Blue Cash Preferred® Card from American Express Review

The card_name offers up to 6% cash back and a welcome offer. It's an excellent credit card if grocery shopping is one of your bigger expenses. It also offers elevated rewards on select streaming services, gas, and transit. There's a $0 intro annual fee for the first year, then $95. There's also a 0% introductory APR offer.

Our Rating
4.5/5.0

Welcome Offer
Earn a $250 statement credit

Annual Fee
$0 intro annual fee for the first year, then $95.

0% on Purchases
12 months

Reward Rate
1%-6%

0% on Balance Transfers
12 months

Welcome Offer

Earn a $250 statement credit after you spend $3,000 in purchases on your new Card within the first 6 months.

Features & Benefits

SecurityEMV Chip Enabled, Zero Liability, Alerts
Contactless PaymentsTap to Pay, Apple Pay, Google Pay, Samsung Pay, Fitbit Pay
BenefitsExtended Warranty Coverage, Purchase Protection, Return Guarantees, 24/7 customer service
Travel PerksAccess to Special Events and Concerts, Auto Rental Collision Damage Waiver, Emergency Travel Assistance

Rewards

1% cash back
On all other eligible purchases
1% cash back on all other eligible purchases
3% cash back
Gas
3% cash back at U.S. gas stations
3% cash back
Transit
3% cash back on transit, such as taxis, rideshare, parking, tolls, trains and buses
6% cash back
U.S. supermarkets
6% cash back on groceries up to $6,000 per year in purchases at U.S. supermarkets, then 1%
6% cash back
Streaming services
6% cash back on select U.S. streaming subscriptions

Interest Rates & Fees

Annual Fee$0 intro annual fee for the first year, then $95.
Foreign Transaction Fee2.7% of each transaction after conversion to US dollars.
Regular APR19.24% - 29.99% (V) APR
Balance Transfers0% Intro APR for 12 months on balance transfers, then 19.24% - 29.99%(V) APR after that.
Balance Transfer FeeEither $5 or 3% of the amount of each transfer, whichever is greater.
Purchases0% Intro APR for 12 months on purchases, then 19.24% - 29.99% (V) APR after that.

Insurance

Extended Warranty

When an American Express® Card Member charges a Covered Purchase to an Eligible Card, Extended Warranty§ can provide up to one extra year added to the Original Manufacturer’s Warranty. Applies to warranties of five (5) years or less. Coverage is up to the actual amount charged to your Card for the item up to a maximum of $10,000; not to exceed $50,000 per Card Member account per calendar year.

  • Eligibility and Benefit level varies by Card. Terms, Conditions and Limitations Apply. 
  • Please visit americanexpress.com/benefitsguide for more details. 
  • Underwritten by AMEX Assurance Company.

Return Protection

With Return Protection, you may return eligible purchases to American Express if the seller won't take them back up to 90 days from the date of purchase. American Express may refund the full purchase price excluding shipping and handling, up to $300 per item, up to a maximum of $1,000 per calendar year per Card account, if you purchased it entirely with your eligible American Express® Card. Purchases must be made in the U.S. or its territories.

  • Eligibility and Benefit level varies by Card. Terms, Conditions and Limitations Apply. 
  • Please visit americanexpress.com/benefitsguide for more details.

Purchase Protection

When an American Express® Card Member charges a Covered Purchase with their Eligible Card, Purchase Protection can help protect their Covered Purchases for up to 90 days from the Covered Purchase date if it is stolen or accidentally damaged. The coverage is limited up to $1,000 per occurrence, up to $50,000 per Card Member account per calendar year.

  • Eligibility and Benefit level varies by Card. Terms, Conditions and Limitations Apply. 
  • Please visit americanexpress.com/benefitsguide for more details.
  • Underwritten by AMEX Assurance Company.

What Credit Score Is Required to Get the Blue Cash Preferred® Card from American Express

The following credit score data are based on publicly available information we have collected from various forums. We have no way to confirm the accuracy of this data. In addition, keep in mind that credit card issuers use a number of factors in their underwriting process, and these factors can change at any time.

App StatusDateCredit ScoreBureauCredit Limit
Approved05/17/2021
675
Experian
$2,000
Approved04/09/2022
780
Experian
$6,000
Approved04/09/2022
787
TransUnion
$6,000
Approved12/17/2021
680
Experian
$1,000
Approved12/17/2021
692
TransUnion
$1,000
Approved03/20/2022
673
Experian
$1,000
Approved07/21/2021
681
Experian
$1,000
Pros
  • Welcome offer
  • Up to 6% cash back
Cons
  • Annual fee
  • High APR
  • Foreign transaction fee

What Are the Best Alternatives?

Citi Custom Cash® Card
Citi Custom Cash® Card

Rating

4.7

Rewards Range

1% - 5%

Annual Fee

$0

Citi<sup>®</sup> Double Cash Card - 18 month BT offer
Citi® Double Cash Card - 18 month BT offer

Rating

4.9

Rewards Range

1% to 2%

Annual Fee

$0

Chase Freedom Unlimited®
Chase Freedom Unlimited®

Rating

4.9

Rewards Range

1.5% - 5%

Annual Fee

$0

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Blue Cash Preferred Rewards Calculator

Our Review

Having written about credit cards for a long time, it’s become easy to distinguish good cards from bad. A good credit card will deliver in a variety of ways. Big perks, big bonuses, good rewards program, etc. A bad credit card wows you with one single feature, then takes advantage of you in every other way.

