USAA Preferred Cash Rewards Credit Card review: 1.5% cash back for military members
Editor's Note
USAA Preferred Cash Rewards Visa Signature Credit Card Overview
The USAA Preferred Cash Rewards Visa Signature® Credit Card is a good cash-back option for current and former military members, as well as their spouses and dependents. While it lacks an introductory APR offer or exclusive perks, this card offers a no-frills experience with unlimited 1.5% cash back on purchases and no annual fee, making it a solid choice for military members seeking a simple and rewarding cash-back card. Card rating*: ⭐⭐⭐½
*Card rating is based on the opinion of TPG's editors and is not influenced by the card issuer.
With no annual fee, a recommended credit score of 670 and unlimited cash back on purchases, the USAA Preferred Cash Rewards Credit Card can offer substantial value for military members and their families.
Let's go over the pros and cons of having this card in your wallet.
The information for the USAA Preferred Cash Rewards Visa Signature® Credit Card has been collected independently by The Points Guy. The card details on this page have not been reviewed or provided by the card issuer.
USAA Preferred Cash Rewards Credit Card pros and cons
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USAA Preferred Cash Rewards Credit Card welcome offer
The USAA Preferred Cash Rewards Credit Card offers a $200 reward bonus when you spend $1,000 on qualifying purchases within the first 90 days of account opening.
That's a solid offer for this card's history, although you can definitely do better with some of the more popular card offerings out there.
Related: The best credit card welcome bonuses
USAA Preferred Cash Rewards Credit Card benefits
You won't enjoy many lavish benefits on this no-annual-fee card. Still, the USAA Preferred Cash Rewards Credit Card provides standard travel and shopping protections — such as travel accident insurance and extended warranty protection on U.S. manufacturers' warranties — plus no foreign transaction fees.
It also comes with cellphone protection, which reimburses cardholders up to $500 if an eligible cellphone is stolen or damaged. In order to be eligible for this coverage, you much charge your monthly phone bill to your USAA credit card.
Related: Should you get travel insurance if you have credit card protection?
Earning cash back on the USAA Preferred Cash Rewards Credit Card
The USAA Preferred Cash Rewards Credit Card offers unlimited 1.5% cash back on purchases, with no category restrictions or cap on cash back.
If you're a current or former military member or a family member of someone who serves, it could be a nice starter in the world of cash-back cards.
Related: Cash back vs. travel rewards: How to choose a credit card
Redeeming cash back on the USAA Preferred Cash Rewards Credit Card
Cash back earned with the USAA Preferred Cash Rewards Credit Card never expires, meaning you can redeem cash back on your own schedule.
You can redeem cash back as a statement credit or deposit it directly into a USAA checking or savings account. You could also redeem for gift cards, charitable contributions and travel purchases.
Related: Why you may want a cash-back card
Which cards compete with the USAA Preferred Cash Rewards Credit Card?
There are a handful of other simplified cash-back cards on the market that compete with the USAA Preferred Cash Rewards Credit Card:
- If you want simple cash rewards: The Citi Double Cash® Card (see rates and fees) offers up to 2% earnings on all purchases — 1% when you make a purchase and another 1% when you pay it off. Plus, you can convert your rewards to fully transferable ThankYou points with another Citi card. Read our full review of the Citi Double Cash.
- If you want lucrative earning rates: The Blue Cash Preferred® Card from American Express is one of the best cash-back cards on the market. You'll get an excellent return across various bonus categories and a healthy welcome offer. Cash Back is received in the form of Reward Dollars that can be redeemed as a statement credit and at Amazon.com checkout. Read our full review of the Blue Cash Preferred Card from American Express.
- If you want rotating bonus categories: The Chase Freedom Flex® (see rates and fees) comes with no annual fee and earns 5% cash back on travel booked through the Chase Travel℠ portal, 3% on dining, 3% on drugstore purchases, and 1% cash back on all other purchases. You also earn 5% back (up to $1,500) on purchases in rotating categories each quarter when you activate. For more details, check out our full review of the Freedom Flex card.
For additional options, check out our full list of the best cash-back credit cards.
