[Update: Some offers mentioned below have expired. You can view the current offers from our partners here — Chase Freedom. Disclosure: Cards from our partners are mentioned below.]
Extra cash back at wholesale clubs is trending.
Chase announced this week that its Freedom credit card “will continue to offer the 5% cash back category of Wholesale Clubs through the end of the year.” That’s good news for those who frequent stores like Costco, BJ’s and Sam’s Club. Freedom cardholders (you can see a full review of the card here) can earn up to 5% cash back on up to $1,500 spent in revolving bonus categories each quarter; they earn 1% cash back on all other purchases. (You can compare different cash back credit cards here.)
Chase’s announcement comes just ahead of the June 20 rollout for Citi’s Costco Anywhere Visa credit card. That card, which replaces Costco’s TrueEarnings Card from American Express, will allow eligible cardholders to earn 4% cash back on gas (up to $7,000 per year, then 1%); 3% at restaurants and on travel purchases; 2% on Costco and Costco.com purchases, and 1% elsewhere. You can read more about that card here. (Full Disclosure: Citibank, Chase, Bank of America and American Express advertise on Credit.com, but this does not result in preferential editorial treatment.)
Earlier this month, Bank of America moved to give its BankAmericard Cash Rewards cardholders 2% cash back at wholesale clubs in addition to 3% cash back on gas, 2% cash back on groceries, and 1% cash back on all other purchases.
Of course, before you apply for these cards or any other credit cards you may be considering, you’ll want to know where your credit stands. The last thing you want is to apply for a card only to be turned down and see your score suffer due to the inquiry. (You can view two of your credit scores, updated each month, for free on Credit.com.)
And remember, while the perks of a rewards credit card may seem enticing, you won’t do yourself any favors by ramping up your spending just to earn more rewards if you can’t pay off your balances. If keeping a budget or making a few purchases and paying them quickly (and on time) sounds like too big an ask, a rewards credit card may not be the best fit for you.
At publishing time, the Chase Freedom, BankAmericard Cash Rewards credit cards are offered through Credit.com product pages as are Citibank and American Express products, and Credit.com is compensated if our users apply and ultimately sign up for these cards. However, this relationship does not result in any preferential editorial treatment.
Note: It’s important to remember that interest rates, fees and terms for credit cards, loans and other financial products frequently change. As a result, rates, fees and terms for credit cards, loans and other financial products cited in these articles may have changed since the date of publication. Please be sure to verify current rates, fees and terms with credit card issuers, banks or other financial institutions directly.