Citi Double Cash vs. Wells Fargo Active Cash: Which 2% Card Should You Pick?

Cash back cards with bonus categories get most of the attention. But savvy consumers realize that 2% everywhere is often a better deal. If you're looking for a card that earns this much, there are two popular options:

• Citi Double Cash® Card (Citi is an advertising partner with The Ascent)
• Wells Fargo Active Cash® Card (see rates and fees)

These cards have similar perks, so it can be hard to choose between them. Still, there's a clear winner in my book: The Wells Fargo Active Cash® Card. It's the one I'd pick if I was looking for a cash rewards card, for a few reasons.

It's a true 2% card, without any gimmicks

Rewards are straightforward with the Wells Fargo Active Cash® Card. It earns an unlimited 2% cash rewards on all purchases. For every $10,000 in purchases, you earn $200 in cash rewards.

The Citi Double Cash® Card makes earning rewards more complicated by splitting them up. It earns 1% cash back on purchases and 1% back on payments toward those purchases. Basically, you get the first half of your cash back when you buy something and the second half when you pay it off. But if you pay late, you could miss out and only get 1% back.

I'm not a fan of Citi's system. It seems unnecessarily complicated, and it makes receiving your cash back slower. On a positive note, it at least encourages you to pay your credit card bill on time and in full so you get all your cash back. If you're looking for some extra motivation to do this, then the Citi Double Cash® Card could be right for you.

It has cellphone and rental car protections

You know how some credit cards have complimentary insurance protections? Citi got rid of most of those several years ago. You won't find these protections on most Citi credit cards, including the Citi Double Cash® Card.

The Wells Fargo Active Cash® Card, on the other hand, has a couple of protections that could prove useful:

• Cellphone protection: If you pay your monthly wireless bill with your Wells Fargo card, your cellphone is covered for theft, damage, and involuntary and accidental parting. There's a coverage limit of $600 per claim (with a $25 deductible) and two claims per 12-month period.
• Auto rental collision damage waiver: If you pay for a rental car with your Wells Fargo card and decline the rental company's loss/damage insurance, you have rental car coverage for damage and theft. The maximum coverage amount is $50,000.

The welcome offer is easier to earn

These cards both have welcome offers worth the same amount, but the spend requirements are different. Here's what each card offers:

• Citi Double Cash® Card: Earn 20,000 ThankYou® Points (worth $200 cash back) after spending $1,500 on purchases in the first 6 months.
• Wells Fargo Active Cash® Card: Earn a $200 cash rewards bonus after spending $500 on purchases in the first three months.

Most people could earn either of these welcome offers without any trouble, so this isn't a big deal. But the Wells Fargo Active Cash® Card only requires $500 in spending, compared to $1,500 with the Citi Double Cash® Card.

The Wells Fargo Active Cash Card is the better choice

You can't go wrong with either option, as they're both excellent credit cards. The Wells Fargo Active Cash® Card just has a few key advantages.

It doesn't put any extra conditions on your cash rewards. It has cellphone insurance and rental car theft and damage insurance, so you don't need to pay for those yourself. And you'll be able to earn the welcome offer more quickly because of the lower spending requirement. It checks all the boxes for a 2% card.