Current 2% Cash Back Credit Card Deals

If your spending doesn’t fall into the usual bonus categories (gas, dining, groceries), you want a card that offers a high return on all purchases. There are plenty that offer 1.5 percent cash back. But what if you want more? Some cards are now even breaking the 2 percent ceiling. But you may find that they have a few more strings attached.

Which cards give you 2 percent cash back? (or a 2 percent rebate?)

Over the past decade or so, there have been a very small handful. Unfortunately some of them are no longer available. For example, the popular Schwab 2 percent cash back card was discontinued for new applicants in 2010 (and then in 2011 existing cardholders were switched over). HSBC used to have the “weekend card” that gave 2 percent but only on Saturday and Sunday… that too was discontinued. Fortunately there are still a few 2 percent cards that are going strong if you know where to look.

Capital OneĀ® VentureĀ® Rewards Credit Card – As with the Arrival, this isn’t a true “cash-back” card because if you redeem for cash, the value will be lower (so you will not be getting 2 percent on your spending). However, if you spend your rewards on travel, it’s like earning 2 percent on all your spending.

The card gives 2 miles per dollar spent. Those miles can be redeemed to offset travel purchases you make with the credit card, at a rate of 1 mile for a 1-cent credit toward the travel purchases.

This card has no foreign transaction fees. To learn more and to see the current promotional offer check out my Capital One Venture Rewards credit card review.

fidelity cardFidelity Visa Signature – Unfortunately you can’t apply for this unless you have a Fidelity account. It’s a 2 percent cash-back credit card and the rewards are deposited into your Fidelity account (cash management account, brokerage account, IRA, etc.). While the 2 percent Schwab card is no longer in existence, this one from Fidelity is now the best no-annual-fee brokerage-affiliated card on the market, as you get 2 percent on all eligible purchases for no annual fee.

Barclaycard Arrival+ ($89 annual fee) – With this card, you earn two “miles” per dollar that you can redeem at a value of 1 cent each toward statement credits against travel purchases. If you redeem That amounts to 2 percent back. You also get a 5 percent redemption bonus every time you cash in your rewards, meaning that you’re *technically* getting a 2.1 percent return on your spending. To get this full value, however, you MUST redeem against a travel expense. If you redeem against a non-travel expense, your redemption value gets cut in half.

PayPal Cashback MasterCard – This card (which launches June 2017) earns 2 percent cash back, which you can redeem into your PayPal account. Once it’s in your PayPal account balance, you can redeem it into your banking account or for PayPal purchases. See our review of this product.

Alliant Visa Signature card ($59 annual fee) – This card breaks the 2 percent cash-back barrier by offering 3 percent back on all purchases the first year and 2.5 percent back after Year 1. Read more about it here.

USAA Limitless Cashback Rewards Visa Signature – This no-annual-fee card offers 2.5 percent cash back on all purchases, with one catch: You must make a direct deposit of $1,000 or more into a USAA checking account once per month. Otherwise, you earn 1.5 percent back. Check out our review.

Honorable Mention: Citi Double Cash We’re calling this one an honorable mention because, technically, you don’t earn 2 percent back right away. Instead, you get 1 percent back when you make the purchase and then another 1 percent when you pay it off.

This review was written or last updated June 2017.

 
Comments
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FIA is credit has a new system and it is run by BOA. it is miserable. I will be moving my account as soon as I can.
5 phone calls to the worthless call centers and get the run around and no resolution of problem.

The Barclay Arrival should have the same disclaimer as the Capitol One Venture. The points are only worth 2% when applied to travel and the 10% points refund is only good for travel related expenses

Fidelity 2% back is fantastic. I received several thousand dollars in rewards last year.

The Fidelity card is fantastic. I use it for business and received several thousand dollars in cash rewards last year. 2% is great! No complaints from me. Sparks 2% is also great.

Concerning drawbacks to the Fidelity AMEX — NO!! — the major drawback is that it is processed by FIA Card Services. I have had this card (and another processed by FIA Card Services) for about ten years and charge approximately $50,000 per year. But I absolutely cannot justify staying with this card when there are other similar cash back products without the hassle of having to deal with FIA.

