👍 The Good Stuff
- ✅ Groceries: 6% Cash Back at U.S. Supermarkets.
- ✅ Streaming: 6% Cash Back on services like Netflix/Spotify.
- ✅ Gas & Transit: 3% Cash Back on gas and transit.
- ✅ Disney Credit: $84/year credit for the Disney Bundle.
👎 The Bad Stuff
- ❌ Annual Fee: $95 fee kicks in after the first year.
- ❌ Grocery Cap: 6% rate is capped at $6,000/year.
- ❌ No Superstores: Walmart and Target do NOT count.
- ❌ Foreign Fees: Do not take this card abroad.
The Deep Dive
It’s rarely worth paying an annual fee for a cash back card, but the Blue Cash Preferred is the exception. 6% is a massive return. If you have a family, a car, or a mild addiction to streaming TV, this card pays for itself quickly.
The Math (Is the Fee Worth It?)
The fee is $0 for the first year, then $95. Here is the math:
- Annual Fee: $95 (after year 1).
- Disney Bundle Credit: -$84 ($7/month back).
- Net Annual Cost: $11
The Verdict: Even without the Disney credit, you only need to spend $31/week on groceries to break even on the fee compared to a free card. If you spend more than that, the fee pays for itself.
The 6% Grocery “Hack”
The headline feature is 6% back at U.S. Supermarkets (up to $6,000/year). If you don’t spend that much on food, remember: Grocery stores sell gift cards.
Need to buy something at Amazon or Home Depot? Buy a gift card at Kroger using this card. You just got 6% cash back on lumber.
Other Categories (The Commuter Special)
This is a killer card for commuters. You get 3% at the pump, but also 3% on transit, including trains, buses, taxis, rideshare (Uber/Lyft), parking lots, and tolls.
Who Should Get This Card?
- You spend at least $300/month at traditional supermarkets.
- You have a commute (gas or train).
- You subscribe to the Disney Bundle.
- You prefer simple Cash Back over complicated points.