Best debit cards offering rewards in 2022

Select’s editorial team works independently to review financial products and write articles that we think our readers will find useful. We earn commission from affiliate partners on many offers, but not all offers on Select are from affiliate partners.

Credit cards are ideal for those looking to build credit, earn rewards, and take advantage of various purchase protections. However, they might not be a good option for everyone.

If you’re prone to overspending and can’t pay off your balance on time and in full each month, you’ll likely face costly late fees and interest. Plus, if you have bad credit, you might even have trouble getting a credit card approved in the first place. This is where debit cards come in handy.

Unlike credit cards, where you essentially borrow money from a line of credit, debit cards are linked to your checking account and you pay instantly for each transaction. This allows you to better manage your expenses, not worry about approval ratings, and avoid unexpected late fees and high interest.

One caveat is that most credit cards offer far more benefits than debit cards, partly because of 2010 legislation limit the interchange fees that debit card issuers can charge merchants. In other words, debit cards became a less lucrative product for banks, so they started offering fewer rewards on these cards.

There are, however, a handful of debit cards on the market that offer rewards and can actually build credit (the latter usually being a big downside to only using debit cards). To determine the top five debit cards with rewards, Select looked at which debit cards had the lowest fees, the highest cash back rates, and the lowest minimum balances to earn rewards. (Read more about our methodology below.)

Subscribe to the Select newsletter!

Our top picks delivered to your inbox. Shopping recommendations that help you improve your life, delivered weekly. register here.

Best debit cards with rewards

Best overall

Discover the Cashback debit account

Discover Bank is a member of the FDIC.

  • Monthly maintenance fees

  • Minimum deposit to open

  • The minimum balance

  • Awards

    1% cash back on up to $3,000 in debit card purchases every month

  • Network of free ATMs

    More than 60,000 Allpoint® and MoneyPass® ATMs

  • Reimbursement of ATM fees

  • Overdraft fees

  • Mobile check deposit

The Discover the Cashback debit account is one of the few debit cards that offers rewards and has no annual fee. Although the cash back rate is relatively modest – just 1% – cardholders can still earn rewards on up to $3,000 in purchases each month. This means you can receive up to $30 in rewards per month.

To obtain the card, you must open a Discover current account. There is no minimum deposit amount, but you must make a deposit within 45 days of account opening. You can deposit money into your account by direct deposit, online transfer from another bank account, or mobile check deposit.

If you want to withdraw money from your checking account without paying ATM fees, you can do so at over 60,000 Allpoint and MoneyPass ATMs. A caveat to this card is that it has limited overseas use: it can only be used at certain merchants in Canada, Mexico, and the Caribbean. Cardholders are also eligible for a feature called “prepayment,” which allows them to access their paycheck two days earlier than they normally would.

Finalist

Axos Bank CashBack Verification

  • Monthly maintenance fees

  • Minimum deposit to open

  • The minimum balance

  • Awards

    In order to earn 1.00% cash back on up to $2,000 of qualifying purchases, you need an average daily balance of $1,500. Otherwise, you earn 0.50% cash back for the month.

  • Network of free ATMs

  • Reimbursement of ATM fees

    All domestic ATM fees reimbursed

The Axos Bank CashBack Verification is a no-fee option that offers debit cardholders up to 1% cash back on up to $2,000 in purchases each month. This means you can earn up to $20 in rewards per month.

This card does have some restrictions on the rewards cardholders can get, though.
Purchases made at wholesale, discount, grocery, supermarket and market stores are not eligible for cash back. Cardholders must also maintain an average daily balance of $1,500 in order to earn 1% cash back. If their balance drops below that, they’ll only earn 0.50% cash back that month, or up to $10.

There is a minimum deposit required of $50 to open an account. There are no monthly maintenance fees and account holders can get unlimited refunds for domestic ATM fees.

Best debit card for building up credit

Additional card

  • Awards

    5 reward points for every dollar spent

  • welcome bonus

  • Annual subscription

    $8 per month or $84 upfront for the year.

