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The Discover it® Cash Back is a standout card for consumers who want a high cashback rate in rotating quarterly categories and solid intro APR offers on purchases and balance transfers, too.
You’ll earn 5% cash back on everyday purchases at different places each quarter like Amazon.com, grocery stores, restaurants, gas stations and when you pay using PayPal, up to the quarterly maximum when you activate. Plus, earn unlimited 1% cash back on all other purchases - automatically.
However, because the rotating categories differ from year to year, and because cardholders must activate a new category each quarter, some consumers may prefer a card with categories that don’t change and don’t require activation. We examine where the Discover it® Cash Back stands out, where it falls short, and provide an alternative Discover card worth considering.
Intro Purchase APR
0% Intro APR for 15 months
Regular Purchase APR
12.24% - 23.24% Variable APR
Intro BT APR
0% Intro APR for 15 months
Regular BT APR
12.24% - 23.24% Variable APR
Annual Fee
$0
Cash Advance Fee
Either $10 or 5% of the amount of each cash advance, whichever is greater.
Foreign Transaction Fee
None
Balance Transfer Fee
3% intro balance transfer fee, up to 5% fee on future balance transfers (see terms)*
High cashback rate
Earn 5% cash back on everyday purchases at different places each quarter like Amazon.com, grocery stores, restaurants, gas stations and when you pay using PayPal, up to the quarterly maximum when you activate. Plus, earn unlimited 1% cash back on all other purchases - automatically. Your cash back can be redeemed in any increment, at any time — even if you close your account.
Cashback match the first year
The Discover it® Cash Back offers a unique sign-up bonus for new cardmembers: Unlimited Cashback Match – only from Discover. Discover will automatically match all the cash back you’ve earned at the end of your first year! There’s no minimum spending or maximum rewards. You could turn $150 cash back into $300.
Intro APR offers
The Discover it® Cash Back offers an intro rate on purchases of 0% Intro APR for 15 months, after which a 12.24% - 23.24% Variable APR applies. There’s also an intro rate on balance transfers of 0% Intro APR for 15 months, after which a 12.24% - 23.24% Variable APR applies — making this card a solid choice if you need to pay down high-interest debt from another card. Note that there’s a 3% intro balance transfer fee, up to 5% fee on future balance transfers (see terms)*.
$0 annual fee
Not only does the Discover it® Cash Back earn a generous cashback rate, but you don’t have to pay anything to carry the card.
Foreign transaction fee: None
You don’t have to worry about being charged an extra fee on each transaction if you use this card outside the United States. However, be aware that in some countries, Discover is less widely accepted than Visa and Mastercard credit cards.
Categories change from year to year
Though the Discover it® Cash Back offers a generous cashback rate, its slate of cashback categories changes from year to year. There are categories that tend to reappear, such as gas stations and restaurants, but some consumers may prefer a credit card with set rewards categories — or one that earns flat-rate cash back on every purchase regardless of category.
Rotating categories require activation
If you don’t activate the new cashback category every quarter, you’ll earn just 1% cash back on all purchases.
There's a cap on the higher cashback rate
After you’ve spent $1,500 in the bonus cashback category for the quarter, your earning rate will drop to 1% on all purchases until the next quarter. That means if you hit the spending cap, you can earn $75 in cash back each quarter at the higher rate, then your earning rate will drop.
There are cards with longer intro APR offers
Though this card’s intro APR offers for purchases and balances transfers are solid, it’s possible to find intro periods that are much longer. For example, the Wells Fargo Platinum card offers an intro rate of 0% intro APR for 18 months from account opening on purchases, after which a 16.49%-24.49% (variable) APR applies. And for balance transfers, it offers an intro rate of 0% intro APR for 18 months on qualifying balance transfers, after which a 16.49%-24.49% (variable) APR applies.
A balance transfer with the Discover it® Cash Back cannot exceed your available credit limit. That includes the amount you transfer, plus the balance transfer fee. This card has a 3% intro balance transfer fee, up to 5% fee on future balance transfers (see terms)*.
For example, if you have a $8,000 credit limit, you can’t transfer a balance that is $10,000. You also won’t be able to transfer a balance of $8,000, because the balance transfer fee will put you over the limit.
