Blue Cash Everyday® Card from American Express review

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In a Nutshell

You can earn a lot of cash back from your U.S. supermarket purchases with one of American Express’ Blue Cash credit cards. Consider the Blue Cash Everyday® Card from American Express if annual fees aren’t your cup of tea.

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Wouldn’t it be great to get a free automatic discount each time you bought groceries? That’s pretty much what the Blue Cash Everyday® Card from American Express offers.

After all, coupon clipping can be tedious. And even if you’re a hardcore couponer, you can still stand to shave a few precious dollars or cents off your bill each time you use this card in the form of cash back.

The Blue Cash Everyday® Card from American Express is also a decent choice as a balance transfer card — offering an intro 0% APR for the first 15 months on balance transfers, then a variable APR of 15.24% - 26.24%. To get the intro rate, you have to request the balance transfer within the first 60 days of account opening. And you’ll have to pay a balance transfer fee of 3% (minimum $5).

Learn more about whether the Blue Cash Everyday® Card from American Express is right for you and how to get the most out of this card.

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What we like Heads up
APR
  • 0% intro APR on purchases and balance transfers made within 60 days of account opening for your first 15 months (then 15.24% - 26.24% variable APR)
  • 15.24% - 26.24% variable APR for purchases and balance transfers after the intro period
  • Balance transfer must be requested within 60 days of account opening
Fees and penalties
  • $0 annual fee
  • Balance transfer fee of 3% (minimum $5)
  • 29.99% variable penalty APR for late or returned payments, for at least six months
  • 29.99% for each late or returned payment
  • 2.7% foreign transaction fee
Rewards
  • $150 statement credit if you spend $1,000 on purchases within the first 3 months of card membership
  • 3% cash back on up to $6,000 in purchases at U.S. supermarkets each year (then 1%)
  • 2% cash back on purchases made at U.S. gas stations and certain U.S. department stores
  • 1% cash back on all other eligible purchases
  • Must spend $1,000 in 3 months to earn $150 statement credit
  • 3% cash back on purchases at U.S. supermarkets is limited to up to $6,000 on purchases per year

  1. The rundown: Everything we like about the Blue Cash Everyday® Card from American Express
  2. Heads up: What you should consider before applying for the Blue Cash Everyday® Card from American Express
  3. Do the math: Ways to get the most out of the Blue Cash Everyday® Card from American Express
  4. The competition: How the Blue Cash Everyday® Card from American Express stacks up against similar cards
  5. Bottom line: Is the Blue Cash Everyday® Card from American Express right for you?

The rundown: Everything we like about the Blue Cash Everyday® Card from American Express

The first thing we really like about the Blue Cash Everyday® Card from American Express is that it offers a decent welcome bonus. If you spend $1,000 in purchases within the first 3 months of getting this card, you’ll earn a $150 statement credit. It’ll be applied to your account within six to eight weeks after you hit the $1,000 mark. This could be a pretty easy feat if we’re talking grocery store spending, especially if you’ve got a houseful of hungry, growing kids — or, let’s face it, a cookie and ice cream obsession of your own.

This card also offers great value through its cash back program. You’ll earn 3% cash back on up to $6,000 in purchases at U.S. supermarkets each year, and 1% thereafter. You can also earn 2% on purchases at U.S. gas stations and certain U.S. department stores, like Sears, Kohl’s and J.C. Penney. Everything else earns 1% cash back.

If you have an outstanding balance on another credit card, you can also bring it over to the Blue Cash Everyday® Card from American Express as a balance transfer. If you do this, you’ll pay a fee of 3% (minimum $5). But in return, you won’t owe any interest on the balance for 15 months as long as you complete the transfer within the first 60 days after you open the card. Just make sure you pay off the balance before the intro period expires, otherwise you’ll pay 15.24% - 26.24% variable APR.

And finally, the best part: For all of these benefits, there is no annual fee. That’s right — you get all of this for free.

Heads up: What you should consider before applying for the Blue Cash Everyday® Card from American Express

The first thing you should consider before applying for the Blue Cash Everyday® Card from American Express is whether you’ll be able to comfortably spend $1,000 on the card within the first 3 months after you get it. After all, the $150 statement credit is nothing to sneeze at. You could buy a lot of groceries with that amount of money, but the welcome bonus probably isn’t worth it if you’re going to have trouble paying off a $1,000 balance.

And if you’re looking for a balance transfer card, consider your options. How likely is it that you’ll be able to pay off the amount you want to transfer within the first 15 months? Also consider whether a transfer-fee-free card might be better for you than the 3% (minimum $5) required by the Blue Cash Everyday® Card from American Express.

There are other costs to consider as well.

You’ll want to be careful with making late payments with this card. Aside from the late fee of up to $38, if you make a late payment or your payment is returned by your bank, you could also be slapped with a “penalty APR.” If that happens for at least the next six months, the interest rate you’ll owe on your credit card debt will shoot up to a variable 29.99% APR. The best option of all would be to try to pay off your credit card in full and on time each month so you don’t owe any interest on your purchases.