The Blue Cash Preferred® Card from American Express is a credit card I knew I always wanted. When it was first released many years ago, my credit score was in the tank (high 400s) so I had no reason to apply. After a few years of saving and working hard to restore my credit, I finally had the opportunity to own this cash back credit card. Now I use this card for every single grocery store purchase and easily save hundreds of dollars a year.

Blue Cash Preferred® Card from American Express Welcome Bonus + Cash Back Rewards Program

The Blue Cash Preferred® Card from American Express is offering a welcome bonus: Earn a $250 statement credit after you spend $3,000 in purchases on your new Card within the first 6 months.

If you’re worried about being able to spend that amount of money, don’t be. My cable bill + grocery bill each month is well over $700. After just a few months, I would have no trouble reaching the $3,000 hurdle. Toss in gas, department stores, restaurants, and other utility bills like your phone and oil bills, and getting there should be even easier. Last but not least, don’t forget you can pay for things like health insurance, life insurance, and auto insurance with a credit card.

Cash Back Reward Tiers

Beyond the welcome offer, this credit card excels in one other major area, and that’s cash back. The Blue Cash Preferred® Card from American Express offers an amazing set of tier levels to earn cash back on everyday spending:

1% cash back
On all other eligible purchases
1% cash back on all other eligible purchases
3% cash back
Gas
3% cash back at U.S. gas stations
3% cash back
Transit
3% cash back on transit, such as taxis, rideshare, parking, tolls, trains and buses
6% cash back
U.S. supermarkets
6% cash back on groceries up to $6,000 per year in purchases at U.S. supermarkets, then 1%
6% cash back
Streaming services
6% cash back on select U.S. streaming subscriptions

If the 6% cash back category stands out, it’s because this is one of the only credit cards that offers better than 5% on anything. And to have it in such a widely used category makes this card valuable to people who spend a lot of money on groceries. The other cash back amounts are also nice. I know when I don’t have a 5% gas cash back quarter available, this is the card I use at the pump.

Cash back from American Express comes in the form of membership rewards dollars and they never expire so long as your account is in good standing. Rewards dollars can be redeemed for a statement credit, check, or things like gift cards through the American Express portal. There is never any limit to the amount of cash back you can earn.

Blue Cash Preferred® Card from American Express Pricing Details

New cardholders will receive a 0% intro APR for 12 months on purchases and 12 months on balance transfers from the date of account opening. After the intro rate expires, the ongoing APR becomes 19.24% - 29.99% based on your credit history. Other interest rates and fees on the Blue Cash Preferred® Card from American Express are as follows:

  • Foreign transaction fee – 2.7% of each transaction after conversion to US dollars.
  • Late payment and returned payment fee – Up to $40
  • Annual fee – $0 intro annual fee for the first year, then $95.

Paying an annual fee on a cash back credit card can be a bad idea if you plan to use your credit card sparingly. However, if you plan to use this card for most of your shopping and grocery purchases, the cash back earned is well worth the price of an annual fee.

Pros and Cons

Pros

  • Awesome welcome offer: Earn a $250 statement credit after you spend $3,000 in purchases on your new Card within the first 6 months.
  • Up to 6% cash back: Unparalleled 6% Cash Back at U.S. Supermarkets (on up to $6,000 in purchases, 1% after)
  • Cash back on gas: Great 3% Cash Back at U.S. Gas Stations

Cons

  • Annual fee: $0 intro annual fee for the first year, then $95.
  • Foreign Transaction Fee: 2.7% of each transaction after conversion to US dollars.

Blue Cash Preferred® Card from American Express Comparison

There is also another version of this card—the Blue Cash Everyday® Card from American Express. The rewards program is a bit smaller but the big selling point is that the card carries a $0 annual fee. Assuming the same spending patterns for a family, what kind of annual cash back savings can you expect from each card?

Blue Cash Everyday® Card from American Express

CategoryMonthly SpendingAnnual Cash Back
Groceries (3%)$500$180
Gas (3%)$400$144
Dining Out (1%)$250$30
(Online) Shopping (3%)$100$36
Other (1%)$1,000$120
ANNUAL CASH BACK$510

Blue Cash Preferred® Card from American Express

CategoryMonthly SpendingAnnual Cash Back
Groceries (6%)$500$360
Gas (3%)$400$144
Dining Out (1%)$250$30
(Online) Shopping (1%)$100$12
Other (1%)$1,000$120
ANNUAL CASH BACK$571

*Other: $1,000 (this might include big box stores, pharmacy, cell phone, cable, car repair, travel, and every other monthly expense that can be charged)

If you use the Blue Cash Preferred® Card from American Express often, it’s a better option than its no-fee counterpart. The savings at the grocery store is simply too great a feature for people who shop there regularly.

Final Thoughts

I currently own 12 credit cards. When I browse through my wallet right now, I see that only two of them have an annual fee. One is the Chase Sapphire Preferred® Card, which I have yet to pay the annual fee on. The other is the Blue Cash Preferred® Card from American Express. I despise annual fees but when you have a credit card offering a 6% cash back category year-round, you take advantage. With a family of four who spends 6-7 days and nights every week making food from home, the savings are tremendous.

Include a welcome offer, a 0% intro APR for 12 months on purchases and for 12 months on balance transfers from the date of account opening (after that an ongoing APR of 19.24% - 29.99% applies), and high cash back percentages on things like gas and at supermarkets and there’s little reason not to own the card_name.