Discover it® credit cards offer some of the best cash back rewards in the industry, making them a great choice for savvy spenders. However, to truly maximize your earnings, you need to understand how to take full advantage of the card’s features. In this guide, we’ll explore the best strategies to help you earn the most cash back with your Discover it® credit card.
1. Understand Discover it® Cash Back Categories
One of the biggest advantages of Discover it® credit cards is their rotating 5% cash back categories. Every quarter, Discover offers 5% cash back on specific spending categories, up to a set limit, after activation. Here’s how you can make the most of these categories:
- Track the quarterly categories: Discover releases a calendar of bonus categories each year. Common categories include grocery stores, gas stations, restaurants, and online shopping.
- Activate your bonus: You must manually activate the 5% cash back each quarter through your Discover account.
- Plan your spending: If you know a category is coming up, adjust your purchases accordingly. For example, if grocery stores are a bonus category next quarter, delay large grocery purchases until then.
2. Use Your Discover it® Card for Everyday Purchases
Beyond the rotating 5% categories, Discover it® cards offer unlimited 1% cash back on all other purchases. While this may seem small, it adds up over time. To maximize your rewards:
- Use your card for all eligible purchases: Whether it’s dining, travel, or subscriptions, every dollar spent earns cash back.
- Set up recurring payments: Use your Discover it® card for monthly bills like streaming services, utilities, and phone bills to earn consistent rewards.
3. Take Advantage of Discover’s Cashback Match
One of the most valuable perks of the Discover it® card is the Cashback Match program. At the end of your first year, Discover will match all the cash back you’ve earned—effectively doubling your rewards. To maximize this benefit:
- Use your card as much as possible in the first year: Since all cash back is matched, every dollar spent earns double rewards.
- Focus on 5% categories: Since these categories already offer high rewards, the match makes them even more lucrative.
4. Shop Through Discover’s Online Shopping Portal
Discover offers an online shopping portal called Discover Deals, where you can earn additional cash back when shopping at partner retailers. To take advantage:
- Check for bonus offers: Before making an online purchase, visit the Discover shopping portal to see if your retailer offers extra cash back.
- Stack rewards: Use your Discover it® card in combination with retailer promotions and coupons to maximize savings.
5. Refer Friends for Bonus Cash Back
Discover offers a referral program that allows you to earn bonus cash back when you refer friends. Each successful referral can earn you up to $100 in statement credits. Here’s how to make the most of it:
- Share your referral link: Send your unique referral link to friends and family who might benefit from a Discover it® card.
- Use social media: If you have a blog or social media presence, share your referral link to reach a wider audience.
6. Redeem Your Cash Back Wisely
Discover offers multiple redemption options for your cash back, including statement credits, direct deposits, gift cards, and even charitable donations. To get the most value:
- Opt for gift card redemptions: Discover often offers bonus value when redeeming for gift cards, sometimes giving you an extra 10-20% in value.
- Use cash back for statement credits: If you want to lower your credit card bill, applying cash back as a statement credit is a smart choice.
7. Avoid Interest and Fees
To truly maximize your cash back earnings, avoid paying interest and fees that could negate your rewards. Here’s how:
- Pay your balance in full: Carrying a balance results in interest charges that can quickly outweigh your cash back earnings.
- Avoid late fees: Set up automatic payments or reminders to ensure you never miss a due date.
Final Thoughts
Maximizing your cash back with Discover it® credit cards requires strategic spending, smart redemptions, and taking full advantage of the card’s features. By leveraging rotating 5% categories, using your card for everyday purchases, and making the most of Cashback Match, you can significantly boost your rewards. Stay informed about Discover’s latest offers and always use your card responsibly to get the most value.
Are you ready to start earning more cash back? Apply for a Discover it® card today and put these strategies to work!
