money at places like Walmart and Target.
• Alternatives: If your spending isn’t concentrated on dining, entertainment or grocery stores (or at all), you can probably earn more with a no-annual-fee, flat-rate cash back card, like the Citi® Double Cash.
• Bottom line: Casual spenders who can take advantage of as many of the food-and-entertainment rewards categories will get the most value out of the SavorOne card.

Related: Capital One SavorOne benefits guide

Read our full Capital One SavorOne Cash Rewards Credit Card review or jump back to this card’s offer details.

Best for gas stations and transit: Wells Fargo Autograph℠ Card

• Best features: This card’s broad range of practical bonus categories – all of which earn points year-round at the same generous rate – give it terrific potential as a standalone rewards card, especially for everyday travel. And since it earns bonus rewards in nearly every major spending category other than groceries, it could pair very well with a dedicated grocery rewards card.
• Biggest drawbacks: The Autograph Card’s redemption options are limited, especially for frequent travelers. Unlike Chase, Capital One, Citi and American Express, Wells Fargo does not allow you to transfer your points to airline or hotel loyalty programs to potentially squeeze more value out of them. With the right card and transfer partner, savvy travelers can sometimes double the value of their points this way.
• Alternatives: While the Capital One SavorOne card is missing a few of the Autograph Card’s bonus categories (most notably gas stations and travel), it offers a comparable rate on dining and includes a grocery rewards category – often the most lucrative bonus category of them all. Plus, if you pair the SavorOne with a Capital One travel card like the Venture, you can pool your rewards and take advantage of high-value transfer partners.
• Bottom line: While frequent flyers may get more value out of a higher-tier travel rewards card, the Autograph Card can be a great starter option for commuters, families and occasional travelers who want to earn rewards across a range of everyday spending categories while avoiding an annual fee.

Read our Wells Fargo Autograph Card review or jump back to this card’s offer details.

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 card’s 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. (Learn more about the Capital One rewards program.)
• 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. You’ll 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.

Related: How to maximize your Venture rewards card

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

Best for rewards for travel and everyday spending: Citi Premier® Card

• Best features: The chance to earn 3 points per dollar in a number of travel and everyday areas, as well as a large sign-up bonus (earn 80,000 points for spending $4,000 in their first three months, worth $800 in gift cards) make this card worth considering.
• Biggest drawbacks: There are limited transfer options for people traveling stateside. Most of Citi’s big transfer partners are international carriers, like Qantas, Virgin Atlantic, and Qatar Airways. (Learn more about the best Citi credit cards.)
• Alternatives: Travelers may prefer the Chase Sapphire Preferred Card. It has a lot in common with the Citi Premier card, but for the same $95 annual fee, you get a slightly lower sign-up bonus value (60,000 points when you spend $4,000 in the first three months, worth $750 when redeemed through the Chase Ultimate Rewards portal compared to the Premier’s sign-up bonus worth $800) and the chance to earn bonus rewards in more travel categories beyond air travel and hotels. It also has better redemption options since points are worth 25% more when redeemed through the Chase Ultimate Rewards portal and the card comes with more domestic transfer partners.
• Bottom line: The Citi Premier card is a good alternative to other cards that earn at a similar rewards rate with the same annual fee, but is held back by limited transfer options and relatively lower rewards categories.

Related: Citi Premier vs. Chase Sapphire Preferred

Read our full Citi Premier Card review or jump back to this card’s offer details.

Best for rotating cash back categories: Discover it® Cash Back

• Best features: For no annual fee, this card offers competitive cash back, a generous first year sign-up bonus and a lengthy promotional APR on balance transfers and purchases. Although you’ll need to manage the rotating categories by enrolling quarterly, the rewards potential on this card outpaces a number of other options. See more of the best zero interest credit cards.
• Biggest drawbacks: You have a little bit of legwork to do to earn your bonus cashback – namely, enrolling for the rotating categories each quarter and shifting your spending habits to maximize your earnings. Plus, the bonus categories aren’t always the same year-to-year, so you may find it harder to maximize cash back in some years versus others. See the 2022 Discover it Cash Back calendar.
• Alternatives: Similar to the Discover it Cash Back, the Chase Freedom Flex offers 5% cash back in rotating bonus categories that you must activate each quarter (up to $1,500 in purchases per quarter, then 1%). On top of that, the card offers 5% back on Ultimate Rewards travel, 3% back on dining and drugstore purchases and at least 1% cash back on everything else. If you aren’t spending in the Discover it Cash Back Card’s rotating categories you may earn more with a flat rate or other tiered rewards card.
• Bottom line: Savvy spenders who can adjust their spending quarterly can really rack up rewards with this classic cash back credit card that offers a whopping 5% back on up to $1,500 in purchases in rotating bonus categories per quarter (then 1%, enrollment required) and matches all the cash back you earn at the end of your first year.

