Affiliate links for the products on this page are from partners that compensate us and terms apply to offers listed (see our advertiser disclosure with our list of partners for more details). However, our opinions are our own. See how we rate credit cards to write unbiased product reviews.
The information for the following product(s) has been collected independently by Business Insider: Chase Freedom Flex®, Chase Freedom®. The details for these products have not been reviewed or provided by the issuer.
- The Discover it® Cash Back and Discover it® Student Cash Back cards earn 5% back on some purchases.
- Grocery stores and Walmart purchases earn 5% cash back in Q3 2024 from July 1 through September 30.
- Competitor Chase's 5% rotating bonus categories for Q3 are gas/EV charging, movies, and live shows.
Introduction to Discover 5% cash back
The Discover it® Cash Back and Discover it® Student Cash Back are two of our favorite credit cards for students, college graduates, and folks new to credit.
Overview of the Discover 5% cash back program
There are a few different earning structures across the best cash-back credit cards. Some cards offer a flat cash-back rate for all purchases, while others include extra rewards in specific categories. And a few — like the Discover credit cards reviewed in this post — offer increased earnings in quarterly rotating bonus categories.
Discover now announces quarterly bonus categories a few weeks before they go into effect. You'll begin earning extra rewards on eligible purchases once you activate the 5% bonus through your Discover online account and the promotion begins.
Here's where you can start earning big cash rewards in 2024.
Discover it® Cash Back
On Discover's website
Insider’s Rating
Insider's Ratings are decided by our editorial team. The rating system considers various factors and evaluates cards against others of the same type so you can pick a card that is a good fit for your goals.
3.8/5
Perks
Earn 5% cash back on everyday purchases at different places you shop each quarter like grocery stores, restaurants, gas stations, and more, up to the quarterly maximum when you activate. Earn unlimited 1% cash back on all other purchases automatically.
Annual Fee
$0
Intro APR
0% intro APR for 15 months on purchases and balance transfers
Regular APR
18.24% - 28.24% Variable
Intro Offer
Unlimited Cashback Match™ – Discover will automatically match all the cash back you’ve earned at the end of your first year
Earn Unlimited Cashback Match™
Recommended Credit
Recommended credit score. Note that credit card lenders may use many different variations of credit score models when considering your application.
Good to Excellent
Pros
- From July 1 to September 30, 2024, you can earn 5% cash back atWalmart and grocery stores on up to $1,500 in purchases after enrollment, then 1%
- Discover will match your cash back earned at the end of your first account year
- No annual fee
Cons
- Cap on how much bonus cash back you can earn each quarter
- If the quarterly categories aren't convenient for you, you can earn more cash back with a different card
Insider’s Take
The Discover it® Cash Back is one of the best credit cards that offers 5% back on popular rotating categories up to a spending limit. Your rewards are matched by Discover after the first 12 months, and the card has no annual fee.
Discover it Cash Back review External link Arrow An arrow icon, indicating this redirects the user."
Product Details
- Intro Offer: Unlimited Cashback Match for all new cardmembers – only from Discover. Discover will automatically match all the cash back you’ve earned at the end of your first year! There’s no minimum spending or maximum rewards. You could turn $150 cash back into $300.
- Earn 5% cash back on everyday purchases at different places you shop each quarter like grocery stores, restaurants, gas stations, and more, up to the quarterly maximum when you activate. Plus, earn unlimited 1% cash back on all other purchases—automatically.
- Redeem your rewards for cash at any time.
- Discover could help you reduce exposure of your personal information online by helping you remove it from select people-search sites that could sell your data. It’s free, activate with the mobile app.
- Get a 0% intro APR for 15 months on purchases. Then 18.24% to 28.24% Standard Variable Purchase APR applies, based on credit worthiness.
- No annual fee.
- Terms and conditions apply.
How Discover 5% cash back works
Earning 5% back on bonus categories is incredibly easy, but you'll need to take one crucial step each quarter before you begin.
Enrollment and activation
Cardholders must activate the promotion through Discover in order to begin earning 5% bonus cash back, and all purchases must be made within the U.S. in order to qualify.
