The Discover it® Cash Back is a well-known credit card offering an attractive rewards program for consumers looking to maximize their cashback on everyday purchases.
With benefits such as cashback in rotating categories and no annual fee, this card stands out in the market.
In this article, we will explore its key benefits, how to apply, associated fees, and a comparison with other rewards cards.
Key Benefits of the Discover it® Cash Back
The Discover it® Cash Back provides a range of advantages, making it an appealing choice for various consumer profiles:
- 5% cashback on rotating categories: Earn 5% cashback on everyday purchases in different categories each quarter, such as supermarkets, restaurants, gas stations, and more, up to a quarterly limit of $1,500 in purchases, after activation.
- 1% cashback on all other purchases: Purchases outside the rotating categories earn 1% unlimited cashback.
- First-year Cashback Match: At the end of the first year, Discover automatically matches all the cashback you have earned, with no maximum limit.
- No annual fee: Enjoy all the benefits of the card without worrying about annual charges.
- 0% introductory APR: 0% APR for 15 months on purchases and balance transfers, followed by a variable APR of 17.24% to 28.24%.
- No foreign transaction fees: Ideal for international travelers, as there are no extra charges for purchases made abroad.
Rewards Program and Cashback Accumulation
The Discover it® Cash Back rewards program is designed to maximize your spending returns:
- 5% rotating categories: Each quarter, Discover offers 5% cashback in specific categories, such as supermarkets, restaurants, gas stations, and online purchases, up to $1,500 in qualifying purchases per quarter, after activation.
- 1% cashback on all other purchases: All other purchases earn unlimited 1% cashback, with no activation required.
- Flexible redemption: Cashback can be redeemed at any time and in any amount, whether as a statement credit, bank deposit, or even for purchases on Amazon and PayPal payments.
- Cashback Match in the first year: At the end of the first year, Discover matches all the cashback earned, effectively doubling your accumulated rewards.
How to Apply for the Discover it® Cash Back
Applying for the Discover it® Cash Back is a simple and straightforward process:
- Visit Discover’s official website and navigate to the card’s application page.
- Fill out the application form with your personal details, such as name, address, annual income, and Social Security number.
- Review the terms and conditions to ensure you understand all fees, APRs, and reward program details.
- Submit your application after reviewing all the information.
Approval generally requires a good to excellent credit history. Once approved, the card will be sent to your registered address.
Fees and Associated Costs
Before applying for the Discover it® Cash Back, it is essential to be aware of the associated fees and costs:
- Annual fee: None.
- Introductory APR: 0% for 15 months on purchases and balance transfers; after this period, a variable APR of 17.24% to 28.24% applies.
- Balance transfer fee: 3% of the transferred amount during the introductory offer; up to 5% for future transfers.
- Foreign transaction fee: None.
- Late payment fee: No fee for the first occurrence; up to $41 for subsequent late payments.
Additional Benefits
Besides the rewards program, the Discover it® Cash Back offers several additional benefits:
- Fraud protection: Continuous monitoring for suspicious activity and zero liability for unauthorized purchases.
- Free access to FICO® Score: Track your credit score monthly at no additional cost.
- 24/7 customer support: Assistance available anytime for inquiries or issues.
- Account freeze feature: Temporarily freeze your account in case of loss or theft, directly via the app or website.
Comparison with Other Rewards Credit Cards
To better understand how the Discover it® Cash Back compares to other rewards cards, see the comparison table below:
| Credit Card | Annual Fee | Rewards | Introductory APR | Foreign Transaction Fee |
|---|---|---|---|---|
| Discover it® Cash Back | $0 | 5% on rotating categories (up to $1,500 per quarter); 1% on all other purchases | 0% for 15 months on purchases and balance transfers | None |
| Chase Freedom Flex℠ | $0 | 5% on rotating categories (up to $1,500 per quarter); 1% on other purchases | 0% for 15 months on purchases and balance transfers | 3% |
| Citi Custom Cash℠ Card | $0 | 5% in the highest spending category per billing cycle (up to $500); 1% on other purchases | 0% for 15 months on purchases and balance transfers | 3% |
| Capital One Quicksilver Cash Rewards | $0 | 1.5% on all purchases | 0% for 15 months on purchases and balance transfers | None |
The Discover it® Cash Back stands out for its Cashback Match policy in the first year and the absence of an annual fee, making it an excellent option for those looking to maximize rewards without extra costs.
Is the Discover it® Cash Back Worth It?
The Discover it® Cash Back is an excellent choice for those looking for a credit card with no annual fee, an attractive and flexible rewards program, and a strong cashback match in the first year. The 5% rotating categories allow for significant cashback earnings in everyday purchases, and the Cashback Match doubles the total rewards earned in the first 12 months.
Additionally, the lack of foreign transaction fees, fraud protection, and various redemption options make this card a reliable choice for both domestic and international use. If you are looking for a credit card that maximizes cashback without extra costs, the Discover it® Cash Back is an excellent choice.