American Express Blue Cash Everyday

Most of the credit cards that I find interesting are cards that earn points, rather than straight cashback, because with points comes a system that can be played and more value can be found.  That being said, many (most?) people prefer the simplicity of just earning cashback as a statement credit or into their bank account to help offset the cost of living.  For people interested in earning cashback instead of points and wanting no annual fee, one option is the Amex Blue Cash Everyday, which was my first Amex card back in 2017.  Unlike the Amex Platinum, Gold, or Green cards, this card is a credit card and not a charge card. 

Welcome Offer

At the time of posting, the Amex Blue Cash Everyday card has a welcome offer of $250 cashback after spending $2 000 in 6 months.  I had a similar welcome offer when I got mine back in 2017, but I only had 3 months to hit the spend goal.  The cashback is earned in the form of reward dollars, which can be paid out once the balance hits $25.

Earnings

Like many Amex cards, the Blue Cash Everyday has a three tiered earning structure: 3% at US grocery stores (up to $6 000/year), 2% at US gas stations, and 1% on everything else.  My main reason for this card was to enter the Amex eco-system, and grocery stores represent a substantial spend category for me.  I have historically used the card at US gas stations, but I rarely drive, so it’s not an important category for me. If you spend a lot at grocery stores and US gas station, there is some good value to be had in this card; however, I’d say that for most people, the Chase Freedom Unlimited will be a better choice because it offers 3% on dining and drug stores and 1.5% on everything else.

Benefits

This card has no annual fee, so beyond the cashback it earns, the only additional benefit it offers is access to Amex offers, which can often represent excellent value if used well. 

How to use the cashback

The cashback can be redeemed as a statement credit.  That’s it. Since it doesn’t earn points, you can’t actually use Amex Travel unless you have a second Amex card that does earn points.

Examples of using the card

Spend per month

For consistency with the other card pages, the second category instead of points earned is ‘cents earned’.

	Example A		Example B		Example C		Example D
Groceries (3%)	$300	900	$200	600	$600	1 800	$400	1 200
Gas (2%)	$0	0	$100	200	$200	400	$100	200
Airfare (1%)	$700	700	$200	200	$0	0	$400	400
Hotels (1%)	$1 000	1 000	$200	200	$0	0	$300	300
Gen Travel (1%)	$400	400	$0	0	$300	300	$100	100
Dining (1%)	$600	600	$300	300	$300	300	$0	0
General (1%)	$1 000	1 000	$500	500	$500	500	$400	400
Total	$4 000	4 600	$1 500	2 000	$1 700	3 300	$1 700	2 600
Average cashback/$		1.15		1.33		1.94		1.53

The Blue Cash Everyday’s specific bonus categories means that the average cashback earned is 1.15 – 1.94 ¢/$.

Specific examples

Card	World Traveller ($750)  (% return)	Marriott Hotel night ($230/night)	Points values (WT/Hotel)
No rewards card	2 728 (4.9%)	2 200 MP (7.3%)	$37.10 / $17.60
Blue Cash Everyday	2 728 + $7.50 (5.9%)	2 200 MP + $2.30 (8.3%)	$44.60 / $19.90
Chase Sapphire Preferred	2 728 Avios + 1 500 UR (7.9%)	2 200 MP + 460 UR (10.3%)	$59.60 / $24.50
Amex Green Card	2 728 Avios + 2 250 MR (9.1%)	2 200 MP + 690 MR (11.5%)	$68.60 / $27.26

Is this credit card right for you?

For travel/dining heavy budgets, this card is not the best fit.  However, for anyone that prefers to drive and cook at home, and wants to avoid an annual fee, this card is not a bad choice. Often though, this group of people prefers to avoid American Express cards because of the perception that they are not as widely accepted, and so I actually think the Chase Freedom Unlimited offers better cashback value (even without a Sapphire Preferred/Reserve) than this card.