FIA’s fraud algorithm decilines one or two transactions a year for me – standing in line at the grocery store, filling up for gas in the middle of a trip – it happens year after year. Call the number on the back of the card, wait ten minutes to get a rep on the line, wait for the rep to transfer you to the fraud department, and then listen to them tell you that your last two or three transactions met some sort of suspicious criteria that, in my case, has never made any sense – like the last one was I filled up for gas where I always fill up for gas and then went to the grocery store where I always buy groceries. FIA will never call you when this happens – you have to call them. (Compare this to charge and credit cards from American Express for example, AMEX immediately calls you when this sort of thing happens.)

FIA cancels my one or another of my credit cards about once every two years due to “Merchant Compromise.” They don’t call you – you just all of a sudden find that your card doesn’t work anymore. Another card arrives in the mail and you have about one to two weeks to change all of your linked accounts (I have about 20 or 30 accounts linked to my primary credit card) before the original one expires. Under no circumstanse will FIA tell you what the “compromise” was. (Compare this to other cards that I have had – the processor tells me exactly what the problem transaction(s) was.)

Finally, FIA provides no Quicken direct connect or web connect capability. If you use Quicken as I do, you have to manually download all of your transactions at the end of each billing period into Quicken. With the direct or web connect capability, you can charge something, go home, open Quicken, and immediately see the transaction. This is a must-have capability for me, particularly considering the volume of my monthly credit card transactions.

Bottom line: I like the 2% cash back with my Fidelity AMEX but there are other cards out there with this benefits – NASA Federal Credit Union Platinum Cash Rewards VISA is an example. I would recommend to anyone that they stay away from cards processed by FIA card services except for complementary cards that you do not routinely depend on.

FIA has updated their online services. Web connect will now work with Quicken 2012 or later. There is no direct connect support. We just recently had a number cancelled for merchant compromise, but they did leave a voicemail. A callback to FIA confirmed that it was legitimate, but they would not give the vendor’s name. We have also had a fraud alert and lock two or three times. Resolution takes about 5-10 minutes. If you carry a second card, you may lose 1% cash back for that purchase, but you can make your purchase and leave before resolving the fraud alert.

Not really 2% for Barclaycard Arrival.
Cash back statement credit redemptions start at 2,500 miles for $12.50. Gift card redemptions start at 5,000 miles for $25.

You can redeem your miles for travel and cash back statement credits, gift cards and merchandise. Travel statement credit redemptions start at 2,500 miles for $25, for any travel purchase within the last 90 days. A Travel purchase is defined as: Airlines, Travel Agencies & Tour Operators, Hotels, Motels & Resorts, Cruise Lines, Passenger Railways and Car Rental Agencies.

Its a “major drawback” to deposit the 2% back on the Fidelity card into a retirement account? Come on man, most people deposit very little into their retirement accounts. To deposit $1000 into an account from the Fidelity card, one would have to charge (spend) $50,000 on that card per year. 90% of us will never charge $50k on a credit card in a year. Plus very few people ever max out their retirement accounts as well so the 2% could reduce their tax burden. I think the 2% into my retirement account is a bonus. You could also deposit that 2% into a brokerage account and have the cash.

Regarding Fidelity, no need to put rewards into retirement or investments. Open a Fidelity Cash Management Account – just like a checking account. Pull $$ out whenever you like at no penalty.

It looks like Barclay’s Priceline card is now only 1% for all purchases, 5% on name your own price

I looks like the Priceline.com Barclaycard is 2%.

victor himbaugh

The Capital One Sparks business card pays 2% cash back with no cap.

Currently I’m using one. Once the accumulated cash back reach $50, it will be credited to account. I’m constantly receiving $50 every 2 months. I will definitely not go back to bonus or other reward cards again.

Which card is that, Cenor?

I would like to know the name of this card too and: is there an annual fee or any other disadvantages like expiration time frames?

The American Express Blue Card really is a monster earner. The Chase Freedom with 5% revolving categories is also a great card to have.

Your best bet is to have a 2% card for general spending, and a card like the Blue Cash or Chase Freedom for spending in the current bonus categories.

Keep in mind that 5% is usually on the first 1500 only.

how about the new capital one small business card?

It has an annual fee.