The type of card you should add to your wallet during this exciting period of your life likely depends on your retirement plans.
Are you going to be traveling the globe on adventurous excursions? Or will you be settling into a post-employment routine that involves a more fixed budget? Perhaps your plan is somewhere in between.
For many retirees, simplicity and ease-of-use should be the guiding light when it comes to credit cards.
That's why Team Clark recommends considering a cash back credit card that gives you 2% back on all purchases with no categorical restrictions or spending limits. This is like receiving a 2% discount on everything you buy.
If you don’t have one of these in your wallet, we recommend applying for one. And if you have an existing credit card that doesn’t offer cash back rewards, you should inquire with your issuing bank about being moved to a card with a cash back program.
If you already have a 2% cash back card, you may be able to enhance your rewards earning potential by picking a card that gives bonus rewards for the type of purchases you make most often in retirement.
After hours of research and careful consideration, we have assembled a list of the best credit cards for retirees.
In addition to rewards programs, we considered factors like welcome offers, introductory APR and bonus categories when assembling the list. You can read our full methodology here.
The Best Credit Cards for Retirees to Apply for Right Now
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Citi Double Cash® Card
Best for Everyday Purchases
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Wells Fargo Active Cash® Card
Best for Introductory APR Period
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Chase Sapphire Preferred® Card
Best for Welcome Bonus Offer
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Capital One Venture X Rewards Credit Card
Best for Travel
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Fidelity® Rewards Visa Signature®
Best for Retirement Savings and Investing
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Blue Cash Preferred® Card from American Express
Best for Supermarket Shopping and Streaming TV
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Costco Anywhere Visa® Card by Citi
Best for Gasoline and Bulk Shopping
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What Retirees Should Consider Before Applying for a Credit Card
Before we get deeper into the details on each of these cards, here are a few things retirees should consider before applying:
- Consider the simplicity of cash back. For this season of your life, you may find that a simple, easy-to-understand rewards program is best. Clark often recommends 2% cash back cards with no categorical restrictions to accomplish this. Many of these have no annual fee, and they'll give you the option to use your cash back as statement credits to help cover your bill.
- How much will you travel? On the surface, a travel credit card seems like something most retirees would want to consider. But Clark says people who carry travel cards with expensive annual fees need to have very high travel charge volumes to make it make sense. You should do an honest assessment of whether that makes sense for your budget.
- It may be wise to consider a card with no annual fee. Everyone's retirement budget is different, but committing to an annual fee on a credit card is at least something to consider. Our lists include cards that have annual fees, but we also make sure to include several no-annual-fee options.
- Check with a credit union if you need to carry a balance. If you're going to carry a balance on your credit card, you'll want to worry less about rewards and more about getting the lowest APR possible. Credit unions often offer lower interest rates on credit cards than banks.
- You'll need to thaw your credit to apply. Most credit card issuers require a "hard" credit inquiry to assess whether they want to accept your application. That means retirees who have wisely decided to freeze their credit will have to temporarily thaw it during this process. Clark recently addressed how to best do this on an episode of The Clark Howard Podcast.
Best for Everyday Purchases: card_name
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Annual Fee:
$0.00
Rewards Program Details:
Earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases. To earn cash back, pay at least the minimum due on time. Plus, for a limited time, earn 5% total cash back on hotel, car rentals and attractions booked on the Citi Travel℠ portal through 12/31/24.
This Is the Card for You If:
You are looking for a steady cash back return on everyday purchases. This card nets 2% back on all purchases with no spending caps, category restrictions or annual fee. |
Why We Like It for Retirees
Money expert Clark Howard has long recommended carrying a no-annual-fee credit card that pays 2% back on all purchases without any spending category requirements. And this card, which he carries in his wallet, checks both of those boxes.
Think of it this way: Using this card on your everyday purchases is like getting a 2% discount on everything you buy, provided that you pay your bill in full each month to avoid interest charges. Just redeem your Thank You® Points as a statement credit to have your earnings applied directly to your bill.
Best for Introductory 0% APR Period: Wells Fargo Active Cash Card
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Annual Fee:
$0.00
Rewards Program Details:
Earn unlimited 2% cash rewards on purchases with no categories to track or quarterly activations.
Intro APR Period on New Purchases:
15 months
Intro APR Period on Balance Transfers:
15 months
Variable APR:
20.24%-29.99% based on your creditworthiness.
This Is the Card for You If:
You want an everyday spender that earns 2% cash back on all purchases with no annual fee. |
Why We Like It for Retirees
This card offers unlimited 2% cash back on all purchases, which is what we mentioned earlier as a primary goal for many retirees.
But if you find yourself making a major purchase that will require that you temporarily carry a balance on your credit card, you’ll love that this card has an introductory 0% APR period in addition to its rewards program.
Once you’ve paid your balance in full on the purchase, you’ll be able to enjoy the perks of a 2% cash back card.
Best for Welcome Bonus Offer: card_name
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Annual Fee:
$95
Bonus Offer:
Earn 60,000 bonus points
Bonus Offer Disclaimer:
after you spend $4,000 on purchases in the first 3 months from account opening. That’s $750 when you redeem through Chase Ultimate Rewards®.
Rewards Program Details:
Enjoy benefits such as 5x on travel purchased through Chase Ultimate Rewards®, 3x on dining, and 2x on all other travel purchases, and $50 annual Ultimate Rewards Hotel Credit, plus more.
This Is the Card for You If:
You are looking for a travel rewards card with a modest annual fee that has bonus rewards for popular spending categories. |
Why We Like It for Retirees
If you are a retiree who is looking to make a large purchase, you are probably looking for a card with a welcome bonus worth at least $500.
This card may be your answer for a strong welcome bonus without having to fork over an extremely high annual fee.