To complete your balance transfer online, from your account dashboard select the “Credit Options” tab, and select “See Offer” under “Balance Transfers”’ to view your intro offer. Once you select your offer, fill in your transfer information and verify and submit your information. Transfers typically take 14 days to process, so continue to make payments to your other creditors to avoid late fees until the transfer is complete.
Like the Discover it® Cash Back, the Discover it® chrome offers a unique sign-up bonus to new cardmembers: Unlimited Cashback Match – only from Discover. Discover will automatically match all the cash back you’ve earned at the end of your first year! There’s no minimum spending or maximum rewards. Just a dollar-for-dollar match.
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| Discover it® Cash Back | Discover it® chrome | Chase Freedom Flex℠ | Capital One Quicksilver Cash Rewards Credit Card |
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Apply Now on Discover's secure site
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Apply Now on Discover's secure site
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Apply Now on Chase's secure site
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Apply Now on Capital One's secure site
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| Annual Fee | |||
| $0 | $0 | $0 | $0 |
| Welcome Offer | |||
| Unlimited Cashback Match – only from Discover. Discover will automatically match all the cash back you’ve earned at the end of your first year! There’s no minimum spending or maximum rewards. You could turn $150 cash back into $300. | Unlimited Cashback Match – only from Discover. Discover will automatically match all the cash back you’ve earned at the end of your first year! There’s no minimum spending or maximum rewards. Just a dollar-for-dollar match. | Earn a $200 Bonus after you spend $500 on purchases in your first 3 months from account opening! | One-time $200 cash bonus after you spend $500 on purchases within 3 months from account opening |
| Rewards Rate | |||
| 5% cash back on everyday purchases at different places each quarter like Amazon.com, grocery stores, restaurants, gas stations and when you pay using PayPal, up to the quarterly maximum when you activate. Plus, earn unlimited 1% cash back on all other purchases - automatically | 2% cash back at Gas Stations and Restaurants on up to $1,000 in combined purchases each quarter. 1% unlimited cash back on all other purchases - automatically | 5% cash back on up to $1,500 in combined purchases in bonus categories each quarter you activate. Enjoy new 5% categories each quarter! Plus, earn 5% cash back on travel purchased through Chase Ultimate Rewards®, 3% on dining and drugstores, and 1% on all other purchases. | 1.5% Cash Back on every purchase, every day; 5% Cash Back on hotels and rental cars booked through Capital One Travel (terms apply) |
| Intro Purchase APR | |||
| 0% Intro APR for 15 months | 0% Intro APR for 15 months | 0% Intro APR on Purchases for 15 months | 0% intro on purchases for 15 months |
| Regular APR | |||
| 12.24% - 23.24% Variable APR | 12.24% - 23.24% Variable APR | 15.24% - 23.99% Variable | 15.24% - 25.24% (Variable) |
| Intro Balance Transfer APR | |||
| 0% Intro APR for 15 months | 0% Intro APR for 15 months | 0% Intro APR on Balance Transfers for 15 months | 0% intro on balance transfers for 15 months |
| Regular Balance Transfer APR | |||
| 12.24% - 23.24% Variable APR | 12.24% - 23.24% Variable APR | 15.24% - 23.99% Variable | 15.24% - 25.24% (Variable) |
| Balance Transfer Fee | |||
| 3% intro balance transfer fee, up to 5% fee on future balance transfers (see terms)* | 3% intro balance transfer fee, up to 5% fee on future balance transfers (see terms)* | Either $5 or 3% of the amount of each transfer, whichever is greater in the first 60 days. Then, either $5 or 5% of the amount of each transfer, whichever is greater. | 3% |
| Recommended Credit | |||
| excellent-good-average | excellent-good-average | excellent-good | excellent-good |
| Card Details | |||
| Discover it® Cash Back | Discover it® chrome | Chase Freedom Flex℠ | Capital One Quicksilver Cash Rewards Credit Card |
If you don’t mind dealing with rotating bonus categories, the Discover it® Cash Back offers the opportunity to earn a generous amount of cash back. And if you need time to pay off a big purchase or a balance transferred from another card, the Discover it® Cash Back works for that too. However, there are cards with longer intro APR periods, so make sure to do the math on how long you’ll need to pay off your purchase or balance transfer.