Discover it Cash Back Credit Card Review: Features and Benefits

This review comprehensively overviews the Discover it® Cash Back Credit Card. It helps readers understand the card’s full value while answering common questions about rewards and fees.

Discover it® Cash Back Credit Card Review: Is It Worth It?

The Discover it® Cash Back Credit Card is a solid choice for those looking for a rewards credit card with no annual fee, like Discover it® Secured Credit Card Cash Back. It offers excellent cashback opportunities with its rotating 5% bonus categories each quarter and a competitive 1% discount on all other purchases. The card also has added perks like zero fraud liability, a generous introductory APR, and the Cashback Match feature, making it an appealing option for many.

This review will cover the key features, benefits, and potential drawbacks of the Discover it® Cash Back Credit Card to help you decide if it’s the right card. We will also explore how to maximize its rewards program and answer some frequently asked questions to give you a complete picture.

Card Highlights

• Earn 5% Cash Back on rotating categories (up to quarterly max when activated)
• Unlimited 1% Cash Back on all other purchases
• Cashback Match: Discover will match all Cash back earned at the end of the first year
• No Annual Fee
• 0% Intro APR for 15 months on purchases and balance transfers
• Quarterly Bonus Activation is required to earn 5% cash back
• $0 Fraud Liability Guarantee
• Freeze it®: Temporarily freeze your card to prevent new purchases
• Free Social Security Number Alerts
• No Foreign Transaction Fees
• Personalized Card Designs available

Rates and Fees for the Discover it® Cash Back Credit Card

Here’s a quick breakdown of the key rates and fees for the Discover it® Cash Back Credit Card:

• Annual Fee: $0 (No annual fee)
• Introductory APR: 0% for 15 months on purchases and balance transfers
• Regular APR: 18.24% – 27.24% Variable APR after the intro period
• Balance Transfer Fee: 3% for first 15 months; up to 5% afterward (minimum $5)
• Cash Advance Fee: $10 or 5% of the amount, whichever is greater
• Foreign Transaction Fee: None
• Late Payment Fee: Up to $40 if payment is late
• Returned Payment Fee: Up to $40 for returned payments
• Over-the-Limit Fee: None
• Interest on Purchases: Same as regular APR (18.24% – 27.24% Variable)

Key Features of the Discover it® Cash Back Credit Card

1. Cash Back Rewards

One of the main selling points of the Discover it® Cash Back Credit Card is its rewards program. Here’s how it works:

• 5% Cash Back: You can earn 5% cash back on rotating categories each quarter. Categories might include everyday purchases like grocery stores, restaurants, gas stations, and more, up to a quarterly maximum when you activate the bonus. Check which categories are active each quarter to avoid missing the bonus rewards.
• 1% Unlimited Cash Back: You earn 1% cash back on all other purchases—this is a straightforward rate with no limits.
• Quarterly Bonus Activation: Remember, you must activate the quarterly bonus categories to earn the 5% cash back. Once activated, you can earn up to $1,500 in purchases each quarter.

With this setup, the Discover it® Cash Back Credit Card stands out as one of the best for rotating categories.

2. Discover it® Cashback Match

The Cashback Match feature is a standout. At the end of your first year as a cardholder, Discover will match all the Cash you’ve earned. For example, if you earned $500 in Cashback, Discover will give you another $500.

• No Limits: There’s no cap on how much Discover will match. Whether you earn $50 or $1,000, your cashback rewards will be doubled at the end of your first year.
• Easy Redemption: You don’t need to sign up for the Cashback Match program—use your card, and Discover will automatically match your rewards.

How to Redeem Discover it® Cash Back Credit Card Rewards

Redeeming your Cash back rewards from the Discover it® Cash Back credit card is straightforward and offers much flexibility. Once you’ve earned your rewards, you can use them in several ways to suit your needs. Here’s a breakdown of the main options available.

• Direct Deposit or Statement Credit: One of the easiest ways to redeem your Cash is by applying it directly to your credit card balance. You can also opt for a direct deposit into your bank account. This is ideal if you want to reduce your credit card balance or use the funds for other expenses.
• Gift Cards: If you prefer to shop, you can redeem your Cashback for gift cards from various popular retailers. Discover partners with major stores, making it easy to use your rewards for shopping at places you love.
• Charitable Donations: For those who like to give back, the Discover it® Cash Back card allows you to donate your rewards to a charity. This unique feature helps you contribute to causes you care about.
• Pay With Discover at Checkout: Another way to redeem your rewards is through the Pay with Discover feature. This allows you to use your Cashback to pay for purchases at eligible online merchants during checkout, making it even more convenient.
• Match at the End of Your First Year: Remember, Discover will match all the Cash you earn in the first year. This means you get double the rewards, giving you more value from your purchases.

