Best Credit Cards for New Parents

If you’re reading this, congratulations – your life is about to change most wonderfully. Along with all the joys of parenthood, I know you’re probably looking at lots of new expenses too. But you know what can help make life a tiny bit easier? The right credit card.

With a card that earns bonus rewards on all your new parent purchases, you can rack up cash back or travel points without even trying. So let me break down some of the top credit card picks to consider as you navigate this wild ride called parenthood.

In this post, we will cover the best credit cards for earning cash back, travel rewards. And more on all your new parent purchases. Get ready to be the savviest mom or dad on the playground.

The Best Credit Cards for New Parents

1. Blue Cash Preferred Card from American Express

Let’s start with a popular choice – the Blue Cash Preferred® Card from American Express. As a new parent, you’re likely spending quite a bit at the grocery store on items like formula, diapers, and snacks for your little one. Well, this card allows you to earn a fantastic 6% cash back at U.S. supermarkets (up to $6,000 per year, then 1%).

But that’s not all! You’ll also:

Earn 6% cash back on select U.S. streaming services
Get 3% cash back on transit like Uber rides
Receive 3% cash back at U.S. gas stations

Plus, there’s a nice $250 welcome bonus after you spend $3,000 in the first 6 months, making the Blue Cash Preferred a potential MVP for new parents.

The only potential downside is the $95 annual fee (waived the first year). However, if your spending aligns with those bonus categories, the rewards could easily offset the annual fee.

2. U.S. Bank Shopper Cash Rewards Visa Signature Card

If you’re someone who buys in bulk, the U.S. Bank Shopper Cash Rewards Visa Signature Card is like a supercharged loyalty card.

This card allows you to:

Choose two retailers where you’ll earn a massive 6% cash back on up to $1,500 in combined spending each quarter

For example:

If you need to stock up on baby gear at Buy Buy Baby? Boom, you’ll get 6% cash back
Prefer the superstore savings at Target or Walmart? You can choose those retailers from the eligible list

On top of that, you’ll also:

Earn 3% cash back in a category of your choosing, like gas, groceries, or bills

The potential rewards with this card are enormous. However, you’ll need to stay organized to maximize those rotating categories each quarter. There’s also a $95 annual fee after the first year.

But the card does come with a $250 welcome bonus for spending $2,000 in the first 120 days, which could make it worth giving this card a shot.

3. Citi Double Cash Card

For days where you just want to keep things blissfully simple. For those moments, there’s the Citi Double Cash Card. This no-annual-fee gem earns you an unlimited 2% cash back on every purchase – 1% when you buy, 1% when you pay your bill. No bonus categories to track, no quarterly enrollments.

The Citi Double Cash Card offers:

No annual fee
Unlimited 2% cash back on every purchase
– 1% when you buy
– 1% when you pay your bill
No bonus categories to track or enroll in quarterly

Just straightforward cash back earnings in your pocket.

While 2% may not be the absolute highest rate, the effortless earning structure could be ideal for busy parents who don’t want to deal with complicated rewards programs. As an added perk, you’ll also get:

$200 cash bonus after spending $1,500 in the first 6 months

So if you prefer a no-fuss cash-back card, the Citi Double Cash delivers simplicity.

4. Discover it Cash Back

This $0-annual-fee pick earns 5% cash back in rotating quarterly bonus categories that have included super useful ones for families like gas stations, grocery stores, and Amazon purchases (up to $1,500 per quarter after activation, then 1%).

What really makes this card shine is that incredible welcome bonus: Discover will MATCH all the cash back you’ve earned after the first year with no limits! So if you racked up $300 cash back, they’ll double it to $600 automatically. I mean, who wouldn’t want free money?

The Discover it Cash Back card:

$0 annual fee
Earns 5% cash back in rotating quarterly bonus categories, which have included:
– Gas stations
– Grocery stores
– Amazon purchases
(5% cash back on up to $1,500 spent per quarter in these categories after activation, then 1%)

5. Costco Anywhere Visa Card by Citi

Hear me out: if you have a Costco membership already, the Costco Anywhere Visa® Card by Citi could save you big bucks as a new parent. You’ll grab a smooth 4% cash back on eligible gas purchases (up to $7,000 per year, then 1%) and 3% back on restaurant and travel spending.

But my favorite perk? A stellar 2% cash back on all Costco and Costco.com purchases – because you know you’re hitting up that magical land of bulk savings on the regular now. With no annual fee for the card itself, it’s an easy cash-back machine if you’re already paying that Costco membership fee.

6. Target REDcard Credit Card

Target run, anyone? The Target REDcard Credit Card is a must-have for those who practically live at this superstore heaven. By swiping this card, you’ll instantly get 5% off every single Target purchase – no tracking points or dealing with rewards redemptions.

Each year, you can get a 10% discount on your anniversary sale and get extra discounts on services like same-day delivery or pickup. Certainly, the store card is closed-loop. For Target shoppers who are serious about keeping their budget in check, the 5% discount could lead to significant savings over time.

7. Amazon Prime Rewards Visa Signature Card & Instacart Mastercard

Online shopping has been a lifesaver for so many parents – with one click. You can have everything from books to blankies delivered straight to your doorstep.

For the Amazon fanatics, the Amazon Prime Rewards Visa Signature Card is a game-changer. As a Prime member, you’ll earn a huge 5% cash back on all Amazon.com and Whole Foods Market purchases. Plus, you’ll pocket 2% back on spending like gas stations, restaurants, and drugstores.

But for those who prefer grocery delivery, check out the new Instacart Mastercard. This one earns an outstanding 5% cash back on every Instacart delivery order. 5% back on travel purchased through Chase, and 2% back on spending like restaurants and streaming services. As a sweet welcome offer, you’ll even score a free year of Instacart+ membership and a $100 Instacart credit.

Making the Most of Your New Parent Credit Card

Wow, that’s a lot of options to choose from! Here are a few quick tips as you deliberate:

Look at where you currently spend the most and try to match your top categories to a card’s bonus rewards program. That way, you’re maximizing returns on purchases you’d make anyway.
Don’t bite off more than you can chew reward-wise. If doing the math to activate quarterly categories feels overwhelming right now, stick with a simple flat-rate cash back card.
Pay close attention to annual fees and do the math on whether they’re worthwhile based on your projected spending.
Make sure to hit the ground running with any welcome bonuses offered! Those sign-up incentives can stuff your wallet quickly.

At the end of the day, there’s no single “best” card for every parent’s needs. But by finding one that lines up with your spending patterns and lifestyle, you can save money while keeping your budget (somewhat) sane. Every little bit helps in this whirlwind stage of life.

Conclusion

Finding the best credit card for your family is a crucial step in managing your finances and making the most of your spending. You have to consider your unique needs, spending habits, and lifestyle, you can choose a card that provides valuable rewards, perks, and benefits tailored to the demands of modern parenthood.

With the right card in your wallet, you can turn those constant baby expenditures into piles of cash back.

Remember, a well-chosen credit card is a powerful tool that can help you save money, simplify your life, and create lasting memories with your loved ones.