The 8 Best 5% Cash-back Credit Cards [2023]

There’s something just so satisfying about getting back 5% from your credit card purchases, rather than 1% or 2% on common everyday bonus categories.

Unfortunately, getting 5% cash-back from credit card spending is not as easy as you might think. Many credit card companies offer 2% cash-back credit cards, which reward all credit card purchases regardless of category, but very few banks offer the ability to earn 5% cash-back even on specific categories.

In this guide, we’ll be demystifying which cash back credit cards are the best options to use if you’re looking to rack up 5% cash-back on your spending. Let’s get started!

What To Look For in a 5% Cash-back Credit Card

The most obvious feature you should be looking for with a 5% cash-back credit card is the ability to earn 5% cash-back.

In an ideal world, your credit card would earn 5% cash-back on categories that you can easily maximize throughout your everyday life without jumping through too many hoops.

For example, if your 5% cash-back card only focuses on grocery spending but you typically are eating out, it might not be practical to get that particular card.

Another great feature of cash-back credit cards is that they often offer introductory promotion periods where you get 0% APR on purchases and/or balance transfers so you can defer accruing any credit card interest for a short period in the event that you need to carry a balance.

There are no credit cards that earn 5% cash-back on all purchases (these cards are typically restricted to a maximum of 2% cash-back on all purchases), so if you want to elevate your earnings to the next level, you’ll need to start paying attention to bonus categories or rotating quarterly categories.

Once you start familiarizing yourself with bonus categories and rotating quarterly categories, you can squeeze so much extra value out of your credit card spending.

The 5 Best 5% Cash-back Personal Credit Cards

Card Summary

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1. Freedom Flex Card (Best for Rotating Categories, Travel, and 0% Intro APR)

Our top 5% cash-back personal credit card is none other than the Freedom Flex card. This is one of Chase’s flagship no-annual-fee credit cards; surprisingly, the rewards on this no-annual-fee card beat out even some of the best cards with annual fees.

Currently, the Freedom Flex card enjoys a new cardmember welcome bonus, plus a 0% introductory APR promotion on purchases and balances transfers for 15 months.

The Freedom Flex card is most famous for its quarterly bonus categories, where you can earn 5% cash-back on different categories on up to $1,500 in total combined purchases every quarter you activate.

The 5% quarterly cash-back categories have included grocery stores, eBay, Amazon.com, select streaming services, gas stations, movie theaters, select live entertainment, car rental agencies, Walmart, and PayPal.

Also, the Freedom Flex card earns 5% cash-back on all travel purchased through the Chase Ultimate Rewards travel portal, which is fantastic if you’re planning to travel anytime soon. And if you book rideshares, you can get 5% cash-back on Lyft through March 31, 2025.

Even further, you can earn 3% cash-back on dining at restaurants, including takeout and eligible delivery services, as well as 3% cash-back on drugstore purchases.

All other purchases will earn 1% cash-back.

There are 2 other main partners through which you can get even more value from your card:

• DoorDash — Complimentary 3-month membership of DashPass
• Instacart — Complimentary 3-month membership of Instacart+, plus $10 in statement credits every quarter through July 31, 2024, after enrollment in Instacart+

To help protect you even further, the Freedom Flex card has purchase protection, extended warranty, travel insurance, zero liability protection, cell phone insurance, and access to a free credit score through Chase Credit Journey.

The Freedom Flex card has no annual fees for the primary cardholder or any authorized users.

Why We Like Earning Chase Ultimate Rewards Points

Even though the rewards earned from the Freedom Flex card are well-known to be cash-back rewards, the secret is that you can also convert your cash-back to Ultimate Rewards points at a 1% to 1x points ratio if you have the right credit card pairing.

To be specific, if you also have an Ultimate Rewards credit card such as the Chase Sapphire Preferred^® Card or the Chase Sapphire Reserve^®, you can convert your cash-back to Ultimate Rewards points, earning up to 5x Ultimate Rewards points and doubling your return on spending to around 10%, based on our valuations!

Once you convert your cash-back to Ultimate Rewards points, you can transfer them to airline and hotel partners to book luxury award travel for phenomenal value.

If you aren’t interested in this, you can also use your points for cash-back, gift cards, Chase travel portal bookings, Pay Yourself Back, and more.

2. Citi Custom Cash Card (Best for Highest Eligible Spend Category)

Our runner-up credit card is the Citi Custom Cash card, another great product to consider adding to your wallet if you want large cash-back rewards.

We think the Citi Custom Cash card is especially strong if your monthly spending is on the low side.

There’s currently a cash-back welcome bonus, as well as a 0% introductory APR for 15 months on purchases and balance transfers.

But the real value proposition here is the ability to earn 5% cash-back on your highest eligible spend category (up to $500 spent per month) from the list below:

On other purchases, you’ll earn 1% cash-back.

