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INSIDER SECRET: With the new bonus categories, the Blue Cash Preferred® Card from American Express is now one of the best cards for earning cash back on US streaming services.
The Blue Cash Preferred® Card from American Express is geared toward folks who spend a lot on at US supermarkets, streaming services and gas in the US and transit – and like to earn cash back rewards.
Those are big expenses in most households, especially if you have a large family. And because these common expenses are bonus categories, it’s not hard to spend enough to offset the Blue Cash Preferred annual fee of $95 (See rates & fees).
That said, you’ll also earn a $250 statement credit after spending $1,000 on purchases in the first 3 months of account opening. And if you like the rewards setup, this card has some of the best returns in the most popular spending categories.
That’s why it’s one of the best grocery credit cards for US supermarket purchases for cash back.
How to Easily Offset the Blue Cash Preferred Annual Fee
Apply Here: Blue Cash Preferred® Card from American Express
Our review of the Blue Cash Preferred
And you’ll earn:
- 6% cash back at US supermarkets (up to $6,000 in purchases per calendar year, then 1% cash back)
- 6% cash back on select US streaming services
- 3% cash back at US gas stations and on transit purchases (subway, taxis, tolls, ride sharing, and more)
- 1% cash back on everything else
- Terms Apply
At US supermarkets, you can earn 6% cash back on up to $6,000 in spending each year (then 1%). At the maximum, that would mean $360 in cash back rewards ($6,000 X 6%).
And it breaks down to $500 per month, which is a low number for spending at US supermarkets. And you’d only need to spend ~$132 a month on purchases at US supermarkets to have the $95 annual fee “pay for itself” (~$132 X 12 months X 6%) – everything else is cash back in your pocket!
Plus, you’ll earn unlimited 3% cash back at US gas stations and on transit purchases, such as:
- Ride sharing services like Uber and Lyft
- Taxi cabs
- Train fares
Not only that, but purchases with select US streaming services earn unlimited 6% cash back, including:
- Amazon Music
- Apple Music
- CBS All Access
- Direct TV Now
- Fubo TV
- HBO Now
- Kindle Unlimited
- NBA League Pass
- Prime Video Unlimited
- Sling TV
- SiriusXM Streaming and Satellite
- YouTube Music Premium
- YouTube Premium
- YouTube TV
Be aware that if you pay for a streaming service through a third party or as part of a bundled package, you might not earn the bonus cash back.
Take a look at our in-depth review of the Amex Blue Cash Preferred to see everything you get with this card.
And Who Should NOT Get the Amex Blue Cash Preferred?
If you’re new to miles & points, note this card will count against your Chase 5/24 status, which means you won’t be approved for most Chase cards if you’ve opened 5+ cards from any bank in the past 24 months (excluding Chase small business cards and certain other small business cards).
We recommend starting with Chase credit cards for this reason. They have some of the most rewarding travel cards out there!
Also, Amex is known for only approving most folks for ~5 credit cards – so this card will count for one of your slots. And there are lots of very rewarding American Express credit cards, like the The Platinum Card® from American Express, which earns valuable American Express Membership Rewards points. So consider if you’d like the Amex Blue Cash Preferred to be one of your 5 Amex card picks.
And obviously, if you don’t spend enough in the bonus categories to justify the annual fee, you should skip this card. That said, if you spend enough to cover the annual fee (which isn’t much), it’s a solid card worth adding to your collection.
The break-even point to cover the Amex Blue Cash Preferred card’s annual fee is ~$132 per month in spending at US supermarkets and on select US streaming services, which most families easily exceed. You’ll earn 6% cash back on up to $6,000 in spending per year at US supermarkets (then 1%), and an uncapped 6% cash back on select US streaming services, plus 3% cash back at US gas stations and on transit expenses.
If those bonus categories make up the bulk of your spending each month, this is an excellent card to consider for cash back rewards. Remember, you’ll also earn a $250 statement credit after spending $1,000 on purchases in the first 3 months of account opening, which will help offset the annual fee for the first couple of years.
And if you’re looking to earn miles or points rewards for your US supermarket spending, be sure to browse our list of the best grocery credit cards.
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For rates and fees of the Blue Cash Preferred Card, please click here.