Best credit cards for restaurants for September 2024 #CashNews.co

It’s not just you; going out to eat is more expensive these days. Whether you’re trying a new date night spot or just picking up drive-thru fast food, menu prices are on the rise.

The cost of buying food away from home has increased for Americans by more than 4% over just the past 12 months, according to the latest Consumer Price Index. In the 12 months before that, it increased by a whopping 8.6% (not seasonally adjusted).

One way to offset rising food costs is with a rewards credit card. Some dining rewards credit cards today can offer hundreds of dollars in annual value on your restaurant spending. Here’s a look at how you can get rewarded with the best credit cards for restaurants available today.

Best credit cards for restaurants (September 2024)

Next time you go out, consider using one of these cards with rewards on dining.

Annual fee: $325 (see rates and fees)

Welcome offer: Earn 60,000 Membership Rewards® points after spending $6,000 within the first 6 months, plus 20% back on restaurant spending worldwide (up to $100 back in statement credits) through November 6, 2024

Rewards:

• 4x points at restaurants worldwide (up to $50,000 spent per year; includes takeout and delivery in the U.S.)

• 4x points at U.S. supermarkets (up to $25,000 spent per year)

• 3x points on flights booked directly with airlines or through Amex Travel

• 1x points on all other purchases

Recommended credit score: Good to excellent

More restaurant benefits: Earn up to $120 annually ($10 per month; with enrollment) in dining statement credits for purchases at Five Guys, Grubhub, The Cheesecake Factory, Goldbelly, and Wine.com. Also, get up to $100 in Resy credits ($50 in statement credits semi-annually; with enrollment) at U.S. restaurants on the Resy app or Resy.com and up to $84 in annual statement credits ($7 per month; with enrollment) on Dunkin’ purchases.

Finally, get up to $120 annually ($10 per month) in Uber Cash toward Uber Eats or rides when you add your card to your Uber account. (Note: For this benefit, you must have the latest version of the Uber App downloaded and your eligible American Express Gold Card must be a method of payment in your Uber account. The Amex Uber Cash benefit may only be used in the United States.)

Check out all of the Amex Gold Card’s new features and benefits

Why we like this card for restaurants: When it comes to ongoing value for restaurant spending, you’re not likely to find a more rewarding option than the Amex Gold. Just to start, it offers 4x Membership Rewards points at restaurants. This includes in-person dining worldwide (a great way to rack up points when traveling abroad) and takeout and delivery in the U.S.

If you’re concerned about the $325 annual fee (see rates and fees), annual credits can help lower the cost. Each year, you can get more than $420 back on restaurant spending, between credits for Resy restaurants, Dunkin’ spending, Uber Cash, and dining credits when you order from Goldbelly or go to Five Guys.

Nevertheless, this card is generally best for restaurant lovers who also like to travel. The card’s other major way to earn rewards is on flight purchases and the Membership Rewards you earn are most valuable when used toward travel redemptions like airfare.

Read more: See our picks for the best American Express credit cards

More restaurant benefits: Earn 10% cash back on Uber and Uber Eats spending, plus complimentary Uber One membership through Nov. 14, 2024. You’ll also get access to Capital One Dining, which you can use to make reservations and gain access to exclusive events.

Why we like this card for restaurants: The Capital One SavorOne Card is one of our all-around favorite cash-back credit cards, and it offers big savings when you dine out. For one, it makes a great everyday option if a big portion of your monthly budget goes toward entertainment and food — including both groceries for home and dining out away from home.

Other added benefits include a bonus 10% cash back on Uber and Uber Eats when you choose delivery, and a generous introductory APR on new purchases and balance transfers.

Compared to some other cards on our list, the Capital One SavorOne offers a slightly lower 3% return at restaurants. While we still like it for other complementary rewards categories and $0 annual fee, frequent restaurant goers may want to consider its sister card, the Capital One Savor Cash Rewards Credit Card. For a $95 annual fee, you’ll get a higher 4% cash back on dining, entertainment, and popular streaming services.

Compared to the SavorOne, you’d need to spend nearly $800 more each month dining out to make the Savor card’s added cost worth the extra percentage at restaurants. But don’t forget to consider how the other boosted categories (along with the card’s increased welcome offer and other features) could increase its potential value.

Read our review of the Capital One SavorOne Cash Rewards card

• Annual fee: $0

• Welcome offer: Get a free year of DashPass when you’re approved (your membership will auto-renew at $96 annually)

• Rewards:

  • 4% cash back on DoorDash and Caviar orders

  • 3% cash back on dining purchased directly from restaurants

  • 2% cash back at grocery stores (online or in-person)

  • 1% cash back on all other purchases

• Recommended credit score: Good to excellent

More restaurant benefits: Get a complimentary DashPass membership every year when you spend at least $10,000 with your card. Also get 10% off one convenience, grocery, alcohol, retail or DashMart order every month (through Dec. 31, 2024) and $5 one order each month during your free year of DashPass (through Sept. 30, 2024).

