Discover it® Cash Back

Quick Snapshot

• Annual Fee: $0
• APR: 0% intro for 15 months, then 17.74%–26.74% variable
• Rewards: 5% rotating categories + 1% on everything else
• Bonus: Unlimited Cashback Match (doubles all first-year cash back)
• Best For: Category spenders, first-year value maximizers, balance transfers
• Credit Needed: Good to Excellent (670+)

Overview

The Discover it® Cash Back is a top-tier no annual fee cash back credit card that rewards you with 5% cash back in rotating quarterly categories and 1% on all other purchases. New cardmembers get an incredible Cashback Match benefit where Discover automatically matches all cash back earned in your first year, plus a generous 0% intro APR period.

What sets this card apart is the uncapped Cashback Match—effectively earning 10% back in bonus categories and 2% on everything else during your first year. Combined with no annual fee, no foreign transaction fees, and robust security features, this card delivers exceptional value for those who can maximize the rotating categories.

APR Breakdown

• Purchase APR: 0% intro APR for 15 months, then 17.74%–26.74% variable
• Balance Transfer APR: 0% intro APR for 15 months, then 17.74%–26.74% variable
• Cash Advance APR: 29.99% variable
• Penalty APR: None

Note: Extended 15-month intro APR on both purchases and balance transfers makes this ideal for large purchases or debt consolidation.

Benefits Overview

Travel Benefits

• No foreign transaction fees (use internationally without extra charges)
• Emergency card replacement worldwide
• 24/7 fraud protection while traveling
• Wide acceptance at 99% of merchants nationwide and abroad

Everyday Benefits

• $0 fraud liability guarantee (never responsible for unauthorized purchases)
• Free FICO credit score monitoring
• Social Security number dark web monitoring alerts
• Account freeze feature via mobile app or website
• Instant virtual card available if eligible
• 24/7 U.S.-based customer service

Lifestyle Benefits

• Customizable card designs to personalize your card
• Cash back redemption through PayPal
• Gift card redemptions (often at discounted rates)
• Statement credit or direct deposit options
• No minimum redemption threshold

Rewards & Cash Back

• 5% cash back on everyday purchases at different places each quarter (grocery stores, restaurants, gas stations, Amazon.com, and more) up to $1,500 per quarter when you activate
• 1% cash back on all other purchases (unlimited)
• Quarterly maximum: $1,500 in combined purchases per quarter in 5% categories (then 1%)
• Activation required: Must activate each quarter's 5% categories via app, website, or text
• No expiration: Cash back won't expire for the life of the account
• Redemption options: Cash at any amount, statement credit, gift cards, PayPal transfer, or Amazon purchases

2025 Rotating Categories (Typical Examples)

• Q1: Grocery stores, CVS, Walgreens
• Q2: Gas stations, wholesale clubs, select streaming services
• Q3: Restaurants, PayPal, select retailers
• Q4: Amazon.com, Target, Walmart

Pro Tip: Set a calendar reminder to activate new categories at the start of each quarter (January 1, April 1, July 1, October 1).

Welcome Bonus

Unlimited Cashback Match: Discover will automatically match all the cash back you've earned at the end of your first year. There is no limit to how much they'll match, and this applies even if you redeem rewards throughout the year.

Example Value:

• Earn $300 cash back in your first year
• Get matched with an additional $300
• Total: $600

This essentially doubles your rewards rate to 10% in bonus categories and 2% everywhere else during your first year—one of the most generous first-year offers in the no annual fee category.

Fees Summary

• Annual Fee: $0
• Foreign Transaction Fee: 0%
• Balance Transfer Fee: 3% intro balance transfer fee, up to 5% fee on future balance transfers
• Cash Advance Fee: Either $10 or 5% of the amount, whichever is greater
• Late Payment Fee: Up to $40
• Returned Payment Fee: Up to $40
• Minimum Interest Charge: $0.50

Who This Card Is Best For

Ideal For

• Category spenders who can maximize 5% rotating categories
• First-year value seekers wanting to capitalize on Cashback Match
• Balance transfer needs with 15-month 0% intro APR
• Students and young professionals building credit with rewards
• Organized cardholders who don't mind activating quarterly categories
• International travelers (no foreign transaction fees)

Not Good For

• Forgetful users who won't activate quarterly categories
• Fixed-category preference (gas/dining year-round)
• Low spenders who won't hit quarterly maximums
• Those needing instant approval for premium cards
• Balance carriers (high variable APR after intro period)

Key Pros & Cons

Pros

• No annual fee makes it cost-free to hold forever
• Unlimited Cashback Match doubles all first-year earnings (effectively 10% + 2%)
• Strong 5% rotating categories with generous $1,500 quarterly maximum ($75 max per quarter)
• Extended 15-month 0% intro APR on both purchases and balance transfers
• No foreign transaction fees for international use
• Cash back never expires as long as account remains open
• Free FICO credit score access for cardmembers
• $0 fraud liability guarantee with robust security features
• Social Security number dark web monitoring alerts
• 99% acceptance rate at merchants nationwide
• Instant virtual card available if eligible
• Flexible redemption options with no minimum threshold

Cons

• Must remember to activate 5% bonus categories each quarter
• Rotating categories may not always align with your spending habits
• 5% cash back caps at $1,500 per quarter ($6,000/year) in bonus categories
• Variable APR can be high (up to 26.74%) after intro period if carrying a balance
• Balance transfer fee applies (3% intro, then up to 5%)
• Requires good credit (670+) for approval
• No sign-up bonus beyond Cashback Match
• Limited premium travel benefits compared to travel cards

Alternatives to Consider

How the Rewards Add Up

Example Annual Value (First Year with Cashback Match)

If you maximize quarterly categories and spend $12,000 per year:

First-Year Total Value: $720

Ongoing Annual Value (After First Year):

Ongoing Yearly Value: $360

Compare this to a flat 2% card earning $240 on the same spend, and the Discover it® Cash Back provides $120 more annually if you maximize categories.

Should You Get This Card?

You Should Get It If…

• You're organized enough to activate quarterly categories (takes 30 seconds)
• You want to maximize first-year value with the Cashback Match
• You spend enough to benefit from 5% categories ($1,500+ per quarter)
• You need a 0% intro APR for purchases or balance transfers
• You travel internationally and want no foreign fees
• You have good credit (670+) and want a no annual fee rewards card
• You want free FICO score monitoring and security features

You Should Skip It If…

• You'll forget to activate categories and miss out on 5% cash back
• You prefer automatic rewards without quarterly management
• You spend more than $1,500/quarter in specific categories (5% caps)
• You need premium travel perks or benefits
• You have fair credit or below (consider student or secured cards)
• You want a single consistent earning rate without category rotation

Apply Now

Apply for Discover it® Cash Back

Information accurate as of December 2025. Terms and conditions apply. Please visit the issuer's website for the most current information.