7 Best Cash Back Credit Cards Consumer Reports 2020 – Top Rated

Many people prefer cash rewards to other credit card advantages such as frequent flyer miles. Cash rewards programs are easy to understand and easy to redeem (we explain more here ). Unlike points and miles, cash can earn interest when it is not used and is not subject to the constantly changing terms and conditions of credit card issuers and travel programs.

Just a word of caution – cash back credit cards should only be used by people who can pay their credit card balances in full and on time. If you do not, you will almost end up owing more interest and fines than you will receive in cash.

Top 7 Cash Back Credit Cards

Bestseller No. 1
Amazon Prime Rewards Visa Signature Card
34006 Reviews
Amazon Prime Rewards Visa Signature Card
  • 5% Back at Amazon.com and Whole Foods Market with an eligible Prime membership* 2% Back at...
  • No annual fees*
Bestseller No. 2
Discover it® Cash Back
1076 Reviews
Discover it® Cash Back
  • Earn a $75 statement credit after your first Amazon.com purchase within 3 months of your...
  • Discover will automatically match ALL the cash back you've earned at the end of your first...
Bestseller No. 3
Amazon Business American Express Card
137 Reviews
Bestseller No. 4
Zero Grid Cell Phone Credit Card Holder Stick On Wallet Case w/RFID Blocking (Midnight)
361 Reviews
Zero Grid Cell Phone Credit Card Holder Stick On Wallet Case w/RFID Blocking (Midnight)
  • RFID BLOCKING PROTECTS YOUR CREDIT CARDS & IDENTITY - Built in RFID Blocking Material...
  • CARRIES EVERYTHING YOU NEED WITHOUT THE BULK - Holds multiple items super tight and snug,...
SaleBestseller No. 5
liangdongshop 3 Way Water Resistant Utility Gadget Pouch RFID Blocking Passport Phone Waist Pack with Locking Carabiner(Black)
70 Reviews
liangdongshop 3 Way Water Resistant Utility Gadget Pouch RFID Blocking Passport Phone Waist Pack with Locking Carabiner(Black)
  • [Durable & Water-resistance & RFID Blocking] - This pouch is mainly made with...
  • [Lightweight & Large Capacity] Dimension of this bag is: 4.3inch(L) x 1.6inch(W) x...
Bestseller No. 7
Iessvi iPhone X Wallet Phone Case Slim PU Leather Back Case Cover with Credit Card Holder Wallet Phone Case, for Men and Women (3)
16 Reviews
Iessvi iPhone X Wallet Phone Case Slim PU Leather Back Case Cover with Credit Card Holder Wallet Phone Case, for Men and Women (3)
  • Designed for iPhone X Please make sure to check your model before purchase, it is for the...
  • Material: PU leather material design makes this iphone X wallet case comfortable to touch...

What You Need to Know

“Cash Back” credit cards are cards that return a portion of the money that is spent on the card in cash. This money can come in the form of a check, gift cards, payment against the balance depending on the conditions of the card. The percentage of reimbursement you can receive usually varies depending on exactly where the card is used, but in general, you can expect a minimum of 1% of your total purchases.

WHY DO CREDITORS OFFER CASH BACK CREDIT CARDS?

Cashback credit cards work by giving you a portion of your monthly expenses. Credit card companies offer cashback for several reasons. First, they can be helped to attract customers. Customers usually choose credit cards based on rewards and other benefits, and a later cash credit card can be just the ticket to help a creditor or a customer.

Second, offering cashback encourages customers to use credit cards more frequently. A customer who has the choice between paying cash for something or using a debit card or a cashback card can always choose the cashback card because they feel they are getting something back in their purchase. This is very useful for creditors since their card gets used to and they usually get to charge a transaction fee for the merchant. It is also a good business decision for creditors because many customers will use the cashback card and then not be able to pay the full balance each month, therefore, the credit card company will make money in interest.

Never the less, cashback rewards are almost like free money for responsible consumers. For example, with the Citi DoubleCash card, you will get 1% cashback when making purchases, but then you get another 1% when paying the balance.

INTELLIGENT USE OF MONEY BACK RETURN CARDS

There are some things you should consider when selecting a cashback card or making purchasing decisions. First, you usually do not want a money-back card with an annual fee. There are a lot of free options out there, and the fee can be eaten at any savings or benefits you can make from the rebate offer.

Second, be sure to check your interest rate. Generally, they do not want to have an interest rate that is higher than the industry average, especially if you carry a balance. Compare the rates on some cards, both those that offer rewards and those that do not, to determine which will be the best deal in your situation. In general, those who carry a balance should not look for a cashback card. Instead, a 0% credit card balance transfer could be the ticket for them.

You should also compare rewards programs before selecting a cashback program and thinking about your needs. If you travel frequently, a frequent flyer card can offer you a better return on your money from a cashback program in the form of miles. Normally, cashback programs give you less of a card mileage or other point-driven program because, by offering cash, the creditor actually has to give you full dollar value. Calculate how much you spend on average per month and find out what this means for cashback versus rewards mileage points before getting a card.

Leave a Reply

Your email address will not be published. Required fields are marked *