Why we like this card for restaurants: Unlike the others on our list, DoorDash Rewards Mastercard is a co-branded credit card — but if you prefer to order delivery meals and you’re already a Doordash member, it can help you save a significant amount of money.

Not only does this card offer 3% rewards when you do choose to dine in at restaurants, but all of your orders from DoorDash and Caviar earn a boosted 4% cash back. Say you spend the average $3,693 annually at restaurants, split equally between dining out and ordering in with DoorDash. You could get an annual return of nearly $130 with the DoorDash Rewards Mastercard. Plus, boost your rewards even more with 2% on groceries at the supermarket.

The card’s other main benefit is a free year of DashPass membership (a $96 value) — and the opportunity to earn free DashPass membership every year thereafter when you spend $10,0000. If you’re a frequent customer of DoorDash, the benefits of DashPass include $0 delivery fees on unlimited orders, reduced service fees when eligible, exclusive offers for members, and more.

Check out our full review of the DoorDash Rewards card

Chase Freedom Flex®*: Best for maximizing rotating categories

More restaurant benefits: Get 3 months of complimentary DashPass, with automatic enrollment in 9 additional months of DashPass at 50% off (activate by Dec. 31, 2024).

Why we like this card for restaurants: Chase Freedom Flex offers some of the highest potential rewards on restaurant dining annually — at least potentially.

You’ll earn 3% cash back on dining with this card, which is a solid (if not standout) rewards rate for the category. But you’ll also get 5% back in rotating categories, which occasionally includes dining. When restaurants are a quarterly category, you can get a great return.

Take the second quarter of 2024, for example. Dining was among the Freedom Flex 5% categories, and Chase allows cardholders to stack those rewards with the regular dining category. In effect, that means you can earn 7% back on dining in total (3% regular rewards, plus 4% in the bonus quarterly category, and 1% standard cash back). If you max out that 7% with $1,500 in restaurant spending over the quarter, you could earn a total of $105 — before even accounting for an additional 3% cash back at restaurants over the rest of the year.

More benefits of Chase Freedom Flex include the complimentary DashPass membership for food delivery and a generous intro APR for new purchases and balance transfers. You can also redeem your rewards for cash back or use them toward future travel through Chase Travel.

*All information about Chase Freedom Flex has been collected independently by Yahoo Finance. Chase Freedom Flex is no longer available through Yahoo Finance.

Why we like this card for restaurants: Unlike some other cards with choice rewards categories, you don’t have to activate or select your rewards every month with the Citi Custom Cash. Instead, the card will automatically reward you 5% cash back in your top eligible spending category.

For maximum restaurant rewards, for example, you could reserve this card specifically for dining out, and only use it to pay at restaurants (cafes, bars, lounges, and fast food restaurants are also included in this category, according to Citi). If you spend up to the max $500 each billing cycle on dining — a total $6,000 at restaurants each year to earn the full potential 5% — you could earn $300 annually on dining.

One other benefit to note is the Citi Custom Cash Card’s generous introductory APR on new purchases and balance transfers.

Why we like this card for restaurants: With 4x points on dining, takeout, and delivery purchases, the U.S. Bank Altitude Go card offers one of the highest unlimited rewards rates today. If you spend the average $3,693 on food away from home annually, you could get a total 14,772 points (or about $147.72 in rewards value) — before even accounting for the card’s other categories.

But we also like this card’s all-around great value for everyday spending. While restaurant rewards are definitely the highest, gas station, streaming, and grocery purchases bring in 2x rewards. If you have existing debt or a large purchase to make, you can also use the U.S. Bank Altitude Go card’s 0% intro APR on new purchases and balance transfers for up to 12 months (18.24% – 29.24% variable APR after that).

One downside: There are few added benefits or annual credits, though that’s relatively common among cards with no annual fee. Still, you can get an annual discount on streaming costs with the card’s $15 streaming credit after you pay for 11 months of an eligible streaming service with your card.

How to find the best restaurant credit card

If you’re searching for a dining rewards credit card, there are a few things you’ll want to consider:

• Type of rewards: You can find competitive restaurant rewards rates from cards that earn cash-back rewards, points, or miles. Before you commit to a new card, look at the rewards redemption options. If you don’t travel often and prefer simple redemptions, cash back is probably much more useful for you. But if you’re looking for ways to save on travel purchases or you’re already a member of a specific rewards program, a points or miles rewards card could bring you much more value.

• Other rewards categories: Dining out is probably not your only regular expense — just like restaurant spending isn’t the only way you can earn rewards with a credit card. Take your potential new card’s other rewards categories into account, too. Some may offer comparable rewards on travel, while others might prioritize additional everyday categories like groceries or gas. You can also compare those added rewards categories to any cards you may already have in your wallet, so you don’t lose any potential value with overlapping rewards.

