Amex Blue Cash Everyday vs Preferred: Which Card Wins?
Tired of overpaying for everyday purchases? You’re not alone. Choosing the right rewards credit card can feel overwhelming, especially when you’re bombarded with options.
Today, we’re diving deep into a head-to-head comparison to help you make a smart choice. We’re pitting the American Express Blue Cash Everyday® Card against its more premium sibling, the American Express Blue Cash Preferred® Card.
Both cards offer compelling cash-back rewards, but their structures and benefits differ significantly. This guide will help you understand the nuances of each card, examining everything from spending categories and annual fees to introductory offers and overall value. Get ready to discover which card aligns best with your spending habits and financial goals!
Specs at a Glance:
| Feature | BCE | BCP |
|---|---|---|
| Welcome Bonus | Yes | Yes |
| Cash Back on Groceries | 3% | 6% |
| Cash Back on Gas | 2% | 3% |
| Cash Back on Streaming Services | No | 6% |
| Cash Back on US Supermarkets (on up to $6,000 per year in purchases, then 1%) | Yes | Yes |
| Annual Fee | $0 | $95 |
| Intro APR on Purchases | Yes | Yes |
| Intro APR on Balance Transfers | Yes | Yes |
| Foreign Transaction Fees | None | None |
| Rewards on Other Purchases | 1% | 1% |
| Card Design | Blue | Blue |
| Purchase Protection | Yes | Yes |
Feature-by-Feature Breakdown
Annual Fee
- Amex Blue Cash Everyday: $0 annual fee. This makes it a great option for those who want to avoid paying a yearly charge for their card. A downside is that it may have fewer perks than cards with annual fees.
- Preferred: $95 annual fee. Offers more rewards and benefits compared to the Everyday card. This fee can be offset by taking advantage of the card’s perks, especially if you spend a lot on groceries and gas.
- Winner: Everyday
Rewards on Groceries
- Amex Blue Cash Everyday: Earns 3% cash back on purchases at U.S. supermarkets (on up to $6,000 per year, then 1%). Good for everyday grocery shopping. However, the spending cap limits the total rewards earned.
- Preferred: Earns 6% cash back on purchases at U.S. supermarkets (on up to $6,000 per year, then 1%). Significantly higher rewards than the Everyday card, making it ideal for high grocery spenders. The spending cap still applies.
- Winner: Preferred
Rewards on Gas Stations
- Amex Blue Cash Everyday: Earns 2% cash back at U.S. gas stations and select U.S. department stores (on up to $6,000 per year, then 1%). A decent reward rate for gas.
- Preferred: Earns 3% cash back on purchases at U.S. gas stations and select U.S. department stores. Higher rewards than the Everyday card for gas.
- Winner: Preferred
Rewards on Other Purchases
- Amex Blue Cash Everyday: Earns 1% cash back on all other purchases. A standard rate for non-bonus spending.
- Preferred: Earns 1% cash back on all other purchases. Same as the Everyday card, not the best for non-bonus spending.
- Winner: Tie
Welcome Bonus
- Amex Blue Cash Everyday: Offers a welcome bonus, usually in the form of a statement credit, after meeting a spending requirement within the first few months. The bonus is typically less than the Preferred card.
- Preferred: Offers a more substantial welcome bonus, usually a larger statement credit or rewards points, after meeting a spending requirement. A significant incentive for new cardholders.
- Winner: Preferred
0% Intro APR on Purchases
- Amex Blue Cash Everyday: Often offers a 0% introductory APR on purchases for a certain period. Helps save on interest if you carry a balance.
- Preferred: Often offers a 0% introductory APR on purchases for a certain period. Helps save on interest if you carry a balance.
- Winner: Tie
0% Intro APR on Balance Transfers
- Amex Blue Cash Everyday: Typically offers a 0% introductory APR on balance transfers for a limited time. Helps save on interest when transferring high-interest debt from other cards.
- Preferred: Typically offers a 0% introductory APR on balance transfers for a limited time. Helps save on interest when transferring high-interest debt from other cards.
- Winner: Tie
Other Benefits
- Amex Blue Cash Everyday: Includes benefits like purchase protection, extended warranty, and access to Amex Offers. Offers some basic protections.
- Preferred: Offers the same benefits as the Everyday card, plus potentially more, such as the ability to earn more points through Amex Offers.
- Winner: Preferred
Winner by Category:
| Category | Winner |
|---|---|
| Cash Back on Groceries | Preferred |
| Cash Back on Streaming Services | Preferred |
| Annual Fee | Everyday |
| Overall Rewards Potential | Preferred |
| Simplicity | Everyday |
What They Have in Common:
- Cash Back Rewards: Both cards offer cash back rewards on purchases, allowing cardholders to earn rewards on everyday spending.
- American Express Benefits: Both cards come with access to Amex benefits, which include things like purchase protection and access to Amex offers.
- No Foreign Transaction Fees: Both cards do not charge foreign transaction fees, making them suitable for international travel.
- Introductory Apr Offers: Both cards often feature introductory APR offers on purchases and balance transfers.
- Online Account Management: Both cards provide online account management tools for easy access to statements, payment options, and reward tracking.
- Wide Acceptance: Both cards are accepted at millions of merchants worldwide, wherever American Express is accepted.
