The Perfect TFSA Stock for Young Investors

Portrait of woman having fun in the street.

The Tax-Free Savings Account (TFSA) is one of the most powerful tools for any Canadian investor. Being able to shield capital gains and dividends from the taxman is a key ingredient in the recipe for financial freedom. 

However, the TFSA can be used in different ways to help you meet your financial goals based on your age. If you’re a veteran investor with a huge TFSA deposit, your focus is probably on wealth preservation and income generation. Younger investors, however, should focus on wealth creation instead. 

Here’s how young investors can leverage their TFSA for maximum gains.

Growth over income

Most companies fall into one of two categories: growth or income. To identify which basket a particular stock falls into, you need to pay attention to what the company does with the earnings it generates. 

A company that gives most of its earnings back to investors, either through dividends or buybacks, is an income stock. These stocks usually offer high yields, but don’t offer much price appreciation. BCE is a good example. Although the stock offers a lucrative 5.8% dividend yield, the stock price has been pretty much flat since 2015.  

However, a company that doesn’t offer dividends and reinvests all its earnings to expand is a growth stock. Growth stocks are better for younger investors because they tend to have less wealth accumulated and don’t need cash flow to support themselves. 

By focusing on growth (capital gains) instead of income (dividends) these young investors can use the power of compounding and get better returns than their income-seeking older counterparts. 

Example of TFSA growth

Constellation Software (TSX:CSU) is my favourite example of a growth stock that’s ideal for young TFSA investors. The stock doesn’t offer much in dividends. In fact, the dividend yield is just 0.34% right now.

However, the company’s management team has aggressively reinvested earnings to acquire smaller companies and expand the business. Since its inception, Constellation Software has gobbled up over 300 small- and medium-sized software companies to grow its earnings power. 

Over the past five years, the stock price has nearly tripled. That’s a compounded annual growth rate of 24.6%. Compare that to BCE’s 5.8% annual dividend yield and lack of capital appreciation. That’s why a growth stock like Constellation is a much better fit for your TFSA than a boring high-yield dividend stock. Bear in mind that the CRA cannot touch any of these capital gains. It’s all yours!

Bottom line

As a young investor, what you lack in capital you can make up for with time. Investing in robust stocks for decades, instead of a few years, could help you outperform most of your older, wealthier peers.

Your TFSA is particularly well suited to this long-term growth strategy. The CRA cannot touch any capital gains you accumulate in your account. So, the best way to leverage this account is to focus on hyper-growth stocks with a solid track record. My top pick is Constellation Software.

If you’re looking for the next big tech stock…

This Tiny TSX Stock Could Be the Next Shopify

One little-known Canadian IPO has doubled in value in a matter of months, and renowned Canadian stock picker Iain Butler sees a potential millionaire-maker in waiting…
Because he thinks this fast-growing company looks a lot like Shopify, a stock Iain officially recommended 3 years ago – before it skyrocketed by 1,211%!
Iain and his team just published a detailed report on this tiny TSX stock. Find out how you can access the NEXT Shopify today!

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Fool contributor Vishesh Raisinghani has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Constellation Software.

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Safe Dividends: 2 Stars With Rock-Solid Yields

Increasing yield

Canadians looking to boost their passive income or invest for the long term are always searching for safe dividends. Blue-chip stocks with reliable dividends can be the backbone of a successful passive-income strategy.

However, many stocks are facing unique challenges this year. As such, we’ve seen some stocks drastically cut their dividends recently.

Of course, an income-focused investor would mostly want to avoid stocks with at-risk dividends. So, they would need to seek out stocks that have the resiliency to provide reliable dividends, even in today’s economy.

Today, we’ll look at two TSX stocks with safe dividends. Now, investors can definitely find higher yields elsewhere, but typically those yields are the ones in peril.

Scotiabank

Bank of Nova Scotia (TSX:BNS)(NYSE:BNS) is a major Canadian bank with strong multinational operations. It provides an assorted variety of financial products and services to its customers across many countries.

Of course, it would be difficult to discuss safe dividends without touching on at least one Canadian bank. BNS has a phenomenal track record when it comes to paying and growing its dividend.

In fact, it hasn’t missed a dividend payment since it began paying one out in 1832. That’s a remarkable accomplishment by any metric.

Plus, despite a rough year this year, there are no warning signs to suggest that would change in the future. The long-term outlook for BNS is still largely positive, with international expansion being a potentially huge driver for future growth.