Related: Discover announces cash back calendar for 2022

Read our full Discover it Cash Back review or jump back to this card’s offer details.

Best for U.S. supermarkets: Blue Cash Preferred® Card from American Express

• Best features: This card’s high-earning tiered rewards categories provide exceptional value for households looking for ways to save on everyday essentials. It comes with a nice mix of features that provide value alongside a stellar 6% cash back at U.S. supermarkets (up to $6,000 per year, then 1%) and on U.S. streaming services, 3% on transit and at U.S. gas stations, and 1% for all other purchases. A generous welcome offer (a $350 statement credit after spending $3,000 in purchases on the new card within the first six months), a 12-month 0% introductory APR on new purchases and balance transfers (then 16.99% to 27.99% variable) and a number of purchase and travel protections make this a great all-around card for those who weigh their spending toward everyday purchases.
• Biggest drawbacks: There’s a $95 annual fee. We estimate you need to spend around $3,200 a year at U.S. supermarkets to come out ahead, as illustrated by our comparison between the Blue Cash Preferred and the Blue Cash Everyday® Card from American Express.)
• Alternatives: The Chase Freedom Flex℠ requires a bit more maintenance than other rewards cards, as you’ll have to enroll in rotating bonus categories each quarter to earn a good rate of cash back. However, it is a good option for cardholders looking to pair a card with generous bonus categories with a flat rate card.
• Bottom line: The Blue Cash Preferred is a top American Express card. With its rewards rates and intro APR, this card is great for household shoppers who have a few big purchases coming up.

Related: Who should get the American Express Blue Cash Preferred?

Read our full Blue Cash Preferred Card from American Express review or jump back to this card’s offer details.

Best for GM dealerships: My GM Rewards Card™

• Best features: The high rewards rate you earn on all of your purchases outshine the rate you’ll find on many other rewards cards and will go a long way to helping you save money at the GM dealership.
• Biggest drawbacks: This card is only a good fit for loyal GM car drivers who want to rack up points to help bring down the cost of eligible GM-related products and services.
• Alternatives: A general-purpose cash back card with rewards in high-earning bonus categories that fit your spending habits will give you more flexibility when it comes time to redeem your rewards. Try the Blue Cash Preferred® Card from American Express if you want to earn an impressive amount of rewards on everyday spending, which can then be redeemed for a statement credit, gift cards, or merchandise — all without sacrificing point value.
• Bottom line: This card could be a nice addition to the wallets of GM loyalists.

Read our My GM Rewards Card™ review or jump back to this card’s offer details.

Best for automatically maximizing rewards: Citi Custom Cash℠ Card

• Best features: This no-annual-fee card keeps things simple by automatically earning 5% cash back in one eligible spending category (up to the first $500 spent each billing cycle, then 1%). That long-term flexibility pairs nicely with other features of the card that provide great short-term value. Currently, Citi is offering 20,000 ThankYou points, which you can redeem for $200 cash back, if you spend $1,500 in the first six months of account opening. Plus there’s also a 15-month 0% introductory APR on purchases and balance transfers (then variable 16.99% to 26.99%).
• Biggest drawbacks: You’ll pay a pricey 5% balance transfer fee (or $5, whichever is greater) if you take Citi up on its balance transfer offer. This is on the high end because many cards charge a 3% balance transfer fee and a few skip the charge entirely. Additionally, the $500-per-billing-cycle cap eats into the card’s value if you spend more than that each month.
• Alternatives: With one of the best flat cash back rates available, the Citi® Double Cash Card is a great no-frills, all-purpose rewards card. You earn 2% cash back on all purchases (1% when you buy and an additional 1% as you pay off those purchases) with no spending caps or select categories, unlike the Citi Custom Cash Card, which limits you with a $500 spending cap in your top eligible spend category each billing cycle.
• Bottom line: The Citi card’s eligible spend categories cover a wide range of options, including travel, groceries and home improvement stores, making it a great option that’s versatile enough to fit into any card strategy.

