Grocery store purchases likely represent a sizable part of your monthly budget. For most people, it makes sense to get a credit card that offers increased rewards on groceries. Here are the cards that you should consider that earn better than 2% cash back or 2x points on groceries.
For most people wanting cash back, these are the best cards to use for groceries. (Scroll down for additional picks if you want transferable points or have a sizable banking relationship.)
Annual Fee: $0 intro annual fee for the first year, then $95.
Blue Cash Preferred® Card from American Express
Market-leading cash back on groceries, plus great rewards on gas and a Disney+ credit.
6% cash back on groceries at U.S. Supermarkets, on up to $6,000 in purchases each calendar year, then 1%.
Annual fee: $0
AAA Daily Advantage Visa Signature® Credit Card
Excellent rate of cash back at grocery stores and wholesale clubs with no annual fee.
5% cash back on grocery store purchases and 3% at wholesale clubs until you earn $500 in a calendar year across all of the card’s bonus categories, then 1%.
Annual fee: $0
Citi Custom Cash® Card
A highly flexible bonus category card that can earn 5% cash back on a modest amount of groceries.
5% cash back on the first $500 you spend in your top category each month. Eligible categories include grocery stores.
Annual fee: $0
Capital One Savor Cash Rewards Credit Card
Unlimited increased rewards at grocery stores.
3% cash back at grocery stores. Grocery rewards are not capped.
Annual fee: $0
Venmo Credit Card
Good option to use at grocery stores for Venmo users.
3% cash back on your eligible top spend category each month. Eligible spending categories include groceries.
Annual fee: $0
Blue Cash Everyday® Card from American Express
Decent rewards on groceries at U.S. Supermarkets, paired with bonus rewards for online shopping.
3% cash back on groceries at U.S. Supermarkets, on up to $6,000 in purchases each calendar year, then 1%.
Learn more in our guide to the card
Get the card and earn a sign-up bonus
My take: The cards I use for groceries
Aaron Hurd
Executive Editor of Cards and Points
When it comes to the groceries we buy at traditional grocery stores (what Amex refers to as U.S. Supermarkets), there is a clear winner for me: The Blue Cash Preferred. Between groceries and gift cards, I max out the card’s bonus rewards on $6,000 of spending at U.S. supermarkets every year, netting me $360 in cash back.
Here’s how my value calculation works on this card: Yes, the card has a $95 ongoing annual fee, but I earn $180 in marginal cash back, over and above what I’d earn with a no-annual-fee card that earn 3% cash back on groceries. My family also pays for Disney+, which we charge to the card to capture the card’s $120 in Disney+ credits annually.
In rewards and credits alone, I come out way ahead of the annual fee on this card, and this doesn’t even consider the card’s excellent extended warranty, purchase protection, and return protection benefits. I put almost all of my durable goods (think computers, tablets, electronics, etc.) on this card. Every few years, something expensive I bought breaks and I end up getting a payment of several hundred dollars to replace it from this card’s benefit.
My second-choice card is the AAA Daily Advantage card. This card is kind of a hidden gem, allowing you to earn 5% cash back on your groceries and 3% at wholesale clubs. If you are averse to paying annual fees, or can’t get value out of the Blue Cash Preferred, I’d absolutely recommend this card.
What to do if you don’t buy groceries at a traditional grocery store.
My family doesn’t only buy groceries at traditional grocery stores. In fact, the majority of our household groceries are bought at Costco and Target. If you buy groceries at places other than traditional grocery stores, here are some additional recommendations and links:
- Target: Target Mastercard is a great option for its 5% discount on groceries at Target, but there are other cards that can get you up to 6% rewards.
The best cards to use at Target. - Whole Foods and Amazon Fresh: While these two stores are considered traditional grocery stores, Amazon will give you 5% rewards on the Prime Visa, which you can get if you subscribe to Amazon Prime.
The best cards to use at Amazon. - Gas Stations: You can use the Citi Custom Cash to get 5% on grocery stores you make at gas stations, but there are plenty of cards that will give you 3% or greater rewards.
The best cards to use at gas stations. - Drugstores: You can get 3% cash back with either the Freedom Unlimited or Freedom Flex.
The best cards to use at drugstores. - Wholesale clubs like Costco and Sam’s Club: The Costco Visa doesn’t actually earn the best rewards at Costco. For most people the AAA Daily Advantage or the Venmo Visa can earn more.
The best cards to use at Costco.
Rewards on groceries for people with banking relationships
If you have a significant banking relationship (i.e. a large amount of deposits or investments), some banks will offer increased rewards on their credit cards. Here are some additional picks if you have large investment and/or deposit balances with certain banks.
Annual fee: $0
Bank of America® Customized Cash Rewards credit card
Up to 3.5% cash back at grocery stores.
Bonus rewards are based on a 2% base reward and a 1.75x relationship bonus multiplier and are subject to cap of $2,500 of quarterly spending.
Relationship bonus requires a $100k+ banking relationship.
Annual fee: $0
U.S. Bank Smartly™ Visa Signature® Card
Up to 4% cash back on all spending.
Bonus rewards are based on a 2% base reward and 2% bonus cash back.
Relationship bonus requires a $100k+ of qualifying deposits in checking and savings accounts with U.S. Bank.
Cards for earning transferable points on groceries
If your credit card rewards strategy includes earning transferable points and transferring them to airline and hotel partners for high-value awards, here are additional cards that you should check out.
If you’re interested in cash back, be aware that many of these cards’ points either require jumping through significant hoops to redeem points for cash back-equivalent rewards at favorable rates.
Annual fee: $325
American Express® Gold Card
The most Membership Rewards® points on groceries.
4x Membership Rewards points at U.S. Supermarkets on up to $25,000 per year in purchases, then 1x.
Annual fee: $0
Citi Strata℠ Card
The most uncapped ThankYou Points on groceries with no annual fee.
3x ThankYou Points at supermarkets on an unlimited amount of spending.
Annual fee: $95
Citi Strata Premier℠ Card
The most uncapped ThankYou Points on groceries on a premium ThankYou Points card.
3x ThankYou Points at supermarkets on an unlimited amount of spending.
