The Best Credit Card Sign-Up Bonuses of 2024

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Sign-up bonuses (also referred to as welcome or intro bonuses) are a prominent feature of the best credit cards, particularly travel, cash back and general purpose rewards credit cards. The best sign-up bonuses offer a generous amount of rewards for a reasonable amount of spending. During the height of the pandemic, many issuers scaled down these offers. Now, as things begin to open up, issuers are hoping to entice new cardmembers by offering their very best sign-up offers.

Sign-up bonuses (also referred to as welcome or intro bonuses) are a prominent feature of the best credit cards, particularly travel, cash back and general purpose rewards credit cards. The best sign-up bonuses offer a generous amount of rewards for a reasonable amount of spending. During the height of the pandemic, many issuers scaled down these offers. Now, as things begin to open up, issuers are hoping to entice new cardmembers by offering their very best sign-up offers.

Best credit cards for sign-up bonuses of 2024

• Chase Sapphire Preferred® Card: Best for welcome offer + referral bonus
• Bank of America® Unlimited Cash Rewards credit card: Best for flat rate cash back + sign-up bonus
• Chase Freedom Unlimited®: Best for cash back
• Chase Sapphire Reserve®: Best for welcome offer + travel credits
• United℠ Explorer Card: Best bonus airline travel
• Citi Rewards+® Card: Best for sign-up bonus + annual bonus
• The World of Hyatt Credit Card: Best for hotel guests
• Southwest Rapid Rewards® Plus Credit Card: Best for Southwest flyers
• Southwest Rapid Rewards® Priority Credit Card: Best for anniversary bonus

Additional Options:

• Marriott Bonvoy Bold® Credit Card: Best for Marriott guests

Chase Sapphire Preferred® Card

Our rating: 4.9 More information Close Our writers, editors and industry experts score credit cards based on a variety of factors including card features, bonus offers and independent research. Credit card issuers have no say or influence on how we rate cards. The score seen here reflects the card's primary category rating. For more information, you can read about how we rate our cards.

Rewards rate

5x 5x on travel purchased through Chase Travel℠.
3x 3x on dining, select streaming services and online groceries.
2x 2x on all other travel purchases.
1x 1x on all other purchases.

At A Glance

Intro offer 60,000 bonus points More information Close Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $750 when you redeem through Chase Travel℠. Annual fee $95 Regular APR 21.49% - 28.49% variable

Recommended credit 670-850 (Good to Excellent) More information Close CreditCards.com credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.

Overall rating

Our rating: 4.9 More information Close Our writers, editors and industry experts score credit cards based on a variety of factors including card features, bonus offers and independent research. Credit card issuers have no say or influence on how we rate cards. The score seen here reflects the card's primary category rating. For more information, you can read about how we rate our cards.

Why we like this card

The current bonus value for the Chase Sapphire Preferred ranks near the top among all of our favorite rewards credit cards, offering60,000 points upon spending $4,000 in the first three months, earning you $750 in travel purchases when redeemed through the Chase Travel℠ portal.

This card is designed with travelers in mind, offering 5 points per dollar on travel purchased through Chase, 3 points per dollar on dining, 2 points per dollar on other travel purchases and 1 point per dollar on general purchases, as well as a variety of ancillary benefits and a lucrative referral bonus.

Pros

• Generous sign-up and referral bonuses.
• Travel-focused rewards rate.

Cons

• The $95 annual fee can be a hurdle for some.
• Lacks some premium perks you’d get with the Chase Sapphire Reserve card.

Bottom Line

If you are hoping to fast-track your way to your next vacation, the Chase Sapphire Preferred card offers a lucrative welcome offer and referral bonus, as well as ample opportunities to earn rewards.

Highlights

• Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $750 when you redeem through Chase Travel℠.
• Enjoy benefits such as 5x on travel purchased through Chase Travel℠, 3x on dining, select streaming services and online groceries, 2x on all other travel purchases, 1x on all other purchases, $50 Annual Chase Travel Hotel Credit, plus more.
• Get 25% more value when you redeem for airfare, hotels, car rentals and cruises through Chase Travel℠. For example, 60,000 points are worth $750 toward travel.
• Count on Trip Cancellation/Interruption Insurance, Auto Rental Collision Damage Waiver, Lost Luggage Insurance and more.
• Get complimentary access to DashPass which unlocks $0 delivery fees and lower service fees for a minimum of one year when you activate by December 31, 2027.
• Member FDIC

Rates & Fees

Bank of America® Unlimited Cash Rewards credit card

Our rating: 3.8 More information Close Our writers, editors and industry experts score credit cards based on a variety of factors including card features, bonus offers and independent research. Credit card issuers have no say or influence on how we rate cards. The score seen here reflects the card's primary category rating. For more information, you can read about how we rate our cards.

