The main goal of the Discover It cash back card is to pay you back as much as possible. In fact, you can get 1% to 5% cash back on your purchases. However, Discover does it a little differently. Most people will agree that 5% is a high enough cash back percentage for regular purchases, but to get 5%, customers will have to shop in bonus categories and you will also have a quarterly maximum. . So instead of a bonus after the end of the year, you can earn up to $ 75 every 3 months from the maximum cash back of $ 1,500 quarterly. That’s a nice twist for an average cash back card.
On top of that, if you are a new cardholder, Discover will double your cash back at the end of your first year. However, this only happens for the first year, so don’t expect it afterward. Still, it’s a nice perk, especially if you take advantage of it as soon as you get your credit card. Discover It also falls into the category of cash back cards that don’t have an annual fee. It is surely one of the best things about having this card; You don’t have to worry about paying any fees, even if you don’t use the card as often as expected.
Other details on this card include 1% cash back on all purchases automatically. Your rewards will never expire and you can redeem any cash back amount you need anytime you want. This means you can roll over your cash back rewards to accumulate money for larger purchases. This is certainly a benefit that many rebate cards cannot boast of. If you’re an avid Amazon shopper, you can even use your rewards at checkout.
To better understand the 5% bonus cash back, you just need to follow a quarterly schedule. The months of the year are divided into four groups of 3 months, and each quarter you will earn the rewards depending on how much you buy that quarter for that specific category. From January to March, you can get a 5% bonus cash back using your credit card at gas clubs and wholesalers. From April to June, you can get back 5% by swiping your finger at each and every grocery store. You can earn 5% cash back from July to September every time you use your Discover It card at restaurants. And finally, when you use your card at Amazon.com and wholesale clubs from October to December, you’ll get the 5% bonus cash back reward on your credit card. Of course, the $ 1,500 limit applies to each quarter.
As for the maximum possible return you can get with the Discover It card, it is already a better cash back card compared to others in its category. Since you can have a maximum annual reward limit of up to $ 6k each year ($ 1.5k multiplied by the 4 quarters of each year), you can have annual savings of up to $ 300 on your cash back bonus alone. The 1% cash back may not be much in comparison, but at least you still get something in return, even if you’re not spending in the quarterly category for the 5% bonus.
All in all, the Discover It cash back card is worth it if you are going to be proactive in your spending. Not many people may want to keep track of quarterly categories and goals, but it’s really not a lot of work if you think about it, especially if you’re in the business of saving money. When placed alongside other cards with comparable seasonal bonus categories, the Discover It card is as attractive as it sounds. The Discover It card may earn you a little less in rewards, but you really can’t go wrong with a $ 0 annual fee compared to the $ 95 Blue Cash Preferred from American Express will take from you annually. There are other credit cards with $ 0 annual fees, and if you’re concerned about having the Discover logo instead of the more widely accepted VISA or Mastercard, then you should probably go for the Capital One Quicksilver or Chase Freedom credit cards. Otherwise, Discover It has the right things to make it worth having in your wallet.