The Blue Cash Preferred is the best cash back card for grocery shoppers. 6% at U.S. supermarkets is the highest grocery rate available on any mainstream credit card. Combined with 6% on streaming services, 3% on gas and transit, and the $84–$120/year Disney Bundle credit, the BCP typically returns several hundred dollars annually for households with meaningful grocery and commuting costs. The $95 annual fee (waived year one) pays for itself at just $264/month in grocery spending.
Earning Structure
| Category | Cash Back | Notes |
|---|---|---|
| U.S. Supermarkets | 6% | Up to $6,000/year in purchases, then 1%. Does NOT include Walmart, Target, warehouse clubs, or meal kits. |
| Select U.S. Streaming Services | 6% | Unlimited. Netflix, Hulu, Disney+, Peacock, Spotify, Apple Music, Paramount+, YouTube TV, Sling, FuboTV, and more. |
| U.S. Gas Stations | 3% | Unlimited |
| U.S. Transit | 3% | Unlimited — Uber, Lyft, subway, buses, trains, taxis, parking, tolls |
| All Other Purchases | 1% | Unlimited |
Cash back is earned as Reward Dollars — redeemable as statement credits or at Amazon.com checkout. No minimum redemption.
$10/Month Disney Bundle Credit
Use your Blue Cash Preferred on an eligible auto-renewing Disney+, Hulu, or ESPN+ (Disney Bundle) subscription each month and receive a $10 statement credit — $120/year potential value. Since the Disney Bundle costs $14–$18/month, you're effectively paying $4–$8/month for it. This single benefit covers nearly the entire $95 annual fee for Disney Bundle subscribers.
Break-Even: When BCP Beats the No-Fee Blue Cash Everyday
BCP charges $95/yr while BCE is free. BCP earns 6% vs. BCE's 3% on groceries — a 3% difference. Break-even on grocery spending alone: $95 ÷ 0.03 = $3,167/yr (~$264/month). For most U.S. families spending $350–$600/month on groceries, BCP earns $100–$200+ more per year than BCE after the fee.
Supermarket Exclusions — Important
The 6% rate applies to U.S. supermarkets only. These popular stores earn just 1%:
- Walmart and Walmart Neighborhood Markets
- Target and Super Target
- Costco, Sam's Club, BJ's Wholesale Club
- Meal kit delivery services (HelloFresh, Blue Apron, etc.)
Traditional supermarkets qualify: Kroger, Safeway, Albertsons, Publix, HEB, Wegmans, Trader Joe's, Whole Foods, Sprouts, ShopRite, Stop & Shop, and most regional grocery chains.
BCP vs. Blue Cash Everyday
| Feature | Blue Cash Preferred | Blue Cash Everyday |
|---|---|---|
| Annual Fee | $95 ($0 yr 1) | $0 |
| Supermarkets | 6% (up to $6K/yr) ✓ | 3% (up to $6K/yr) |
| Streaming | 6% unlimited ✓ | 3% unlimited |
| Gas | 3% | 3% (same) |
| Transit | 3% | 3% (same) |
| Disney Bundle Credit | $10/mo ($120/yr) ✓ | $7/mo ($84/yr) |
| Foreign Transaction Fee | 2.7% | 2.7% |
Pros & Cons
What We Like
- 6% supermarkets — best grocery rate on any mainstream card
- 6% streaming — makes streaming subscriptions essentially free for heavy subscribers
- $10/mo Disney Bundle credit — covers most of the $95 annual fee
- 3% transit including Uber, Lyft, subway, parking, and tolls
- $0 intro annual fee year one — full year to evaluate before paying
- Up to $300 welcome bonus after $3,000/6 months
What to Watch Out For
- $6,000/yr grocery cap — drops to 1% after $500/month in grocery spend
- No Walmart, Target, Costco, or warehouse club grocery earnings at 6%
- 2.7% foreign transaction fee — don't use internationally
- 1% on all non-bonus spending — weak base rate for non-grocery purchases
- Statement credit only — no bank deposit option
Blue Cash Preferred® Card from American Express
6% supermarkets + streaming · 3% gas + transit · Disney Bundle credit · $0 yr 1 then $95
Apply Now →Bottom Line
The Blue Cash Preferred is the right card for families who shop at traditional supermarkets and subscribe to streaming services. The 6% grocery rate is unmatched, the Disney Bundle credit covers most of the annual fee, and the 3% on transit makes it a strong everyday card for commuters. The grocery cap and Walmart/Costco exclusions are the meaningful limitations — but for households spending $250–$500/month at traditional supermarkets, the BCP returns significantly more cash back than any comparable card at the same price tier.