Best of
7 Best Credit Cards for Groceries of January 2020
At NerdWallet, we strive to help you make financial decisions with confidence. To do this, many or all of the products featured here are from our partners. However, this doesn’t influence our evaluations. Our opinions are our own.
Our pick for
Overall high rewards rates
on American Express's website
on American Express's website
Annual Fee
$95
Rewards Rate
1%-6%
Intro offer
$250
Recommended Credit Score
Pros
In addition to the great rewards rates, you can earn a nifty new-cardholder bonus: $250 statement credit after you spend $1,000 in purchases on your new Card within the first 3 months. Terms Apply. Plus, there's a good 0% intro APR offer.Cons
There's an annual fee, and it's high for a cash-back card: $95. But if you spend around $31 per week at the supermarket, you'll make that up in cash back — and that's not even taking into account rewards earned in the card's other bonus categories.- Earn a $250 statement credit after you spend $1,000 in purchases on your new Card within the first 3 months.
- NEW 6% Cash Back on select U.S. streaming subscriptions.
- NEW 3% Cash Back on transit including taxis/rideshare, parking, tolls, trains, buses and more.
- 6% Cash Back at U.S. supermarkets on up to $6,000 per year in purchases (then 1%). 3% Cash Back at U.S. gas stations. 1% Cash Back on other purchases.
- Over 3 million more places in the U.S. started accepting American Express® Cards in 2017 and 2018.
- Low intro APR: 0% for 12 months on purchases and balance transfers, then a variable rate, currently 14.49% to 25.49%
- $95 annual fee.
- Terms Apply.
- View Rates and Fees
Our pick for
Cash back with no annual fee
on American Express's website
on American Express's website
Annual Fee
$0
Rewards Rate
1.00%
Intro offer
$150
Recommended Credit Score
Pros
This card comes with a great 0% intro APR period, plus a welcome offer: $150 statement credit after you spend $1,000 in purchases on your new Card within the first 3 months. Terms Apply. The annual fee is $0.Cons
If you spend at least $61 per week at the supermarket, you’re actually better off paying the annual fee on the Blue Cash Preferred® Card from American Express because you'll come out ahead with the higher rewards rate.- Earn a $150 statement credit after you spend $1,000 in purchases on your new Card within the first 3 months.
- 3% Cash Back at U.S. supermarkets (on up to $6,000 per year in purchases, then 1%).
- 2% Cash Back at U.S. gas stations and at select U.S. department stores, 1% back on other purchases.
- Low intro APR: 0% for 15 months on purchases and balance transfers, then a variable rate, currently 14.49% to 25.49%.
- Over 3 million more places in the U.S. started accepting American Express® Cards in 2017 and 2018.
- Cash back is received in the form of Reward Dollars that can be easily redeemed for statement credits, gift cards, and merchandise.
- No annual fee.
- Terms Apply.
- View Rates and Fees
Our pick for
2% cash back on everything
on Citibank's application
on Citibank's application
Annual Fee
$0
Rewards Rate
1%-2%
Intro offer
$0
Recommended Credit Score
Pros
This card's simplicity is its not-so-secret weapon: No bonus categories to contend with or spending caps to worry about. The annual fee is $0.Cons
This offer doesn't include a sign-up bonus or a 0% intro APR period for purchases.- Earn cash back twice. Earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases.
- To earn cash back, pay at least the minimum due on time.
- Balance Transfer Offer: 0% intro APR on Balance Transfers for 18 months. After that, the variable APR will be 15.49% – 25.49%, based on your creditworthiness.
- Click 'Apply Now' to see the applicable balance transfer fee and how making a balance transfer impacts interest on purchases.
- Balance Transfers do not earn cash back.
- The standard variable APR for Citi Flex Plan is 15.49% – 25.49%, based on your creditworthiness. Citi Flex Plan offers are made available at Citi's discretion.
