Cash back credit cards give you a chance to put a little something back in your pocket with every purchase you make. But you can boost your savings even more when you select cards that offer special deals on certain spending categories.
Do you put a lot of miles on your car each week? You can ease the pain of filling the gas tank if you pay with a credit card that provides a higher percentage of cash back rewards on fuel purchase. We feature several cards that offer those special deals:
If you have more than one cash-back credit card, consider using the one that gives you the highest percentage cash back until you reach the spending limit. Then switch to another card and start earning the cash-back benefits on that one as well.
If you drive an electric or hybrid vehicle—or simply don’t travel much—you’d probably prefer a credit card that rewards other types of purchases. Here are two suggestions.
Some cash rewards credit cards give a high percentage back in certain categories at different times of year. The categories usually change quarterly, so you might earn 4% back on restaurant purchases from January through March, 4% on movies and other entertainments April through June, 4% on clothing from July through August and 4% on toys and sporting goods from September through December.
Many card issuers (but not all) require you to sign up for each of these bonus deals, so you’ll want to check with them regularly to make sure that you take advantage of these savings.
If you’re just choosing a cash back card, check if you are limited as to when you can take out your rewards. Do they have to be withdrawn in $25 or more increments, for example, or do you lose the cash if you don’t take it out by a certain time? Look for a card without an annual fee—there are plenty out there.
Don’t forget to compare cards that offer rewards points to cash-back cards. The rewards points can often be redeemed for gift certificates or even cash, and may provide some even better deals that cash-back cards.