Further, the stock’s payout ratio sits at only 64.06%. This is roughly around the typical range for a bank stock, albeit a tad bit higher. Either way, this dividend is certainly not at risk for a cut in the short term.

As of this writing, BNS is trading at $63.16 and yielding 5.70%. When you can get a safe dividend near 6% attached to a blue-chip giant like BNS, it’s usually time to take note.

Choice

Choice Properties REIT (TSX:CHP.UN) is a large Canadian REIT specializing in retail properties across the country. Despite some ups and downs this year, it’s practically back to trading at prices it started the year at.

Now, especially in today’s economic environment, many investors wouldn’t associate safe dividends with a retail REIT. However, the way this REIT is structured helps it deliver a rock-solid dividend.

More specifically, this REIT’s main tenant at its locations is grocery giant Loblaw. The massive Canadian retailer anchors this REIT’s retail properties, and as such this arguably one of the most stable REITs.

To demonstrate, most REITs on the TSX have a beta exceeding one, while Choice’s sits at 0.44. This means it tends to be less sensitive to market movements.

Plus, a lot of its peers are sporting payout ratios well above 100% as of this writing, while Choice is coming in with a mere 37.62% ratio. This suggests its yield is incredibly safe, no doubt due to its reliable main tenant.

As of this writing, this REIT is trading at $13.42 and yielding 5.51%. Considering this is a very safe dividend, especially compared other REITs, those seeking passive income might be interested in Choice.

Safe dividend investing

Investing in stocks with reliable dividends is a proven method for long-term results. Both these TSX stars offer investors decent value with rock-solid dividends.

If you’re looking for a way to generate some safe passive income, these stocks should be given good consideration.

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Fool contributor Jared Seguin has no position in any of the stocks mentioned. The Motley Fool recommends BANK OF NOVA SCOTIA.

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Millennials: The 3 Best Stocks for the Future

Top view of mixed race business team sitting at the table at loft office and working. Woman manager brings the document

Millennials have been confronted with a second historic financial crisis in a little over a decade. Investors who stuck with the market after the chaos in the late 2000s were handsomely rewarded over the course of the 2010s. This is a lesson that millennial investors hopefully took in as we come close to the end of 2020. There will undoubtedly be huge lingering challenges after this pandemic. There will also be huge opportunities for investors. Today, I want to look at three of the best stocks for those looking to the future.

Best stock in tech? Why Kinaxis is perfect for millennials

Kinaxis (TSX:KXS) is an Ottawa-based company that provides supply chain and operations planning software solutions. The work of this company has vaulted Canada into a leadership position when it comes to this niche technology space. Its shares have climbed 69% in 2020 as of close on November 19. However, the stock is down 19% month over month. This may be a perfect moment for millennials to add one of the best stocks on the TSX since its 2014 IPO.

Back in October, I’d suggested that millennials should look hard at this technology stock. In Q3 2020, Kinaxis saw revenue growth slow in the face of the pandemic. Disruption for Kinaxis’s clients has weighed on its earnings, but the future still looks bright. It increased its revenue and EBITDA guidance for the full year.

Kinaxis possesses a flawless balance sheet and boasts huge growth potential in the years ahead. This qualifies it as one of the best stocks available on the TSX right now.

Seek exposure to cybersecurity this decade

Near the start of 2020, I’d discussed how beginners could seek exposure to the exciting cybersecurity space. Absolute Software (TSX:ABST)(NASDAQ:ABST) was one of the best stocks I’d focused on. This company develops, markets, and provides cloud-based endpoint visibility and control platform for the management and security of computing devices, applications, and data for enterprise and public sector organizations. Its shares have climbed 46% in 2020. The stock has plunged 30% over the past month.

Absolute released its first-quarter fiscal 2021 results on November 9. Total revenue increased 11% year over year to $28.5 million, while net income dropped 25% to $2.6 million. Adjusted EBITDA rose to $8.1 million compared to $7.1 million in the previous year. Millennials can also snag a bit of income from Absolute, which offers a quarterly dividend of $0.08 per share. That represents a 2.5% yield.

Millennials: One of the best stocks that has yet to erupt

Nuvei (TSX:NVEI) is the last of my best stocks for the future that I want to look at today. The company provides payment technology solutions to merchants and partners in North America, Europe, the Asia Pacific, and Latin America. Nuvei went public in September 2020. Its shares have been mostly static so far. That does not mean millennials should turn away from it.

