Best Rewards Credit Cards — January 2021

The right rewards credit card can help you save on groceries, leisure activities, streaming services, travel, and so much more. The best options offer flexible rewards and redemption programs to help you save even more. If your credit is in great shape and you pay your balance every month, you can enjoy all the benefits your card has to offer.

You have tons of options to choose from, but when it comes down to it, all you need to do to start collecting rewards is picking the best card for you, reading the terms and conditions, and using your card for things you buy every day. After that, you can exchange your points for cashback, a statement credit, miles, and more.

Most rewards cards provide travel perks, which may not be the most suitable reward during the pandemic. So if you currently have a travel card, you may want to save those miles for another time. Until then, here are US News My Money’s top choices for the best rewards credit cards for January 2021. 

Best Travel And Rewards Card

Capital One Venture Rewards

Annual Fee: $95

Regular APR: 17.24% – 24.49% (variable)

Credit requirements: 670 – 850 (Good to Excellent)

Rewards:

  • New cardholders can earn 60,000 bonus miles when you spend $3,000 in the first three months with your card (a $600 value for travel)
  • Get double miles for every dollar on any purchase, with no limits
  • Redeem your miles to save on your next trip, your monthly streaming subscription, and qualifying delivery and takeout services
  • No limits or expiration on your miles
  • Earn as much as $100 toward Global Entry or TSA Precheck
  • Enjoy flexible booking with zero blackout dates and no restrictions on airlines or hotels
  • Use your miles with more than ten loyalty programs
  • Zero foreign transaction fees

 

Best Cash Back Card For Families

Chase Freedom Flex

Annual Fee: $0

Regular APR: 14.99 – 23.74% (variable)

Credit requirements: 670 – 850 (Good to Excellent)

Rewards:

  • Receive a $200 cash bonus when you use your card on $500 in net purchases within three months of opening a new account
  • Enjoy no interest payments on purchases for 15 months
  • Earn 5% cashback on the first $12,000 you spend at the supermarket during your first year (excluding Target and Walmart)
  • Earn 5% back on $1,500 in total purchases in rotating spending categories every quarter (activation required)
  • Get 5% cashback when you book your next trip through Chase, plus 3% back on dining and drugstores, and 1% on everything else
  • No restrictions or expirations on cashback rewards

 

Best Overall Cash Back Card

Discover it Cash Back

Annual Fee: $0

Regular APR: 11.99% – 22.99%(variable)

Credit requirements: 670 – 850 (Good to Excellent)

Rewards:

  • New cardholders can automatically double their cashback with Discover’s Unlimited Cashback Match after their first year, with no limits on your rewards.
  • When you checkout with PayPal, you can earn 5% cashback on the things you buy every day from your favorite retailers, including Amazon, the grocery store, restaurants, gas stations (activation required, up to the quarterly limit).
  • Once you meet the quarterly maximum, you can continue to earn 1% back on everything else, with no limits or activation.
  • No expiration or limitations on the number of rewards you can earn
  • Get peace of mind with Discover’s free consumer protections. Discover will notify you if your personal information is discovered on the dark web (activation required).

Best Rewards For Streaming Services

Blue Cash Preferred Card From American Express

Annual Fee: $95

Regular APR: 13.99% – 23.99% (variable)

Credit requirements: 670 – 850 (Good to Excellent)

Rewards:

  • You can qualify for statement credits worth $250 when you use your card to buy $1,000 in purchases within three months.
  • Earn 6% cashback on the first $6,000 you spend at the grocery store each year, then 1% after that.
  • Get 6% cashback on eligible streaming platforms
  • Earn 3% back at on gas station and transit purchases such as taxis, parking, tolls, buses, and more
  • Receive unlimited 1% cashback on everything else
  • Enjoy no interest payments for your first year
  • Enjoy flexible payment options with American Express’s Plan It program, which lets you divide purchases over $100 in monthly installments
  • Redeem your cashback forwards as Reward Dollars, which you can use as a statement credit.

 

Source
  • Harzog, Beverly. “Best Rewards Credit Cards.” U.S. News & World Report, U.S. News & World Report, 7 Dec. 2020, creditcards.usnews.com/rewards.