Best Discover Credit Cards

of February 2025

Best Discover Credit Cards

In This Article

Introduction

Discover is a unique player in the credit card world, serving as both a payment network and an issuer of its own cards. While it may be the youngest of the major payment networks, Discover has built a reputation for exceptional customer service, tying for second place with Bank of America in J.D. Power’s 2023 credit card customer satisfaction survey.

Despite its youth compared to competitors like Visa and Mastercard, Discover cards pack a punch with valuable rewards programs, sign-up bonuses, and no annual fees. However, limited international acceptance means Discover cards may not be the top choice for frequent overseas travelers.

In this comprehensive guide, you’ll dive deep into Discover’s best credit card offerings, examining the key features, pros, and cons of each to help you determine which card aligns with your spending habits and financial goals.

SUMMARY

1. Discover it Cash Back
2. Discover it Miles
3. Discover it Student CashBack
4. Discover it Chrome Gas & Restaurant
5. Discover it Secured Credit Card
Overview of Discover Credit Cards
How to Choose a Discover Credit Card
Pros & Cons of Discover Credit Cards
What to Watch Out For
Pro Tips
Recap

1. Discover it Cash Back

Discover-it-Cash-Back

Consider the Discover it Cash Back if you’re a moderate spender who’s willing to activate the 5% rotating quarterly categories and track spending caps.

Pros

  • Earn a 5% cash back on rotating quarterly bonus categories after activation (on up to $1,500 spent per quarter)
  • Provides unlimited 1% cash back on all other purchases
  • Doubles all cash back earned after the first year via cash back match
  • Charges no annual fee
  • Offers 0% intro APR on purchases for 15 months

Cons

  • Requires activating the 5% bonus categories each quarter
  • Caps the 5% bonus at $1,500 quarterly spending
  • Pays only 1% base reward rate on non-bonus spending
  • Levies a 3% – 5% balance transfer fee

This card provides remarkable value, especially in the first year when Discover matches all the cash back earned. You earn 5% cash back in rotating quarterly bonus categories after activation (on up to $1,500 spent per quarter), plus unlimited 1% cash back on all other purchases. With no annual fee, it offers a great deal. Enjoy a 0% intro APR on purchases for 15 months, then a variable APR between 17.24% and 28.24%. Keep in mind the 3% – 5% balance transfer fee. Historically, the 5% bonus categories have included popular merchants like grocery stores, gas stations, restaurants, Amazon.com, and more. Maximize your earnings by activating the categories each quarter and strategically planning your spending.

2. Discover it Miles

Discover-it-Miles

If you prefer a straightforward travel rewards program without dealing with rotating categories, the Discover it Miles is for you.

Pros

  • Matches all miles earned after the first year
  • Charges no foreign transaction fees
  • Carries no annual fee
  • Earn an unlimited 1.5x miles on all purchases
  • Offers 0% intro APR on purchases and balance transfers for 15 months

Cons

  • Has limited international acceptance compared to Visa/Mastercard
  • Lacks luxury travel perks or benefits
  • Assesses a 3% – 5% balance transfer fee

You earn an unlimited 1.5 miles per dollar spent on all purchases, with miles redeemable for travel credits or cash back at the same rate. Enjoy a 0% intro APR on purchases and balance transfers for 15 months, then a variable APR between 17.24% and 28.24%. Just be aware of the 3% – 5% balance transfer fee. The Discover it Miles’ consistent 1.5x earnings rate makes it a solid choice if you’re uninterested in tracking bonus categories. Redeem miles for travel statement credits or bank account deposits at a rate of 1 cent per mile.

3. Discover it Student CashBack

Discover-it-Student-CashBack

Students with average or limited credit can gain valuable experience managing credit responsibly with the Discover it Student Cash Back.

Pros

  • Earn a 5% cash back in rotating quarterly categories after activation (on up to $1,500 spent per quarter)
  • Provides unlimited 1% cash back on all other purchases
  • Matches all cash back earned after the first year
  • Charges no annual fee
  • Offers 0% intro APR on purchases for 6 months
  • Remains accessible to students with limited/average credit

Cons

  • Requires activating the 5% bonus categories quarterly
  • Caps bonus earnings at $1,500 in quarterly spending
  • Pays only 1% base reward rate on non-bonus purchases

This no-annual-fee card offers the same 5% cash back categories and first-year cash back match as the standard Discover it Cash Back, but with more relaxed approval requirements. Enjoy a 0% intro APR on purchases for 6 months, then a variable APR between 18.24% and 27.24%. With the same robust cash back program as the standard Discover it Cash Back but lower credit requirements, the student version serves as an excellent starter card to build credit history responsibly.

4. Discover it Chrome Gas & Restaurant

Discover-it-Chrome-Gas-and-Restaurant

While not Discover’s strongest offering, the Discover it Chrome proves valuable for those frequently hitting the road.

Pros

  • Provides unlimited 1% cash back on all other purchases
  • Matches all cash back earned after the first year
  • Charges no annual fee
  • Offers 0% intro APR on purchases for 15 months

Cons

  • Caps the 2% bonus categories at $1,000 per quarter in spending
  • Pays only a 1% base reward rate
  • Charges a 3% – 5% balance transfer fee
  • Lacks any standout benefits

Earn 2% cash back at gas stations and restaurants on up to $1,000 in combined purchases quarterly, plus 1% back on all other spending. The first-year cash back match sweetens the deal. You’ll also enjoy a 0% intro APR on purchases for 15 months, then a variable APR between 17.24% and 28.24%. Keep in mind the 3% – 5% balance transfer fee. The Discover it Chrome lacks the versatility of premier travel cards but could make sense for road warriors able to maximize the 2% bonus categories each quarter.

