Amex Blue Cash Preferred card review: Generous bonus categories and a solid welcome offer
Editor’s note: This is a recurring post, regularly updated with new information and offers.
Blue Cash Preferred Card from American Express overview
The Blue Cash Preferred® Card from American Express is a lucrative cash-back card for several spending categories. If cash back is up your alley — and select U.S. streaming, U.S. supermarkets, transit and U.S. gas station categories align with your spending habits — then you can’t go wrong with the Blue Cash Preferred. Card Rating*: ⭐⭐⭐⭐
*Card rating is based on the opinion of TPG’s editors and is not influenced by the card issuer.
There are pros and cons to picking a cash-back card over a travel rewards card. However, the Blue Cash Preferred could be great for infrequent travelers and those looking to spend their rewards in other ways.
To successfully apply for this card, you should have a credit score of at least 670 — and preferably above 700. It has an annual fee of $95 that’s waived for the first year (see rates and fees).
Let’s look at this card’s ins and outs to help you decide if it’s right for you.
Amex Blue Cash Preferred pros and cons
Pros
Cons
Valuable cash-back rates on streaming, supermarkets, transit and gas stations
Disney Bundle statement credits
Cash back is received in the form of Reward Dollars that can be redeemed as a statement credit
Annual fee after the first year
Limited transfer options
Amex Blue Cash Preferred welcome offer
Cash-back credit cards rarely offer solid bonuses as travel rewards cards do, but the Blue Cash Preferred has a decent welcome offer right now: $250 cash back (as a statement credit) after you spend $3,000 on purchases in the first six months of card membership.
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Additionally, new applicants can take advantage of a 0% introductory annual percentage rate (APR) on purchases and balance transfers for the first 12 months of card membership. After that, a variable APR of 19.24%-29.99% will apply.
Amex Blue Cash Preferred benefits
As a low-annual-fee card, the Blue Cash Preferred doesn’t offer luxury perks. It does, however, have some quality features worth mentioning.
You can receive $7 back each month as a statement credit (up to $84 back annually, subject to auto-renewal) after spending $9.99 or more on an eligible subscription to The Disney Bundle — which includes Disney+, Hulu, and ESPN+ — using your card. Another benefit provides a statement credit up to $10 monthly (for up to $120 annually, subject to auto-renewal) back when you use your Blue Cash Preferred Card to pay for Equinox+ at equinoxplus.com. Note that enrollment is required in advance for some benefits.
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You’ll also enjoy several travel and shopping protections with the Blue Cash Preferred, including things like secondary rental car insurance when paying for the rental with your card.*
Other cardmember benefits include “Plan It,” which allows you to select purchases of $100 or more to split up into monthly payments with a fixed fee, and access to valuable Amex Offers.
*Eligibility and benefit level varies by card. Not all vehicle types or rentals are covered, and geographic restrictions apply. Terms, conditions and limitations apply. Visit americanexpress.com/benefitsguide for details. Policies are underwritten by AMEX Assurance Company. Coverage is offered through American Express Travel Related Services Company, Inc.
Related: Your complete guide to shopping protections on American Express cards
Earning cash back on the Amex Blue Cash Preferred
The standout feature of the Blue Cash Preferred is its various cash-back bonus categories:
6% back on select U.S. streaming subscriptions
6% back at U.S. supermarkets (up to $6,000 per calendar year, then 1% thereafter)
3% back on transit (parking, tolls, ride-hailing apps, subway, etc.)
3% back at U.S. gas stations
1% back everywhere else
Cash back is received as Reward Dollars that can be redeemed for statement credits.
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While the Blue Cash Preferred is not the first card to offer bonus earnings on streaming subscriptions, its rate of 6% cash back is the industry leader. The Blue Cash Preferred is also a rewarding card at the supermarket and gas pump, earning 6% cash back and 3% cash back, respectively.
Aside from the U.S. supermarkets category, the other earning categories don’t have annual caps on how much you can earn. These are strong earning rates for anyone with regular spending in these categories.
Redeeming cash back on the Amex Blue Cash Preferred
While cash-back cards won’t unlock the doors to first-class airplane suites, there’s also no pressure to save up for a specific reward. Plus, the Blue Cash Preferred has no minimum redemption amount, which is if you’re like TPG writer Ryan Wilcox and prefer maximum flexibility.
You have three redemption options:
Receive a statement credit
Redeem for gift cards
Shop with your rewards
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While multiple options exist, receiving a statement credit is likely your best option. That’s because you can buy gift cards at most supermarkets. Rather than using your points for these purchases, you could pay for them with your Blue Cash Preferred and earn even more cash back.
Related: What credit cards should you use to purchase gift cards?
Which cards compete with the Amex Blue Cash Preferred?
The main alternatives to this card are other cash back cards that earn bonus points on groceries and gas, with no or a low annual fee.
If you want similar benefits with no annual fee: The Blue Cash Everyday® Card from American Express has no annual fee (see rates and fees) and earns 3% back at U.S. supermarkets, U.S. online retail purchases and U.S. gas stations — though there’s a limit of $6,000 in purchases per category. After that, you’ll earn 1% back. The card also provides the same Disney Bundle benefit as the Blue Cash Preferred card. (Enrollment required; subject to auto-renewal). For more information, read our full review of the Blue Cash Everyday.
If you want Amex points instead of cash back: The Amex EveryDay® Preferred Credit Card has an annual fee of $95 and earns Membership Rewards points instead of cash back. Plus, if you make 30 or more transactions in a billing cycle, you’ll get a 50% boost on your earnings. For more information, read our full review of the EveryDay Preferred.
If you want rewards with more uses: The Citi Double Cash® Card (see rates and fees) earns 2 Citi ThankYou points per dollar — 1 point when you buy and another 1 point when you pay your bill — on all purchases. In addition to redeeming your earnings for cash back (at 1 cent per point), you can transfer your points to several travel programs to unlock higher-value redemptions. For more information, read our full review of the Double Cash.
For additional options, please check out our full lists of cards that earn bonus points at supermarkets and gas stations.
Related: Complete guide to credit card annual fees
The information for the Amex EveryDay Preferred Card has been collected independently by The Points Guy. The card details on this page have not been reviewed or provided by the card issuer.
Is the Amex Blue Cash Preferred worth it?
If you aren’t a frequent traveler and want flexibility in how to spend your rewards, the Blue Cash Preferred might be a good fit for you. This is especially true if you want to earn cash back on groceries, streaming services, transit and gas purchases. An extra sweetener is the Disney statement credits.
Related: Is the Amex Blue Cash Preferred worth the annual fee?
Bottom line
With the enticing bonus categories and a solid welcome offer, many who prefer cash-back cards will have no problem justifying the annual fee after the first year on the Blue Cash Preferred.
This card is best for those who spend on groceries, streaming services, transit and gas. Disney fans also can find value in this card due to monthly credits for Disney bundle subscriptions.
Apply here: Blue Cash Preferred
For rates and fees of the Blue Cash Preferred card, click here.
For rates and fees of the Blue Cash Everyday card, click here.
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