The best debit cards offer rewards or cash back on your purchases. Like cash-back credit cards, you can earn extra money off of your everyday purchases with the best cash-back debit cards. If you can't or don't want to open a cash-back credit card, a debit card with rewards could help you earn a bit of money off of purchases you were already making.
Below, you'll find the best debit cards available nationwide. Several of these accounts are also some of the best rewards checking accounts.
Best Cash-Back Debit Cards
Business Insider's personal finance team reviewed several cash-back debit cards and narrowed our top picks down to six. The top options offer high cash-back rates on a wide variety of purchases.
Many of these debit cards with rewards come from checking accounts with no monthly service fees or other perks. Their accounts are also federally insured by the FDIC or NCUA, protecting your checking account funds for up to $250,000 per depositor.
Best Cash-Back Debit Card Rates
- Best overall: Discover® Cashback Debit Account (1% cash back on up to $3,000 in debit card purchases each month)
- Best for ATM usage: Axos CashBack Checking Account (up to 1% cash back on signature-based transaction purchases)
- Best for everyday purchases: Upgrade Rewards Checking Plus (up to 2% cash back on common everyday expenses)
- Best for unlimited cash back: LendingClub Rewards Checking Account (unlimited 1% cash back)
- Best for a flat cash-back rate: Primis Perks Checking ($0.50 on every debit card purchase)
- Best for a high cash-back rate: Varo Bank Account (3% cashback or more on select brands)
Open an Account
no monthly service fee
None
$0
- Earn up to 1% cash back on up to $3,000 in purchases per month (See website for details)
- No monthly service fee
- Over 60,000 in-network ATMs
- Get paid early with direct deposit through Early Pay
- Enroll in free overdraft protection
- Debit card can only be used in the US, Canada, Mexico, and the Caribbean
- Only 1 branch location
- Earn 1% cash back on up on up to $3,000 per month in eligible debit card purchases (See website for details)
- 100% US-based customer service available 24/7
- No opening deposit or minimum account balance
- No monthly maintenance fees
- Over 60,000 in-network ATMs
- FDIC insured
no monthly service fee
None
$0
- No minimum balance requirements
- No monthly service fees
- No overdraft fees
- Can earn 2% cashback on everyday expenses (up to $500 per year) and 1% on any other debit card charges
- No overdraft protection
Upgrade is a good option if you're looking for free checking, cash back on debit card purchases, and competitive high-yield savings account interest rates — but you'll have to meet certain requirements to get the best perks.
Upgrade Rewards Checking Plus- To maintain an active qualifying Rewards Checking Plus Account and obtain rewards like loan discounts, you must receive direct deposits totaling $1,000 or more each month
no monthly service fee
None
$50
- No monthly maintenance fees
- Unlimited domestic ATM fee reimbursements
- Earn up to 1.00% cash back on qualifying purchases
- Unlimited check writing
- Free overdraft protection is available
- $50 minimum opening deposit
- $25 overdraft fee
- Cashback limit of $2,000 per month
- Earn 1% cash back on qualifying debit purchases when you keep an average daily collected balance of $1,500 or more
- Earn 0.50% cash back on qualifying debit card purchases when you’re average daily collected balance is under $1,500
- Eligible for up to $2,000 in cash back per month
- Member FDIC
Discover Cashback Debit Account: Best Debit Card Overall
With the Discover Cashback Debit Account, you can get 1% cash back on up to $3,000 in eligible debit card purchases monthly (see website for details).
Certain types of debit card transactions aren't eligible for cash-back rewards though. For example, if you buy a money order or make a loan payment, you won't be able to get cash back for the purchase. You also can't get cash-back rewards for peer-to-peer payments (like Apple Pay Cash) or a purchase made using a payment app (like Venmo or PayPal).
Axos CashBack Checking: Best Debit Card for ATM Usage
Axos CashBack Checking allows you to earn up to 1% cash back on signature-based debit card transactions. If you use ATMs frequently, this might be a good card for you: Axos does not charge any ATM fees, and it provides unlimited domestic ATM fee reimbursements.
To get 1% cash back on qualifying debit card purchases, you'll have to maintain an average daily balance of $1,500 or more in your checking account. Otherwise, you'll earn 0.50% cash back on eligible purchases. The maximum amount of cash back you can earn on signature-based transactions each month is $2,000.
Upgrade Rewards Checking Plus: Best Debit Card for Everyday Purchases
Upgrade Rewards Checking Plus offers up to 2% cash back on everyday debit card purchases at convenience stores, gas stations, monthly subscription services, restaurants, and utility and phone providers.