Related: Is the Citi Custom Cash worth it?

Read our Citi Custom Cash Card review or jump back to this card’s offer details.

Best for restaurants: American Express® Gold Card

• Best features: If you love food and travel, you’ll have a hard time finding another card that packs in high rewards for dining, U.S. supermarkets and flights. On top of impressive rewards rates, the card also has a great welcome offer: New cardholders earn 60,000 Membership Rewards points if they spend $4,000 in the first six months, which we estimate to be worth around $600 when you book through AmexTravel.com. (See how we value Amex points.)
• Biggest drawbacks: You’ll pay the price for all those benefits – namely, a $250 annual fee. Getting the most bang for your buck requires a little legwork. For instance, to maximize travel points, your best bet is to transfer them to one of Amex’s partners. So, if you’re looking for simplicity, a different travel rewards card is likely a better fit.
• Alternatives: The Citi Premier® Card is an often-overlooked travel rewards credit card comparable to the Amex Gold Card. But with a lower annual fee ($95 compared to $250), an annual hotel savings credit, and 3 ThankYou points per $1 spent at restaurants, supermarkets, gas stations, air travel and hotels. The Citi Premier Card could offer more rewards at a wider range of places depending on your spending habits.
• Bottom line: The rewards program and annual credits found with the American Express Gold Card will make it easy for a lot of people to recoup the card’s annual fee.

Related: Who should get the American Express Gold card?

Read our full American Express Gold Card review or jump back to this card’s offer details.

Best for luxury travel benefits: The Platinum Card® from American Express

• Best features: The Platinum Card from American Express comes fully-loaded with travel benefits and credits, making it easy for cardholders looking for luxury benefits to recoup the card’s hefty annual fee. These perks include airport lounge access, multiple travel and consumer credits and automatic elite status with Hilton Honors (enrollment required) and Marriott Bonvoy.
• Biggest drawbacks: Its $695 annual fee makes it one of the most expensive cards on the market. While the perks are plentiful, they’re not exactly straightforward. Bonus categories are subject to a cap, for instance, redemption options are a bit rigid and some of the credits come with caveats you’ll have to familiarize yourself with. Case in point: The card comes with up to $200 in Uber Cash annually, which you receive in $15 monthly increments (U.S. rides and eats) in your Uber app, along with a $20 bonus in December.
• Alternatives: The Venture X card is one of our most popular luxury travel cards, thanks to a smaller annual fee of $395, its generous sign-up bonus, anniversary credit and bonus miles, free cards for additional cardholders (the Platinum Card charges $175 for additional cardmembers) and a flexible $300 annual travel credit which can be applied to any travel purchase booked through Capital One Travel . Like the Platinum card, the Venture X offers Priority Pass lounge access and a statement credit for Global Entry or TSA Precheck.
• Bottom line: If you can take advantage of all it has to offer, the Platinum Card is worth its weighty annual fee.

Related: Is The Platinum Card® from American Express worth the annual fee?

Read our full Platinum Card from American Express review or jump back to this card’s offer details.

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. It’s 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 won’t 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, it’s hard to match the level of variety you’ll get with the Discover it® Student Cash Back card’s 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 you’re 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 card’s offer details.

Best for 2% cash rewards: Wells Fargo Active Cash® Card

• Best features: The Active Cash Card tops the list of flat-rate rewards cards thanks to its high 2% cash rewards on eligible purchases and a sign-up bonus, which isn’t easy to find with other no-annual-fee cards that offer a 2% flat rate.
• Biggest drawbacks: People who spend a lot of money in specific areas like groceries and gas may be able to earn more cash back faster with rewards cards that have bonus categories. Or, if you need more time to take advantage of an intro APR offer on purchases and balance transfers, other cards come with longer offers.
• Alternatives: If you’re willing to put a little bit more effort into maximizing your rewards, the Citi Custom Cash℠ Card could be a great alternative to the Active Cash card in one category each billing cycle. If you spend modestly overall but find that either restaurants, gas stations, grocery stores or one of the Custom Cash card’s other eligible categories makes up a large portion of your budget each month, it could offer a more rewarding balance of consistency and flexibility in one of those categories.
• Bottom line: For those averse to spending categories and required enrollments, the Wells Fargo Active Cash® Card offers a much more simplified way to rack up rewards with its unlimited 2% cash rewards on eligible day-to-day purchases. Depending on how much you spend, this could quickly add up.

