Discover it® Cash Back review: Earn up to 5% cash back each quarter

If you are a new card member, Discover matches all the cash back you earn, dollar for dollar, at the end of your first year! With no annual fee, no foreign transaction fees, and amnesty for many of the situations that cause most banks to hike their rates and fees, this card could prove a lucrative addition to your wallet.
author Brooklyn Lowery

Discover it® Cash Back

Discover it® Cash Back
Our Rating:   
Excellent, Good

CardRatings Editor's Analysis: Pros & Cons

  • Earn 5% cash back on everyday purchases at different places each quarter like grocery stores, restaurants and gas stations, up to the quarterly maximum when you activate. Plus, earn unlimited 1% cash back on all other purchases automatically.
  • Enjoy a long intro offer of 15 months 0% APR on purchases and balance transfers, then RegAPR.
  • There is no annual fee or foreign transaction fees, and your first late-payment fee is waived.
  • If you know you spend a lot in a particular category, you might be better off with a card that features a constant higher cash-back percentage in that category.
Terms and Limitations Apply.

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CardName BONUS

When CardName says it will match all the cash back accrued during your first year, it means it. Thanks to Discover's cash back offer, new cardmembers could earn a staggering amount of cash back on purchases made within the rotating 5% cash-back categories in their first year (up to the quarterly maximum of $1,500 each time you activate). Think about it: $150 in cash back will automatically become $300.

The CardName match in bonus categories is in addition to the match Discover is offering for all the purchases you make in the first year in regular, non-bonus categories. With a bit of strategy and some regular credit card usage, you could reap some serious cash back, particularly during your first year.

In addition to the intro offer and with a fresh look and a focus on customer service, CardName has redefined itself as a serious contender in the crowded cash-back credit card field (which the original Discover card invented in the 1980s). With no annual fee, no foreign transaction fees, and amnesty for many of the situations that cause most banks to hike their rates and fees, CardName has the potential to set a new standard for American rewards credit cards.

Top Features

 Cash Back on Gas
Earn 5% cash back on everyday purchases at different places you shop each quarter like grocery stores, restaurants, gas stations, and more, up to the quarterly maximum when you activate. Plus, earn unlimited 1% cash back on all other purchases-automatically.
 Cash Back on Groceries
Earn 5% cash back on everyday purchases at different places you shop each quarter like grocery stores, restaurants, gas stations, and more, up to the quarterly maximum when you activate. Plus, earn unlimited 1% cash back on all other purchases-automatically.
 Cash Back on Other
Earn unlimited 1% cash back on all other purchases-automatically.

WHAT DISCOVER SAYS ABOUT THIS CARD

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CardName REWARDS

It's always nice to know that using your credit card is earning you rewards, and the CardName earns you rewards every time you swipe – at least 1% on all your purchases.

When you sign up and spend in one of the rotating categories each quarter, however, you boost your earning to 5% back on those purchases up to $1,500 spent.

When the time comes, CardName then offers easy redemption of your cash-back rewards. You can use your points as credit toward purchases or to request immediate credit card statement credit through Discover's website, among several other options.

Additionally, if you're the type who wants maximum rewards and is willing to think through the strategy a bit, CardName pairs well in your wallet with another no annual fee credit card like CardNamediscontinued. How does it pair well? Here's the deal:

  • Use your CardName card to earn 5% cash back on all your purchases in the bonus categories each quarter (up to the quarterly maximum of $1,500 each time you active).
  • Use your CardName card to earn 6.5% cash back on travel purchased through Chase Travel, our premier rewards program that lets you redeem rewards for cash back, travel, gift cards and more; 4.5% cash back on drugstore purchases and dining at restaurants, including takeout and eligible delivery service, and 3% on all other purchases (on up to $20,000 spent in the first year). After your first year or $20,000 spent, enjoy 5% cash back on Chase travel; 3% cash back on drugstore purchases and dining; and unlimited 1.5% cash back on all other purchases. – it's automatic. In other words, you'll earn more than you'd earn using CardName.
  • Remember that CardName matches all cash back for all new cardmembers in the first year; that means you'll want to employ a strategy like that mentioned in the bullets above AFTER your first year of card membership. That's because the match effectively means you can earn at least 2% back on your purchases (and up to 10% back when you're talking about the bonus categories) with your Discover card for that first year.

CardName CALENDAR

To maximize your CardName rewards you need to opt in to quarterly bonus categories. Once you've opted in, you'll receive an automatic 5% cashback bonus on up to $1,500 in purchases made for that category.

To opt into the bonus categories, you simply need to log into your Discover account, visit the cashback calendar page and click "activate" each quarter.

POTENTIAL DOWNSIDES OF THE CardName CARD

As is the case with any rotating categories cash-back card, you have to be willing to use a bit of strategy if you want to realize the full potential rewards of this card. If you're not someone who wants to keep up with using your card in the quarterly bonus categories, you'd likely earn more rewards with a flat-rate credit card like the CardNamediscontinued that offers a flat 1.5% back on all your purchases. Or, if you're wanting a little strategy, but not one that changes quarterly, you might consider a tiered cash-back rewards card like the CardName which offers 6% back on up to $6,000 in purchases at U.S. supermarkets (then 1%) and on select U.S. streaming subscriptions; 3% back at U.S. gas stations and on transit; and 1% on everything else. (American Express is a CardRatings advertiser.)

