If you are looking for a cash back rewards credit card with a bit of a kick, the Blue Cash Preferred® Card from American Express might be the right choice for you — as long as you don’t mind paying an annual fee for the chance to earn more cash back rewards.
Not only does the Blue Cash Preferred card come with a straightforward and fairly generous cash back rewards program, but it is also easy to use for everyday purchases, and offers a way for you maximize your rewards by making most of your purchases with this card.
The Blue Cash Preferred card is a more generous version of the no-annual-fee Blue Cash Everyday rewards credit card.
Blue Cash Preferred Rewards
First of all, you do need to realize that, unlike the Blue Cash Everyday card, the Preferred card comes with an annual fee.
You will pay $75 each year to use the Blue Cash Preferred credit card. However, you also have the chance to earn more cash back than you would with the version that charges no annual fee.
The Preferred card comes with earnings tiers. These tiers are fixed — no rotating categories, and no caps on how much money you can earn*:
- 6% cash back at U.S. grocery stores (*up to $6,000 per year in spending)
- 3% cash back at U.S. gas stations and select department stores
- 1% cash back on all your other purchases
As you can see, the American Express Blue Cash Preferred credit card comes with a rewards program that is more generous than most other cash back rewards programs.
You can use your “rewards dollars” for statement credit, gift cards, and merchandise, on top of turning them in for cash back.
If you plan your spending, and use the Blue Cash Preferred credit card to make most of your purchases each month, it should be fairly easy to offset the annual fee, and make a profit to boot. Just make sure that you pay off your balance each month so that the interest you pay doesn’t overwhelm your cash back rewards.
Right now, there is also a sign-up bonus.
You can receive a 100 Reward Dollar bonus when you spend $1,000 in the first three months that you have the card. The reward dollars are good for a $100 statement credit. The bonus alone is enough to offset the annual fee that comes with the card for the first two years that you have it.
That certainly gives you enough time to test if your cash back categories make up for the annual fee in further years.
And if you meet the bonus requirement you can also get a free year of Amazon Prime! You get a statement credit back for the cost after you sign up. Amazon Prime is awesome because it gives you 2-day shipping on most items shipped from Amazon.
Other Perks that Come with the American Express Blue Cash Preferred Credit Card
The rewards program isn’t the only perk that comes with this credit card.
Some of the other perks include:
- Travel insurance: Pay for your car rental with your Blue Cash Preferred card, and you will receive free car rental loss and damage insurance (you need to sign the waiver at the rental company as well). You can also receive help with various medical and financial emergencies if you are traveling.
- Extended warranty: American Express matches the manufacturer’s warranty up to one additional year when you make a purchase with your Preferred card.
- Return protection: You can receive a refund of the purchase price, up to $300 per item, and $1,000 annually, to return an item (within 90 days) that the store won’t take back.
- Purchase protection: If an item is accidentally damaged or stolen within 90 days from your purchase, American Express will compensate you when you meet the requirements.
0% Intro APR
The American Express Blue Cash Preferred Credit Card is offering a 0% introductory APR on purchases and balance transfers for 15 months. After your intro APR period ends you will have a variable APR rate. IF you have a big purchase you’d like some time to pay off then this is helpful. This is also great if you have a balance on another card that you’d like to get paid off and you haven’t been able to because of interest.
I’ve have an American Express card for years now and I can tell you their customer service is top-notch.
The Blue Cash Preferred card has a simple rewards program that’s easy to understand as well as east to redeem. With their sign-up bonus you have your first 2 years of annual fees covered. Just make sure you are actually earning enough cash back rewards to justify the annual fee later on.
Use the Blue Cash Preferred American Express card for your regular purchases, and you will find that it’s easier than you thought to rack up the rewards — even with the annual fee.
“Disclaimer: This content is not provided or commissioned by American Express. Opinions expressed here are author’s alone, not those of American Express, and have not been reviewed, approved or otherwise endorsed by American Express. This site may be compensated through American Express Affiliate Program.”