Standard Citi card benefits apply, including zero fraud liability on unauthorized purchases, contactless payments, digital wallets, 24/7 customer service, and fee-free authorized users.

Why We Like Earning Citi ThankYou Rewards Points

The Citi Custom Cash card earns ThankYou Rewards points, which can be redeemed for cash-back.

However, if you also have a Citi card like the Citi Premier^® Card, you can open up several different ways to use your points, including for transfers to airlines and hotels to book business and first class award travel.

This way, you can get around 1.6 cents per point of value, instead of the standard 1 cent per point. Earning 5% cash-back can be converted to 5x ThankYou Points, which would be worth an 8% return on spending!

3. Amex Blue Cash Preferred Card (Best for U.S. Supermarkets and Streaming)

The Amex Blue Cash Preferred card is a fantastic cash-back credit card that you should take seriously if you consider yourself to be savvy in personal finances.

You should consider getting this card, not only because of the cash-back welcome bonus and the 0% introductory APR on purchases and balance transfers for 12 months, but because you can earn an amazing 6% cash-back on purchases:

• 6% cash-back at U.S. supermarkets (up to $6,000 per year)
• 6% cash-back on select U.S. streaming subscriptions
• 3% cash-back on transit, including buses, parking, rideshare, taxis, trains, tolls, and more
• 3% cash-back at U.S. gas stations
• 1% cash-back on other purchases

You can also get more than $200 per year in value from 2 major credit card benefits:

• $7 monthly statement credit after using your enrolled card to spend $12.99 or more each month on a subscription to The Disney Bundle
•  $10 monthly statement credit with Equinox+, up to $120 annually (enrollment required)

The Amex Blue Cash Preferred card also offers secondary rental car insurance, access to Global Assist, return protection, fraud protection, and authorized users for no additional annual fees (rates and fees).

4. Discover Cash Back Card (Best for Rotating Categories and 0% Intro APR)

The Discover Cash Back card is a good choice if you’re looking for rotating categories and would like to be a part of the Discover brand.

Although there is no welcome bonus on the card, there is a 0% introductory APR for 15 months on purchases and balance transfers.

And for the first year of card membership, Discover will automatically offer an unlimited, dollar-for-dollar match of all the cash-back you’ve earned.

With the Discover Cash Back card, you will earn 5% cash-back on everyday purchases at different places (rotating categories), up to the quarterly maximum (almost always $1,500 per quarter) when you activate.

All other purchases earn 1% cash-back.

You can also customize your card designs (which is great) and will receive a $0 fraud liability guarantee, 24/7 customer service, a free FICO credit score, and authorized users for no additional annual fees.

5. Amazon Prime Signature Card (Best for Amazon Loyalists)

The Amazon Prime Signature card is a great choice for those looking to maximize cash-back and make a lot of Amazon.com purchases.

This credit card, which is only available to those with an eligible Amazon Prime membership, is the last card we’ll discuss on the side of the personal cards.

At the moment, you’ll get an Amazon gift card welcome bonus, plus up to 5% cash-back on eligible purchases:

• 5% cash-back at Amazon.com with an eligible Prime membership
• 5% cash-back at Whole Foods Market with an eligible Prime membership
• 2% cash-back at restaurants
• 2% cash-back at gas stations
• 2% cash-back at drugstores

Additionally, the Amazon Prime Signature card earns 10% or more back in bonus rewards on a rotating selection of Amazon products and categories through limited-time offers.

There are key Visa Signature benefits associated with this card, including travel insurance, roadside dispatch, purchase protection, extended warranty, access to the Visa Signature Luxury Hotel Collection, no foreign transaction fees, and authorized user cards for no additional annual fees.

The 3 Best 5% Cash-back Business Credit Cards

Now that we’ve wrapped out our discussion of the best 5% cash-back personal credit cards, let’s see what options are available for business credit cards in this section!

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1. Ink Business Cash Card (Best for Office Supplies and Communications)

Without a doubt, the Ink Business Cash card is the best 5% cash-back business credit card by far.

New cardholders have access to a welcome bonus and a 0% introductory APR promotion for 12 months on purchases.

What we love about this card is that you can earn up to 5% cash-back on your purchases:

• 5% cash-back on the first $25,000 spent in combined purchases at office supply stores and on internet, cable, and phone services every account anniversary year
• 2% cash-back on the first $25,000 spent in combined purchases at gas stations and restaurants every account anniversary year
• 1% cash-back on other purchases

In addition, your cash-back rewards can be converted to Chase Ultimate Rewards points at a 1% to 1x ratio, just like the Freedom Flex card in the above personal card section.

That can elevate your return on spending from 5% to 8%, based on a maximum accrual rate of 8%.