Amex Blue Cash Everyday vs Preferred Buying Guide
Earning Rewards
The Amex Blue Cash Everyday and Preferred cards differentiate significantly in their rewards structures. The Everyday card offers a solid 3% cash back at U.S. supermarkets (on up to $6,000 per year in purchases, then 1%) and 2% cash back at U.S. gas stations and select U.S. department stores (up to $6,000 per year, then 1%), with 1% on all other purchases. The Preferred card elevates the supermarket rewards to 6% (on up to $6,000 per year, then 1%), with the same 1% for other purchases. This difference in rewards can translate to significant savings, especially for grocery spenders.
Annual Fees
A critical consideration is the annual fee. The Amex Blue Cash Everyday boasts no annual fee, making it a low-risk option. The Amex Blue Cash Preferred, however, carries an annual fee. This fee must be offset by the increased rewards earned to make the Preferred card a financially sound choice. Evaluate your spending habits carefully, particularly your grocery spending, to determine if the higher rewards rate justifies the annual fee. The breakeven point will vary depending on spending.
Spending Habits
Your spending habits should guide your decision. If you spend heavily on groceries, the Preferred card’s 6% cash back is attractive. If your grocery spending is moderate or if you prioritize avoiding an annual fee, the Everyday card may be better. Consider your spending patterns at gas stations, department stores, and other categories to gauge the overall value. Analyzing your historical spending data will provide the most accurate assessment of which card aligns with your needs.
Creditworthiness
Both cards require a good to excellent credit score for approval. While the specific credit score needed varies based on several factors, it’s beneficial to review your credit report and credit score before applying. Ensure your credit history is solid and that you meet the application criteria. Having a good credit score will significantly increase your chances of being approved and potentially qualify you for a higher credit limit. Maintain a strong credit profile to optimize your approval odds.
Travel Benefits
Neither the Blue Cash Everyday nor the Preferred cards are designed for extensive travel benefits. They do not offer travel insurance, airport lounge access, or foreign transaction fees. If you travel frequently, you might want to consider cards specifically designed for travel rewards. These typically offer perks like travel credits, points/miles earning, and other travel-related benefits. These cards will often come with a higher annual fee.
Additional Perks
Beyond rewards and fees, consider additional perks. Both cards offer purchase protection and extended warranty. The Preferred card provides additional benefits, such as access to entertainment benefits. Examine the fine print to understand all benefits and limitations. Evaluate whether these extra perks add value to your financial lifestyle. These benefits add value beyond just the rewards earned.
Who Should Buy What?
Buy amex blue cash everyday If…
- You want a card with no annual fee.
- You spend a moderate amount on groceries and gas.
- You prefer simplicity and don’t want to track spending categories closely.
- You want to avoid an annual fee.
Buy preferred If…
- You spend a significant amount on groceries.
- You spend a significant amount on streaming services.
- You are willing to pay an annual fee for higher rewards.
- You want the potential to earn more cash back overall.
Frequently Asked Questions
What is the primary difference between the two cards?
The primary difference is the rewards rate on groceries. The Blue Cash Preferred offers 6% cash back at U.S. supermarkets (on up to $6,000 per year, then 1%), while the Blue Cash Everyday offers 3% (on up to $6,000 per year, then 1%). The Preferred has an annual fee, while the Everyday card has no annual fee. This is a critical factor when choosing.
Which card is better for everyday spending?
The best card depends on your spending. If you spend heavily on groceries and are comfortable with an annual fee, the Preferred card is better. If you have moderate grocery spending or prefer no annual fee, the Everyday card is better. Consider the other spending categories and overall spending.
What happens after the $6,000 spending limit on supermarkets?
Once you exceed $6,000 in spending at U.S. supermarkets annually, the rewards rate reverts to 1% cash back on both cards for the remainder of the year. It’s crucial to be aware of this limit and adjust your spending accordingly to maximize your rewards. Plan your spending to make the most of the higher rewards rate.
Are there any foreign transaction fees?
No, neither the Amex Blue Cash Everyday nor the Amex Blue Cash Preferred cards charge foreign transaction fees. This makes them suitable for international travel, as you won’t incur extra charges when making purchases abroad. Consider the exchange rate fluctuations, however, when using your card overseas.
How do I redeem my rewards?
Cash back earned on both cards can be redeemed in various ways, including statement credits, direct deposit to your bank account, or gift cards. The redemption process is straightforward and typically accessible through your online Amex account. The options provide flexibility in how you use your rewards.
What credit score is needed to qualify?
Both cards require a good to excellent credit score for approval. Generally, a score of 670 or higher is recommended. Factors such as your credit history, payment history, and existing credit accounts influence your approval. Always check your credit report before applying to ensure a good chance of being approved.
Can I upgrade from the Everyday to the Preferred card?
Yes, you can potentially upgrade from the Blue Cash Everyday to the Blue Cash Preferred card. Contact American Express to inquire about the upgrade process. This allows you to potentially transition to a higher rewards card without applying for a new one. There may be eligibility requirements and considerations for the upgrade.
Final Verdict
The Amex Blue Cash Preferred card is the better choice for those with substantial grocery spending, who can leverage the 6% rewards rate and are comfortable with the annual fee. The Amex Blue Cash Everyday card is the winner for those who prefer no annual fee and have moderate grocery spending.
Winner: Amex Blue Cash Preferred