The American Express® Blue Cash Preferred® Card is one of the best cashback credit cards for households, offering exceptional rewards on groceries, streaming services, and transit.
Designed for individuals and families who spend heavily in these categories, this card provides a high cashback rate in areas where most people frequently spend.
With one of the highest cashback rates on U.S. supermarket purchases and an array of additional benefits, this card is an excellent choice for those looking to maximize savings on everyday expenses.
However, it comes with an annual fee, which may not suit everyone, especially those with lower grocery and streaming service spending.
Furthermore, this card is well-suited for busy professionals, commuters, and families who prioritize savings on essential purchases.
The benefits extend beyond just cashback, offering perks such as purchase protection, extended warranty coverage, and travel-related benefits, making it a well-rounded choice for many consumers.
Reasons to Choose the American Express® Blue Cash Preferred® Card
1. Industry-Leading 6% Cashback on U.S. Supermarkets
One of the biggest selling points of this card is the 6% cashback on up to $6,000 per year in U.S. supermarket purchases (then 1% afterward).
If you spend a significant amount on groceries, this benefit alone can justify the annual fee.
For a family that spends around $500 per month on groceries, this equates to $360 in cashback annually, a significant saving.
Additionally, major supermarket chains such as Walmart and Target do not qualify for this cashback category, so it’s important to check if your preferred stores are eligible before making purchases.
2. 6% Cashback on Select U.S. Streaming Subscriptions
This card is ideal for entertainment lovers, offering 6% cashback on popular U.S. streaming services, including Netflix, Hulu, Disney+, and Spotify.
If you subscribe to multiple streaming platforms, this feature can quickly add up to substantial rewards.
For an individual spending $50 per month on streaming services, the cashback equates to $36 annually, which further enhances the overall value of the card.
Additionally, new cardholders may occasionally receive exclusive streaming-related offers through Amex Offers, allowing them to maximize their savings even further.
3. 3% Cashback on Transit and Gas Stations
For those who commute, this card offers 3% cashback on transit expenses, including rideshare services (Uber, Lyft), parking, tolls, trains, and buses.
Additionally, you earn 3% cashback on gas station purchases, making it a great option for drivers and commuters alike.
With rising fuel prices, earning cashback on gas purchases provides tangible savings for those who frequently drive.
Unlike some other cashback cards, the 3% gas station category does not have an annual cap, meaning you can continue earning rewards on gas purchases throughout the year.
4. 1% Cashback on All Other Purchases
Even when you spend outside the bonus categories, you still earn 1% cashback on all other purchases, ensuring that every transaction brings some level of rewards.
This guarantees that even miscellaneous expenses contribute to your cashback earnings.
5. Lucrative Welcome Bonus
New cardholders can earn a generous welcome offer after spending a certain amount within the first few months.
This introductory bonus adds immediate value and makes signing up even more attractive.
Depending on the offer at the time, this can be a significant financial boost.
6. Introductory 0% APR on Purchases and Balance Transfers
The Blue Cash Preferred® Card often comes with a 0% introductory APR on purchases and balance transfers for the first 12 months.
This feature is useful for those planning significant purchases or looking to consolidate debt.
This can help cardholders manage large expenses without immediate interest charges, providing financial flexibility.
7. Amex Offers & Additional Perks
As an American Express card, you gain access to Amex Offers, which provide cashback and discounts on select merchants, as well as complimentary travel and shopping protections.
The value of Amex Offers can vary, but savvy consumers can save hundreds of dollars per year by leveraging these deals.
Additionally, American Express provides high-quality customer service, known for its responsiveness and assistance with disputes, travel issues, and purchase protection claims.
8. Additional Travel and Shopping Protections
Cardholders can benefit from extended warranty protection, purchase protection, and return protection, which add security when making high-value purchases.
Moreover, car rental loss and damage insurance provides peace of mind for those who rent vehicles frequently.
This is a great perk for travelers looking to save money on additional insurance fees.
9. Family-Friendly Benefits
For households with children, the cashback categories make everyday spending more manageable.
School supplies, transit expenses, and groceries all earn high cashback rewards, making it an ideal option for parents.
Additionally, occasional targeted offers for essential purchases may provide further savings on back-to-school shopping, holiday gifts, and more.
Negative Factors of the American Express® Blue Cash Preferred® Card
1. Annual Fee
The card charges a $95 annual fee (waived for the first year), which may not be cost-effective for individuals who don’t spend much in the high-reward categories.
If your annual spending does not justify the cashback earnings, the fee may offset the card’s benefits.
2. Grocery Cashback Cap
The 6% cashback at U.S. supermarkets is limited to $6,000 per year, after which purchases earn only 1% cashback.
Heavy grocery shoppers might find this cap limiting.
If your grocery spending exceeds this limit, it may be beneficial to pair this card with another high-reward credit card.
3. Foreign Transaction Fees
The card charges a 2.7% foreign transaction fee, making it less than ideal for international travelers.
If you frequently travel abroad, a card with no foreign transaction fees would be a better option.
Conclusion
The American Express® Blue Cash Preferred® Card is an excellent choice for high grocery and streaming spenders, offering exceptional cashback rates.
Despite its annual fee and spending cap on groceries, the cashback potential outweighs the costs for those who maximize the rewards.
However, if you rarely shop at supermarkets or subscribe to streaming services, a different cashback card might be a better fit.
With its robust cashback categories, introductory offers, and additional perks, this card remains a top-tier choice for households looking to optimize everyday spending.
For those who can take full advantage of the rewards, the Blue Cash Preferred® Card delivers significant long-term value.
If your lifestyle aligns with its bonus categories, this card can be a game-changer for household budgeting and financial planning.
It is particularly beneficial for families, commuters, and frequent shoppers who aim to make the most out of their daily expenses.