  • Foreign transaction fees

    N/A — cannot be used internationally

  • Credit needed

Advantages

  • Does not require a security deposit like other credit building credit cards
  • No credit check or minimum credit score required

The inconvenients

  • Costs $84 per year
  • Reports only to two credit bureaus, Equifax and Experian

The Additional card isn’t known for its generous rewards, but it’s one of the few debit cards on the market that can help improve your credit score. If you have a low credit score or a thin credit history, it can be difficult to get approved for all kinds of financing, from credit cards to personal loans and mortgages. The only problem is that the card requires paying a monthly fee of $8 or an initial annual fee of $84.

With the Extra Card, purchases and payments are reported to two of the three major credit bureaus: Equifax and Experian. The Extra Card is able to do this because it does not work like a typical debit card. Instead, Extra pays for the purchase at the time of the transaction, then withdraws the money from your bank account the next day. Your spending limit will always be based on the real-time balance of your bank account.

However, the supplemental card rewards are definitely missing – cardholders earn five rewards points for every dollar spent. Five points equals 1 cent, so the redemption value is only 0.2 cents per point. These rewards points can only be used in the Extra rewards store which offers items such as gift cards and AirPods.

Best debit card for environmentalists

Ando Visa™ Debit Card

The Ando Visa™ debit card information was independently collected by Select and was not reviewed or provided by the card issuer prior to publication. Community Federal Savings Bank is a member of the FDIC.

  • Monthly maintenance fees

  • The minimum balance

  • Awards

    1.5% cash back on all qualifying purchases

  • Network of free ATMs

    Free withdrawals at over 34,000 MoneyPass® ATMs

  • Reimbursement of ATM fees

Ando is a FinTech company focused on investing in sustainable initiatives. While banks can use your deposits at their own discretion, Ando promises customers that it will use their deposits to invest in green businesses which customers can see on the mobile app feature known as “impact center.”

Ando provides consumers with a checking account, an optional savings account, and a debit card, and the company is FDIC insured through the Community Federal Savings Bank.

The Ando Visa™ Debit Card offers cardholders a generous cash back rate of 1.5% on all eligible purchases. There is no minimum balance or fees.

Cardholders who wish to withdraw money from their account can do so by visiting any of more than 34,000 MoneyPass ATMs nationwide. There is a $2.95 fee for using an ATM that is not part of Ando’s network.

Best debit card with high APY on checking account

Visa® M1 Spend Debit Card

Information about the Visa® M1 Spend Debit Card was independently collected by Select and was not reviewed or provided by the card issuer prior to publication.

  • Annual subscription

  • The minimum balance

  • Awards

    1% cash back on qualifying purchases for M1 Plus members and 0% for non-members

  • Foreign transaction fees

    0.8% to 1.0% for M1 members; 0% for M1 Plus members (thanks to refunds)

  • Network of free ATMs

  • Reimbursement of ATM fees

    With M1, you get one refund per month; With M1 Plus, you get four refunds per month

M1Finance is a banking and investment platform that offers debit cards, credit cards, brokerage accounts, retirement accounts, and crypto accounts.

However, anyone with an M1 checking account can get the Visa® M1 Spend Debit Card. Signing up for a standard account is free, but if you want to maximize your returns, you’ll need an M1 Plus subscription, which costs $125 per year and offers a one-year free trial.

The M1 Spend Visa Debit Card offers the following rewards: 1% cash back if you are an M1 Plus member and 0% cash back for non-members. If you are a member of M1 Plus, you will be refunded foreign transaction fees, but non-members will have to pay between 0.8% and 1.0%, depending on whether the merchant settles the transaction in US dollars.

M1 Plus membership also comes with other rewards and benefits like a 1.7% APY checking account and a credit card that earns rewards on the shares you hold in your M1 brokerage account. There is no minimum balance on the current account. M1 Spend checking accounts are FDIC insured up to $250,000 through Lincoln Savings Bank.

Check out Select’s in-depth coverage at personal finance, technology and tools, The well-being and more, and follow us on Facebook, instagram and Twitter to stay up to date.

Our methodology

Editorial note: Any opinions, analyses, criticisms or recommendations expressed in this article are those of Select’s editorial staff only and have not been reviewed, endorsed or otherwise endorsed by any third party.

Comments are closed.