Read our Wells Fargo Active Cash® Card review or jump back to this card’s offer details.

Best for dining + no annual fee: U.S. Bank Altitude® Go Visa Signature® Card

• Best features: For food lovers on a budget, it won’t be easy to beat a no-annual-fee credit card that offers 4X points for your dining purchases. The card also comes with additional benefits like a welcome bonus for new cardholders and a decent annual credit for streaming services.
• Biggest drawbacks: The dining rewards are this card’s top feature. But for all of your other everyday purchases, including gas and grocery stores, you’ll get greater value pairing this with another no-annual-fee card or even one that charges a modest annual fee.
• Alternative: The Blue Cash Preferred® Card from American Express charges an annual fee of $95 but is loaded with value. Cardmembers earn 6% cash back at U.S. supermarkets (on up to $6,000 in purchases per year, then 1%), which makes it a great choice for cardholders who eat at home more often than at restaurants.
• Bottom line: Anyone who eats out or orders food delivery should take advantage of the U.S. Bank Altitude® Go Visa Signature® Card.

Read our U.S. Bank Altitude® Go Visa Signature® Card review or jump back to this card’s offer details.

Best for choosing your own bonus category: Bank of America® Customized Cash Rewards credit card

• Best features: Unlike most credit cards, the Bank of America Customized Cash Rewards card lets you choose your bonus rewards category. The base rewards are good for a no-annual-fee credit card and include wholesale clubs, which is a rare find for a general-purpose rewards card.
• Biggest drawbacks: There is a spending cap combined among the card’s  bonus categories, which puts a definite damper on this rewards card. While spending caps on boosted rewards are common, combining that cap between multiple categories stunts rewards across more than one area of your spending.
• Alternatives: If you’re looking for a low-maintenance alternative to the Customized Cash Rewards card, the Wells Fargo Active Cash Card could be a better fit. The unlimited flat rate of 2% cash rewards gives most people more chances to earn bonus rewards, and there is no spending cap to worry about.
• Bottom line: This card’s flexibility makes it worth a look even if you’re not a regular Bank of America customer. The customizable features, along with a chance to earn rewards at wholesale clubs, pair up nicely with short-term perks, including a sign-up bonus and intro APR offer on purchases and balance transfers.

Related: Is the Bank of America Customized Cash Rewards credit card worth it?

Read our full Bank of America Cash Rewards credit card review or jump back to this card’s offer details.

Best for rewards at drug stores: Chase Freedom Unlimited

• Best features: You get unlimited 1.5% cash back on all purchases. Plus, the Freedom Unlimited offers a stellar sign up bonus: New cardholders earn an additional 1.5% cash back on purchases, on up to $20,000 spent in the first year. As one of the best credit card sign up bonus offers, this makes the Chase Freedom Unlimited one of the highest earning cards for general purchases – but only for the first year.
• Biggest drawbacks: Though the bonus categories certainly add appeal, the Chase Freedom Unlimited doesn’t have the highest regular flat rate for cash back on the market right now.
• Alternatives: For cardholders seeking a flat rate of cash back, the Citi® Double Cash Card offers one of the highest earning rates you can get on every purchase. Cardholders earn 1% cash back on everything they buy, plus an additional 1% cash back as they pay for those purchases – for up to 2% back on every purchase.
• Bottom line: Originally a solid flat-rate cash back credit card, the Freedom Unlimited recently revamped its rewards program to include bonus categories, adding an industry-leading 3% cash back on drugstore purchases. The revamp also introduced 5% cash back on Lyft purchases (through March 2025); 5% cash back on travel booked through Chase Ultimate Rewards and 3% on dining purchases. These updates help increase the card’s value and make it one of the best no-annual-fee credit cards for travelers.

