What counts as dining and restaurants for credit cards?

Most dining and restaurant cards earn rewards when you spend money at businesses that sell food and drinks. Generally, most card issuers agree that these types of businesses count: Cafes Coffee shops Sit-down restaurants Bakeries Fast-food eateries However, some card issuers list exclusions in their card terms. It's a good idea to review the card terms before getting a restaurant or dining card. All businesses have a merchant category code, which describes what the company does. Card issuers rely on these codes to categorize purchases for rewards purposes. If a business has a code that the card issuer classifies as a restaurant purchase, you'll earn rewards.

What is the best credit card for earning points on takeout?

The Chase Sapphire Preferred® Card and American Express® Gold Card are two great cards for earning points on takeout and delivery. As a note, most restaurant and dining cards earn points on takeout purchases and delivery apps, but it's always good to check a card's terms. The merchant category code listed for a credit card charge indicates the rewards rate you receive.

What is a good rewards rate for a restaurant rewards credit card?

Restaurant rewards cards that offer 3% to 4% in rewards are considered good, and those rates are competitive. Some cards may offer a lower rate, such as 2%. When shopping for cards, compare rewards rates and check annual fees. Some restaurant rewards cards may offer more rewards, but the yearly card fee may be higher than other cards.

Best Credit Cards for Dining and Restaurants of June 2023

Many or all of the products here are from our partners that compensate us. It’s how we make money. But our editorial integrity ensures our experts’ opinions aren’t influenced by compensation. Terms may apply to offers listed on this page.

If you're a foodie who enjoys sampling all your neighborhood's places to eat, a restaurant credit card is a must. Instead of earning a ho-hum 1% back when you grab a bite, these credit cards will reward you with 2%, 3%, and in some cases even more back. Since dining is such a common expense, there are plenty of stellar restaurant credit cards to choose from. Here are the best credit cards for restaurants, some of which are from our partners, that give you a bonus every time you dine out.

How do restaurant credit cards work?

Restaurant credit cards earn bonus rewards for all restaurant purchases, and you can find both cash-back cards and travel rewards cards that work in this way. The Chase Sapphire Preferred® Card is a travel card that earns points on dining.

If you're wondering what counts as a restaurant purchase, the bonus rate will typically apply with any merchant whose business focuses on serving food. Besides traditional restaurants, this can include:

Fast food restaurants
Bars
Cafes
Food delivery services (when it's a service that delivers only food, such as Grubhub, rather than a general delivery service)

The technical explanation is that it all depends on the merchant category code. Businesses that accept credit cards choose a four-digit category code based on what type of business they are. Card issuers then use these codes to classify transactions. So if you use your card at a business that has chosen a merchant category code that your card issuer classifies as a restaurant code, you'll get the bonus rate.

What to look for in a restaurant credit card

Of course, the most important feature in a restaurant credit card is its rewards rate at restaurants. When you spend quite a bit per month on dining, it's important to find the card that will maximize your rewards.

Although the rewards rate at restaurants is where you should start, there are also a few other things to look for in a dining credit card:

A sign-up bonus: Big sign-up bonus offers let you earn lots of rewards in a short period of time. Make sure to also check that you can meet the spending minimum on a card's bonus.
Additional bonus categories: You'll earn even more back if a card has other bonus categories, such as travel or entertainment, that match your spending habits.
Reasonable (or no) annual fee: It's not a problem if a restaurant card has an annual fee, assuming it offers enough benefits and rewards to make the annual fee worth it. But if you're interested only in cards with no annual fee, there are restaurant cards that won't cost you a thing per year.

How to compare restaurant cards

To compare restaurant credit cards, start with each card's rewards rate at restaurants and annual fee. These two factors often determine which card provides more value.

If two cards are similar, but one earns 3% back on dining and the other earns 4% back, the second card is obviously a better choice. It gets tougher if the cards have different annual fees. That's when you'll need to do some math. Fortunately, it's not too difficult to figure out which is the better deal.

