Starting today, consumers can apply for a new cash back credit card from U.S. Bank. The U.S. Bank Shopper Cash Rewards Visa Signature Card offers customizable 6% and 3% cash back categories, in addition to 5.5% cash back on eligible travel and a 1.5% base rewards rate.
Consumers who want a say in where they earn bonus rewards could have a positive experience with the card, and 6% cash back is hard to beat. But you’ll want to consider the card’s restrictions and annual fee before making a decision.
[Read: Best Cash Back Credit Cards.]
What Are the U.S. Bank Shopper Cash Rewards Card’s Key Features?
Cardholders can choose two of 24 retailers for the 6% cash back category. Options include Amazon.com, Target and Apple. You’ll earn at the 6% rate on up to $1,500 spent with your choices combined each quarter, then you’ll earn 1.5% cash back.
The 3% cash back category also comes with a $1,500 quarterly cap. For that category, you’ll have a choice among “everyday” expenses, such as gas and electric-vehicle charging stations or wholesale clubs.
Cardholders will also earn 5.5% cash back on prepaid hotels and car rental reservations when they use U.S. Bank’s Rewards Travel Center. All other eligible spending earns 1.5% cash back.
The card charges a $95 annual fee, which is waived for the first year. New cardholders can also earn a $250 sign-up bonus if they spend at least $2,000 in their first four months with an account.
[Read: Best Rewards Credit Cards.]
Comparing Cash Back Credit Cards
The Blue Cash Preferred Card from American Express also offers up to 6% cash back on select everyday expenses in exchange for a $95 annual fee (waived for the first year). Instead of earning with chosen retailers, you’ll get 6% back on up to $6,000 spent at U.S. grocery stores each year and on certain streaming subscriptions.
If you’d like a cash back card without an annual fee, you can consider options such as the Citi Custom Cash Card. This card offers a 5% cash back category that adjusts to match your spending each billing cycle.
Also keep in mind that you’ll need to enroll each quarter to earn in the U.S. Bank Shopper Cash Rewards card’s 6% and 3% categories. You can find cards that don’t require this extra step.
[Read: Best Travel Rewards Credit Cards.]
Should You Get the U.S. Bank Shopper Cash Rewards Card?
It’s hard to find a cash back card offering more than 5% back on spending. That helps make the U.S. Bank Shopper Cash Rewards card an appealing option. Even if you exceed the $1,500 quarterly cap, the card still offers a solid 1.5% base earning rate.
You could even consider pairing the U.S. Bank card with a co-branded card from one of your choice retailers. For instance, the Target RedCard offers 5% off Target purchases for no annual fee. You could use it after hitting the quarterly spending cap.
To decide whether this card is a good fit for you, consider your spending habits and how much work you’re willing to put in to maximize your credit card rewards. And be sure to do the math to make sure the card’s $95 annual fee after the first year is worth it.
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New U.S. Bank Card Earns Up to 6% Cash Back originally appeared on usnews.com
