Is the Amex Blue Cash Preferred a worthwhile choice?

The Blue Cash Preferred® Card from American Express stands out as one of the top earners in the mid-tier cash-back card category.

With a $0 introductory annual fee (then $95 annually thereafter; see rates and fees), you can take advantage of benefits like monthly statement credits for Disney+ purchases after enrollment, along with competitive earning rates.

Is it really worth the $95 annual fee? Read on to discover more.

Introductory offer

Currently, the Blue Cash Preferred offers a $250 cash back bonus (as a statement credit) when you spend $3,000 on eligible purchases in the first six months of card membership; this welcome bonus corresponds to $500 in monthly spending.

And that’s just the beginning—don’t forget about the card’s additional perks.

Earning potential

The Blue Cash Preferred provides the following attractive earning rates:

• 6% cash back on select U.S. streaming services
• 6% cash back at U.S. supermarkets (on the first $6,000 per calendar year, then 1%)
• 3% cash back on transit (including parking, tolls, ride-hailing, subway, etc.)
• 3% cash back at U.S. gas stations
• 1% cash back on all other purchases

Cash back is earned in the form of Reward Dollars, which can be redeemed as a statement credit or used at checkout on Amazon.com.

Aside from the welcome bonus, the 6% cash back at U.S. supermarkets could cover most of the annual fee for the Blue Cash Preferred. For instance, if you spend $50 each week at U.S. supermarkets, you'd earn about $156 in cash back annually.

In fact, TPG staff member Daisy Hernandez has enjoyed significant rewards from her Blue Cash Preferred card—over $500 in cash back each year for the past decade she's held it.

Disney Bundle credit

With the Blue Cash Preferred, you can sign up to receive $7 back each month as a statement credit (up to $84 per year) after spending $9.99 or more on an eligible subscription to The Disney Bundle—covering Disney+, Hulu, and ESPN+—when using your card (valid only at disneyplus.com, hulu.com, or plus.espn.com in the U.S; requires auto-renewal).

If you’re already paying for these services, transitioning to your Blue Cash Preferred should be seamless, and you’ll enjoy some savings.

Additional perks

The Blue Cash Preferred also provides various travel and shopping protections.

You can benefit from secondary rental car insurance when you pay for the rental with your card, offering up to $50,000 in coverage against theft or damage.*

The Global Assist Hotline provides 24/7 coordination for medical, legal, financial, and other emergency services when you're traveling more than 100 miles from home. Note that this service offers coordination only; you'll be responsible for any third-party service costs.**

For items purchased with your card, you can receive an additional year on top of the manufacturer's warranty (for warranties of five years or less) through extended warranty protection. This coverage is capped at the amount charged to your card—up to $10,000 per item and a total annual limit of $50,000.^

You can also benefit from return protection, which applies to items bought in the last 90 days that the retailer won't accept as returns. You can receive a full refund (excluding shipping and handling) for up to $300 per item, with a maximum of $1,000 per year. This only applies to purchases made in the U.S. or U.S. territories.

Another advantage of your card is purchase protection, which safeguards items bought within the last 90 days against damage, theft, or loss. You can claim up to $1,000 per incident and up to $50,000 annually.^

Conclusion

With its statement credits, attractive earning rates, and useful shopping and travel protections, the Blue Cash Preferred offers substantial value for most users. This assessment comes even before considering the welcome offer and the $0 introductory annual fee. It’s no surprise that we regard it as one of the top cash-back cards available.

For more details about the card, check out our comprehensive review of the Blue Cash Preferred.