With so many redemption options, the Discover it® Cash Back card offers plenty of flexibility in using your rewards. The choice is yours whether you prefer to save, shop, donate, or pay off your balance.

3. No Annual Fee

One of the Discover it® Cash Back Credit Card’s best aspects is its no annual fee. This means you can enjoy all the benefits and rewards without worrying about an upfront cost to hold the card. This makes it a great choice if you’re looking for a credit card with rewards that do not charge an annual fee.

4. Introductory APR Offer

For new cardholders, the Discover it® Cash Back Credit Card offers a 0% Intro APR for the first 15 months on both purchases and balance transfers. This can be a great way to save on interest while paying down any existing debt or making large purchases.

• Balance Transfer Fee: The card does charge a 3% introductory fee on balance transfers for the first 15 months, after which a fee of up to 5% applies.
• After the Intro Period: Once the 15-month period ends, the APR for purchases will range from 18.24% to 27.24%. This is variable depending on your creditworthiness.

5. Additional Cardholder Benefits

The Discover it® Cash Back Credit Card also offers several benefits that enhance security and peace of mind:

• Fraud Liability Guarantee: You’re never responsible for unauthorized purchases on your Discover card.
• Freeze It®: If you lose your card, you can quickly freeze it using the Freeze It® feature through the mobile app or website.
• Social Security Number Alerts: Discover monitors the dark web for your Social Security Number and alerts you if it’s found, helping protect you from identity theft.
• Free FICO® Credit Score: You’ll have access to your FICO® credit score for free, which can help you keep track of your financial health.

6. Personalized Card Designs

Another fun feature of the Discover it® Cash Back Credit Card is the option to choose from 25 unique card designs. You can pick a design that suits your personality, making the card feel more personal and tailored.

How to Maximize Your Rewards with the Discover it® Cash Back Credit Card

To make the most out of the rewards program, here are a few tips:

• Activate Your Bonus Categories: Remember to activate your 5% cash back categories every quarter. If you forget, you’ll miss out on the extra rewards.
• Pair With Another Card: Some people pair the Discover it® Cash Back Credit Card with another card offering a higher cashback rate on non-rotating categories. For example, using a flat-rate rewards card like the Chase Freedom Unlimited® alongside the Discover card could help maximize your Cashback across all your spending.
• Pay Your Balance: Pay your balance monthly to benefit fully from this card’s rewards. This way, you can avoid interest charges and maximize your Cashback.

Potential Drawbacks of the Discover it® Cash Back Credit Card

While the Discover it® Cash Back Credit Card is an excellent option for many, it might not be the best fit for everyone. Here are some potential drawbacks to consider:

• Rotating Categories: The rotating categories can be a hassle to keep track of. If you prefer a more straightforward, hands-off rewards card, this might not be the best option.
• Caps on Bonus Rewards: You can only earn 5% cash back on the first $1,500 purchases each quarter. Once you hit this limit, your cashback rate drops to 1% for the remainder of the quarter.

Foreign Transaction Fees: While there’s no annual fee, if you plan to use the card abroad, be aware that foreign transaction fees could apply.

Comparing the Discover it® Cash Back With Other Credit Cards

When choosing the right credit card, many factors come into play. Whether you’re looking for a card that offers the best Cashback, 0% introductory APR, or valuable sign-up bonuses, comparing options is essential. Below is a comparison of some of the best cashback and balance transfer cards available today, designed to help you make an informed decision.

Related: Can I Transfer My Husband’s Credit Card Balance to Mine?

Discover it® Cash Back vs. Bank of America® Customized Cash Rewards vs. Blue Cash Everyday® Card vs. Chase Freedom Unlimited® – A Comparison

Comparison Analysis

• Cash Back & Rewards:

• • Discover it® Cash Back stands out with 5% cash back on rotating categories, making it an excellent option for those who can take advantage of the quarterly bonus. The 1% cash back on all other purchases is also solid.
  • The Bank of America® Customized Cash Rewards offers 3% cash back in a category of your choice, allowing more flexibility than the Discover card.
  • The Blue Cash Everyday® Card from American Express offers 3% cash back at U.S. supermarkets (up to $6,000 annually), which is excellent for families or those who spend a lot on groceries.
  • The Chase Freedom Unlimited® offers 3% cash back on dining and drugstore purchases, which is ideal for those who frequent these spending categories.

