A cash back credit card lets you receive a certain percentage from your purchase transactions, which you can redeem in various ways, depending on what the credit card issuer offers. Cash back rates are usually either fixed on all business expenses or varied depending on spending categories.
Many business owners prefer cash back credit cards because the rewards value is easy to understand. For example, if your cash back credit card gives you 2% for all spending categories, you will get $2 back when you spend $100 on an eligible purchase. These rewards can add up over time, helping you save money on your purchases.
Types of Cash Back Rewards Programs
Credit card cash back rewards come in a few different types, each catering to different spending habits and preferences.
1. Fixed-rate Cash Back
A credit card with fixed-rate cash back offers the same cash back rate (usually ranges from 1% to 2%) on all purchases, regardless of expense category. This type of cash back rewards program, which is generally straightforward, is ideal for those who have varied expenses and don’t want to keep track of spending categories.
| Pros | Cons |
|---|---|
| Simple: Earn the same rate on all purchases, making it easy to predict how much you will earn | Limited rewards: May not maximize your rewards potential, especially if you tend to spend heavily on certain expense categories |
| Consistent: No need to keep track of expense categories | |
Here are our recommended business fixed-rate cash back credit cards.
American Express Blue Business Cash™ Card
| Intro APR | 0% on purchases |
|---|---|
| Regular APR | 16.74% - 28.49% Variable |
| Annual Fee | No annual fee |
| Credit Needed | Excellent, Good |
Card highlights:
- Offers 2% cash back on the first $50,000 worth of purchases each calendar year, then 1% cash back after the cap is reached
- Credits your cash back rewards to your billing statement automatically—no need to redeem manually
- Charges $0 annual fee
- Comes with 0% introductory APR on purchases for the first 12 months and a $250 statement credit when you spend at least $3,000 in the first three months after opening an account
- Features Expanded Buying Power, letting you spend over your credit limit based on your card usage, credit score, payment behavior, and other financial considerations
PNC Cash Rewards® Visa Signature® Business Credit Card
| Intro APR | 0% for 9 billing cycles |
|---|---|
| Regular APR | 19.24% to 29.49% variable |
| Annual Fee | $0 |
| Credit Needed | Good - Excellent |
Card highlights:
- Offers unlimited 1.5% cash back on all spending categories
- Offers flexible redemption options—redeem your cash back as a statement credit, or deposit cash back into an eligible PNC Business checking or savings account
- Lets you earn $400 bonus cash back when you spend $3,000 on the first three billing cycles after opening an account
- Charges $0 annual fee
- Comes with introductory 0% APR on purchases for the first nine billing cycles
Valley Visa® Secured Business Credit Card
| Intro APR | 0% introductory APR on purchases and balance transfers for first 6 months |
|---|---|
| Regular APR | 15.20% to 26.50%, variable |
| Annual Fee | $0 |
| Credit Needed | Poor, Limited |
Card highlights:
- Offers unlimited 1% cash back on all purchases, regardless of spending categories
- Comes with 0% introductory APR on purchases for first six months
- Charges $0 annual fee
- Requires a security deposit of 110% of your desired credit limit, up to $25,000
- Has easy qualification requirements, even with poor or limited credit
2. Category-based Cash Back
With a category-based cash back program, you can earn different cash back rates on different spending categories. The cash back rate varies per card issuer—some offer premium rates on fuel purchases, while others offer higher cash back rates on travel. To get the best out of a category-based cash back credit card, it’s important to analyze your spending habits and get a card that offers lucrative rewards on where you spend the most.
| Pros | Cons |
|---|---|
| Higher rewards in key categories: Receive higher cash back rates on certain categories where you might spend the most | Complexity: Requires more effort to track which expense categories earn higher rates |
| Flexibility: Earn a base rate for other purchases that are not part of premium categories | Lower rewards potential: Rewards potential might be lower if spending habits do not align with the premium categories |
The following are some of the best business credit cards with category-based cash back.