• Annual fee: The higher the annual fee your card charges, the more likely it is to offer higher rewards rates — including on dining purchases. Make sure you do the math to decide whether the improved rewards you’ll get on your spending is worth the annual cost, compared to a no annual fee card that may have a slightly lower return at restaurants.

• Other benefits: Other added benefits, from partner discounts to annual credits and complimentary access, can be a significant add to your card’s annual value. Don’t forget to consider how these other perks fit into your spending habits.

• Credit score: Many top rewards credit cards require good credit to qualify. If you’re not sure of your chances of approval, you may want to check if you’re pre approved for any dining credit card offers. Otherwise, consider a card you can qualify for that will help you improve your score — some credit-building cards also offer rewards.

Which credit card offers the highest rewards on restaurant spending?

Among the dozens of credit cards we compared, the highest rewards rate you can find for restaurants today (without spending caps or other restrictions) is around 4% cash back or 4x points. The cards we like best with this high rate include the American Express Gold Card, Capital One Savor Cash Rewards Credit Card, and U.S. Bank Altitude Go Visa Signature Card.

For even higher rewards rates (5% back or more), you’ll take on some added restrictions. For example, some credit cards with rotating quarterly categories or with choice rewards categories offer 5% on dining purchases, but only up to a certain amount each month or each billing cycle. There are also some co-branded travel cards that offer 5x rewards or even higher on dining spending, but you’ll be limited to redeeming your rewards within the brand’s loyalty program.

Is a dining credit card worth it?

Choosing a credit card specifically for its dining rewards is only worth it if a large portion of your monthly budget goes toward dining out.

Say, for example, you live alone and don’t cook often. You typically grab lunch near your office and either make dinner plans or pick up something on your way home most days of the week. Maximizing that frequent restaurant spending could save you hundreds of dollars each year on what’s likely already one of your largest expenses.

On the other hand, maybe you have a family and work from home. Weekly lunches and dinners typically revolve around Sunday grocery hauls, quick weeknight meals, leftovers, and meal prep. In this scenario, you’re more likely to eat out maybe only once or twice per week. While you can still save money with restaurant rewards, you may be even better off prioritizing a grocery rewards credit card.

It’s also important not to use potential credit card rewards as an excuse to spend more than you can afford. Just like with travel rewards cards, look for ways to save on what you’re already spending, rather than an aspirational version of your perfect budget.

In other words, if you’re not already dining out multiple times per week, don’t start adding hundreds of dollars in restaurant spending to your monthly budget just to earn 3% – 4% back. Not only will you spend more money than you otherwise would, but you could also risk taking on high-interest debt if you’re unable to pay down your total balance each month.

Frequently asked questions (FAQs) about credit cards for restaurants

How do dining rewards credit cards work?

Dining rewards cards work like any other credit card. You can use the card to make any purchase where your card is accepted, and you’ll earn rewards in eligible categories.

Each month, you can pay down your card balance (made up of your previous purchases) in full to avoid accruing interest. If you don’t pay in full, you’ll take on interest charges at your card’s assigned variable APR.

Should you use credit cards at restaurants?

Credit cards are a great way to pay at a restaurant if you want to earn rewards. If you’re at a restaurant in another country, a card with no foreign transaction fees can help you save on the cost.

There are times when you may not be able to pay with a card. Some restaurants only offer cash payment options, for example, while others may charge an extra fee when you use a credit card to pay.

Where can I earn credit card rewards on dining?

If you have a credit card with rewards on dining, you’ll likely earn rewards at most types of restaurants, from sit-down meals to fast food. Rewards can differ for takeout or delivery. Check with your issuer or your card’s rewards program agreement for the full details on whether these types of restaurant purchases count toward your dining rewards.

Our methodology

To find the best credit cards for restaurants, we compiled a list of all the cards from major issuers offering restaurant rewards. To narrow down credit cards with top savings on dining, we excluded any cards offering only 2x or 2% in the category.

From there, we used the latest Consumer Expenditure data from the Bureau of Labor Statistics to determine how much return the average American could get on restaurant purchases annually with each card. For this calculation, we used the average total cost of food away from home: $3,693. We accounted for any spending caps and assumed a cardholder would choose dining for any cards with choice rewards categories or rotating rewards.

Finally, we created a rubric to rate each of the cards on the list based on their overall features. Data points we considered include APR, annual fee, rewards rate, welcome bonus, added benefits, security features, mobile app ratings, and more. For specific restaurant details, we evaluated both the rewards rate in the category and the potential annual savings based on the BLS data.

Our final list is made up of a combination of cards that both offer the highest return on restaurant spending and that rated the highest among restaurant rewards cards overall.

This article was edited by Rebecca McCracken

Editorial Disclosure: The information in this article has not been reviewed or approved by any advertiser. All opinions belong solely to Yahoo Finance and are not those of any other entity. The details on financial products, including card rates and fees, are accurate as of the publish date. All products or services are presented without warranty. Check the bank’s website for the most current information. This site doesn’t include all currently available offers. Credit score alone does not guarantee or imply approval for any financial product.