You can activate the 5% cash back by clicking through the "log in to activate" button on the Discover 5% cash back enrollment page. Once you've filled in the relevant information, you will automatically be enrolled for the quarter.
Earning cash back with Discover
Cardholders earn 5% cash back on up to $1,500 spent, then 1%, in combined bonus categories that change every three months once activated, as well as 1% back on all other purchases (from July 1 to September 30, 2024, earn 5% cash back atWalmart and grocery stores on up to $1,500 in purchases after enrollment, then 1%).
Gas station and EV charge transactions made at supermarkets or wholesale clubs such as Costco may not earn 5% cash back, depending on how the purchase is coded on the back end. Public transit purchases include local commuter buses, trains, and ferries. Taxis and rideshares, as well as long-distance travel on planes, trains, and ships do not count.
2024 Rotating cash back calendar
Here's whatDiscover it® Cash Back and Discover it® Student Cash Back cardholders can expect to earn in 2024 once they activate the quarter's promotion.
Q3 2024: July 1 through September 30
Between July 1 and September 30, 2024, Discover it® and Discover® More® cardholders can earn 5% cash back at grocery stores and Walmart in the U.S. on up to $1,500 in total spend, for up to $75 total cash back.
Qualifying grocery purchases include supermarkets, meat lockers, bakeries, smaller grocery stores, and grocery delivery services. Purchases from Target, convenience stores, wholesale clubs, and discount stores are not eligible.
Walmart purchases include those made at Walmart.com, through the Walmart app, in-store at Walmart Discount Stores, Walmart Supercenter Stores, Walmart Neighborhood Market Stores, Curbside Pickup, Walmart +, and Walmart Gas Stations. Purchases using Walmart Pay with your Discover Card will also be included. Purchases from individual merchants and stand-alone stores within physical Walmart locations may not be eligible for this promotion. Sam's Club purchases are not eligible. Purchases made through affiliates of Walmart.com are not a part of this promotion.
Q2 2024: April 1 through June 30
Between April 1 and June 30, 2024, Discover it® and Discover® More® cardholders can earn 5% cash back at gas stations, electric vehicle charging stations, home improvement stores, and for public transit purchases on up to $1,500 in total spend.
Q1 2024: January 1 through March 31
Restaurant and drugstore purchases earned 5% cash back in Q1 2024. Discover it cardholders earn 5% cash back on the first $1,500 they spend in eligible purchases at full-service restaurants, cafes, cafeterias, fast-food locations, and restaurant delivery services.
Q4 2023: October 1 through December 31
Target purchases earned bonus cash back in Q4 2023.
Q3 2023 Discover 5% calendar: July 1 through September 30
Gas station and digital wallet purchases earned 5% bonuses in Q3 2023.
Q2 2023 Discover 5% calendar:April 1 through June 30
Restaurants and wholesale clubs were the Discover bonus categories for Q2 2023.
Q1 2023 Discover 5% calendar: January 1 through March 31
Purchases at grocery stores, drug stores, and select streaming services earned bonus cashback in Q1 2023.
Q4 2022 Discover 5% calendar: October 1 through December 31
Amazon.com and digital wallet purchases earned bonus cash back in Q4 2022.
Q3 2022 Discover 5% calendar: July 1 through September 30
Restaurants and PayPal purchases earned 5% bonuses in Q3 2022.
Q2 2022 Discover 5% calendar: April 1 through June 30
Gas stations and Target purchases earned the Discover bonus categories in Q2 2022.
Q1 2022 Discover 5% calendar: January 1 through March 31
Grocery stores and fitness club/gym memberships were the Discover bonus categories in Q1 2022.
Maximizing your cash back
Discover it® Student Cash Back
On Discover's website
Insider’s Rating
Insider's Ratings are decided by our editorial team. The rating system considers various factors and evaluates cards against others of the same type so you can pick a card that is a good fit for your goals.
3.8/5
Perks
Earn 5% cash back on everyday purchases at different places you shop each quarter like grocery stores, restaurants, gas stations, and more, up to the quarterly maximum when you activate. Earn unlimited 1% cash back on all other purchases automatically.