U.S. Bank Triple Cash Rewards Visa® Business Card
| Intro APR | 0% intro on purchases for 12 billing cycles |
|---|---|
| Regular APR | 17.24% - 26.24% Variable |
| Annual Fee | $0 |
| Credit Needed | Excellent, Good |
Card highlights:
- Offers 5% cash back on prepaid hotels and car rentals directly booked in the Travel Rewards Center, 3% cash back on eligible purchases at gas and electric vehicle (EV) charging stations, office supply stores, cellphone service providers, and restaurants, and 1% cash back on all other net purchases
- Comes with 0% APR on both purchases for the first 12 billing cycles
- Charges $0 annual fee
- Lets you earn a $100 annual statement credit for recurring software purchases
- Features the ExtendPay® Plan, which lets you pay off your eligible balance over time without interest (only a small monthly fee)
Chase Ink Business Cash® Card
| Intro APR | intro_apr_rate,intro_apr_duration |
|---|---|
| Regular APR | 16.99% - 24.99% Variable |
| Annual Fee | annual_fees |
| Credit Needed |
Card highlights:
- Offers 5% cash back on the first $25,000 spent in combined purchases at office supply stores and on internet, cable, and phone services, 2% cash back on the first $25,000 in combined purchases at gas stations and restaurants, and 1% cash back when the cap is met and on all other purchases
- Gives you $750 cash back when you spend $6,000 in the first three months of card ownership
- Lets you redeem your rewards for cash back, gift cards, travel, and more through Chase Ultimate Rewards®
- Comes with $0 annual fee
- Offers 0% APR on purchases for the first 12 billing cycles
Amazon Business Prime American Express Card
| Intro APR | N/A |
|---|---|
| Regular APR | 18.24% - 26.24% Variable |
| Annual Fee | No annual fee |
| Credit Needed | Excellent, Good |
Disclosure: All information about Amazon Business Prime American Express Card has been collected independently by Fit Small Business.
Card highlights:
- Offers 5% Back or 90-Day Terms on selected United States purchases at Amazon Business, Amazon Web Services (AWS), Amazon.com, and Whole Foods Market, 2% cash back at restaurants, gas stations, and wireless phone services purchased directly from service providers, and 1% cash back on all other purchases
- Has $0 annual fee but requires an Amazon Prime membership to qualify
- Gives you a $125 Amazon.com gift card upon card approval
3. Customized Categories Cash Back
Some cash back credit cards let you choose your preferred categories where you can earn higher cash back rates. Some also offer automatic premium rates on your top spending categories, so you won’t have to guess. The customized categories cash back rewards program is best for those who usually have particular expenses that don’t always fit the fixed categories of other rewards programs.
| Pros | Cons |
|---|---|
| Personalization: Choose your high-rate categories to match your spending habits | Limited choices: Most cards with customized rewards have predefined categories to choose from and may not cover your major spending areas |
| Adaptability: Some cards offer automatic premium rates on your top categories | Tracking: For manual customization, you need to actively track your spending habits and update your preferred categories to maximize rewards |
Here are our top-recommended business credit cards with customized categories cash back.
Bank of America® Business Advantage Customized Cash Rewards World Credit Card
| Intro APR | 0% 9 billing cycles |
|---|---|
| Regular APR | 17.49% - 27.49% Variable APR on purchases |
| Annual Fee | $0.00 |
| Credit Needed | Excellent |
Card highlights:
- Offers 3% cash back on the category of your choice―choose from gas stations and EV charging stations, office supply stores, travel, TV/telecom and wireless, computer services, business consulting services―and 2% cash back on dining purchases on the first $50,000 in combined choice category/dining purchases each calendar year, then 1% cash back after meeting the cap and on all other purchases
- Offers up to 75% more rewards for Bank of America business checking account holders who qualify for the Preferred Rewards for Business program
- Lets you earn $300 online statement credit after spending at least $3,000 in net purchases within 90 days of opening an account
- Allows you to redeem your cash back as a deposit to your Bank of America checking or savings account as an automatic credit to your bill or via check by mail
- Charges $0 annual fee
- Comes with 0% APR on purchases for the first nine billing cycles
U.S. Bank Business Leverage® Visa Signature® Card
U.S. Bank Business Leverage® Visa Signature® Card
Add to Compare
| Intro APR | N/A |
|---|---|
| Regular APR | 18.74% to 25.74% Variable |
| Annual Fee | $0 intro annual fee for the first year, $95 thereafter. |
| Credit Needed | Excellent, Good |
Card highlights:
- Lets you earn 2X points in the top two categories where you spend the most each month automatically, 5X points on prepaid hotels and car rentals booked directly in the Rewards Center, and 1X points on all other purchases
- Offers 75,000 points after spending $7,500 in eligible purchases within the first 120 days of opening an account
- Lets you use your rewards for gift cards, merchandise rewards, and travel
- Charges $0 annual fee for the first year, then $95 annually thereafter
4. Rotating Categories Cash Back
The rotating categories cash back is when premium categories, which typically include gas and restaurants, change every few months. Cardholders usually need to activate these categories to earn the premium rate. Also, there might be a cap on how much spending earns the higher rate.