In the third quarter of fiscal 2020, Nuvei reported revenue of $93.6 million — up 32% from the prior year. Adjusted net income soared to $16.5 million compared to $2.5 million in Q3 2019. On November 2, Nuvei announced that it had closed the deal to acquire Dutch payment processors Smart2Pay for $82.9 million. This acquisition creates one of the largest alternative payment method solution providers in the world.

Nuvei is poised to become one of the best stocks over the course of this decade. Millennials should get excited about its promising growth potential and its rock-solid balance sheet.

These are also some of the best stocks to target right now…

This TSX Stock Could Hold The Key to What 1 CEO Says Is Worth 35 Amazons

WHAT in the world could be worth “35 Amazons”? The answer is a radical breakthrough that Wired says is “the rocket fuel of the AI boom.”

We encourage you to act quickly if you want to get in on this opportunity, because the story of the coming boom is already starting to leak out and this trend looks ready to take off.

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Fool contributor Ambrose O’Callaghan has no position in any of the stocks mentioned. The Motley Fool recommends KINAXIS INC.

The post Millennials: The 3 Best Stocks for the Future appeared first on The Motley Fool Canada.

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Huntington 25 Checking $500 Bonus (IN, KY, MI, OH, PA, WV, & IL)

Huntington Bank Review: Best Account For You

Take advantage of the Huntington 25 Checking promotions, bonuses, and offers here.

For residents of Indiana, Kentucky, Michigan, Ohio, Pennsylvania, West Virginia and Illinois, Huntington Bank is offering a $500 bonus when you sign up for a new Huntington 25 Checking Account.

I’ll review the Huntington 25 Checking offer below.

TOP HUNTINGTON BANK PROMOTIONS
*Find all Huntington Bank Promotions here*
PROMOTIONAL LINK OFFER REVIEW
Huntington 25 Checking $500 Cash Review
Huntington 5 Checking $200 Cash Review
Huntington Asterisk-Free Checking® $150 Cash Review
Huntington Bank Unlimited Plus Business Checking $750 Cash Review
Huntington Bank Unlimited Business Checking $400 Cash Review
Huntington Bank Business Checking 100 $200 Cash Review

Huntington 25 Checking $500 Bonus 

Huntington 25 Checking Bonus Coupon

Earn a $500 bonus with the Huntington 25 Checking account.

Huntington Bank offers a $500 cash bonus when you open a Huntington 25 Checking account. Direct deposit is not a requirement for this bonus.

  • Account Type: Huntington 25 Checking
  • Credit Inquiry: Soft Pull via ChexSystems, which does not affect your credit
  • Opening Deposit: No minimum
  • Direct Deposit Requirement: No
  • Monthly Service Fee: See below on how to waive

Your Huntington 25 Checking Account has all the features you want. They include interest on your Checking balance, unlimited non-Huntington ATM withdrawals per statement cycle, 24-Hour Grace when you’re overdrawn and credit score and identity monitoring at no added cost and along with other great relationship benefits.

(Expires 01/07/2021)

How To Earn The $500 Bonus

HOW TO EARN BONUSACCOUNT FEATURESWAIVE THE MONTHLY FEEFINE PRINT
  • Open a Huntington 25 Checking account online
  • Make cumulative new money deposits of at least $15,000 within 60 days of account opening.
  • Your $500 bonus will be deposited into your new checking account within 14 days of meeting the above requirements. Your checking account must remain in an open status to receive the bonus.
  • 24-Hour Grace Overdraft Relief. It is designed to give you more time to make a deposit in order to avoid an Overdraft Fee.
  • Earn Interest on Balances. 0.10% Annual Percentage Yield applies to all balance tiers.
  • Free ATM Withdrawals. They’ll waive all non-Huntington ATM cash withdrawal fees at any ATM and reimburse you for some withdrawal fees charged by another ATM owner.
  • Waived Monthly Maintenance Fee
  • Credit score and identity monitoring at no added cost
  • Monthly maintenance fee is waived if you have $25,000 in Total Relationship Balances; otherwise $25 a month.
  • This offer is only available to applicants residing in Illinois, Indiana, Kentucky, Michigan, Ohio, Pennsylvania or West Virginia.
  • To qualify for the $500 cash bonus, you are required to open a new, qualifying Huntington 25 account during the promotional period, and make cumulative deposits into the checking account of at least $15,000 or more within 60 days of account opening.
  • Your $500 bonus will be deposited into your new checking account within 14 days of meeting the above requirements.
  • Your checking account must remain in an open status to receive the bonus.
  • This offer is only available to new checking customers.
  • All existing Huntington checking customers, including those with any relationship (including fiduciary) to any other Huntington checking account, or those who closed a checking account within the last six months, are not eligible.
  • Transfers from another Huntington deposit account do not count as a deposit.
  • This offer cannot be used in combination with any other checking offer.
  • For tax purposes, you will receive a Form 1099-INT from us for the cash bonus.
  • Huntington reserves the right to limit an individual to one account-related gift incentive per rolling 12-month period across all deposit account relationships.