To earn 2% on everyday purchases and 1% cash back on all purchases, your checking account must receive direct deposits of $1,000 or more each month. The 2% cash-back perk is limited to $500 in cash-back rewards per year. After the $500 limit, you'll get 1% cash back on debit card purchases for the rest of the year.
If you do not receive direct deposits of $1,000 or more each month, you'll earn 1% cash back on everyday debit card purchases and 0.50% cash back on other types of debit card purchases.
You won't be able to earn cash-back rewards on gift card purchases, loan payments, money orders, ATM transactions, wire transfers, or payments made through digital wallets or payment apps.
LendingClub Rewards Checking: Best Debit Card for Unlimited Cash Back
With LendingClub Rewards Checking, you can earn an unlimited 1% cash back on qualifying signature-based debit card purchases.
To be eligible for the cash-back feature, your checking account must have a daily balance of $1,000 or more.
You won't be able to use the checking account for any purchases that are returned or are considered cash equivalents (like gift cards or prepaid debit cards).
Primis Perks Checking: Best Debit Card for a Flat Cash-Back Rate
Primis Perks Checking has a cash-back debit card that stands out for offering a flat cash-back rate instead of a percentage rate. You can get $0.50 back on all debit card transactions except ATM transactions.
Varo Bank Account: Best Debit Card for a High Cash-Back Rate
Varo lets you earn 3% cash back or more on debit card purchases at select retailers (up to $200 in cash-back earnings per month). Each time you reach $5 in cash-back earnings, the money will be deposited into the Varo Bank Account. You can find participating retailers on the Varo mobile app.
Understanding Cash-Back Debit Cards
What Is a Cash-Back Debit Card?
Cash-back debit cards are a way to make money off of any purchases you make using the card. Your debit card pulls money from your checking account whenever you use it. This is different from how credit cards work, since those are essentially short-term loans that come with costly interest payments if you don't pay your bill each month.
Benefits of a Cash-Back Debit Card
The best rewards debit cards can let you earn a bit of money off of purchases you would be making anyway, such as gas or grocery purchases. You'll generally earn a small percentage of your purchase back in rewards money.
Since debit cards with rewards use your own money, you aren't risking going into debt when you use a debit card like you do with a credit card. If you can't or don't want to open a cash-back credit card, a cash-back debit card can be a good option for you. Keep in mind that you might end up paying expensive overdraft fees if you use your debit card to make purchases you can't cover, though.
How Cash-Back Debit Cards Work
Generally, cash-back debit cards work by letting you earn some amount of cash back after making purchases with it. There's frequently some sort of limit on what types of purchases you can earn cash-back on; some cards might limit what brands you can buy to earn cash-back, and some might only give cash-back on certain types of purchases, such as buying gas. Some might require you to select what you want to earn cash back from in your mobile banking app.
The cash can be delivered to you in various ways, as well; it might be put in your checking account automatically, or you might be able to redeem your cash for gift cards or rewards.
You might consider a cash-back debit card if you're looking for a way to get some money back from your purchases. Some banks and online banking platforms, such as online banks and apps that offer banking services, offer accounts with high-reward cash-back debit cards, which allow you to earn a percentage of cash back from certain types of debit card purchases.
What to Look For in a Cash-Back Debit Card
Consider Your Spending Habits
When deciding how to get a debit card with cash-back options you'll regularly use, consider what you generally buy with your debit card. Do you use your debit card primarily for grocery purchases? Do you use your debit card mostly for online shopping? Make sure to find a card that will reward you for the purchases you make most often.
Research Rewards Structures
Look into how you'll receive your cash back before you commit to a card. For example, If you don't want to have to redeem your cash back for gift cards or other types of rewards, look for a card that puts your cash directly into your checking account.
Fees and Requirements
Many cash-back debit cards come with fees. Look for a free checking account that has a cash-back debit card with no fees to make sure you aren't paying more in monthly fees than you're earning back.
Additionally, make sure that the requirements the debit card puts on how you earn cash back aren't too strict. If you can only buy from specific brands, and you never buy from those brands, you'll be missing out on the core features of your card.
How to Choose the Best Debit Card for You
The best rewards debit card for you will depend on your spending habits. Make sure to choose a cash-back debit card that applies to purchases you generally make. If a debit card comes with a great cash-back rate for specific retailers you don't use, it won't be as useful to you as a card with a low cash-back rate that applies to everything.
You'll also want to make sure you're happy with the checking account connected to the cash-back card. You'll want to make sure you avoid bank fees with your checking account so any cash you make back on purchases isn't eaten up by monthly service fees.
Cash-Back Debit Card Facts
While we only have nationwide cash-back debit cards in our list of the best debit cards, local banks and credit unions can also offer great rates on cash-back debit cards. Before deciding on a debit card, make sure to see if any local financial institutions offer cash-back debit cards with strong perks.