| Pros | Cons |
|---|---|
| High cash back rates: Can usually earn up to 5% in the rotating categories | Spending caps: Usually, there are limits on how much you can earn for the higher-rate category |
| Variety: Premium categories change periodically, providing opportunities to earn high rewards in different spending areas in a year | Limited potential: The rotating categories may not align with your spending habits, limiting your potential to maximize rewards |
The following cards are our recommended cash back credit cards with rotating categories.
Discover it® Cash Back Credit Card
| Intro APR | 0% |
|---|---|
| Regular APR | 18.24% to 28.24% variable |
| Annual Fee | $0 |
| Credit Needed | Good - Excellent |
Card highlights:
- Offers 5% cash back in rotating categories each quarter on up to $1,500 in purchases (excluding Walmart and Target purchases) and 1% cash back on all other purchases. Note that activation is required. Here are the rotating categories:
- January to March: Grocery stores, drug stores, and select streaming services (excluding Walmart and Target purchases)
- April to June: Restaurants and wholesale clubs
- July to September: Gas stations and digital wallets
- October to December: Amazon.com and Target
- Charges $0 annual fee
- Comes with 0% APR on purchases for the first 15 months after opening an account
- Gives an unlimited dollar-to-dollar match of all cash back you earn on your first year
How To Use Cash Back Rewards
There are several ways to use your cash back rewards. Typically, cash back can be credited to your statement balance, reducing your credit card bill. Some credit card companies allow you to redeem your cash back rewards as a deposit to your eligible bank account, check by mail, or for travel, gift cards, and merchandise. In other cases, you could also use your cash back to pay for your eligible purchases upon checkout.
The process for redeeming your cash back rewards also varies per card issuer; however, it usually involves the following steps:
- Step 1: Log in to your online banking or rewards portal to check your rewards balance.
- Step 2: Choose how you want to use your cash back from the options provided by the card issuer.
- Step 3: Follow the steps provided on how to redeem your cash back based on your chosen redemption option.
How To Maximize the Benefits of Cash Back Credit Cards
To maximize the benefits of a cash back credit card, consider your spending habits when choosing which type of cash back rewards program works for you:
- If you typically spend on varied expenses, it’s best to choose a fixed-rate cash back credit card so that you won’t have to monitor your expense categories.
- If you know which spending categories you usually spend on the most, a category-based or customized cash back credit card may be the better fit.
- If the offered rotating categories align with your regular expenses, then a rotating cash back credit card may work.
Aside from those, you should consider the following factors to ensure that you get the most out of your cash back credit card:
- Redemption options: When deciding which cash back credit card is right for you, check the redemption options available. Some may want the rewards to be automatically credited to their billing statement, whereas others want to have the freedom to choose how to use their cash back (e.g., for travel, merchandise, and gift cards). Ensure that the options available align with your spending habits and preferences.
- Fees: Consider the fees that come with the card, such as annual, balance transfer, foreign transaction, and late payment fees. See to it that the rewards you earn justify the cost of the card.
- Introductory and ongoing APRs: If you need to make a significant purchase or consolidate your debt from other credit cards, a card with a 0% introductory APR is a good option as it can help you save on credit costs. Also, if you plan to carry a balance to the next billing cycle, choose a card that has a low ongoing APR.
- Other value-adding features: Some credit cards offer more valuable features than others—like protection coverage, travel insurance, robust controls, and accounting integration. Determine which features you need and find a cash back credit card that offers them.
Bottom Line
Cash back credit cards are great for those wanting to get back a percentage of their purchases as rewards without having to calculate the rewards value. You can choose from fixed-rate, category-based, customized, and rotating cash back programs. Ensure you consider factors such as your spending habits, fees, APRs, redemption options, and other features when choosing the cash back credit card that’s right for you.
To see rates & fees for the American Express cards
American Express Blue Business CashTM Card
Amazon Business Prime American Express Card