Let's say the first card has no annual fee, but the second costs $95 per year. In this case, you'd multiply $95 by 100 because that second card earns 1% more on dining. The answer is $9,500. That's how much you'd need to spend on dining per year to break even on the second card's higher annual fee. If you spend more than $9,500, you should pay the fee for the card that earns more back. If you spend less, the no-annual-fee card is better for you.

There are times when you need to think about other factors. Some restaurant cards may have other benefits you like. In that case, you'd need to decide how much those benefits are worth to you. But when you're deciding among the best credit card offers, the method above frequently does the trick.

Is a dining and restaurant credit card right for you?

A dining and restaurant credit card is right for you if that's one of your biggest monthly expenses. You can figure this out by looking at your expenses for the past few months. Is dining among the top three or four spending categories? If so, a restaurant credit card is a good choice.

This type of credit card also tends to work very well for frequent travelers, since travel often involves dining out. Several of the most popular travel credit cards also double as great restaurant cards.

The Picks
Card	Rating	Great For
Chase Sapphire Preferred® Card	Rating image, 4.50 out of 5 stars. 4.50 stars Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor.	Great For: Dining and travel
Chase Sapphire Reserve®	Rating image, 4.50 out of 5 stars. 4.50 stars Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor.	Great For: Premium dining and travel points
Discover it® chrome	Rating image, 4.50 out of 5 stars. 4.50 stars Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor.	Great For: Restaurants and gas stations
Discover it® Student chrome	Rating image, 4.50 out of 5 stars. 4.50 stars Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor.	Great For: Restaurants and Gas Stations
2023 Award Winner American Express® Gold Card Terms apply	Rating image, 4.50 out of 5 stars. 4.50 stars Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor.	Great For: Dining and U.S. supermarkets
Citi Premier® Card	Rating image, 4.50 out of 5 stars. 4.50 stars Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor.	Great For: Restaurants, groceries, and travel
U.S. Bank Altitude® Go Visa Signature® Card	Rating image, 4.50 out of 5 stars. 4.50 stars Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor.	Great For: Diverse rewards program
2023 Award Winner Wells Fargo Autograph℠ Card	Rating image, 4.50 out of 5 stars. 4.50 stars Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor.	Great For: Unlimited points at restaurants
Capital One Savor Cash Rewards Credit Card	Rating image, 4.50 out of 5 stars. 4.50 stars Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor.	Great For: Dining and entertainment
Capital One SavorOne Cash Rewards Credit Card	Rating image, 4.50 out of 5 stars. 4.50 stars Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor.	Great For: Dining and entertainment with no annual fee

FAQs

Most dining and restaurant cards earn rewards when you spend money at businesses that sell food and drinks.
Generally, most card issuers agree that these types of businesses count:
- Cafes
- Coffee shops
- Sit-down restaurants
- Bakeries
- Fast-food eateries
However, some card issuers list exclusions in their card terms.
It's a good idea to review the card terms before getting a restaurant or dining card. All businesses have a merchant category code, which describes what the company does. Card issuers rely on these codes to categorize purchases for rewards purposes. If a business has a code that the card issuer classifies as a restaurant purchase, you'll earn rewards.
The Chase Sapphire Preferred® Card and American Express® Gold Card are two great cards for earning points on takeout and delivery.
As a note, most restaurant and dining cards earn points on takeout purchases and delivery apps, but it's always good to check a card's terms. The merchant category code listed for a credit card charge indicates the rewards rate you receive.
Restaurant rewards cards that offer 3% to 4% in rewards are considered good, and those rates are competitive. Some cards may offer a lower rate, such as 2%.
When shopping for cards, compare rewards rates and check annual fees. Some restaurant rewards cards may offer more rewards, but the yearly card fee may be higher than other cards.

This device is too small

mortgages

small-business

small-business

banks

Best Credit Cards for Dining and Restaurants of June 2023