You can also boost the value proposition of this card with purchase protection, extended warranty, primary rental car insurance, roadside dispatch, fraud protection, and fee-free employee cards.

2. Amazon Business Prime Card (Best for Amazon Loyalists)

The Amazon Business Prime card is our runner-up business card because it also earns up to 5% cash-back on select purchases.

Right now, there’s a new cardmember welcome bonus in the form of an Amazon.com gift card to sweeten the deal even further.

When you hold the Amazon Business Prime Amex card, you can expect to earn according to the below structure:

• 5% cash-back (or 90-day terms) on select U.S. purchases at Amazon Business, AWS, Amazon.com, and Whole Foods Market (up to the first $120,000 in purchases per calendar year with an eligible Prime membership)
• 2% cash-back on U.S. purchases at restaurants
• 2% cash-back on U.S. purchases at gas stations
• 2% cash-back on U.S. wireless phone services purchased directly from service providers
• 1% cash-back on other purchases

You will also enjoy Amazon Business enhanced data views, basic travel insurance, purchase protection, extended warranty, no foreign transaction fees, and fee-free employee cards.

3. Bank of America Business Advantage Customized Cash Card (Best for Cash-back in the Select Category of Your Choice)

The Bank of America Business Advantage Customized Cash card is an absolute monster of a business credit card to have in your wallet, though there is a caveat to being able to break into the 5% cash-back arena with this card.

Before we get into that, though, new cardmembers who add this card to their wallet are eligible for a statement credit welcome bonus and a 0% introductory APR benefit on purchases for the first 9 billing cycles.

Now, let’s talk about cash-back! The Bank of America Business Advantage Customized Cash card earns:

• 3% cash-back in the category of your choice (gas stations, office supply stores, travel, TV/telecom and wireless, computer services, or business consulting services)
• 2% cash-back on dining
• 1% cash-back on other purchases

The 3% and 2% cash-back rewards are limited to the first $50,000 in combined choice category or dining purchases per calendar year.

But if you participate in Preferred Rewards for Business, you can earn up to 75% in bonus rewards, elevating your maximum rewards to:

• 5.25% cash-back in the category of your choice (gas stations, office supply stores, travel, TV/telecom and wireless, computer services, or business consulting services)
• 3.5% cash-back on dining
• 1.75% cash-back on other purchases

To get the 75% rewards bonus, you must qualify for Platinum Honors, which requires a 3-month averaged combined balance of $100,000 or more in eligible Bank of America deposit and/or Merrill investment accounts.

So if you are willing to move at least $100,000 to Bank of America, earning 5.25% cash-back can become a reality for you.

Otherwise, this credit card also offers travel accident insurance, fraud monitoring, zero liability protection for unauthorized transactions, overdraft protection, and no additional annual fees for authorized users.

Final Thoughts

Cash is king. To make the most of cash-back rewards from a credit card, you should strive to use credit cards that earn 5% cash-back.

They’re not exactly the easiest cards to find out there, but if you’re someone who can follow bonus categories, activate quarterly promotions, and easily move your purchases from card to card, you’ll realize a substantial ROI for your efforts.

We found it much easier to find 5% cash-back personal credit cards than 5% cash-back business credit cards.

Whatever your situation may be, you now have all of the information you need to make an informed decision about which 5% cash-back credit card you should be adding to your wallet!

For the car rental collision damage coverage benefit of the Blue Cash Preferred^® Card from American Express, eligibility and benefit level varies by card. Terms, conditions and limitations apply. Visit americanexpress.com/benefitsguide for more details. Underwritten by AMEX Assurance Company. Car rental loss or damage coverage is offered through American Express Travel Related Services Company, Inc. For the return protection benefit of the Blue Cash Preferred^® Card from American Express, eligibility and benefit level varies by card. Terms, conditions and limitations apply. Visit americanexpress.com/benefitsguide for more details. For the Global Assist Hotline benefit of the Blue Cash Preferred^® Card from American Express, eligibility and benefit level varies by card. Terms, conditions and limitations apply. Visit americanexpress.com/benefitsguide for more details. If approved and coordinated by the Global Assist Hotline, emergency medical transportation assistance may be provided at no cost. In any other circumstance, card members may be responsible for the costs charged by third-party service providers.

The information regarding the Bank of America^® Business Advantage Customized Cash Rewards Credit Card was independently collected by Upgraded Points and not provided nor reviewed by the issuer.

The information regarding the Chase Freedom Flex℠ was independently collected by Upgraded Points and not provided nor reviewed by the issuer.
The information regarding the Discover it^® Cash Back Card was independently collected by Upgraded Points and not provided nor reviewed by the issuer.

For rates and fees of the Blue Cash Preferred^® Card from American Express, click here.
For rates and fees of the Amazon Business Prime American Express Card, click here.