Is the Amex Blue Cash Everyday worth it?

American Express has a great lineup of rewards credit cards for travel, business, rewards and cash back. One popular cash back option, in particular, includes the Blue Cash Everyday® Card from American Express, which is a no-annual-fee version of the Blue Cash Preferred® Card from American Express.

Both of these cash back credit cards have their own pros and cons, but is the no-annual-fee option, the Amex Blue Cash Everyday, worth getting when it has a sibling card with higher rewards rates?

When is the Amex Blue Cash Everyday worth it?

You’d likely find the Blue Cash Everyday worthwhile in the following situations:

If you’re looking for a welcome offer

The Amex Blue Cash Everyday offers new cardholders a $200 statement credit after spending $2,000 in purchases within the first six months of account opening. That means you’ll wind up charging about $334 to the card each month if you want to earn the bonus, which shouldn’t be too hard to do.

However, while the welcome bonus is pretty attainable, there are similar cash back cards that have lower spending thresholds. The Capital One Quicksilver Cash Rewards Credit Card, for example, offers the same bonus of $200 in cash back, but after spending only $500 within the first three months.

If you’re looking for rewards in everyday categories

The American Express Blue Cash Everyday Card offers a solid roundup of benefits for cardholders. In particular, it’s ideal for spenders who frequently spend at supermarkets, at gas stations and on online shopping — all pretty average everyday spending categories.

With the Amex Blue Cash Everyday, you can earn:

• 3 percent cash back at U.S. supermarkets (on up to $6,000 in purchases per calendar year, then 1 percent back)
• 3 percent cash back at U.S. gas stations (on up to $6,000 in purchases per calendar year, then 1 percent back)
• 3 percent cash back on U.S. online retail purchases (on up to $6,000 in purchases per calendar year, then 1 percent back)
• 1 percent cash back on all other purchases

Cash back rewards are received as Reward Dollars, which can be redeemed for a statement credit.

In comparison, the Capital One Quicksilver we mentioned earlier offers 1.5 percent cash back on all purchases and 5 percent cash back on hotels and rental cars booked through Capital One Travel.

If you don’t want to pay an annual fee

The Amex Blue Cash Everyday comes with no annual fee, making it a great cash back card to consider if you don’t want to worry about recouping the cost of card membership through rewards earnings each year, as you would with the Amex Blue Cash Preferred.

If you want an intro APR offer

Introductory annual percentage rate (APR) offers are great for those looking to transfer their debt or pay off a large purchase over time. These offers allow you to pay little to no interest for the duration of the promotion, after which the card’s standard APR kicks in.

With the Blue Cash Everyday, cardmembers receive a 0 percent introductory APR for 15 months from the date of account opening on purchases and balance transfers, followed by a variable APR of 19.24 percent to 29.99 percent. A 3 percent balance transfer fee (minimum $5) applies to the amount of each balance transfer.

If you’re interested in flexible payment options

The Amex Blue Cash Everyday Card is a part of Amex’s Pay It Plan It program. The Pay It option means you can quickly make payments throughout the month toward qualifying purchases under $100, while the Plan It option allows cardmembers to split up purchases over $100 into monthly installment plans for a fixed fee.

If you’re interested in additional card perks

Cardholders will also gain access to a variety of card perks such as:

• American Express Experiences: Amex cardholders may be able to receive exclusive access to presale tickets for local events and access to cardmember-only events such as Broadway shows, concerts, sports and more.
• The Global Assist Hotline: With the Global Assist Hotline, travelers can receive help with lost passports, translation services, missing luggage and emergency legal and medical referrals.
• Travel benefits: Other travel benefits with the Blue Cash Everyday Card include car rental loss and damage insurance.
• Purchase protections: Charges made with an American Express credit card are covered by American Express purchase protection. This protection applies to eligible purchases (up to 90 days from the date of the covered purchase) and covers up to $1,000 per eligible incident and up to $50,000 per eligible card per calendar year.

When is the Amex Blue Cash Everyday not worth it?

For some people, the Blue Cash Everyday won’t be the best card for their needs. Here are a few times where you should consider skipping the card:

If you spend more than $6,000 per year on groceries

A spender who anticipates quickly reaching the $6,000-per-year threshold (or anticipates greatly exceeding that threshold) for the U.S. supermarket category may do better with a different card option.

For example, the American Express® Gold Card earns 4X points at U.S. supermarkets on up to $25,000 in purchases per year (then 1X points) — a much higher grocery spending threshold compared to the Blue Cash Everyday. This rewards card option also makes sense for spenders looking to redeem rewards toward travel since this card offers flexible Amex Membership Rewards points.

The Amex Blue Cash Preferred could also be worth considering. While the spending threshold is the same as the Blue Cash Everyday, you’d earn double the rewards on groceries — that’s 6 percent cash back on U.S. supermarket purchases (on up to $6,000 per year, then 1 percent).

If you frequently travel outside of the U.S.

If you travel abroad often, keep in mind this card charges a 2.7 percent foreign transaction fee on purchases made outside of the U.S. That means this card isn’t the best option for traveling abroad.

If you’re looking for wide card acceptance

Additionally, potential cardholders may be held back by the number of merchants around the world that don’t accept American Express. If that’s a concern for you, you may want to opt for a Visa or Mastercard.

If you don’t have a good-to-excellent credit score

The recommended credit score for the Amex Blue Cash Everyday is a good to excellent FICO score (670 to 850). However, you may have a better chance of qualifying for the card if you have at least a very good FICO score (740 to 799).

Should you get the Amex Blue Cash Everyday?

The Amex Blue Cash Everyday can be the perfect card for the right type of spender — or, more specifically, those who frequently spend at U.S. supermarkets, at gas stations and on online shopping.

The ideal Amex Blue Cash Everyday cardholder is someone who will take full advantage of the benefits that it offers. This card offers more than just cash back, too — it also has a welcome offer, some basic travel benefits, no annual fee, an intro APR offer on purchases, fraud protection and access to American Express’s popular Pay It Plan It program.

If groceries and gas are significant parts of your spending, you’re probably more likely to take full advantage of this card’s welcome offer and use the additional benefits as well. If you’re more of a traveler, however, you might want a card with more travel-specific rewards and no foreign transaction fees. Those willing to pay an annual fee for higher cash back rates in similar categories may want to consider applying for the Amex Blue Cash Preferred instead.

The bottom line

The Blue Cash Everyday Card from American Express is perfect for those looking to earn on specific spending — namely, purchases related to groceries, gas and online shopping. The $0 annual fee, intro APR offer and benefits that come with being an American Express cardmember are all great aspects of this card, too.

But if you spent more than $6,000 in the Blue Cash Everyday’s spending categories, then you might do better opting for a cash back card that doesn’t limit your rewards up to a certain amount.