How a gas card can help you navigate high pump prices

Limited global oil supplies, a result of the ongoing war in Iran, are having a major impact on gas prices across the US

As of March 30, the average national cost of gas increased by 2.4 cents per gallon each week and 97.9 cents per gallon last month, according to data from GasBuddy. Americans now pay $3.95 per gallon for gas and $5.369 per gallon for diesel. AAA data tells a similar story. AAA’s current average gas price is about $3.98 – a full $1.00 increase from last month.

Those rising prices could continue to rise in the coming weeks.

“The situation remains highly volatile and unpredictable, but upward pressure on fuel prices is likely to continue as long as global oil flows are held back by continued disruptions in the Strait. [of Hormuz],” said Patrick De Haan, head of petroleum research at GasBuddy in the analysis.

You may not see lower gas prices anytime soon, but you can take action to reduce the amount you pay at the pump with a gas rewards credit card.

A credit card with gas rewards can help you get cash back or points on every gas mileage. Today’s top electric credit cards offer 3%-5% (or 3x-5x) cash back on your garage spending. That may be a small amount per purchase, but it can add up over time, especially when gas prices are high.

Be sure to check the details of any rewards card that offers gas station use as a bonus category. Some cards may limit bonus rewards to a certain maximum amount spent per month or year, while other cards have unlimited rewards. Depending on how much your average gas bill is, these rates can make a difference in how much you can earn.

Don’t forget the card’s other rewards categories, too. Most credit cards with gas rewards are great everyday cards with rewards in common areas of spending, such as groceries, dining, streaming services, and more. If you can get a card that helps you save on gas and other regular budget items, you can save even more in the long run.

Finally, consider the card’s annual fee. Most gas rewards cards (especially cash back cards) don’t have an annual fee, so every dollar you earn in rewards can help you save money at the gas station. But if your card has an annual fee, you’ll want to make sure you’re earning enough in rewards each year to cover the cost of the fee and more. If not, you may not be eligible to pay for your rewards card.

Read more: Which credit card is right for me? A guide to help you choose

Another way to put your savings at the pump is to join a gas rewards program from your favorite gas station chain.

For example, the Shell Fuel Rewards program offers cents for every gas purchase you make at a Shell station, depending on your status. As a Silver member, you will receive a discount of 3 cents per liter. That rises to 5 cents per liter if you reach Gold status and 10 cents for Platinum status. Your status increases as you fill fillings at Shell stations; make at least six fillingups of at least 10 liters within three months to earn Gold status and twelve fillingups within three months to earn Platinum status.

Exxon Mobil Rewards+ is the same. You’ll earn rewards for your purchases at Exxon Mobil — including 3 points for every gallon of gas you buy. You can use every 100 points you earn for $1 in savings. If you purchase 100 gallons or more of Synergy fuel during a calendar month, you can earn Frequent Refill status and earn 1 additional point per gallon of fuel for the remainder of the month and the following month (although you can earn this status each month).

Gas stations with rewards programs often have promotional credit cards that you can use to increase the rewards you earn at the pump. But you can also increase your rewards by participating in a rewards program while using your regular gas rewards credit card.

For example, let’s say gas costs $4.00 per gallon, and your gas station loyalty program gives you a 10-cent discount at the pump. You need 12 liters of electricity to fill your car. In total, you’ll pay $46.80 at $3.90 per gallon, and save $1.20 in rewards.

Plus, you use your rewards credit card with 3% cash back at the gas station. You’ll earn about $1.40 cash back on your $46.80 purchase. Combined, that’s $2.60 in savings on one trip to the gas station.

With multiple trips per month, that can quickly add up to meaningful savings – especially as rates increase.

The best gas credit cards offer top rewards at the pump. Here are some of our favorite picks today.

Read more: The best credit cards are electronic

Why we love it: The Blue Cash Everyday Card has no annual fee and earns (among other bonus categories) up to 3% cash back on up to $6,000 in annual gas station spending. If you spend $6,000 in cash, that’s $180 cash back at the gas pump. After that, you will still earn 1% at the gas station.

Read our full review of the Blue Cash Everyday Card from Amex

Why we love it: Instead of cash back, the Wells Fargo Autograph Card earns points that you can use for travel, gift cards, account credits, and more. You’ll get 3x points in most bonus categories, including gas stations. There is no limit on the 3x bonus rewards, so you will continue to earn that amount regardless of how much you spend on fuel throughout the year.

Read our full Wells Fargo Autograph Card review

Why we love it: Capital One Venture is another travel rewards card. You can use the miles you earn to spend on future travel, transfer them to Capital One travel partners, redeem them for statement credits, and more. This card does not have a specific gas rewards category, but you will earn 2x unlimited miles on every purchase you make, including gas. Unlike the others on our list, Capital One Venture has an annual fee of $95. Compare your spending to ensure you’ll earn enough rewards each year to cut costs and maximize savings on electricity and other purchases.

Read our full review of the Capital One Venture Rewards Credit Card

Why we love it: The Citi Custom Cash Card works differently than the other gas rewards cards on our list. With no annual fee, you can earn 5% cash back on your top spend in each billing cycle. 5% earns on the first $500 you spend per month, then you’ll earn 1% cash back. You don’t need to worry about selecting categories each billing cycle — rewards will automatically adjust based on your spending. If you spend enough money on gas each month to make your regular top tier and earn $500 in bonus cash, you can earn a total of $300 cash back in bonus gas rewards each year.

Read our full Citi Custom Cash Card review

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