Benefits of Gas Credit Cards

Gas credit cards provide a discount and rewards at eligible gas stations. Learn how to select a gas credit card and several top options for 2022.

2022 has been an erratic year for gas prices. In some states, the price went as high as $5.60. Even in states where the prices did not experience sharp increases, the price was typically around $4. With such drastic changes in price, many consumers are looking for ways to save at the pump. One of the most effective ways to get a discount while also receiving other benefits is using a gas credit card. A gas credit card is a specialized credit card, typically provided by a gas station or a credit service partnered with a gas provider.

Whenever you use a gas credit card, you receive a small discount on your purchase. This is typically a few cents off each gallon, but the savings can quickly add up. Not only do you get a gas discount, but the card also provides other benefits, typically through a point-based system. The more you use your card, the more points you accrue, leading to additional benefits.

Pros and Cons of Gas Credit Cards

As with any card, there are both positives and negatives to consider before you sign up for one. One of the benefits of gas credit cards is that, on average, gas credit cards do not have strict eligibility requirements. This means even if you never applied for a credit card before, or you currently have a poor credit score, you should be able to get accepted for a gas credit card. Gas credit cards are also a good way to establish an initial credit score, or work on improving your existing score.

Both a positive and negative is where gas credit cards are accepted. In many cases, gas credit cards are only accepted in a limited number of locations. Some gas stations are partnered with other chains, increasing the availability of your gas credit card. While this may limit the usefulness of your card, it also keeps you from overspending and relying on your credit card. It is important to note that many gas credit cards have a higher interest rate. Most traditional credit cards have an annual percentage rate (APR) of 10 to 15 percent, while gas credit cards are closer to 20 and 25 percent.

What to Consider before Applying for a Gas Credit Card

There are many gas credit cards to consider. For many applicants, the primary factor is where the gas credit card is accepted. If you have one gas station chain you use over the rest, this is naturally the best one to apply for. If you have multiple stations to choose from, check to see if the cards are accepted at any other locations. 

Another consideration with gas station chains is what discounts are already available. For example, some locations already offer a discount program which may not be compatible with the card, such as a reduced price if you pay in cash versus using a card. If the benefits do not stack, consider getting a card from a different station.

Next, you want to look at the level of discounts available. Do not only look at how much you save on gas. Many of the best benefits from gas credit cards come from the reward programs. You want to consider what rewards are available, and how easy it is to generate points. Most cards have a limit on the number of points you can accumulate, which is important to keep in mind. Many of the most popular cards are preferred because they offer additional discounts and rewards at nearby stores. Grocery stores with their own gas station chain are often some of the best reward cards, as are major credit providers with specialized gas credit cards.

Discover It Chrome Gas & Restaurants Credit Card

Discover It is a straightforward gas credit card. Whenever you use the card at an accepted gas station or restaurant, you earn two percent back, up to a maximum of $1,000 each quarter. All other purchases generate one percent cash back. There are no annual fees, and Discover has a fairly generous APR, starting at 13.49 percent but going as high as 24.49. One of the downsides is Discover requires a fairly high credit score to apply, wanting at least a good score, which starts at 670.

As of writing, there is a generous intro offer available, unlimited cashback match. During your first year, Discover will match whatever cash back rewards you earn during your first year. There is no minimum spending requirement to qualify.

Sam’s Club Mastercard

In order to qualify for a Sam’s Club card, you must be a member, which costs $45 as of writing. Sam’s is a popular wholesale convenience store, which often has their own gas station. If you already shop at Sam’s, this is considered one of the best reward cards. Even if your Sam’s does not have a gas station, you still receive a generous five percent cash back at any gas station, up to a maximum of $6,000. You also receive a base five percent from any purchase made at a Sam’s club. Additionally, select items may get an extra three percent off. At select restaurants, you receive three percent back, while all other purchases give you one percent back.

Currently, new customers are eligible for $30 statement credit which can be sent at Sam’s clubs within the first month. This applies to both digital and in-store purchases. The APR begins at 15.65 and goes up to 23.65 percent.

Hilton Honors Credit Card

Hilton Honors is an overlooked gas credit card because the main benefit applies to hotels and resorts associated with Hilton. While you earn the most points from staying at a Hilton Hotel, the card also rewards points for each dollar you spend at eligible gas stations, as well as restaurants and convenience stores. Each dollar nets you five points, which is less than the seven you get from staying at a hotel, but it is still an easy way to earn rewards. Hilton has one of the higher APRs, beginning at 17.99 and going up to 26.99 percent.

Bank of America Customized Cash Rewards

Bank of America Customized Cash is another card that gets overlooked among other gas credit cards. This is because it is not strictly a gas credit card. Bank of America allows you to customize your reward card. For your chosen category, you earn three percent cash back on your purchases, up to $2,500. If you choose gas stations as your category, you still receive two percent back at grocery stores and wholesale clubs, and one percent on all other purchases. As of writing, if you make over $1,000 in purchases during your first 90 days, you will receive a $200 cash reward.