5 Best Gas Rewards Credit Cards
Gas prices are again approaching (or exceeding) $4.00 a gallon. It's really cramping our summer road trip plans. But using the best gas rewards credit cards listed below, you can save a bundle this summer as gas prices climb ever higher.
How to Pick the Best Gas Card
First, you want to consider the savings you will realize from each card. Some products offer a percentage off your total purchase, while others grant a fixed amount of savings per gallon.
Next, think about where you buy gas and which stations in your area have the lowest price. Some cards are specific to a brand, while others allow you to choose most stations except for warehouse stores. (Note: Use GasBuddy.com to find the cheapest gas stations around. GasBuddy also has apps for iPhone and Android.)
Finally, consider the other benefits of each card. Several of the cards on this list offer excellent rates of cash back for purchases beyond gas, while others do not. This is important if you plan on using this card for more than just fuel purchases.
Our Top 5 Gas Rewards Cards
A credit card that offers higher rewards for gasoline purchases can still slash your price at the pump by 15 cents a gallon. Here are my top picks.
Blue Cash Preferred® Card from American Express
Here is a top notch, all around rewards card that happens to offer a competitive 3% reward rate on gasoline purchases (it is also the best credit card for groceries). While there is no limit to the amount of cash back you can earn, this higher rate does not apply to fuel purchased at superstores and warehouse clubs like Costco and Sam’s Club. Other rewards include 6% cash back at supermarkets, 3% cash back at department stores, and 1% cash back on all other purchases.
Here are the latest offer details:
- Get 100 Reward Dollars, redeemable for a $100 statement credit, after you make $1,000 in purchases with your new Card in the first three months.
- Plus, get one year of Amazon Prime after you sign up for a new membership with your Card and meet the spending requirement in the same time period.
- As an Amazon Prime member, you get unlimited Free Two-Day Shipping on millions of items.
- Earn Cash Back: 6% US supermarkets up to $6,000 per year in purchases, 3% US gas stations & select US dept stores, 1% other purchases. Terms and limitations apply.
- Cash back is received in the form of Reward Dollars that can be redeemed as a statement credit.
- 0% intro APR on purchases and balance transfers for 15 months, then a variable rate, currently 12.99% to 21.99%, based on your creditworthiness and other factors.
- Terms and Restrictions Apply.
Visa Platinum Cashback Rewards Card From PenFed
PenFed is the Pentagon Federal Credit Union. While they are not well known, and they are not even a bank, they do offer some of the most consumer friendly products on the market. Their Platinum Cash Rewards card offers 5% cash back on all gasoline purchases. Unfortunately, this card offers a paltry .25% back on other purchases. On the other hand, PenFed has a great reputation for low fees. This card has no annual fee, cash advance fee, foreign transaction fee, or over the limit fees. To apply for this card, you must be a member of the credit union, which is open to current and former members of the military, many government contractors, their relatives, and household members. Even if you do not qualify on this basis, you can do so by making a one-time, $15 donation to a military charity.
TrueEarnings® Card from Costco and American Express
For those familiar with this brand, the word Costco is synonymous with savings. The consumer version of the Costco TrueEarnings card offers 3% cash back on gasoline. Costco limits the higher returns on gasoline to the first $4,000 each year for the consumer card. Other benefits included 2% cash back on travel and at restaurants, along with 1% cash back everywhere else. Strangely, the 1% rate also includes purchases from Costco, an odd feature in a world where extra rewards are typically awarded for purchases from the co-branded merchant. Another odd fact about thing about this card is that the rewards are issued in the form of a voucher each February. You can use your voucher for purchases at Costco stores, or redeem it for cash at their customer service counter. If your account is closed before February, your forfeit all of your rewards. There is no fee for this card with your paid Costco membership.
Here are the latest offer details:
- 3% Cash back at US gas stations and on gasoline at Costco up to $4,000 per year in purchases, then 1%
- 2% cash back at U.S. restaurants; 2% cash back on eligible travel purchases, including at Costco; 1% cash back on other purchases, including at Costco
- Terms and limitations apply; You will receive your cash back annually in the form of a reward coupon
- The Two-In-One Card: it’s an American Express® Card and Costco membership card, with no annual fee for Costco members
- Terms and restrictions apply.
Discover it® Card
The new Discover it card (review here) offers 5% cash back on select categories each quarter. For January through March 2014, they're offering 5% rewards on restaurant and movie purchases, and 1% on all other purchases. Plus, get a free FICO® Credit Score on your monthly statement to help you stay on top of your credit.
And the current offer includes 0% APR on purchases and balance transfers for 14 months. See the application page for more information on the rates, rewards, and other info.
Barclaycard® Rewards MasterCard® - Excellent Credit
This card from Barclays isn't as popular in the US yet, but it's gaining cardholders. The Barclaycard Rewards Mastercard (review here) offers double points for every dollar spent on gas. But you also get the double bonus on groceries and utilities, so it can be a great everyday card as well. You can use your points like cash.
The Barclaycard charges no annual fee, has no blackout dates, and no limit on cash back.
The Downsides of Gas Cards
Now that you know about all the great deals out there, pause for a second and consider if one of them is really right for you. As with all reward cards, you are not saving any money unless you are paying each statement in full and on time. To do otherwise ensures that you will owe more in interest that you ever earn in cash back. Also remember that you are not saving much money if you have to pay a higher initial price or drive further to take advantage of credit card rewards. Finally, consider how much money your household can save with one of these cards over the course of the year. That amount has to easily exceed the cost of any annual fees, or the point is moot.
Disclaimer: This content is not provided or commissioned by the credit card issuer. Opinions expressed here are author’s alone, not those of the credit card issuer, and have not been reviewed, approved or otherwise endorsed by the credit card issuer. This site may be compensated through the credit card issuer Affiliate Program.