 Huntington 25 Checking Account Information

Required InformationDeposit MethodsAccount DetailsRelationship Benefits

Upon opening an account, Huntington will require you to have the following information prior to opening an account:

  • Name, date of birth and residential address
  • Contact information
  • Employment information
  • Social Security number
  • Driver’s license or state ID
  • External bank account number and routing number of funding account

Listed below are eligible deposit methods for depositing money into your checking or savings account.

  • Cash by teller
  • Check by teller
  • Bank transfer
  • Cash by ATM
  • Check by ATM
  • Wire transfer
  • Mobile/remote check deposit
  • Direct deposit
  • Interest Bearing APY: Earn 0.05% Annual Percentage Yield on all balance tiers.
  • Unlimited Free ATM Withdrawals:Huntington will waive all non-Huntington ATM cash withdrawal fees at any ATM and reimburse you for withdrawal fees charged by another ATM owner.
  • Free Checks: Receive free check orders with your Huntington 25 Checking account.
  • Savings and Money Market
    • Competitive Rates. Get better relationship rates on savings and money market accounts when you own a Huntington checking account?.
  • Credit Score Monitoring No Added Cost
    • Receive a monthly VantageScore® and quarterly credit snapshots, a credit score simulator and more at no added cost.
  • Identity Monitoring
    • Access to tools that that can alert you to suspicious activity with your personal information and financial accounts at no added cost.
  • Credit Card
    • Get 1.25% cash back on purchases made with your linked Voice Credit Card with Rewards.
  • Home Equity Relationship Discount
    • Get a rate discount on a home equity line of credit plus an annual fee waiver.
  • Mortgage Relationship Discount
    • Get a discount off portfolio loans or pricing discounts on saleable loans.
  • Investments Relationship Discount
    • 100 commission-free online equity and/or ETF trades per year ($6.95 commission thereafter) through Huntington Financial Advisors®?.
  • Family Banking
    • Earn more relationship benefits based on balances in all shared consumer accounts, owned by you or jointly with someone else.

Alternative Huntington Checking Options

Huntington 5 CheckingHuntington Asterisk-Free Checking
Huntington 5 Checking account
Open your Huntington 5 Checking account today and enjoy:
$200 bonus by making total deposits of at least $1,000 within 60 days of account opening. $200 will be deposited in your Huntington 5 Checking account after all requirements are met.
• Earn interest on all balance tiers
• 24-Hour Grace Overdraft Relief
• Five Non-Huntington ATM withdrawal fees waived per statement
• No minimum deposit needed to open
• Enjoy mobile & online banking
• 10% credit card rewards bonus

Huntington Asterisk Free Checking account
Open your Asterisk-Free Checking® account today and enjoy:
$150 bonus by making total deposits of at least $1,000 within 60 days of account opening.
• Free to open and free to maintain with no monthly maintenance fees
• 24-Hour Grace Overdraft Relief
• All Day DepositSM
• Enjoy mobile & online banking

Bottom Line

All in all, the offer is a fantastic choice for those looking for a new banking experience. With a Huntington 25 Checking Account, you will be able to take advantage of a wide variety of account features and services.

Sign up now for the Huntington 25 $500 checking bonus today to enjoy great features such as competitive savings and money market rates as well as unlimited free ATM withdrawals.

For more offers, see our list of the latest promotions from Huntington Bank! However, if you don’t live near their branch, we have a list of bank bonuses for you to choose from.

