Optimizing Grocery Rewards with Multiple Credit Cards

My journey into credit card rewards began over a decade ago with the DiscoverIT® Cashback Credit Card. It was, well, just what I needed at the time—until I discovered I could get better rewards on groceries, which are a significant part of my budget.

This realization led me to switch to the American Express Blue Cash Preferred® Card for several years, and it ended up becoming my go-to card for most purchases.

In 2024, I also introduced the American Express® Gold Card into my lineup. Now, I can earn points on grocery purchases in addition to the cashback I was collecting with the Blue Cash card.

Currently, both cards play a vital role in my grocery spending strategy.

You might wonder why I juggle two cards in the same category. Well, it’s a bit complicated but worth exploring.

Two Cards, Two Rewards Systems

For lots of people, cashback cards seem easier to handle compared to points and miles options. I found this to be true when I was a university student. Now, I’ve upgraded to more premium cards, yet I’m still figuring out my ideal grocery card.

Honestly, I once thought about downgrading my Blue Cash due to the lack of an annual fee on Amex products. However, I find that I’m always motivated by the cashback rewards and statement credits I receive.

Alternatively, the Gold Card allows me to earn Membership Reward Points, which can be transferred to airlines like Delta and JetBlue.

Both cards excel in various bonus categories, especially when it comes to groceries.

When Blue Cash was my primary card, I racked up over $500 in cashback rewards each year. Although I now charge most of my grocery expenses to my Amex Gold, I still earn over $200 in cashback with Blue Cash, which easily offsets the $95 annual fee (and it’s $0 for the first year).

Diversifying the rewards I earn is essential in crafting a solid card strategy, and splitting my grocery purchases between these two cards makes sense.

Smart Grocery Shopping for Points

My grocery shopping approach is pretty straightforward.

I prioritize earning transferable points that can be redeemed for travel. Thus, I primarily use the Amex Gold, which offers an enticing reward rate with a significant return on my grocery purchases.

Since I’ve had the Blue Cash for such a long time, and since a portion of my credit score is based on credit history length, I aim to keep that card active and in good standing.

Typically, I grocery shop two to three times a month. One trip usually focuses on stocking up staples like meat, produce, and dairy, while the other visits are often for smaller items or ingredients needed for new recipes.

My Amex Gold is great for purchasing higher-cost items, allowing me to maximize my rewards.

Using Both Cards for Statement Credits

Both of these cards not only offer generous grocery rewards but also feature statement credits that I frequently use.

The Amex Gold and Blue Cash both help me earn both statement credits and rewards points.

Each card has different types of credits that can save me money, such as:

The streaming credits on the Blue Cash card can effectively cover the annual fees.

Subscribing to an eligible streaming service essentially gives you access to these card perks, offering even more value than the high reward rates available on the card.

Conclusion

Using two cards to earn rewards in a specific category might not appeal to everyone, but it works well for me. If you’re looking for ways to earn several types of rewards based on your spending habits, consider my two-card approach.

If you prefer sticking to one card, there are certainly fantastic options out there, but I often recommend the Amex Gold and Blue Cash as solid choices. If you’re keen on maximizing rewards for grocery purchases, check out the Capital One Savor Cash Rewards credit card.

This strategy can easily apply to other spending categories like dining, gas, or transportation. Tailoring your card strategy to suit your spending styles can be a smart way to get the most out of your credit card rewards.

For additional insights, you might want to read the full reviews on the Amex Blue Cash Preferred and Amex Gold Cards.