If you travel overseas a lot, this is a credit card you’d want to leave at home. It comes with a 2.7% foreign transaction fee.

One final consideration is whether the Blue Cash Everyday® Card from American Express is really the right card if you spend a lot on groceries. To figure this out, you’ll need to do the math (don’t worry, we’ll help you out).

Do the math: How to get the most out of the Blue Cash Everyday® Card from American Express

As we’ve said, there are two versions of the Blue Cash card that we’re reviewing: the Blue Cash Everyday® Card from American Express  and an up-level version, the Blue Cash Preferred® Card from American Express.

One of the biggest differences between them is that the Blue Cash Preferred® Card from American Express offers a higher cash back amount on up to $6,000 on purchases at U.S. supermarkets per year: 6% cash back, rather than the 3% offered by the Blue Cash Everyday® Card from American Express. Both cards offer 1% after you reach $6,000 on purchases at U.S. supermarkets. But the Blue Cash Preferred® Card from American Express also comes with a $95 annual fee, so you need to factor that into the equation.

In order to break even on the annual fee from the Blue Cash Preferred® Card from American Express, you’d need to spend at least $1,583.34 on groceries in a year. After that, it would be pure cash back. While you’re spending that $1,583.34 just to make up the cost of the annual fee, you’d have racked up $47.50 in cash back from the Blue Cash Everyday® Card from American Express.

So, how much annual grocery spending does it take to make the Blue Cash Preferred® Card from American Express worthwhile?

Well, if you spend more than $3,167 per year at U.S. supermarkets (at least $264 per month, in other words), you’ll come out ahead by choosing the Blue Cash Preferred® Card from American Express, even after you factor the annual fee into the picture. You’ll have canceled out the annual fee, and have made another $95.02 in cash back after spending $3,167. Meanwhile, you’ll have made $95.01 in cash back after spending that same $3,167 with the Blue Cash Everyday® Card from American Express.

Once you pass that breakeven point, the difference grows even more extreme. Remember, you can spend up to $6,000 per year on purchases at U.S. supermarkets for both cards before dropping down to a lower cash back level. For the Blue Cash Preferred® Card from American Express, you’ll earn $265 cash back (that’s $360 minus the $95 annual fee) over the course of the year if you spend $6,000 on purchases at U.S. supermarkets. The Blue Cash Everyday® Card from American Express will only get you $180 for the whole year if you spend $6,000 on purchases at U.S. supermarkets.

So if you spend less than $264 per month on average at U.S. supermarkets, the Blue Cash Everyday® Card from American Express may be the better choice, since you’ll earn more cash back overall at this spending level, with no annual fee to offset.

The competition: How the Blue Cash Everyday® Card from American Express stacks up against similar cards

Higher cash back rate on groceries (with an annual fee) Blue Cash Preferred® Card from American Express
Earn 3% cash back on dining and 2% on groceries and 1% on other purchases Capital One® SavorOne℠ Cash Rewards Credit Card
Up to 5% cash back on Whole Foods purchases (with Amazon Prime membership) Amazon Prime Rewards Visa Signature Card

Blue Cash Preferred® Card from American Express

This is the Blue Cash Everyday® Card from American Express’s big brother. You can earn a $250 statement credit for spending $1,000 on purchases within the first 3 months of card membership.

You’ll earn 6% cash back on up to $6,000 spent on purchases at U.S. grocery stores each year (then 1%), 6% cash back on select U.S. streaming subscriptions, 3% cash back at U.S. gas stations, 3% cash back on transit (including taxis/rideshares, parking, tolls, trains, buses and more) and 1% cash back on all other purchases.

In return, you’ll pay a $95 annual fee for the card.

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Capital One® SavorOne℠ Cash Rewards Credit Card

Similar to the Blue Cash Everyday® Card from American Express’s annual fee of $0, here’s another great annual-fee-free credit card offering cash back rewards on food purchases. You can earn 3% cash back on restaurant and entertainment purchases, 2% cash back on grocery store purchases, and 1% cash back on all other eligible purchases, with no limits.

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Amazon Prime Rewards Visa Signature Card

If you like getting your groceries from Whole Foods or Amazon Fresh, consider this card. If you have an eligible Prime membership, you can earn 5% cash back when you use the card for Whole Foods and all Amazon.com purchases (including Amazon Fresh). You’ll also see 2% cash back at drug stores, gas stations and restaurants, and 1% cash back on all other purchases. Plus there’s no annual fee.


Bottom line: Is the Blue Cash Everyday® Card from American Express right for you?

This is a great card for folks in two specific situations.

  • Those who want to earn cash back on groceries but don’t want to pay an annual fee.
  • Those looking to take advantage of a 15-month interest-free intro period to make a big purchase or pay off a balance transfer.

And if you’re looking for a cash back credit card for supermarket purchases and a 0% intro APR card? Well then, this may be a great choice for you. Now, onto the cookies and ice cream!