Helpful Tips:

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FEATURED BANK PROMOTIONS
PROMOTIONAL LINK OFFER REVIEW
Chase Business Complete BankingSM $300 Cash Review
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HSBC Premier Checking Member FDIC $450 Cash Review
HSBC Premier Checking Member FDIC Up To $600 Review
HSBC Advance Checking Member FDIC $200 Cash Review
HSBC Advance Checking Member FDIC Up To $240 Review
BBVA Online Checking & Savings $250 Cash Review
Huntington 25 Checking $500 Cash Review
Huntington 5 Checking $200 Cash Review
Huntington Asterisk-Free Checking $150 Cash Review
TD Bank Beyond Checking $300 Cash Review
TD Bank Convenience CheckingSM $150 Cash Review
Huntington Bank Unlimited Plus Business Checking $750 Cash Review
Huntington Bank Unlimited Business Checking $400 Cash Review
Huntington Bank Business Checking 100 $200 Cash Review
Axos Bank Basic Business Checking $100 Cash Review
Aspiration Spend & Save Account $100 Cash Review
American Express High Yield Savings 0.60% APY Review
CIT Bank Money Market 0.55% APY Review
Simple Up to 0.60% APY Review
Ally Invest Up to $3,500 Cash Review
E*TRADE $0 Commissions Review

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The Best Cash Back Credit Cards of 2020: Sign-Up Bonuses, Rewards

The Best Cash Back Credit Cards of 2020

If you want to start getting rewarded for your purchases, consider signing up for a Cash back credit card! Some cards also offer sign-up bonuses while other cards give extra rewards on groceriesdining, gas, travel and other spending categories.

Depending on the card, you will earn different benefits and rewards so before you sign up for just any card, you should see which one best suits your needs. Continue reading below to learn about our list of The Best Cash Back Credit Cards. 

Bank Offers You May Like
See our best bank bonuses updated daily to earn up to $1,000 in free money. Find popular checking offers such as Chase Bank, HSBC Bank, TD Bank, Huntington Bank, BBVA, Discover Bank, and CIT Bank. See our best rates for Savings and CD too.
OUR CURRENT TOP PROMOTIONS
Chase Private Client $2,000 Bonus Chase Business Complete BankingSM $300 Bonus
Chase Total Checking® $200 Bonus Chase SavingsSM $150 Bonus
HSBC Premier Checking $450 Bonus HSBC Premier Checking Up To $600
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TD Bank Premier Checking $300 Bonus TD Bank Convenience Checking $150 Bonus
Huntington 25 Checking $500 Bonus Huntington Asterisk-Free Checking $150 Bonus
Huntington 5 Checking $200 Bonus Huntington Business Checking 100 $200 Bonus
Huntington Unlimited Business Checking $400 Bonus Huntington Unlimited Plus Business Checking $750 Bonus
Axos Basic Business Checking $100 Bonus Aspiration Spend & Save Account $100 Bonus
Ally Invest Up To $3,500 Bonus BBVA Online Checking & Savings $250 Bonus


Best Cash Back Credit Cards Summary

Citi® Double Cash Card Best flat-rate cash back card
Best no-annual-fee cash back card
Chase Freedom FlexSM Best cash back card with rotating bonus categories
Bank Of America® Cash Rewards Credit Card Best cash back card with custom bonus categories
Capital One® Savor® Cash Rewards Credit Card Best cash back card for dining & entertainment
Blue Cash Preferred® Card From American Express Best cash back card for gas & groceries
Capital One® QuicksilverOne® Cash Rewards Credit Card Best cash back card for fair or average credit
Chase Freedom Unlimited® Best cash back card for pairing

Types of Cash Back Credit Cards

There are four different reward structures that a cash back credit card can fall under:

Flat-rate, cashback cards. Some cards earn a flat rewards rate on all purchases with no bonus categories. For example, Citi® Double Cash Card offers a flat rate of 2% on all purchases. This does limit your earning potential but its good for your everyday purchases.

Tiered rewards. Like most travel credit cards, tiered cash back cards offer bonus earnings on specific categories. For example, Blue Cash Preferred® Card from American Express offers 6% cash back on certain categories, 3% on others and 1% on everything else.

Rotating categories. Earn different rewards rates on the categories your choose. These options rotate on a quarterly basis. For example, Chase Freedom Flex offers 5% cash back in bonus categories that change every three months. While the earning rate is high, they usually have a limit on their bonuses. Keep in mind that you must activate new categories each quarter.

