The Kroger Credit Card is a co-branded Visa issued by Citi that gives you cash back on groceries and fuel

Kroger offers two versions of a Visa card through Citi Bank: the Kroger Credit Card and the Kroger Rewards Visa. Both cards earn cash back on purchases at Kroger and affiliated stores, but the rewards structure and annual fee differ. The standard Kroger Credit Card has no annual fee and earns 2% cash back on Kroger purchases and 1% on everything else. The Kroger Rewards Visa charges $59 per year and earns 3% cash back on Kroger and fuel purchases, plus 1% elsewhere.

The card is a standard revolving credit account, meaning you can carry a balance month to month (though interest will accrue). Cash back appears as a statement credit or can be redeemed for fuel discounts at Kroger fuel centers. Unlike some grocery cards, there is no sign-up bonus, and the rewards do not stack with Kroger's digital coupon program — you get one or the other, not both.

Key Takeaways

  • The no-fee Kroger Credit Card earns 2% cash back on Kroger purchases and 1% on all other purchases, with no annual cost.
  • The Kroger Rewards Visa costs $59 per year but earns 3% cash back on Kroger and fuel, making it worthwhile only if you spend over $2,000 annually at Kroger.
  • Cash back is issued as a statement credit and can also be converted to fuel discounts, but you cannot combine it with Kroger's digital coupon offers.
  • The card is issued by Citi and carries a variable interest rate, so the APR will change based on prime rate movements.

How cash back and fuel rewards work

Cash back from either Kroger card appears as a statement credit on your monthly bill. You do not have to redeem it manually — Citi applies it automatically. If you prefer, you can instead convert your cash back into fuel discounts at Kroger fuel centers, typically at a rate of $1 in cash back equals $0.10 off per gallon (though this ratio varies by promotion).

The 2% or 3% rate applies only to purchases made at Kroger stores and affiliated banners (such as Fred Meyer, Smith's, and Ralphs if you shop at those chains). Purchases at other grocery stores, restaurants, or retailers earn only 1% cash back. There is no cap on how much cash back you can earn, and rewards do not expire as long as your account remains open.

The annual fee trade-off: standard card versus rewards card

The decision between the two cards comes down to how much you spend at Kroger each year. The standard card with no annual fee earns 2% on Kroger purchases. The Kroger Rewards Visa earns 3% on the same purchases but costs $59 per year. To break even, you need to spend roughly $5,900 annually at Kroger (the extra 1% on $5,900 equals $59). If you spend less than that, the no-fee card is the better choice.

If you spend $6,000 or more per year at Kroger, the rewards card begins to pay for itself. A household that spends $10,000 annually at Kroger would earn $300 in cash back with the rewards card (3% of $10,000) versus $200 with the standard card (2% of $10,000), netting $100 after the $59 fee. The fuel discount conversion can also add value if you fill up frequently at Kroger fuel centers.

Interest rates and how to avoid paying them

Both Kroger cards carry a variable APR, which means the interest rate is tied to the prime rate and changes when the Federal Reserve adjusts rates. The exact APR you receive depends on your credit score and credit history — Citi will quote you a range when you explore. There is no introductory 0% APR period on either card, so interest begins accruing when ready on any balance you carry.

To avoid interest charges, pay your full statement balance by the due date each month. The card reports to all three credit bureaus (Equifax, Experian, and TransUnion), so on-time payments help build your credit history. If you do carry a balance, the interest cost will quickly exceed any cash back you earn, making the card a net loss.

Where you can and cannot use the card

Because the Kroger card is a Visa, you can use it anywhere Visa is accepted — not just at Kroger. However, the higher cash back rate (2% or 3%) applies only at Kroger and its affiliated grocery banners. All other purchases earn 1% cash back. This makes the card less competitive than some general-purpose cash back cards if you plan to use it for non-grocery spending.

The card cannot be used at Kroger's fuel centers to earn the higher rate on fuel purchases directly; instead, you convert cash back into fuel discounts after the fact. Some regional grocery chains and warehouse clubs offer their own cards with higher fuel rewards, so compare the total value if fuel spending is a major part of your budget.

How the card affects your credit and what happens if you miss a payment

Opening a new credit card temporarily lowers your credit score because Citi performs a hard inquiry and adds a new account to your credit history. Over time, on-time payments and a low balance relative to your credit limit will improve your score. The card reports monthly to the credit bureaus, so it becomes part of your credit mix and payment history.

If you miss a payment, Citi will charge a late fee (typically $25 to $35 for the first late payment) and report the miss to the credit bureaus after 30 days. A late payment can lower your score by 100 points or more and remain on your credit report for seven years. If you fall 60 or 90 days behind, Citi may freeze your account and refer the debt to a collection agency.

Comparing the Kroger card to other grocery and cash back cards

The Kroger card's main advantage is that it has no annual fee on the standard version and earns cash back specifically on grocery purchases. However, other cards may offer better value depending on your spending pattern. The Chase Freedom Unlimited earns 1.5% cash back on all purchases with no annual fee, which beats the Kroger card's 1% on non-grocery items. The American Express Blue Cash Preferred earns 3% on groceries (up to $6,000 per year, then 1%) but costs $95 annually.

If you shop exclusively at Kroger and spend more than $5,900 per year there, the Kroger Rewards Visa is competitive. If you shop at multiple grocery chains or want a card that earns the same rate everywhere, a general-purpose cash back card may be a better fit. The best choice depends on where you shop, how much you spend, and whether you value the simplicity of a single-store card.

Frequently Asked Questions

Can I use the Kroger card at other grocery stores?

Yes, you can use it anywhere Visa is accepted, but you only earn the higher cash back rate (2% or 3%) at Kroger and its affiliated banners like Fred Meyer and Smith's. At other grocery stores, you earn 1% cash back. If you shop at multiple chains, a general-purpose cash back card may offer better value.

What happens to my cash back if I close the card?

Any cash back you have already earned will be applied to your account as a statement credit before the card closes. You do not lose rewards you have already accumulated. However, you will stop earning cash back once the account is closed.

Is there a sign-up bonus?

No, neither the standard Kroger Credit Card nor the Kroger Rewards Visa offers a sign-up bonus. You begin earning cash back on your first purchase, but there is no introductory reward for opening the account.

Can I use the card to pay my Kroger bill online?

Yes, you can use the Kroger card to pay your Kroger account balance, though this is not recommended because you would be paying off debt with new debt. You earn cash back on the payment itself, but the interest cost on any balance you carry will exceed the reward value.

Does the card have a foreign transaction fee?

Yes, both versions charge a 3% foreign transaction fee on purchases made outside the United States. If you travel internationally, a card with no foreign transaction fee will save you money.