The Blue Cash Everyday is a totally different card from the Discover More. It has no 5% quarterly categories, no online shopping mall. So how does the Blue Cash pay cash rebates to cardholders.
Blue Cash Everyday Formula
- The formula is rather simple. It is a straight cash back with no tiers (recall that Discover has a tier up to $3,000 in annual spending). The base rate is 1%. Then, for supermarket expenses, the cash back is 3%. It is 2% for gasoline and department store expenses.
Contrast this to a quarterly category card like this one. The extra 3% and 2% cash back on the relevant expenses are earned throughout the year and not just during a particular quarter.
Comparing Apples to Oranges
- As you can see by now, comparing these two cards is like comparing apples and oranges. They are just different. Well, if this is so, then why did we highlight and talk about this? The reason is because many readers ask about this particular comparison and also because in the world of cash back cards, the market is divided into cards like the Amex and rotating cards like Discover.
These are both good cards. And actually, they are more complementary. Using these two cards together actually allows to earn more cash back. A straight card like Amex allows you to earn more than 1% cash back on certain categories the whole year round. And a card like the Discover More allows you to earn 5% cash back from different categories that would never appear on a card like the Blue Cash Everyday. And you can also earn more from online shopping with Discover.
In the next section, I will share my overall thoughts on this card (yes, finally the verdict)