This card has good rewards for travel and also protects you with extended warranty and purchase protection coverages on select items.
Best for Travel: card_name
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Annual Fee:
$395 (See Rates & Fees)
Rewards Program Details:
2 Miles per dollar on every purchase, every day. 10 Miles per dollar on hotels and rental cars booked through Capital One Travel. 5 Miles per dollar on flights booked through Capital One Travel.
This Is the Card for You If:
You are a frequent traveler who wants airport lounge access and can easily claim the annual $300 travel credit and anniversary miles provided. |
Why We Like It for Retirees
Note: If you’re not a frequent traveler, we recommend that retirees instead consider using a no-annual-fee 2% cash back card for travel purchases. This will help you earn rewards while avoiding a credit card with annual fees.
If you're a travel nut like Clark, you may want to consider adding the travel credit card that he loves the most. This card, which is fairly new to the market, is the latest addition to his wallet and is used often during his frequent excursions. And since it's not tied to a particular airline or hotel chain, you can shop for the best deal and still earn rewards from this card.
You may see the $395 annual fee and think that seems awfully high for a Clark-recommended card, but it’s worth noting that most travelers will easily claim $300 of that fee back thanks to an annual travel credit offered by Capital One.
If you find yourself flying to your destinations often, this may be your “cheapest” way to enjoy lounge access at select airports.
Best for Retirement Savings and Investing: Fidelity® Rewards Visa Signature® Card
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Annual Fee:
$0.00
Rewards Program Details:
Earn unlimited 2% cash back on everyday spending. You can spend your rewards or deposit them into any eligible Fidelity account, giving your money more chances to grow.
This Is the Card for You If:
You want a cash back rewards card that can aid your investing goals. This card can deposit rewards directly into Fidelity retirement and investment accounts. |
Why We Like It for Retirees
Are you looking to supplement your retirement investing or savings with credit card rewards?
You may find that this card can help you do that without much effort. If you have a qualified Fidelity investment account, you will be able to receive 2% cash back on every purchase you make as a deposit into that account.
That matches the earnings from the Citi Double Cash Card mentioned earlier — and gives you a chance to supplement your nest egg, potentially growing the value of your credit card rewards with smart investments along the way.
Best for Supermarket Shopping and Streaming TV: card_name
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Annual Fee:
$0 intro annual fee for the first year, then $95. (See Rates & Fees)
Rewards Program Details:
6% Cash Back at U.S. supermarkets on up to $6,000 per year in purchases (then 1%). 6% Cash Back on select U.S. streaming subscriptions. 3% Cash Back at U.S. gas stations. 3% Cash Back on transit (including taxis/rideshare, parking, tolls, trains, buses and more). 1% Cash Back on other purchases.
This Is the Card for You If:
You do your grocery shopping at a U.S. supermarket or are an avid TV streamer. |
Why We Like It for Retirees
If you do your regular grocery shopping at a supermarket, like Kroger or Publix, this card could be a great choice for you. You'll earn 6% back on purchases at many U.S. supermarkets on up to $6,000 per year. That's one of the best cash back rates available for any spending category! Terms apply. Note: This does not include groceries purchased at wholesale clubs, Target or Walmart.
If you've cut the cord from the cable company and rely on a live TV streaming service like YouTube TV for your entertainment, you'll be able to enjoy 6% cash back on that spending as well. This also includes most video streaming services, like Disney+ or Peacock.
Best for Gasoline and Bulk Shopping: card_name
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Annual Fee:
$0 (See Rates & Fees)
Rewards Program Details:
4% cash back on eligible gas and EV charging purchases for the first $7,000 per year and then 1% thereafter; 3% cash back on restaurants and eligible travel purchases; 2% cash back on all other purchases from Costco and Costco.com; 1% cash back on all other purchases
This Is the Card for You If:
You are a Costco member who regularly shops at the warehouse and purchases gas at the fuel center. |
Why We Like It for Retirees
If you've followed Clark for any period of time, you likely know that he's a huge fan of Costco. His love for "everything Costco" extends to the wholesale club's credit card as well.
He carries this one in his wallet so that he can enjoy 2% cash back on all his purchases in-store and on the Costco website, but it also gives him 4% back on gas and EV charging purchases.
If you’re the kind of person who likes to stock up for the month at Costco and fill up the tank while you’re there, you may find that this card fits nicely into your wallet as well.
If you're a Sam's Club fan, you may find that the Sam's Club® Mastercard® is a better choice. Clark has that one in his wallet, too.
Oh, and if you're having a hard time choosing between the two wholesale clubs, Team Clark's Anthony has a great breakdown here.
Methodology for Credit Card Analysis
For the purposes of determining which credit cards are “best,” we got input from Clark Howard and sought to find cards that fit his credit card strategy best.
Team Clark spent many hours reviewing the rewards credit cards on the market, assessing them for several factors including:
- Annual fees
- Rewards programs
- Welcome offers
- Length of introductory APR periods
- Balance transfer introductory periods
- Additional fees (transaction or otherwise)
- Perks offered to cardholders
- Reputation of financial institution issuing the card
We did not factor in non-introductory APR as a part of the evaluation, because interest rates are going to vary based on your financial circumstances. Clark recommends never carrying a balance on credit cards, so the non-introductory interest rate shouldn’t matter for your card anyway.
We also did not include offerings from local or regional banks or credit unions because they’re not available to everyone. Often, local institutions will have desirable cards, so we recommend that you compare your local bank or credit union’s cash back credit cards to the ones that made this list.
Are you a retiree who has recently applied for a new credit card? Which one did you pick? Do you like it? We’d love to hear about your experiences in the Clark.com community.
To see the rates and fees for the American Express cards featured, please visit the following links: Blue Cash Preferred® Card from American Express: See Rates and Fees
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