Annual Fee
$0
Intro APR
0% intro APR for six months on purchases
Regular APR
18.24% - 27.24% Variable
Intro Offer
Unlimited Cashback Match™ - only from Discover. Discover will automatically match all the cash back you've earned at the end of your first year
Earn Unlimited Cashback Match™
Recommended Credit
Recommended credit score. Note that credit card lenders may use many different variations of credit score models when considering your application.
Fair/New to Credit
Pros
- From July 1 to September 30, 2024, you can earn 5% cash back atWalmart and grocery stores on up to $1,500 in purchases after enrollment, then 1%
- Discover matches your cash back after the first year
Cons
- Not the most rewarding cash-back card for non-bonus purchases
Insider’s Take
The Discover it® Student Cash Back is a great choice if you're a student with limited credit history and want to earn a strong rate of cash back on your everyday spending without paying an annual fee.
Discover it Student Cash Back review External link Arrow An arrow icon, indicating this redirects the user."
Product Details
- Intro Offer: Unlimited Cashback Match for all new cardmembers - only from Discover. Discover will automatically match all the cash back you've earned at the end of your first year! So you could turn $50 cash back into $100. Or turn $100 cash back into $200. There's no minimum spending or maximum rewards. Just a dollar-for-dollar match.
- Earn 5% cash back on everyday purchases at different places you shop each quarter like grocery stores, restaurants, gas stations, and more, up to the quarterly maximum when you activate. Plus, earn unlimited 1% cash back on all other purchases-automatically.
- Redeem your rewards for cash at any time.
- No credit score required to apply.
- Discover could help you reduce exposure of your personal information online by helping you remove it from select people-search sites that could sell your data. It's free, activate with the mobile app.
- No annual fee and build your credit with responsible use.
- 0% intro APR on purchases for 6 months, then the standard variable purchase APR of 18.24% - 27.24% applies.
- Terms and conditions apply.
Planning purchases according to the calendar
The best way to maximize your 5% cash back opportunities is by planning your purchases around the Discover bonus calendar. For example, you can purchase grocery store gift cards during 5% rotations to use in later months. You can also purchase travel during promotion periods, and adjust your plans as needed if there are no associated change fees.
Tips for maximizing rewards in each category
Discover offers more redemption options than many people realize. If you have any of its cash-back credit cards, you can apply rewards to your bill as a statement credit or request a direct deposit to your bank account, redeem them toward Amazonand PayPal purchases, or cash them in for gift cards from select retailers.
Donations to select charities
You can also donate your rewards to select charities, including:
- American Cancer Society
- ASPCA
- American Red Cross
- Children's Miracle Network
- Junior Achievement
- Juvenile Diabetes Research Foundation
- Make-A-Wish
- Operation Homefront
- World Wildlife Fund
Quarterly rotating categories explained
Chase Freedom Flex®
Insider’s Rating
Insider's Ratings are decided by our editorial team. The rating system considers various factors and evaluates cards against others of the same type so you can pick a card that is a good fit for your goals.
4.4/5
Perks
Earn 5% cash back on up to $1,500 in combined purchases in bonus categories each quarter you activate. Earn 5% cash back on travel purchased through Chase Travel℠. Earn 3% cash back on drugstore purchases and dining at restaurants, including takeout and eligible delivery services. Earn unlimited 1% cash back on all other purchases.
Annual Fee
$0
Intro APR
0% intro APR on purchases and balance transfers for the first 15 months
Regular APR
20.49% - 29.24% Variable
Intro Offer
$200 cash bonus (received as 20,000 bonus points) after spending $500 on purchases in the first three months from account opening, plus earn 5% cash back on PayPal, wholesale clubs, and select charities on up to $1,500 in combined purchases in this quarter's bonus categories
Earn $200 cash bonus
Recommended Credit
Good to Excellent
Pros
- No annual fee
- Generous bonus cash-back categories
- Great welcome bonus
Cons
- Booking through Chase Travel℠ can restrict outside earning potential
- Varying percentages and rotating calendar categories require extra attention
- 3% foreign transaction fees
Insider’s Take
The Chase Chase Freedom Flex® is a great pick if you want one of the best no-annual-fee cards with big earning potential and impressive benefits. It's an even better choice if you already collect Ultimate Rewards points with other Chase cards, because you can combine your points and potentially get even more value.