Related: How our expert, Barri Segal, uses her Chase Freedom Unlimited

Read our full Chase Freedom Unlimited review or jump back to this card’s offer details.

Best for occasional travel + intro APR: Capital One VentureOne Rewards Credit Card

• Best features: Capital One’s entry-level travel card makes it easy to earn unlimited rewards without having to deal with an annual fee. Plus, the card has a sign-up bonus worth $200 in travel (20,000 miles) after spending $500 in the first three months of account opening. That spending requirement is pretty low compared to other rewards cards, which typically require you to spend $750 or more.
• Biggest drawbacks: The rewards rate is not the best out there. Travelers can find other cards that come with no annual fee and a rewards rate that’s higher than 1.25 miles per dollar.
• Alternatives: Compared to the VentureOne, the Venture card comes with a higher earning rate, sign-up bonus and more travel perks. You’ll have to pay a $95 annual fee, but even moderate spenders may get enough extra value out of the Venture card’s higher rewards rate (2 miles per dollar on general purchases) to make up for it.
• Bottom line: The VentureOne will bring some value to the wallets of occasional travelers who want to earn travel rewards for everyday purchases without having to pay an annual fee. Cardmembers earn 5 miles per dollar on hotels and rentals booked through Capital One Travel and 1.25 miles per dollar on every other purchase.

Read our Capital One VentureOne Rewards Credit Card review or jump back to this card’s offer details.

What is a rewards credit card?

A rewards credit card is a credit card that lets you earn points, miles or cash back on your spending. You might get rewards for specific types of purchases, like gas or those made at supermarkets, or you might get a flat rate for all charges. Typically, you’ll need at least good credit to get a rewards credit card, though there are exceptions. If you’re interested in exploring some card options, our CardMatch tool can show you what rewards credit cards you may qualify for without hurting your credit score.

How do rewards credit cards work?

As you make purchases with a rewards credit card, you’ll get a little something in return, usually cash back, points or airline miles. Depending on the type of rewards card you have, you can redeem your earnings for money deposited into your bank account, free or discounted flights, hotel stays, gift cards and more. What you can do with your rewards depends on what type of card you have and some come with more varied redemption options than others. Learn how to earn the most rewards.

Travel credit cards reward cardholders with points or miles instead of cash. You can redeem points or miles to book travel, and with some travel rewards cards, you’ll gain access to luxurious perks like airport lounge access. Among the best travel credit cards, you’ll also find perks like free companion passes, free checked bags, TSA PreCheck credits and more. If you’re new to all of this, check out our beginner’s guide to points and miles before reading about the three main types of travel credit cards.

Pros and cons of rewards cards

Offers of discounted travel, complimentary hotel stays, rewards and other frills can be hard to pass up, but rewards cards aren’t a good fit for everyone. As you search for a card that best aligns with your budget and lifestyle, consider both the pros and cons of rewards credit cards.

How to choose a rewards credit card

Choosing the right rewards card depends on a number of factors, but they’re not for everyone. Before applying, make sure a rewards credit card is a good fit for you.

How to compare rewards cards

The right rewards card for you will vary depending on your financial goals and habits. So before you start comparing cards, carefully consider how you tend to spend your money.

“Credit card companies offer all types of reward options these days, from points to miles to cash back, and each card provides incentives based on certain purchases or stores/retailers, so it’s important to find the card that rewards you for the purchases you make the most,” says money-saving expert Andrea Woroch, whose advice has been featured in media such as Time’s Next Advisor, Huffington Post and The New York Times.

For example, a rewards rate of 3X points on travel purchases is great – but only if you regularly spend a significant amount of money on travel. The best rewards card for you will match the way you already spend. Once you know what you want – say, a card that earns travel rewards on every purchase – you’ll be able to compare rewards cards in that category. Start by considering these card features or visiting our compare credit cards tool.