Customized categories. You are able to pick your bonus category on a month-to-month basis. For example, Bank of America Cash Rewards Credit Card allows you to pick your 3% cash back category. You can adjust the rewards structure to better fit your spending.


What to Consider

We’ve taken into account the following factors when deciding on the best grocery credit cards:

  • Welcome bonus
  • Earning potential
  • Annual fee
  • Unlimited vs. capped rewards
  • Redemption threshold
  • Rewards simplicity
  • Additional benefits

The Best Cash Back Credit Cards of 2020

Citi® Double Cash CardChase Freedom Flex?Bank of America® Cash Rewards Credit CardCapital One® Savor® Cash Rewards Credit CardBlue Cash Preferred® Card From American ExpressCapital One QuicksilverOne Cash Rewards CardChase Freedom Unlimited®

The Citi® Double Cash Card is the best flat-rate cash back card and it has no annual fee. It earns 1% cash back on all purchases and 1% back when you pay for those purchases.

If you have a card that earns Citi ThankYou® Rewards, you can convert your Citi Double Cash rewards into ThankYou points.

Citi Double Cash Card Bonus
The Citi® Double Cash Card offers you the chance to earn cash back twice. Earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases. To earn cash back, pay at least the minimum due on time.

Balance Transfer Offer: 0% intro APR on Balance Transfers for 18 months. After that, the variable APR will apply based on your creditworthiness. Balance Transfers do not earn cash back.

This card comes with no annual fee.

The Chase Freedom Flex? is the best cash back card with rotating bonus categories. It earns 5% cash back on up to $1,500 in combined purchases in bonus categories each quarter. Plus, new cardmembers get a $200 welcome bonus, which is rare for a card with no annual fee.

Chase Freedom Flex Card Bonus
The Chase Freedom FlexSM offers a $200 bonus after you spend $500 on purchases in your first 3 months from account opening.

You’ll earn:
• 5% cash back on grocery store purchases (not including Target® or Walmart® purchases) on up to $12,000 spent in the first year.
• 5% cash back on up to $1,500 in combined purchases in bonus categories each quarter you activate.
• 5% on travel purchased through Chase, 3% on dining at restaurants and drugstores, and 1% on all other purchases.

You cash back rewards do not expire as long as your account is open and there is no minimum to redeem for cash back. You’ll be able to new 5% categories each quarter!

This card has no annual fee.

Learn More About This Card Here

The Bank of America® Cash Rewards Credit Card is the best cash back card with custom bonus categories. It earns 3% cash back in the category of your choice, 2% back at grocery stores and wholesale clubs, and 1% back on all other purchases. This card also has a $200 welcome bonus, which is great for a no annual fee card.

The Capital One® Savor® Cash Rewards Credit Card is the best cash back card for dining and entertainment spending. With this card, you can earn 4% cash back on dining and entertainment, 2% back on groceries and 1% back on all other purchases.


The Capital One Savor Cash Rewards Credit Card offers a one-time $300 cash bonus after spending $3000 on purchases within the first 3 months from account opening.

You’ll earn an unlimited 4% cash back on dining and entertainment, 2% at grocery stores and 1% on all other purchases. Capital One cardholders get access to premium experiences in dining, entertainment and more.

This card does carry a $95 annual fee, however, there is a $0 intro annual fee for the first year.

Blue Cash Preferred® Card from American Express is the best overall card for gas and grocery spending. with a high cashback rate. This card offers 6% back on the first $6,000 you spend on groceries each year.

American Express Blue Cash Preferred card
The Blue Cash Preferred® Card from American Express offers a $300 statement credit after you spend $3,000 in purchases on your new Card within the first 6 months. Offer Expires 12/10/2020.

You’ll earn 6% Cash Back at U.S. supermarkets on up to $6,000 per year in purchases (then 1%). 3% Cash Back at U.S. gas stations. 1% Cash Back on other purchases. In addition, you’ll earn 6% Cash Back on select U.S. streaming subscriptions, 3% Cash Back on transit including taxis/rideshare, parking, tolls, trains, buses & more.

The card does come with a $0 introductory annual fee for one year, then $95. (See Rates & Fees)

The Capital One QuicksilverOne Cash Rewards Card is the best cash back card for those with average credit. It earns an unlimited, flat rate of 1.5% cash back on all purchases.

capital one quicksilverone card cash back
With the Capital One QuicksilverOne Cash Rewards Credit Card, you can enjoy:

Earning unlimited 1.5% cash back on every purchase, every day – and earn cash rewards without signing up for any rotating categories.

