USAA Cashback Rewards Plus American Express® Credit Card Review 2024

The no annual fee USAA Cashback Rewards Plus American Express® Card* earns 5% cash back on the first $3,000 in combined gas and military base purchases yearly, 2% cash back on the first $3,000 in grocery purchases yearly and 1% cash back on all other purchases. The rewards rates appear attractive, but the bonus category caps mean the card’s potential is limited compared to other products that offer elevated rewards on groceries and gas. However, few cards offer elevated earnings on military base spending so for those who spend around $3,000 a year in that category, the card could be ideal. But if you spend more than that, a flat-rate 2% cash-back card may be more valuable.

For those who qualify, the low end of the card’s APR range is below the average for that of a rewards credit card.

A nice perk with this card is that it comes with a healthy set of travel benefits. The card has no foreign transaction fees and offers baggage delay and travel accident insurance as well as auto rental and trip cancellation and interruption coverage. The card also offers extended warranty protection on certain purchases made with the card.

• $0 annual fee
• Earn 5% cash back on the first $3,000 in combined gas and military base purchases yearly, 2% cash back on the first $3,000 in grocery purchases yearly and 1% cash back on all other purchases.
• Several travel insurances and coverages

Earning Rewards

The USAA Cashback Rewards Plus American Express® Card* earns 5% cash back on the first $3,000 in combined gas and military base purchases yearly, 2% cash back on the first $3,000 in grocery purchases yearly and 1% cash back on all other purchases. Purchases made at wholesale or discount stores like Costco, Walmart or Sam’s Club do not qualify to earn cash back.

Redeeming Rewards

Cash-back rewards may be redeemed online at USAA.com or by calling the card issuer. Cash-back rewards are awarded in whole cent increments and credited to your account or deposited into your USAA checking or savings account. You can also redeem rewards for travel, merchandise, gift cards or charitable contributions, though they may be worth slightly less this way. Cardholders have 90 days after they close their account to redeem remaining rewards.

Rewards Potential

Earning 5% back on a combined $3,000 spent at gas stations and military base purchases would result in $150 in annual cash-back rewards. We estimate that average grocery store spending is $7,243 annually, and the first $3,000 in spending in this category would result in $60 in annual cash back. The remaining $4,243 in grocery purchases would earn $42.43 in cash back for the year for a total of $102.43. Other annual spending of  $31,994 will earn $319.94 for a total of $524.80 in annual cash back.

• 24/7 service. Around-the-clock cardholder customer support.
• Cellphone protection. When you enroll and pay your monthly bill with the card, you can get up to $500 if your phone is stolen or damaged.
• Baggage delay reimbursement. If your baggage is delayed while traveling, you can be reimbursed for up to $100 a day for up to three days.
• Travel accident insurance. Travel accident insurance is automatically provided when the card is used to purchase most commercial transportation, including airfare.
• Auto rental insurance. Decline the collision damage waiver when you pay with your card. Coverage is secondary to other insurance you have.
• Trip cancellation/interruption insurance. If your trip is canceled or interrupted for covered reasons, insurance benefits apply up to $1,500 per covered person.
• Zero liability protection. Cardholders aren’t responsible for unauthorized purchases.

Interest Rates

• Regular APR: 17.15% - 31.15% variable
• Purchase intro APR: N/A
• Balance transfer intro APR: 0% Introductory APR for 15 billing cycles for any balance transfers made in the first 90 days

Fees

• Annual fee: $0
• Balance transfer fee: 5% of the amount of each balance transfer
• Foreign purchase transaction fee: None

USAA Cashback Rewards Plus American Express® Card* vs. USAA Rewards™ Visa Signature® Credit Card*

Despite a different rewards structure, the USAA Rewards™ Visa Signature® Credit Card* is similar to the USAA Cashback Rewards Plus American Express® Card* in nearly every other way. The card earns 2 points per dollar spent at gas stations and on dining and 1 point per dollar on all other purchases. Though its terms do not provide a fixed cash redemption value, if the average value of redemptions worked out to at least a penny a point, a cardholder would need to spend significantly more on gas and dining each year to earn more than the USAA Cashback Rewards Plus Amex could earn before reaching the spending caps on its bonus reward categories.

Whether one USAA card over the other will be right for you will mostly depend on your spending habits and reward preferences.

USAA Cashback Rewards Plus American Express® Card* vs. Costco Anywhere Visa® Card by Citi*

Road warriors seeking a gas rewards card should consider the Costco Anywhere Visa® Card by Citi*. Though the card requires a Costco membership, which starts at $60 a year, there’s no annual fee for card ownership and it earns 4% cash back on eligible gas and EV charging purchases for the first $7,000 spent annually, 1% thereafter, 3% cash back on restaurants and eligible travel purchases, 2% cash back on purchases from Costco and Costco.com and 1% cash back on all other purchases. A Costco membership is required to apply.

The Costco Anywhere Visa by Citi also has no foreign transaction fees but only offers theft and damage protection and car rental insurance as an added benefits where the USAA Cashback Rewards Plus Amex offers more travel-related benefits.

USAA Cashback Rewards Plus American Express® Card* vs. Navy Federal More Rewards American Express® Card

With a similar requirement to join Navy Federal’s credit union to apply, the Navy Federal More Rewards American Express® Card also earns rewards in similar categories, with additional ones. The card earns 3 points per dollar spent at restaurants and on food delivery, at supermarkets, on gas and transit and 1 point per dollar on everything else. We expect this rewards structure is better than the rewards structure on the USAA Cashback Rewards Plus American Express for most consumers.

Though it lacks several of the same travel benefits, the Navy Federal More Rewards Amex does offer an auto rental collision damage waiver as well as purchase loss/damage protection, theft protection, price protection and extended warranty protection. The card has no annual fee as well as no balance transfer or foreign transaction fees. The clear winner for most is the Navy Federal More Rewards American Express, but compare your spending habits to the rewards structure before committing to this (or any) card. Of course, the membership requirement is also a factor.

Although this card has much to offer in terms of benefits, its rewards earning is hampered by bonus category limits. USAA members should compare the bank’s handful of credit cards to find one with a rewards structure that most closely aligns with their spending habits, because the benefits on other USAA cards are nearly identical. When it comes to military-focused cards, better options exist with other institutions, though membership may also be required.

Forbes Advisor considers a variety of criteria when assigning credit cards a rating. Cards are graded based on numerous factors, including:

• Annual fees
• Welcome bonus offers
• Ongoing earning rates
• Value of individual points or miles
• Included travel or merchant credits
• Additional cardholder benefits

Card features we expect cardholders to use the most often are weighted more heavily in our ratings. Altogether, the factors come together to provide a star rating for each individual card.

To learn more about our rating and review methodology and editorial process, check out our guide on how Forbes Advisor rates credit cards.