Chase Freedom Flex review External link Arrow An arrow icon, indicating this redirects the user."
If you like the idea of earning a bonus in categories that rotate each quarter, you should consider the Chase Freedom Flex® . Like its predecessor, the Chase Freedom® (no longer open to applicants), the no-annual-fee Chase Freedom Flex® offers 5% cash back in rotating categories after activation that are often different from Discover's in the same quarter.
With the Chase Freedom Flex, you'll earn 5% back (5x Chase Ultimate Rewards® points) on up to $1,500 spent in combined quarterly bonus categories after activation (then 1%), 5% back on travel purchases made through Chase Travel℠, 3% back on drugstore and dining purchases, and 1% back on everything else.
Similar to Discover, you can redeem rewards from the Chase Freedom Flex for statement credits, cash back, gift cards, merchandise, and more.
If you also have a Chase Sapphire Preferred® Card, Chase Sapphire Reserve®, or Ink Business Preferred® Credit Card, you can turn your cash back into Chase Ultimate Rewards points and unlock more redemption options, including transferring points to Chase's airline and hotel partners, like United Airlines and Hyatt.
Discover 5% calendar frequently asked questions
How do I earn 5% cash back with Discover?
Discover it® Cash Back and Discover it® Student Cash Back cardholders can earn 5% back on different categories after enrolling in Discover's quarterly promotion and making eligible purchases.
What are the rotating categories for Discover's 5% cash back program?
Discover's 5% cash back categories for Q3 2024 are grocery stores and Walmart purchases.
Do I need to sign up each quarter to earn 5% cash back?
Yes, eligible cardholders must activate the 5% cash back promotion each quarter to qualify for the 5% bonus. The bonus does not apply until enrollment is complete.
What are some tips for maximizing my cashback?
Our credit card experts recommend planning ahead for bonus categories and making big purchases during bonus quarters.
Can I earn 5% cash back on purchases beyond the $1,500 limit?
No, Discover 5% cash back is capped at $1,500 in combined purchases each quarter, which is worth $75 in cashback rewards.
Investing and Retirement Reporter
Tessa Campbell is an investing and retirement reporter on Business Insider’s personal finance desk. Over two years of personal finance reporting, Tessa has built expertise on a range of financial topics, from the best credit cards to the best retirement savings accounts.ExperienceTessa currently reports on all things investing — deep-diving into complex financial topics, shedding light on lesser-known investment avenues, and uncovering ways readers can work the system to their advantage.As a personal finance expert in her 20s, Tessa is acutely aware of the impacts time and uncertainty have on your investment decisions. While she curates Business Insider’s guide on the best investment apps, she believes that your financial portfolio does not have to be perfect, it just has to exist. A small investment is better than nothing, and the mistakes you make along the way are a necessary part of the learning process.Expertise:Tessa’s expertise includes:
- Credit cards
- Investing apps
- Retirement savings
- Cryptocurrency
- The stock market
- Retail investing
Education:Tessa graduated from Susquehanna University with a creative writing degree and a psychology minor.When she’s not digging into a financial topic, you’ll find Tessa waist-deep in her second cup of coffee. She currently drinks Kitty Town coffee, which blends her love of coffee with her love for her two cats: Keekee and Dumpling. It was a targeted advertisem*nt, and it worked.
Top Offers From Our Partners
Chime® Checking Account Set up Direct Deposit and get your paycheck up to 2 days before your coworkers.** No overdraft fees. No monthly fees. Chime is a financial technology company, not a bank. Banking services provided by The Bancorp Bank, N.A. or Stride Bank, N.A., Members FDIC. **Early access to direct deposit funds depends on the timing of the submission of the payment file from the payer. We generally make these funds available on the day the payment file is received, which may be up to 2 days earlier than the scheduled payment date.
Editorial Note: Any opinions, analyses, reviews, or recommendations expressed in this article are the author’s alone, and have not been reviewed, approved, or otherwise endorsed by any card issuer. Read our editorial standards.
Please note: While the offers mentioned above are accurate at the time of publication, they're subject to change at any time and may have changed, or may no longer be available.
**Enrollment required.
