When it comes to choosing a credit card that offers cashback rewards, two popular options are the Citi Double Cash and the Discover It Credit Card. Both cards have their own unique features and benefits, making it important to compare them to see which one suits your financial needs best. In this article, we will explore the key differences between the cashback rewards offered by these two cards.
Key Takeaways
- Citi Double Cash offers a flat 2% cashback on all purchases, while Discover It Credit Card offers rotating 5% cashback categories that change quarterly.
- Citi Double Cash has no annual fee, whereas Discover It Credit Card offers a cashback match at the end of the first year for new cardmembers.
- Redemption options for Citi Double Cash include statement credits, checks, or direct deposits, while Discover It Credit Card allows cashback redemption for statement credits, direct deposits, or gift cards.
- Citi Double Cash has a straightforward cashback structure with no caps on earnings, while Discover It Credit Card has quarterly spending caps on bonus categories.
- Both cards offer additional benefits such as purchase protection, extended warranty, and no foreign transaction fees.
Cashback Rewards Comparison
Citi Double Cash Features
The Citi Double Cash Card stands out for its straightforward cashback program. Cardholders earn 1% cash back on every purchase when they buy, plus an additional 1% as they pay for those purchases. Unlike some cards with rotating categories or special purchase requirements, the Citi Double Cash rewards consistency and simplicity.
- Earn 1% cash back on all purchases
- Additional 1% cash back as you pay for those purchases
- No caps on the total cash back you can earn
- No category restrictions
The Citi Double Cash Card encourages responsible credit use by rewarding the payment as well as the purchase, aligning financial benefits with good habits.
The card also offers a 0% introductory APR on balance transfers for 18 months, which can be particularly appealing for those looking to consolidate debt and save on interest. After the introductory period, a variable APR will apply based on your creditworthiness.
Discover It Credit Card Benefits
The Discover It Credit Card stands out with its unique cashback match feature. During the first year, all cashback earned is matched by Discover, effectively doubling the rewards you accumulate. This benefit is particularly attractive for new cardholders looking to maximize their earnings.
Discover It also offers a rotating cashback program, where cardholders can earn 5% cashback on up to $1,500 in purchases in various categories each quarter, upon activation. Categories change quarterly and have included gas stations, grocery stores, restaurants, and Amazon.com.
Redemption is straightforward with Discover It. Cardholders can redeem their cashback at any time for statement credits, direct deposits, or purchases at select merchants. There are no minimums for cashback redemption, making it easy to use rewards as you earn them.
Additionally, the Discover It Credit Card has no annual fee, providing a cost-effective option for consumers. The card also includes valuable security features such as free Social Security number alerts and the ability to freeze your account in seconds through the Discover mobile app.
Redemption Options and Restrictions
When it comes to redeeming cashback, both Citi Double Cash and Discover It Credit Cards offer flexibility, but with distinct terms. Citi Double Cash allows you to redeem cashback for checks, statement credits, or direct deposit once you’ve accumulated a minimum of $25. Discover It, on the other hand, provides the option to redeem cashback at any time and for any amount, which can be applied as a statement credit, deposited into a bank account, or used for purchases at select merchants.
| Redemption Feature | Citi Double Cash | Discover It |
|---|---|---|
| Minimum Redemption | $25 | None |
| Redemption Methods | Check, Statement Credit, Direct Deposit | Statement Credit, Bank Deposit, Merchant Purchases |
Both cards do not impose expiration dates on the cashback you earn, ensuring that your rewards are safe as long as your account remains open and in good standing.
It’s important to note that while both cards offer straightforward redemption processes, they may have different impacts on your reward strategy. For instance, the ability to redeem cashback without a minimum threshold with Discover It can be particularly appealing for those who prefer immediate rewards.
Conclusion
In conclusion, both the Citi Double Cash and Discover It Credit Card offer attractive cashback rewards and benefits. While the Citi Double Cash provides a straightforward 2% cashback on all purchases, the Discover It Credit Card offers rotating 5% cashback categories. Choosing between the two depends on your spending habits and preferences. Ultimately, both cards are great options for earning cashback rewards on your everyday purchases.
Frequently Asked Questions
How does the cashback reward system work for Citi Double Cash?
Citi Double Cash offers 1% cash back on all purchases and an additional 1% cash back as you pay for those purchases, making it a total of 2% cash back.
What are the key features of the Discover It Credit Card’s cashback program?
Discover It Credit Card offers rotating quarterly bonus categories where cardholders can earn 5% cash back on up to $1,500 in purchases each quarter, and 1% cash back on all other purchases.
Are there any restrictions on redeeming cashback rewards with Citi Double Cash?
Citi Double Cash allows you to redeem your cash back as a statement credit, check, or direct deposit, with no minimum redemption amount.
What are the redemption options available for cashback rewards with Discover It Credit Card?
Discover It Credit Card offers multiple redemption options, including statement credits, direct deposits, gift cards, and charitable donations.
Do the cashback rewards expire with Citi Double Cash?
The cashback rewards with Citi Double Cash do not expire as long as your account is open and in good standing.
Can cardholders earn cashback rewards on all types of purchases with Discover It Credit Card?
Yes, cardholders can earn cashback rewards on all types of purchases, but the percentage may vary depending on the category and any ongoing promotions.