5. Discover it Secured Credit Card

In the secured card space, few competitors match the value offered by the Discover it Secured Credit Card.

Pros

  • Provides unlimited 1% cash back on all other purchases
  • Matches all cash back earned after the first year
  • Charges no annual fee
  • Allows free monthly FICO® score access
  • Enables automatic account reviews for potential upgrade starting at 7 months

Cons

  • Requires a refundable security deposit
  • Caps the 2% bonus categories at $1,000 quarterly spending
  • Offers few cardholder perks compared to unsecured cards

Despite requiring a refundable security deposit, this card charges no annual fee while allowing you to earn rewards – 2% cash back at gas stations and restaurants (on up to $1,000 spent per quarter) plus unlimited 1% back on all other purchases. Earn Discover’s cashback match after the first year as well. The Discover it Secured Card provides an accessible path for building credit history while enjoying cash back rewards – a rarity in the secured card space. Discover reviews accounts for potential deposit refunds and upgrades as early as 7 months from account opening.

Overview of Discover Credit Cards

Overview-of-Discover-Credit-Cards

When you choose Discover credit cards, you get several standout benefits. You won’t have to worry about annual fees across the entire portfolio. You also won’t be charged foreign transaction fees, although international acceptance may not be as extensive as Visa or Mastercard. You’ll receive your FICO credit score for free each month, which can help you manage your finances better. With identity theft protection assistance, you can monitor and remove personal information from select people-search sites.

Plus, with Discover’s unique “Cash Back Match” feature, you automatically double cash back rewards earned in the first year. However, it’s important for you to note some potential downsides. You might find that the travel and shopping benefits are limited compared to premium travel cards. Additionally, you may encounter balance transfer fees ranging from 3% to 5% of the transferred amount. Keep in mind that rewards for bonus categories often have caps, like the $1,500 quarterly limit on 5% cash back categories with the Discover it cash back card.

How to Choose a Discover Credit Card

With a diverse range of offerings, Discover provides options suitable for various credit profiles and spending habits. Here are some key factors to consider when choosing a Discover credit card:

  • Evaluate Your Credit Score Needs: Discover caters to a wide spectrum of credit levels.
  • Analyze Your Spending Patterns: Cards with rotating 5% categories could prove lucrative if able to maximize bonuses quarterly.
  • Determine Your Desired Rewards Currency: Discover it Miles caters to travel, while cashback is the focus for most other cards.
  • Weigh The Sign-Up Bonus Value: Discover’s cash back match could deliver more long-term value than traditional bonuses.
  • Consider The Fees: All consumer cards have no annual fee, but balance transfer fees of 3%-5% may impact your decision.

Pros & Cons of Discover Credit Cards

  • Offers no annual fees across the entire card portfolio
  • Provides generous cash back rewards programs, especially in year one with the match
  • Includes accessible options for limited/average credit
  • Maintains solid customer satisfaction ratings
  • Furnishes helpful digital tools like free FICO score access and identity protection
  • Caps quarterly bonus categories, limiting earning potential for high spenders
  • Lacks luxury perks compared to premium travel cards
  • Has less international acceptance than Visa/Mastercard
  • Charges balance transfer fees of 3%-5%

What to Watch Out For

What-to-Watch-Out-For-Discover-Credit-Cards
  • Activate Rotating Bonus Categories: Many top cash back cards require manually activating the quarterly 5% bonuses to earn.
  • Mind Bonus Category Caps: Note the quarterly spending limits, often $1,500, on 5% cash back earnings.
  • Lacks Robust Travel Benefits: The Discover it Miles has straightforward travel redemption but fewer luxury travel perks.
  • Incurs Balance Transfer Fees: Transfers from non-Discover accounts charge 3%-5% of the amount transferred.
  • Has Limited International Acceptance: Discover trails Visa and Mastercard globally, so supplement for overseas travel.

Pro Tips

  • Maximize the Cash Back Match: Strategize spending across bonus categories in the first year to maximize Discover’s cashback match and double your earnings. Even small amounts can add up quickly when doubled.
  • Use Category Reminders: Set calendar notifications to remind yourself of activating new 5% bonus categories each quarter. Missing even one quarter could mean lost rewards.
  • Combine With Other Card Strategies: Pair a Discover cash back card focused on rotating categories with a flat-rate card that earns steady rewards across all purchases.
  • Consider Banking Relationship: Discover has relationships with select banks that could provide additional account benefits or perks when bundling financial products.
  • Plan Big Expenses: Utilize new cardmember offers like 0% intro APRs on purchases and balance transfers for large upcoming expenses to minimize interest charges.

Recap

Discover has carved out a unique niche with a compelling suite of credit card offerings covering cash back, travel, student, secured, and more. With no annual fees and valuable rewards programs bolstered by Discover’s signature cash back match, these cards present attractive options for maximizing earnings – especially in the first year.

However, capped bonus categories, limited travel benefits, and international acceptance deficiencies mean Discover cards are best supplemented alongside a complimentary card portfolio that fills any gaps. Evaluate your individual needs against each card’s strengths and weaknesses and craft an optimal credit strategy that squeezes maximum value from your Discover and supporting cards.

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