Our pick for
Frequent restaurant diners
on Capital One's website
on Capital One's website
Annual Fee
$0
Rewards Rate
1%-3%
Intro offer
$150
Recommended Credit Score
Pros
In addition to the $0 annual fee, there’s also a great 0% intro APR offer and a sign-up bonus: Earn a one-time $150 cash bonus after you spend $500 on purchases within the first 3 months from account opening.Cons
If you don't dine out much, you'll miss out on the biggest chunk of this card's value. Look elsewhere.- Earn a one-time $150 cash bonus after you spend $500 on purchases within the first 3 months from account opening
- Earn unlimited 3% cash back on dining and entertainment, 2% at grocery stores and 1% on all other purchases
- No rotating categories or sign-ups needed to earn cash rewards; plus cash back won't expire for the life of the account and there's no limit to how much you can earn
- 0% intro APR on purchases for 15 months; 15.49% - 25.49% variable APR after that
- 0% intro APR on balance transfers for 15 months; 15.49% - 25.49% variable APR after that; 3% fee on the amounts transferred within the first 15 months
- No foreign transaction fee
- No annual fee
See if you qualify for a better offer with Capital One:
Our pick for
Customizable 5% cash back
on US Bank's website
on US Bank's website
Annual Fee
$0
Rewards Rate
1%-5%
Intro offer
$150
Recommended Credit Score
Pros
The annual fee is $0, and you can earn a $150 bonus after spending $500 in eligible net purchases within the first 90 days of account opening.Cons
Choosing and tracking categories each quarter can be a real hassle. For similar rotating bonus categories with less to keep track of, consider the Chase Freedom® and select Discover cards like the Discover it® Cash Back.- Earn up to $550 cash back in the first year.
- $150 bonus after spending $500 in eligible net purchases within the first 90 days of account opening.
- 5% cash back on your first $2,000 in combined eligible net purchases ($100 per quarter) on two categories you choose. That adds up to $400 cash back!
- 2% cash back on your choice of one everyday category, like gas stations or grocery stores.
- 1% cash back on all other eligible net purchases.
- No limit on total cash back earned.
- 0% Intro APR* on balance transfers for 12 billing cycles. After that, a variable APR currently 15.49% - 25.49%
- No annual fee*
- Great Offer from U.S. Bank, a 2019 World's Most Ethical Company® - Ethisphere Institute, February 2019
- View Rates and Fees
Our pick for
Customizable 3% cash back and Bank of America® customers
on Bank of America's website, or call (877) 754-6706
on Bank of America's website, or call (877) 754-6706
Annual Fee
$0
Rewards Rate
1%-3%
Intro offer
$200
Recommended Credit Score
Pros
The annual fee is $0, you get a 0% intro APR period, and you can earn a sign-up bonus: $200 online cash rewards bonus after you make at least $1,000 in purchases in the first 90 days of account opening. The ability to choose your 3% category (from gas, online shopping, dining, travel, drugstores, or home improvement /furnishings) makes this card worth considering even if you're not eligible for Preferred Rewards.Cons
The combined quarterly spending cap on the 2% and 3% rewards creates complications. Make a big purchase in your 3% category, and you could end up earning only 1% at the grocery store for the rest of the quarter.- No annual fee
- $200 online cash rewards bonus after you make at least $1,000 in purchases in the first 90 days of account opening
- Earn 3% cash back in the category of your choice, 2% at grocery stores and wholesale clubs (up to $2,500 in combined choice category/grocery store/wholesale club quarterly purchases) and unlimited 1% on all other purchases
- 0% Introductory APR for 15 billing cycles for purchases, and for any balance transfers made in the first 60 days. After the intro APR offer ends, 15.49% - 25.49% Variable APR will apply. A 3% fee (min $10) applies to all balance transfers
- No expiration on rewards
- If you're a Preferred Rewards member, you can earn 25% - 75% more cash back on every purchase
Our pick for
Travel rewards
on American Express's website
on American Express's website
Annual Fee
$250
Rewards Rate
1x-4x
Points
Intro offer
35,000
Points
Recommended Credit Score
Pros
In addition to its 4X categories, this card pays 3 points per dollar on flights booked directly with airlines or on amextravel.com. There's also a welcome offer: Earn 35,000 Membership Rewards® points after you spend $4,000 on eligible purchases with your new Card within the first 3 months. Terms Apply. And the card comes with a slew of perks that can help offset its hefty annual fee.Cons
There's a steep annual fee of $250. This card is for someone who spends a lot on groceries and likes to travel. If you don't travel much, forget the 4X points and look elsewhere.- Earn 35,000 Membership Rewards® points after you spend $4,000 on eligible purchases with your new Card within the first 3 months.