• Intro Offers:

  • Discover it® Cash Back offers a unique Cashback Match feature, where Discover matches all the Cashback you earn during your first year.
  • Bank of America® Customized Cash Rewards offers a $200 online cash rewards bonus after making $1,000 purchases within the first 90 days.
  • The Blue Cash Everyday® Card gives a $200 statement credit after spending $2,000 in the first 6 months.
  • The Chase Freedom Unlimited® provides a bonus of 1.5% on everything you buy during the first year (up to $20,000 spent), with high rewards on travel and dining.

• APR & Balance Transfers:

• All cards offer a 0% intro APR for 15 months on purchases and balance transfers, perfect for paying down existing debt or making large purchases without interest.

Which One is Worth Buying?

• Discover it® Cash Back is ideal for those who want high Cashback in rotating categories and enjoy the Cashback Match feature in their first year. It’s excellent for individuals who can manage activating quarterly categories.
• Bank of America® Customized Cash Rewards works best for people who prefer choosing their 3% cash back category and want a sign-up bonus with low spend requirements.
• Blue Cash Everyday® Card from American Express is perfect for families or anyone who spends heavily on groceries. The 3% at U.S. supermarkets can add up fast.
• Chase Freedom Unlimited® is an excellent choice for those who want a straightforward cashback card with a good intro bonus and high rewards on travel and dining.

For those who want flexibility in earning high rewards across multiple categories, Bank of America® Customized Cash Rewards might be the best pick. However, for a rewarding first year with bonus cash back, the Discover it® Cash Back stands out due to its Cashback Match feature.

Why You Might Want A Different Credit Card than Discover it® Cash Back

While the Discover it® Cash Back card offers excellent rewards, it may not fit everyone best. You might want to consider other options if you prefer a more straightforward, hands-off approach to earning rewards. The Discover it® Cash Back requires you to activate rotating categories each quarter to earn 5% cash back, which can be inconvenient for those who don’t want to keep track of these changes.

Additionally, the quarterly bonus rewards are capped at $1,500 in spending per category, which may limit how much you can earn. If you spend a significant amount on categories not included in the bonus or want a card with a flat cashback rate, the Chase Freedom Unlimited® or Bank of America® Customized Cash Rewards may offer a better value. Cards like these allow you to earn a steady cashback rate on every purchase without needing activation.

Lastly, consider making larger purchases and wanting a card with more premium benefits like travel perks or purchase protections. In that case, you may prefer a different card that offers more comprehensive features.

Discover It Cashback Application and Approval Process

• Review your credit score: Discover considers your credit score, income, and other factors when evaluating your application.
• Choose your card variant: Discover offers several “it” cards with different reward categories and benefits.

Application Process:

• Visit Discover’s website: Go to Discover and choose the “Discover it® Cash Back” card.
• Fill out the application: Enter your personal information, income, employment details, and desired credit limit.
• Please review and submit: Carefully review your application and submit it.

Approval Process:

• Discover will review your application and credit report.
• You may receive an instant approval decision or require further verification.
• You’ll receive a welcome email with your account details and card information if approved.
• If denied, Discover will provide reasons for the decision and may offer suggestions for improving your chances in the future.

Contact/Helpline:

• Customer Service: 1-800-347-2683
• Official Website: Discover It

Conclusion

The Discover it® Cash Back Credit Card is an excellent choice for those who want to earn Cash back on everyday purchases and enjoy the benefits of no annual fee credit cards with rewards. Its 5% rotating categories and the Cashback Match feature make it particularly attractive for new cardholders. However, the rotating categories might be challenging for some users who prefer a more straightforward, flat-rate rewards structure.

This card can provide significant rewards if you are disciplined enough to activate the bonus categories each quarter and stay on top of your spending. Pairing it with another card like Capital One Spark Cash Plus the Best Cash Back Business Card that offers a flat-rate cash back can also help you maximize your rewards.

FAQs: Discover it Cash Back Credit Card Review