Amex Blue Cash Everyday vs. Blue Cash Preferred

Grocery spending is one of the biggest line items in many households’ budgets. It only makes sense to maximize the reward points you earn from your grocery purchases.

Some rewards credit cards earn the same amount of rewards no matter where you are spending, while others earn a bonus in certain categories — and grocery spending is a bonus category on many different cards. Two of the most popular cards with bonuses on grocery spending are the Blue Cash Everyday® Card from American Express and the Blue Cash Preferred® Card from American Express.

Although the two seem similar at first glance, they have slightly different rewards rates and annual fees, tailoring them to a specific kind of consumer. We’ll take a look at the Blue Cash Everyday versus the Blue Cash Preferred to see which card might be right for you.

Card details

Card	Blue Cash Everyday Card from American Express	Blue Cash Preferred Card from American Express
Rewards	3% cash back U.S. supermarkets (up to $6,000 per year in purchases, then 1%) 3% cash back at U.S. gas stations (up to $6,000 per year in purchases, then 1%) 3% cash back on U.S. online retail purchases (up to $6,000 per year in purchases, then 1%) 1% cash back general purchases Terms apply	6% cash back at U.S. supermarkets (up to $6,000 in purchases per year, then 1%) 6% cash back on select U.S. streaming subscriptions 3% cash back at U.S. gas stations and on transit 1% cash back on general purchases Terms apply
Annual fee	$0	$95 ($0 intro fee for first year)
Welcome bonus	$200 statement credit if you spend $2,000 in first 6 months	$250 statement credit if you spend $3,000 in first 6 months
Intro APR offer	0% intro APR on new purchases and balance transfers for the first 15 months of account opening (16.99% to 27.99% variable thereafter)	0% intro APR on both new purchases and balance transfers for the first 12 months of account opening (16.99% to 27.99% variable thereafter)

Amex Blue Cash Everyday vs. Amex Blue Cash Preferred

Welcome offer

The winner: Blue Cash Preferred

The Blue Cash Preferred is the clear winner here, with a welcome offer that is $50 higher than the Blue Cash Everyday card. Even considering the annual fee on the Blue Cash Preferred, you’ll still come out ahead the first year. Note that the spending requirement is slightly higher on the Blue Cash Preferred but easily manageable with the six months time limit (divides evenly to $500 per month).

Rewards rate

The winner: Blue Cash Preferred 

The Blue Cash Preferred card is again the winner for a higher rewards rate. The two cards have very similar bonus categories, but the Blue Cash Preferred simply offers higher rates. The only category where the Blue Cash Everyday has the advantage is its bonus cash back rate on U.S. online retail, which includes department stores, apparel stores and superstores (like Amazon.com). However, the Blue Cash Preferred still wins out thanks to its unlimited 6 percent cash back on select U.S. streaming subscriptions. Given that consumers are spending more on streaming now more than ever (an April Morning Consult poll showed 38% of U.S. respondents spend at least $31 per month), that 6 percent could prove to be highly lucrative.

Keep in mind, though, that you’ll have to spend at least $3,200 per year on groceries for the higher rate to offset the Blue Cash Preferred’s $95 annual fee. That annual spend is the break even point where the higher earnings rate on the Blue Cash Preferred (6 percent compared to the 3 percent on the Blue Cash Everyday) will offset its annual fee.

Annual fee

The winner: Blue Cash Everyday

If you spend significantly less than the average household on groceries (around $5,259 per year in 2021), you may not earn enough rewards to offset the ongoing $95 annual fee on the Blue Cash Preferred card. In that case, it may make sense to go with the no-annual-fee Amex Blue Cash Everyday.

Intro APR offer

The winner: Blue Cash Everyday

While both cards offer introductory 0 percent APR periods, the offer on the Blue Cash Everyday card is slightly longer (15 months as compared to 12). Seeing as these cards offer the same regular APRs and zero interest on new purchases and balance transfers, the only real determining factor of the winner is its longer intro period.

Depending on your specific financial situation — whether you’re about to buy a new sectional for the living room or have a small debt accumulated from an older high-interest card, for example — those extra three months could make a big difference to you.

Which card should you get?

While the Blue Cash Preferred has a higher rewards rate on most spending, it also comes with a $95 annual fee. You’ll want to analyze your own spending to decide whether the increased rewards rate is worth the annual fee. Nevertheless, the Blue Cash Everyday packs a decent punch in the grocery category, though it’ll also appeal to online shopping fanatics.

• If you spend more than $3,200 per year on groceries: If you spend more than $267 a month at the supermarket, you may be better off with the Blue Cash Preferred. At $3,200 a year, your 6 percent cash back would be double the earnings you’d get with the Blue Cash Everyday ($192 versus $96 in cash back).
• If you spend less on groceries: If you spend significantly less than the average household on groceries, or if you have other cards with good earnings at grocery stores, you may not earn enough rewards to offset the ongoing $95 annual fee on the Blue Cash Preferred. In that case, the lower cash back rate, as well as the other bonus categories, on the Blue Cash Everyday should serve you well.
• If you’re looking for a longer 0 percent intro APR period: While both cards offer introductory 0 percent APR periods, the 15 months on the Blue Cash Everyday is slightly longer. For most debts or large purchases, 15 months should be ample time to resolve your payments.

Bottom line

When comparing only the Blue Cash Everyday and the Blue Cash Preferred, the Blue Cash Preferred is a clear winner.

For most consumers (those spending at least $267 per month at U.S. supermarkets), the Blue Cash Preferred will net you more cash back, even considering the $95 annual fee. However, if you cannot manage the annual fee — the Blue Cash Everyday is still a good grocery card.

You could also consider signing up for the Blue Cash Preferred for the higher welcome bonus. That bonus would more than offset the annual fee, then you can weigh after a year whether you want to continue with the Blue Cash Preferred or request a product change to the Blue Cash Everyday.