- Earn 4X Membership Rewards® points when you dine at restaurants worldwide. Earn 4X Membership Rewards® points at U.S. supermarkets (on up to $25,000 per year in purchases, then 1X). Earn 3X Membership Rewards® points on flights booked directly with airlines or on amextravel.com.
- Earn up to a total of $10 in statement credits monthly when you pay with the Gold Card at Grubhub, Seamless, The Cheesecake Factory, Ruth’s Chris Steak House, Boxed, and participating Shake Shack locations. This can be an annual savings of up to $120. Enrollment required.
- $100 Airline Fee Credit: up to $100 in statement credits per calendar year for incidental fees at one selected qualifying airline.
- Choose to carry a balance with interest on eligible charges of $100 or more.
- No Foreign Transaction Fees.
- Annual Fee is $250.
- Terms Apply.
- View Rates and Fees
Options for brand loyalists
The cards identified above can earn elevated rewards regardless of the supermarket or grocery store where you shop. If you shop at Costco, Whole Foods or Target, consider these options.
Costco: Costco Anywhere Visa® Card by Citi
If you buy your groceries wholesale-club-style, the Costco Anywhere Visa® Card by Citi earns 2% cash back at Costco and Costco.com. It also earns 4% cash back on eligible gas purchases (both at Costco and at other gas stations) on the first $7,000 per year (1% thereafter), as well as 3% cash back on restaurants and eligible travel purchases. All other spending earns 1% back. The annual fee is $0, although you have to be a Costco member to apply, and membership starts at $60 a year.
» Rewards on $5,000 a year in groceries at Costco: $100.
Whole Foods: Amazon Prime Rewards Visa Signature Card
If you're more of a Whole Foods fanatic — and if you already pay for an Amazon Prime membership — consider the Amazon Prime Rewards Visa Signature Card. It earns 5% back at Whole Foods, plus 5% back at Amazon.com, 2% back at restaurants, gas stations and drugstores, and 1% everywhere else. Redeem your points for Amazon.com purchases at a value of 1 cent per point. The card's annual fee is $0, but you must be an Amazon Prime member, which does require a yearly fee.
» Rewards on $5,000 a year in groceries at Whole Foods: $250.
Target: Target REDcard™ Credit Card
The Target REDcard™ Credit Card doesn't offer rewards in the form of cash back or points, but you could argue that it gives you something even better: an immediate 5% discount on nearly everything you buy at Target, either in-store or online. You also get free shipping on most items at Target.com. If your grocery runs take you to a full-service Super Target — or just to the food aisles at a regular Target — this $0-annual-fee card is mighty attractive.
» Savings on $5,000 a year in groceries at Target: $250.
5% rotating category cards
The other cards on this page offer elevated grocery rewards year-round. The Chase Freedom® and select Discover cards like the Discover it® Cash Back pay a higher rate on groceries for only three months at a time — but what a rate it is.
On each card, you earn 5% cash back in rotating categories that you activate, on up to $1,500 per quarter in spending, and 1% cash back on all other purchases. In recent years, both cards have offered grocery stores as a 5% category. (See current and past categories here.) Other bonus categories on both cards tend to be common expenses, meaning it's not hard to get great value out of them. Neither card charges an annual fee.
» Maximum rewards on $5,000 a year in groceries (assuming each card offers grocery stores for one quarter):
- If using one card: $110.
- If using both cards: $170.
To view rates and fees of the Blue Cash Preferred® Card from American Express, please visit this page.
To view rates and fees of the American Express® Gold Card, please visit this page.
Last updated on January 16, 2020