With responsible use, you can help strengthen your credit and be automatically considered for a higher credit line in as little as 6 months.

You’ll be able to monitor your credit profile with the free CreditWise® app and enjoy $0 fraud liability if your card is ever lost or stolen.

This card comes with a $39 annual fee.

The Chase Freedom Unlimited® is the best cash back card to pair with a points-earning one. It gives an unlimited, flat rate of 1.5% cash back on all purchases, and you can convert your cash rewards into valuable points if you have a card that earns Chase Ultimate Rewards®.

Chase Freedom Unlimited card
The Chase Freedom Unlimited® Card offers a $200 Bonus after you spend $500 on purchases in your first 3 months from account opening. Earn unlimited 1.5% cash back on all purchases.

In addition, you can earn:

• 5% cash back on grocery store purchases (not including Target or Walmart purchases) on up to $12,000 spent in the first year.
• 5% on travel purchased through Chase,
• 3% on dining at restaurants and drugstores, and
• Unlimited 1.5% cash back on all other purchases.

There is no minimum to redeem for cash back & your cash back rewards do not expire as long as your account is open.

This card comes with no annual fee and you’ll get a free credit score that is updated weekly with Credit JourneySM.

Learn More About This Card


Best Cash Back Credit Cards That Require Memberships

Listed below are cash back cards that are great options as well, but they require certain memberships. Keep in mind that the information may have changed by the time this is published. Please check with the card’s issuer before considering the membership associated with these cards.

Alliant Cashback Visa Signature Credit Card. 2.5% cash back on all purchases. $99 annual fee, waived your first year. You must be an Alliant Credit Union member.

Costco Anywhere Visa Card by Citi. 4% cash back on gas (up to $7,000 per year, 1% thereafter), 3% on dining and travel, 2% at Costco and 1% on all other purchases. No annual fee with your paid Costco membership.

Fidelity Rewards Visa Signature Card. 2% cash back on all purchases. No annual fee. You must have a specific Fidelity account.

Sam’s Club Mastercard. 5% cash back on gas (up to $6,000 per year, 1% thereafter), 3% on dining and travel, and 1% on all other purchases. No annual fee. You must have a Sam’s Club membership.

USAA Cashback Rewards Plus American Express Card. 5% cash back on the first $3,000 on combined gas and U.S. military base purchases per year, 2% on the first $3,000 on grocery purchases per year, and 1% on all other purchases. No annual fee. You must be a USAA member.


Additional Guides



Bottom Line

If you aren’t already, you should start getting reward for your purchases. Looking for an easy way to earn rewards with simple redemption options? A cash back credit card would be your best option.

Before you apply to just any credit card, consider doing your research to see which one is the best for you to maximize your earnings. For more credit cards, see our latest list of the best credit card bonuses!

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FEATURED BANK PROMOTIONS
PROMOTIONAL LINK OFFER REVIEW
Chase Business Complete BankingSM $300 Cash Review
Chase Private Client $2,000 Cash Review
Chase Total Checking® $200 Cash Review
Chase SavingsSM $150 Cash Review
HSBC Premier Checking Member FDIC $450 Cash Review
HSBC Premier Checking Member FDIC Up To $600 Review
HSBC Advance Checking Member FDIC $200 Cash Review
HSBC Advance Checking Member FDIC Up To $240 Review
BBVA Online Checking & Savings $250 Cash Review
Huntington 25 Checking $500 Cash Review
Huntington 5 Checking $200 Cash Review
Huntington Asterisk-Free Checking $150 Cash Review
TD Bank Beyond Checking $300 Cash Review
TD Bank Convenience CheckingSM $150 Cash Review
Huntington Bank Unlimited Plus Business Checking $750 Cash Review
Huntington Bank Unlimited Business Checking $400 Cash Review
Huntington Bank Business Checking 100 $200 Cash Review
Axos Bank Basic Business Checking $100 Cash Review
Aspiration Spend & Save Account $100 Cash Review
American Express High Yield Savings 0.60% APY Review
CIT Bank Money Market 0.55% APY Review
Simple Up to 0.60% APY Review
Ally Invest Up to $3,500 Cash Review
E*TRADE $0 Commissions Review

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The post The Best Cash Back Credit Cards of 2020: Sign-Up Bonuses, Rewards appeared first on Hustler Money Blog.

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