Why I charged a cruise on my Discover it Cash Back card
This article was originally published mid-2021 and reflects the writer’s financial decisions at that time. The card details and the rest of the article have since been updated.
Key takeaways
- Using a 0 percent introductory APR credit card can be a smart way to fund a large purchase or vacation, as long as you’re able to pay it off before the promotional period ends.
- The Discover it® Cash Back card offers an intro APR on purchases and balance transfers, which is why I decided to use it for my cruise.
- Beyond its intro APR, the Discover it Cash Back card has a unique cash back rewards structure that includes rotating categories and a Cashback Match program.
In 2016, I was desperately in need of a vacation. My freelance career was growing, but I didn’t have the kind of cash flow that would allow me to book the trip I wanted to take.
So I decided to fund my vacation — a week-long music, comedy and tabletop gaming cruise — by applying for the Discover it® Cash Back card. Discover approved my application within minutes, and as soon as my new credit card arrived in the mail, I used it to book my cruise.
The card’s main draw is its 5 percent cash back rate on rotating quarterly categories on up to $1,500 in purchases. These spending categories must be activated in order to earn the boosted rewards rate.
Why I chose the Discover it Cash Back for my cruise
So, why did I put a $2,535 cruise ticket on a cash back credit card? Because the Discover it Cash Back was a good option thanks to its nice introductory annual percentage rate (APR) offer. These types of offers allow cardholders to carry a balance on their card without paying interest for a set period of time. If you’re in a situation where you want to make a big purchase but would rather split up your payments over the course of a year or longer, you could benefit from using a 0 percent intro APR card.
Here’s why I chose the Discover it Cash Back as my 0 percent intro APR card and why I’ve still kept it even after the intro period ended:
1. The card had a strong intro APR offer
When I booked my cruise, the Discover it Cash Back card’s intro APR offer was perfect for my needs. Currently, the Discover it Cash Back card comes with a 0 percent intro APR offer on purchases and balance transfers for 15 months from account opening, followed by a 18.24 percent to 27.24 percent variable APR.
Booking a cruise on the Discover it Cash Back turned out to be a good choice for me. But it’s important to remember that using a card to fund a large purchase can be a risky move. If you don’t pay off your big purchase in full before the intro APR period ends, you’ll start accruing interest on your unpaid balance, making your purchase more expensive in the long run.
In my case, I was able to take myself on that much-needed vacation knowing I could make payments each month to pay it off in full before the zero-interest promotional rate expired.
2. The card had a unique welcome bonus
Another reason I chose the Discover it Cash Back was for its Cashback Match program. This program essentially doubles all the rewards you earn at the end of your first year regardless of how much you spend and how much cash back you earn.
Let’s consider my cruise purchase, for example. I spent $2,535 on my cruise at the beginning of the year. If I also activated and maxed out my bonus categories each year, here’s how much I would’ve earned in cash back:
|
Discover it® Cash Back rewards |
Cash back math |
Total cash back for the first year |
| 5% on rotating bonus categories (activation required), on up to $1,500 in purchases per quarter, then 1 percent | $1,500 (spent per quarter) x 0.05 (5% cash back) x 4 quarters | $300 |
| 1% on all other purchases | $2,535 (spent on cruise) x 0.01 (1% cash back) | $25.35 |
| Cashback Match: double all rewards earned in the first year of card ownership | $325.35 (total cash back for the year) x 2 | $650.70 |
I would’ve earned $650.70 in the first year without spending a dime on interest for my trip, making the card a great choice for my vacation.
Maximizing the value of the Discover it Cash Back after the intro APR period
How does the Discover it Cash Back card fit into my life now that my vacation — and my zero-interest promotional rate — is over?
I usually use the Capital One Quicksilver Cash Rewards Credit Card for the majority of my day-to-day spending since I like the simplicity of a card that gives me 1.5 percent cash back on every purchase.
But, that doesn’t mean the Discover it card never makes it out of my wallet. I use my Discover card for purchases that I make with my partner, and the credit card bill gets paid out of a joint bank account. I still love this card, and we take advantage of it by:
- Keeping up with Discover’s cash back calendar: While Discover doesn’t publish their rotating bonus categories ahead of time, you can get an idea of what you might expect by looking at Discover’s cash back categories from past years.
- Activating my rotating bonus categories every quarter: Cardholders who activate earn 5 percent cash back on up to $1,500 spent on purchases in quarterly rotating categories, then 1 percent. This works out to $300 in cash back each year if you maximize your rotating cash back categories each quarter. But, you won’t get 5 percent cash back unless you activate the bonus category for that quarter, so make sure you do so before you start spending.
- Working those bonus categories into our budget: You should never blow your budget just to max out a rewards category. However, making adjustments to your spending schedule or where you shop to coincide with the card’s rotating categories could save you money in the long run.
Discover’s cash back categories have previously included places like grocery stores and gas stations, as well as specific retailers. My partner and I particularly enjoy leaning into restaurant spending when that comes around as the quarter’s bonus category.
Other 0 percent intro APR cards and cash back cards to consider
If you’re thinking about using a 0 percent intro APR credit card to book a cruise or make a large purchase, you might also want to consider the Bank of America® Customized Cash Rewards credit card. This card earns:
- 3 percent cash back in the category of your choice
- 2 percent cash back at grocery stores and wholesale clubs (on up to $2,500 in combined purchases with your 3 percent category of choice)
- 1 percent cash back on all other purchases
Plus, the card offers a 0 percent intro APR for 15 billing cycles on balance transfers made in the first 60 days from account opening and on purchases, followed by a variable APR of 18.24 percent to 28.24 percent.
The Chase Freedom Unlimited® is another good option — it offers a 0 percent intro APR on balance transfers made within 60 days from account opening and on purchases for 15 months, followed by a variable APR of 19.49 percent to 28.24 percent. The card is also a great cash back card, earning:
- 5 percent cash back on travel purchased through Chase Travel℠
- 5 percent back on Lyft purchases (through March 2025)
- 3 percent back on dining and drugstore purchases
- 1.5 percent back on all other purchases
The bottom line
Years ago, the Discover it Cash Back allowed me to book and pay off a vacation without paying interest. Now, it’s helping me earn boosted rewards on everyday purchases. If you’re interested in a rotating category card with an intro APR offer — and you don’t mind organizing your purchases around rotating bonus categories — the Discover it Cash Back is hard to beat.
Regardless, there are many excellent cash back and 0 percent APR cards on the market today, but that doesn’t mean there is one “best” card for everyone. Some cards suit different kinds of needs better than others, which is why you should shop around and compare credit cards before you make your decision.
The Bank of America content in this post was last updated on February 10, 2025.