What is a Good Cash-Back Rate on a Debit Card?
A good cash-back rate on a debit card depends just as much on what the rate applies to as its percentage. A 1% cash-back rate on a debit card can be good as long as it applies to most purchases. If the cash-back rate applies to only a few purchases, you'll want to aim for a higher rate, but it's rare for a cash-back rate to be as high as even 4%.
Applying for a Cash-Back Debit Card
Applying for a cash-back debit card will generally be the same process as how to open a checking account. You'll need to fill out an application, either online, over the phone, or at a physical branch. You'll need to provide some personal information, such as your name, your Social Security number, and your physical address.
If the cash-back debit card you open doesn't have an associated checking account, your process might be different.
Maximizing Your Earnings with a Cash-Back Debit Card
The best way to maximize your earnings with a cash-back debit card is to plan ahead on what purchases you make with your debit card. If your debit card's cash back only applies to purchases with certain brands, you'll want to shop with those brands whenever you can.
Depending on your circumstances, you might want to mix and match different cash-back credit cards and cash-back debit cards to try and maximize what purchases you're earning cash back from. Just keep in mind that, depending on the cards you open, you might be losing more money on monthly bank maintenance fees and other bank charges than you're earning from your purchases.
Cash-Back Debit Cards and FDIC Insurance
If you choose a cash-back debit card with a checking account, make sure that the account is either FDIC- or NCUA-insured before you open the account. FDIC insurance is offered for banks, while NCUA insurance is offered for credit unions. Financial technology companies with banking services can still offer federally-insured checking accounts by partnering with a bank.
With FDIC and NCUA insurance, the money in your account will be insured in case your financial institution fails. You'll be insured for $250,000 in a single-depositor account and $500,000 in a joint bank account. If you have more than that in your checking account, it will not be insured in case of a bank failure.
Alternatives to Cash-Back Debit Cards
Cash-Back Debit Cards vs. Cash-Back Credit Cards
The primary difference between cash-back debit cards and cash-back credit cards is the pool of money that the cards pull from. Credit cards are lines of credit; each time you use one, you're borrowing money from the credit card lender that you're expected to pay back. If you don't, you'll have to pay interest on what you've borrowed. The average credit card interest rate is extremely high, so you'll want to pay your balance off each month to avoid paying extra.
In comparison, debit cards generally pull money from a checking account, although there are prepaid debit cards that work differently. Since it's pulling from your money, you aren't at risk of going into debt by making debit card purchases. But you also won't be able to make debit card purchases if you don't have any money in your checking account.
Cash-Back Debit Cards vs. High-Yield Checking Accounts
Both cash-back debit cards and high-yield checking accounts offer ways to make money off of your checking account. While cash-back debit cards let you make money off of your purchases, high-yield checking accounts let you make money off of the money you keep in your checking account.
High-yield checking accounts come with high interest rates — sometimes even higher than what you can find from high-yield savings accounts. In return, these accounts usually have very strict requirements, such as only letting you earn the rate on a small part of your balance or requiring you to make a certain amount of debit card purchases each month.
Cash-back debit cards might be easier to use, although you probably won't make as much money from them. And while high-yield checking accounts can come with cash-back debit cards, it's pretty rare. Most of the time, you'll need to choose between the two.
Why You Should Trust Us: How We Reviewed the Best Cash-Back Debit Cards
Business Insider's personal finance team is editorially independent; you can learn more about how we review products through our editorial standards page.
For our top picks, we looked at national, regional, and local banks that had bank accounts with cash-back debit cards.
We rate bank products on a scale from one to five stars, with one star being the lowest rating, three stars being an in-between rating, and five stars being the highest rating possible.
We use a weighted average to get our star rating, which means we weigh certain features, like interest rates and fees, at a higher weight percentage than others. We understand that these areas can more heavily impact a person's overall banking experience.
FAQs
Are cash-back debit cards safe?
Yes, cash-back debit cards are generally safe. They're usually linked to your checking accounts, which are federally insured bank accounts.
Can I build credit with a cash-back debit card?
No. Debit cards don't report to credit bureaus, so they won't impact your credit score directly. However, using debit cards instead of credit cards can help you avoid credit card debt, so using debit cards could help your credit score indirectly that way.
Which bank has the best cash-back debit card?
We chose Discover, LendingClub, and Varo Bank as some of the best banks for cash-back debit cards.
Are there cash-back debit cards for teens and students?
Yes, some banks offer checking accounts for teens that come with cash-back debit cards. These accounts can also be useful for people who want to get a cash-back debit card for students.
What are the downsides of cash-back debit cards?
Cash-back debit cards may come with fees and reward caps. They might offer lower rewards rates than cash-back credit cards.
