Discover is introducing new 5% cash back categories beginning July 1, 2026. Qualifying cardholders can earn 5% cash back at gas stations and drugstores and on EV charging, public transportation and flights on up to $1,500 in purchases. This equals up to $75 cash back for the quarter, which ends Sept. 30.
This is the first time Discover has offered transportation categories, and right at the height of summer travel.
[Read: Cash Back Credit Cards]
Which Discover Cards Qualify for 5% Cash Back?
Discover offers two credit cards that give cardholders the ability to 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: Discover it® Cash Back and Discover it® Student Cash Back.
Neither card charges an annual fee, and on top of rotating 5% cash back categories, cardholders earn 1% cash back on everything else. With both cards, Discover will automatically match all the cash back you’ve earned at the end of your first year.
There is a third card, the Discover More, but it has been closed to new applicants for years.
Who Should Consider a Card with Rotating Categories?
Adding a rotating category card can help savvy credit card users maximize cash back throughout the year. While a flat-rate cash back card is crucial for everyday purchases, those willing to track rotating categories — and remember to activate each quarter — can get the most back for their spending. Another popular credit card that offers rotating categories is the Chase Freedom Flex®.
[Read: Best Credit Cards]
Alternative Card to Consider
If you want to maximize rewards for essential spending, consider the Bank of America® Customized Cash Rewards credit card. You’ll earn 6% cash back for one year in one category of your choosing (on the first $2,500 in combined purchases each quarter), then 3% cash back in subsequent years.
Categories include gas and EV charging stations; online shopping, including cable, internet, phone plans and streaming; dining; travel; drugstores and pharmacies; and home improvement and furnishings. Cardholders also earn 2% cash back at grocery stores and wholesale clubs (on the first $2,500 in combined purchases each quarter) and 1% on all other purchases.
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Discover Introduces New 5% Category for Third Quarter originally appeared on usnews.com