Cash Back Credit Cards: Compare Net Rewards
Compare flat-rate and category cash back using your spending, fees and redemption rules before choosing a card.
Choose cash back around the purchases you already make. A higher advertised percentage can lose to a lower flat rate when a spending cap, annual fee or excluded merchant limits what you actually earn.
Flat rate or bonus categories?
Use a flat-rate card as your baseline. For a category card, split your annual purchases into eligible spending below the cap, spending above the cap, and everything else. Check activation requirements and cash redemption options in the issuer terms. Do not treat points as cash without checking their redemption value.
Example: the annual-fee break-even
A hypothetical no-fee card earning 2% on $12,000 returns $240. A $95-fee card earning 3% on the same eligible spending returns $265 after the fee: only $25 more. Its extra one percentage point needs $9,500 of eligible annual spending just to cover the fee. This assumes no caps, interest or other charges and excludes bonuses.
What if you carry a balance?
Estimate borrowing costs before rewards. Our rewards optimizer uses only the limited set of eligible card records; it does not compare the whole market. For existing debt, start with the debt payoff calculator.
How to use this guide
The calculations use hypothetical terms to show the trade-offs; they do not describe a live offer. Check the official issuer disclosures linked from each card profile for reward eligibility, fees and redemption conditions.