Related: How to redeem Citi ThankYou Points for maximum value
Is the USAA Preferred Cash Rewards Credit Card worth it?
For military members, including current and former personnel, as well as their spouses and dependents, the USAA Preferred Cash Rewards Credit Card is a suitable choice for cash-back rewards. Although this card does not provide special perks, it offers a straightforward experience with unlimited 1.5% cash back on purchases and no annual fee.
Bottom line
The simple experience of the USAA Preferred Cash Rewards Credit Card makes it an attractive option for military members and their families who want the chance to earn easy cash back on purchases.
It's a solid option for military members looking for a straightforward and rewarding card that won't hurt the wallet. However, there are more lucrative cash-back cards available.
Must be a USAA® member, or become a member, to apply. USAA proudly offers membership to current and former military, as well as their spouses and dependents.
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| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 5X | New! Earn 5X Membership Rewards® points on prepaid hotel stays booked through AmexTravel.com or the Amex Travel App. |
| 3X | Earn 3X Membership Rewards® points on flights booked through AmexTravel.com, the Amex Travel App, or purchased directly from airlines. |
| 2X | Earn 2X Membership Rewards® points on prepaid car rentals booked through AmexTravel.com or the Amex Travel App and cruises booked and paid through AmexTravel.com. |
| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
Pros
- Valuable dining and food-related credits
- Flexible rewards with airline and hotel transfer partners
- Multiple travel and purchase protections
- No foreign transaction fees
- Access to Amex Offers for additional savings (enrollment required)
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $8,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- New! Earn 5X Membership Rewards® points on prepaid hotel stays booked through AmexTravel.com or the Amex Travel App.
- Earn 3X Membership Rewards® points on flights booked through AmexTravel.com, the Amex Travel App, or purchased directly from airlines.
- Earn 2X Membership Rewards® points on prepaid car rentals booked through AmexTravel.com or the Amex Travel App and cruises booked and paid through AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- Pay It® lets you tap in the American Express® App to quickly pay for small purchase amounts throughout the month and still earn rewards the way you usually do. Plan It® gives you the option to split up big purchases into equal monthly payments with a fixed fee. You’ll know upfront exactly how much you’ll pay.
- Updated! $120 Dining Credit: Earn up to a total of $10 in statement credits monthly when you pay with the Gold Card at Grubhub (including Seamless), Buffalo Wild Wings, Five Guys, The Cheesecake Factory, and Wonder. This can be an annual savings of up to $120. Enrollment required.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year at over 10,000 qualifying U.S. Resy restaurants after you pay for eligible purchases with the American Express® Gold Card. That’s up to $50 in statement credits semi-annually. Enrollment required.
- $84 Dunkin' Credit: Earn up to $7 in monthly statement credits after you pay with the American Express® Gold Card at U.S. Dunkin’ locations. Enrollment required.
- $120 Uber Cash on Gold: Enjoy up to $120 in Uber Cash annually with your Gold Card. Just add your Card to your Uber account and you'll get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an Amex Card for your transaction.
- New! As an American Express® Gold Card Member, you can enjoy complimentary Hertz Five Star® Status. Enjoy benefits like skipping the counter at select locations, adding an additional driver at no additional cost*, and vehicle upgrades**. Benefit enrollment and Hertz Gold+ registration are required. *Additional drivers must meet standard rental qualifications and must be a spouse or domestic partner to qualify as complimentary. Other additional drivers subject to fees. **Benefits are subject to availability and vary by location. Additional Hertz program Terms and Conditions including age restrictions apply.
- Take advantage of a $100 credit towards eligible charges* at over 1,300 upscale hotels worldwide when you book The Hotel Collection through AmexTravel.com or the Amex Travel App **. *Eligible charges vary by property. **The Hotel Collection requires a two-night minimum stay.
- Book your travel through the Amex Travel App with added peace of mind – backed by American Express® service and support. Only for American Express® Card Members.
- Whenever you need us, we're here. Our Member Services team will ensure you are taken care of. From lost Card replacement to statement questions, we are available to help 24/7.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.