Harry here. For rideshare drivers, it’s easy to look at just your daily earnings every time you drive but it’s just as important to track your expenses and gas is often right at the top! For today’s post, I brought on travel and credit card expert Daraius Dubash from Million Miles Secrets to share his tips on the top gas cards for drivers that will offer you extra cash back on purchases at the pump.
Did you know using the right credit card can help to reduce your gasoline bill?
It was great meeting Harry at a conference recently. It turns out he’s been a reader of my blog for years! And he’s been gracious enough to post on my site to help my readers learn more about Uber. So I’ll return the favor by showing y’all how to save money on gasoline!
With a little business smarts, you can reduce one of your biggest business expenses since there are cards that offer cash back for using them at the pump.
I’ll show you how to earn cash back or travel rewards with every fill-up!
Reduce Your Cost at the Pump by Earning Credit Card Rewards
Lots of folks don’t realize they can earn cash back (or other rewards) for everyday purchases, including gas. Some don’t like the idea of putting a lot of spending on credit cards. But if you’re responsible, you can reap the rewards!
For example, Harry is using credit card rewards to take a trip to Hawaii this week (so don’t e-mail him) and he got a free upgrade to a hotel suite! (I can’t wait to see the photos!)
So as long as you are able to pay your bill when it’s due, spending on credit cards can open a whole new world of opportunities to you! Your credit score could rise and this can mean benefits like lower interest rates, better insurance rates, and even opportunities to earn rewards that can take you around the world.
Check out my post on the 5 dangers of applying for credit cards so you know what to keep in mind.
Rideshare Drivers Qualify for Small Business Credit Cards
If you drive for Uber orLyft, you already qualify for a small business card since you are self-employed, and therefore have your own business!
Having a small business credit card is an easy way to separate your work expenses from your personal spending. That can come in handy during tax time, when you need to report deductions and business costs.
Of course, you don’t have to apply for a small business credit card. Just a different credit card for each area of life.
The Chase Ink Cash is my favorite credit card on this list. That’s because you can redeem the points it earns for cash back or incredible travel opportunities when coupled with other cards.
The Chase Ink Cash is a great choice for easy cash back because you’ll earn $300 after you spend $3,000 on purchases within the first 3 months of opening the card.
And you’ll want to keep this card for fuel purchases because you’ll earn 2% back on up to a maximum of $25,000 in combined spending on gasoline (and restaurants).
That 2% back is automatic. You don’t have to enroll or anything like that.
But you can enroll (for free) in Visa Savings Edge to save an additional 1% at Chevron and Texaco.
I also like that there is no annual fee so the card is free to keep. And keeping a card open long-term while always paying on time can increase your credit score.
It’s easy to get your cash back, and you don’t have to wait a long time to redeem it! You can redeem your rewards as soon as you collect $20 worth! You can click to get a statement credit on your card, or get the money directly deposited to most US checking and savings accounts.
So with this card, you’ll get:
- 30,000 Chase Ultimate Rewards points (equivalent to $300 cash back) after you spend $3,000 on purchases in the first 3 months from account opening
- 5% cash back on the first $25,000 spent in combined purchases at office supply stores and on cellular phone, landline, internet and cable TV services each account anniversary year
- 2% cash back on the first $25,000 spent in combined purchases at gas stations and restaurants each account anniversary year
- No annual fee
The Chase Ink Cash is a small business card, so the application process will be different from personal applications. If you don’t have a legal business name, you can apply as a sole proprietor and give your social security number as the tax identification number.
Read my post on how to apply for a Chase small business card.
You might also do well with the 5% cash back you’ll earn when you pay your phone, internet, and cable TV bills. You can read my full review of the card here.
Folks on various forums have reported being approved for this card with credit scores of 600+.
2. AMEX Blue Cash Cards
The AMEX Blue Cash cards both have a solid rewards earning rates.
With the Blue Cash Everyday® Card from American Express, you’ll get:
- $100 back as a statement credit after spending $1,000 on purchases within the 1st 3 months of opening your account
- 3% cash back at U.S. supermarkets up to $6,000 per year, then 1%
- 2% cash back at U.S. gas stations
- 1% on other purchases
- No annual fee
- Terms & Conditions apply
And the Blue Cash Preferred® Card from American Express comes with:
- $150 back as a statement credit after spending $1,000 on purchases within the 1st 3 months of opening your account
- 6% cash back at U.S. supermarkets up to $6,000 per year, then 1%
- 3% cash back at U.S. gas stations
- 1% on other purchases
- $95 annual fee
- Terms & Conditions apply
With both of these cards, you can buy gasoline gift cards at supermarkets to indirectly get even more cash back! You can potentially get 6% back on gas this way, up to $6,000 per year. That’s huge savings!
An added benefit of AMEX credit cards is that you can register each card for AMEX Offers to save even more money on everyday purchases!
You will need at least $25 in rewards to redeem cash back.
American Express small business cards are relatively easy to be approved for. When you fill out the application as a sole proprietor, give your social security number as the tax identification number. Here’s how to apply for an AMEX small business card.
Folks on various forums have reported being approved for this card with credit scores of 680+.
The US Bank Business Edge Cash is a powerful card to use at the gas station because of its 3% cash back on fuel.
It also comes with a $150 sign-up bonus after you make purchases totaling $500 in the first 90 days! And there’s no annual fee.
You will also receive a 25% bonus on any cash back you’ve earned each year (up to $250). This means you’re earning even more than 3% at the pump (3% X 25% annual bonus = 3.75%).
With this card, you’ll get:
- $150 after you spend $500 within 90 days
- Annual bonus equal to 25% of your prior year’s Cash Rewards, up to a maximum of $250
- No annual fee
Take Your Rewards-Earning to the Next Level!
Because your work in the rideshare world is considered a small business, you’ll likely qualify for lots of lucrative small business credit cards. Some cards even have sign-up bonuses worth $700 to $800 in cash!
But remember, your credit score is very important, so don’t get started with credit cards if you won’t pay your balance in full each month. But as long as you do, your credit score should rise because banks will see that you can handle credit responsibly.
Harry and I have applied for many credit cards through the years and we still have excellent credit.
Folks who spend a lot on gasoline have several options for reducing costs at the pump! My top recommendations are:
- Chase Ink Cash – $300 sign-up bonus
- AMEX Blue Cash Credit Cards – $100 or $150 sign-up bonus
- US Bank Business Edge Cash – $150 sign-up bonus
With these cards, it’s possible to get between 2% and 6% back on gas in addition to the sign-up bonus. That’s a nice reward for something you have to purchase anyway!
Drivers, what do you use for all of your gas purchases? And which card seems like the best fit?
-Harry @ RSG
A $545 Tax Deduction Every Week?Full-time rideshare drivers can put up to 1000 business miles a week on their car. Rack up your mileage deductions and track your business miles with QuickBooks Self-Employed.