CardName CARDHOLDER SCORES

CardRatings conducts a survey annually to learn what actual cardholders think of their cards. Here are the results:

Current Scores Past Scores
Overall Score 80.3 84.9
Features Satisfaction 8 8.5
Customer Service 7.8 8.5
Website/App Usability 7.7 8.7
Likelihood of Continuing to Use 8.9 8.9
Recommend to a Friend/Colleague 8.1 8.2

*Scores above reflect the results of surveys with actual cardholders. Full methodology below.

HOW CardName COMPARES TO OTHER CREDIT CARDS

CardName vs. CardName

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CardName offers a similiar rewards structure to that of competitor CardName. Neither has an annual fee, so it could be a good strategy to carry both cards and cash in on the two sets of rotating bonus categories when you sign up each quarter. Bargain hunters could maximize their 5% rewards on both cards with just a little extra strategic planning.

In addition to the 5% rotating categories with CardName, the card also offers 5% back on travel purchased through Chase Ultimate Rewards®, 3% back at restaurants and drugstores and 1% back on your other eligible purchases, so there's a lot of additional opportunities here to rack up rewards.

CardName offers its rewards in the form of Chase Ultimate Rewards® points, which are transferable among different Chase products. If you already have a Chase Ultimate Rewards®-earning card in your wallet, like CardName or CardName, for instance, it could pay to stick within the Chase family.

Lastly, when it comes to welcome bonuses, CardName offers you $200 cash back after you spend just $500 in the first three months.

Information related to Chase Freedom FlexSM has been collected independently by CardRatings and was neither reviewed nor provided by the card issuer

CardName vs. CardName

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The CardName card is offering an introductory bonus where all cash back earned during the first year will be matched, dollar-for-dollar, by Discover. Combined with the quarterly bonus categories of 5% cash back on everyday purchases at different places each quarter like grocery stores, restaurants and gas stations, up to the quarterly maximum when you activate. Plus, earn unlimited 1% cash back on all other purchases automatically. It effectively amounts to up to 10% cash back in bonus categories for your first year. Compared to the Citi card that earns 1% cash back when you make purchases and 1% when you pay at least the minimum balance due on time, the CardName has a substantial edge in cash back earning potential, especially during your first year as a cardholder.

If you are interested in a card that has a stellar intro balance transfer offer, both the CardName and CardName deserve your consideration. The CardName gets the edge in this category in terms of an introductory 0% balance transfer APR for the first 18 months (then, RegAPR), but CardName offers an intro 0% APR on balance transfers AND purchases for 15 months (then, RegAPR).

CardName vs. CardName

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With no annual fee, no foreign transaction fees, and cash back earned on every purchase both the CardName and CardName cards are great options for rewards credit cards. Both cards earn cash back on rotating quarterly categories offering up to 5% back on purchases (up to the quarterly maximum each time you activate) and 1% earned on all other purchases. The similarities don’t stop there with both cards offering an introductory bonus where all cash back as a new cardmember earned during the first year will be matched, dollar-for-dollar, by Discover. That means $100 in cash back is actually $200 in cash back after your first year.

The CardName is geared toward students looking to build their credit. The CardName card is for individuals with more established credit and includes unique perks like a long intro offer of 15 months 0% APR on purchases and balance transfers, then RegAPR.

IS CardName A GOOD CREDIT CARD?

CardName is a solid choice for anyone who is willing to take a few minutes each quarter to sign up for the bonus categories and then spend strategically within those categories to maximize their rewards. With no annual fee, no foreign transaction fee and that awesome first-year cash back match offer, it's a fantastic card for even the occasional credit card user.

Lastly, to add some fun to the decision-making surrounding a new credit card, CardName gives cardholders the option to select their favorite card design from an array of eye-catching colors. Royal purple? Chocolate brown? Striking silver? In other words, this card can fit both your financial and personal style.

Survey Methodology: CardRatings commissioned Op4G in September 2023 to conduct surveys among 1,869 cardholders nationwide. CardRatings website analytics from Jan. 1, 2023-Aug. 31, 2023 were used to determine a selection of the most popular cards and additional cards were included to add survey breadth. Responses to each of nine questions were given on a scale of 1-10 and respondents' scores were then averaged under broad topics. To determine the overall score, responses from questions 1-8 were summed and the answer to "How likely are you to recommend this card to a friend, coworker or family member?" was double weighted. “Current Scores” reflect scores from the most recent survey (2023); "Past Scores" reflect scores from the 2022 survey.

To see the rates and fees for the CardName, please visit the following link: See Rates and Fees

Disclaimer: The information in this article is believed to be accurate as of the date it was written. Please keep in mind that credit card offers change frequently. Therefore, we cannot guarantee the accuracy of the information in this article. Reasonable efforts are made to maintain accurate information. See the online credit card application for full terms and conditions on offers and rewards. Please verify all terms and conditions of any credit card prior to applying.

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