Flat Rate vs Category Cashback Cards
Flat rate cards earning 1.5-2% on all purchases provide simplicity and consistent returns across all spending. Category cards offer higher rates of 3-6% on specific categories like dining, groceries or petrol while reverting to 1-1.5% on other spending.
Best Flat Rate Cashback Cards
The Citi Double Cash remains a benchmark at 2% on all purchases with no annual fee, delivered as 1% when spent and 1% when paid. Wells Fargo Active Cash and Capital One Quicksilver offer similar unlimited returns.
Combining Multiple Cards
Using 2-3 complementary cards for their respective bonus categories rather than one general card can effectively double or triple cashback earnings. The additional complexity of managing multiple cards requires discipline to avoid carrying balances that erase earnings through interest charges.