• Annual fee. There are plenty of solid rewards cards, often cash back cards, that charge no annual fee. On the other hand, travel rewards cards and cards with exceptionally high rewards rates or sign-up bonuses typically do charge an annual fee. If the card you’re eyeing comes with an annual fee, you should do some quick math to make sure that your yearly rewards earnings will be greater than the cost of the fee.
• Foreign transaction fees. Many travel credit cards let you skip this charge, which is otherwise imposed when you use the card overseas. Standard foreign transaction fees run between 2% and 3% of each purchase. See the best credit cards for no foreign transaction fees.
• Additional benefits. Rewards cards often offer perks just for having the card. For example, many travel cards offer benefits like credits for TSA PreCheck or Global Entry, airport lounge access and free checked bags. If you’re torn between two cards or on the fence about whether an annual fee is worth it, perks like these can tip the scale in one direction.
• Sign-up/welcome bonus. Most rewards cards offer some kind of incentive to new cardholders who spend a certain amount on their card within a specified time frame. You might get a few hundred dollars in cash back or a chunk of points you can redeem for a free flight. Though valuable, a sign-up bonus is a one-time perk. Make sure the long-term value checks out, too.
• Ongoing APR. If you’ll be carrying a balance from month to month, you’re probably better off forgoing rewards and getting a low-interest credit card. That said, accidents and emergencies happen, even to those who usually pay their balance in full. Choosing a rewards card with a lower interest rate can save you money if you need to carry a balance someday. If you’re curious about how your card’s APR might affect your bottom line, read our guide to credit card interest.
• Introductory APR. Some rewards cards offer new cardholders an introductory 0% interest rate on purchases or balance transfers for a certain number of months. These offers can be a boon, particularly if you’re planning on making a one-time large purchase or have an existing high-interest balance you’re trying to pay down. Just be sure to pay off your purchase or your balances before you focus on racking up rewards.
• First-year vs. ongoing value. Rewards credit cards with annual fees and sign-up bonuses may carry more value in the first year than in the following years as a result of welcome offers or other one-off perks. When comparing cards, consider the weight of each card’s first year value and ongoing value. Depending on rewards rates, a card that carries a sign-up bonus in the first year may not sustain as high of a value for you as an alternative card might.

Still stuck? Check out our step-by-step guide to choosing the right credit card.

Making the most of your rewards credit card

Here are some strategies you can use to unlock your card’s full potential and maximize the value of your rewards.

• Choose the right rewards card. The first step to boost your earnings potential is to choose the right credit card that most closely aligns with your spending habits and goals. This ensures you are rewarded for spending you are likely to engage in anyways versus charging items to a card simply to earn a reward. Review your spending from the past 12 months to see what categories have the most spend, then choose a rewards card closely matching your habits.
• Snag a sign-up/welcome bonus. A sign-up bonus is an ideal way to supercharge rewards, and numerous credit cards offer this incentive if you reach a certain spending threshold during the early stages of card ownership. The key is to choose one where the required spend and time frame fit within your budget. “Make sure that it’s feasible to reach the cash sign-up bonus” says Woroch, “and that you aren’t chasing the reward by making extra, unnecessary purchases.”
• Know your rewards program. It pays to read the terms and conditions of the rewards program, which could save you from missing out on rewards opportunities. For example, the rewards program may spell out how to enroll in a quarterly bonus category or may detail the spending limit within certain categories, both of which could impact how much you think you are earning in rewards.
• Pool points. Some issuers let you combine rewards across multiple credit cards, while others allow you to share points with family members or even friends. These options usually come with a few caveats, but they can help you reach redemption thresholds or earn big rewards, like first-class airfare, more quickly. In order to really get ahead here, however, you’ll need to know your rewards and pay your bills.
• Take advantage of as many additional benefits as possible. Your rewards card may offer additional benefits beyond cash back and miles. Some cards offer valuable consumer protections, such as additional cellphone insurance and expanded purchase protection. Travel reward cards might include complimentary lounge access or free checked bags. Taking advantage of as many benefits as possible could save you money or make traveling easier.
• Redeem for maximum value. When time to redeem rewards, make sure to compare your card’s redemption options to ensure you get the best value. Credit cards typically offer several choices for redeeming rewards, but not all rewards are equal in value. For example, a reward may have a higher value when redeemed for a statement credit versus a gift card or the travel reward may be worth more if you book it through a transfer partner. Reviewing all your options before you redeem will help you select the most valuable redemption option.
• Pay your bills in full. Otherwise, you’ll just lose your points, miles or cash back to interest – and rather quickly, given rewards credit cards tend to carry slightly higher interest rates than some of their counterparts. In order to earn rewards while minimizing the odds of overspending, consider paying your bills every week, instead of the end of every month.

How we picked the best rewards credit cards

We analyzed over 300 credit cards to identify the best rewards credit cards currently on the market. These factors and more inform our decisions on which cards can work the best for you.

• Rewards rate: We took into account rewards categories and rates, earning caps and other fine print that may affect total earnings potential.
• Interest rate: Though you shouldn’t have to worry about interest rates if you’re paying your bill in full each month, we excluded rewards cards with exorbitant interest rates.
• Fees: We compared each card’s fees to its rewards rate and sign-up bonus to determine whether the average consumer could earn enough rewards to justify the annual fee within the first year and years to come.
• Travel benefits: For the travel cards, we’ve assessed point values and transfer partners to help you weigh your options based on your lifestyle and goals.

All criteria used: Credit needed, rates & fees, transfer partners, travel benefits, point values, redemption options and flexibility, customer service, sign-up bonus, rewards rate.

Alternatives to getting a rewards card

Rewards credit cards are a great way to earn free travel, cash back and more, but if you don’t have any credit history or don’t meet the requirements for most rewards cards, there are other options for you.

• If you qualify, get a student credit card. Student cards are specifically designed for college students, although some may allow anyone under 21 years old to apply (typically with no minimum income). Student credit cards tend to offer better terms and higher limits than typical starter cards (such as secured cards), so they can be helpful for building credit history early on. The Discover It® Student Cash Back Card is a great option to start with.
• Try for a secured credit card. These cards require a security deposit, which can be as low as $200 in some cases. The amount of the deposit is usually equal to your credit limit. In exchange for the deposit, you get an account that reports positive payment history to major credit bureaus (Experian, Equifax and TransUnion). If you want to earn rewards on everyday purchases, the Capital One Quicksilver Secured Cash Rewards Credit Card is ideal.
• Consider a retail credit card. You can get store-branded cards from major retailers like Target and Walmart. These cards offer rewards on all purchases made at the issuing store and if they are used responsibly, they can be a convenient way to build or rebuild credit.
• Apply for an alternative credit card. Cards like the Petal® 2 “Cash Back, No Fees” Visa® Credit Card is also a good option if you don’t have any previous credit history, as it is designed for people who don’t qualify for traditional credit cards or those who may not have access to mainstream banking products.

The best rewards credit card programs

You can compare individual credit cards, but knowing a little bit about each issuer’s rewards program can help you narrow your search. Credit card rewards programs come in any number of flavors, and one of them is bound to work well for you. Just remember that not every credit card from an issuer will qualify for their rewards program. Here is an overview of some popular rewards programs and how they work. You can learn more about each one by reading our full reviews.

More information on rewards cards

For more information on all things rewards cards, continue reading content from our credit card experts:

• Do all purchases count when racking up rewards?
• Best credit cards for large purchases
• How to choose a rewards credit card

About the Author

Ryan Noonan

Ryan Noonan began working in marketing for Bankrate.com in December 2018 and has since begun using his industry expertise as a writer, contributing to both Bankrate.com and Creditcards.com. During his time in Columbus, Ryan led philanthropy efforts for his fraternity, Phi Sigma Kappa. Ryan is fascinated by the doors credit card rewards open up to incredible opportunities and experiences, particularly world travel. Ryan has traveled to the Cayman Islands, the United Kingdom, Italy and Switzerland, among other destinations thanks to credit card and airline mile programs.

About the Editor

Brendan Dyer

Brendan Dyer is a Reviews Editor with CreditCards.com.

About the Reviewer

Jason Steele

Jason Steele is a professional journalist and credit card expert who has been contributing to online publications since 2008. He was one of the original contributors to The Points Guy, and his work has been appearing there since 2011. He has also contributed to over 100 of the leading personal finance and travel outlets. He’s frequently interviewed and quoted by mainstream outlets on the subjects of credit cards and travel. Jason is passionate about travel rewards credit cards, which he uses to earn rewards that he can redeem for him and his family to travel around the world. Jason is also the founder and producer of CardCon, a conference for credit and credit card journalists that’s held annually.