Rewards rate

At A Glance

Intro offer $200 More information Close $200 online cash rewards bonus after you make at least $1,000 in purchases in the first 90 days of account opening. Annual fee $0 Regular APR 19.24% - 29.24% Variable APR on purchases and balance transfers

Recommended credit 670-850 (Good to Excellent) More information Close CreditCards.com credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.

Overall rating

Our rating: 3.8 More information Close Our writers, editors and industry experts score credit cards based on a variety of factors including card features, bonus offers and independent research. Credit card issuers have no say or influence on how we rate cards. The score seen here reflects the card's primary category rating. For more information, you can read about how we rate our cards.

Why we like this card

The latest card from Bank of America lets you earn an unlimited 1.5% cash back on all eligible purchases and $200 online cash rewards bonus after making at least $1,000 in purchases in the first 90 days of your account opening. If you’re a Bank of America Preferred Rewards® member, you can earn 25% to 75% more cash back on every purchase, meaning you could earn up to 2.62% cash back on every purchase (the value of the boost varies based on the amount in your eligible Bank of America accounts). The card also boasts a generous intro APR offer on balance transfers made in the first 60 days and purchases.

Pros

• Earn $200 online cash rewards after making at least $1,000 in purchases in the first 90 days of account opening.
• There’s an intro APR offer on purchases and balance transfers made in the first 60 days.

Cons

• If you focus your spending on specific areas you might be able to earn more with a cash back credit card that features rotating bonus categories.
• If you carry a balance, the higher APR could prove to be expensive after the intro period ends.

Bottom Line

This card’s potential rewards boost and attainable sign-up bonus make it an excellent choice for existing Bank of America customers who are looking for a flat rate cash back credit card

Highlights

• $200 online cash rewards bonus after you make at least $1,000 in purchases in the first 90 days of account opening.
• Earn unlimited 1.5% cash back on all purchases.
• If you're a Bank of America Preferred Rewards® member, you can earn 25%-75% more cash back on every purchase. That means you could earn 1.87%-2.62% cash back on every purchase with Preferred Rewards.
• No annual fee.
• No limit to the amount of cash back you can earn and cash rewards don’t expire as long as your account remains open.
• 0% Intro APR for 15 billing cycles for purchases, and for any balance transfers made in the first 60 days. After the Intro APR offer ends, a Variable APR that’s currently 19.24% - 29.24% will apply. A 3% Intro balance transfer fee will apply for the first 60 days your account is open. After the Intro balance transfer fee offer ends, the fee for future balance transfers is 4%.
• Contactless Cards - The security of a chip card, with the convenience of a tap.
• This online only offer may not be available if you leave this page or if you visit a Bank of America financial center. You can take advantage of this offer when you apply now.

Rates & Fees

Intro Balance Transfers APR 0% Intro APR for 15 billing cycles for any BTs made in the first 60 days. A fee of 3% for 60 days from account opening, then 4% will apply.

Chase Sapphire Reserve®

Our rating: 5.0 More information Close Our writers, editors and industry experts score credit cards based on a variety of factors including card features, bonus offers and independent research. Credit card issuers have no say or influence on how we rate cards. The score seen here reflects the card's primary category rating. For more information, you can read about how we rate our cards.

Rewards rate

10x Earn 10x total points on hotels and car rentals when you purchase travel through Chase Travel℠.
5x Earn 5x total points on flights through Chase Travel℠.
3x Earn 3x points on other travel and dining.
1x Earn 1 point per $1 spent on all other purchases.

At A Glance

Intro offer 60,000 bonus points More information Close Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $900 toward travel when you redeem through Chase Travel℠. Annual fee $550 Regular APR 22.49% - 29.49% variable

Recommended credit 740-850 (Excellent) More information Close CreditCards.com credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.

Overall rating

Our rating: 5.0 More information Close Our writers, editors and industry experts score credit cards based on a variety of factors including card features, bonus offers and independent research. Credit card issuers have no say or influence on how we rate cards. The score seen here reflects the card's primary category rating. For more information, you can read about how we rate our cards.

Why we like this card

This luxury travel credit card can go a long way toward funding your next vacation, thanks to a $300 annual travel credit and a first-year sign-up bonus (60,000 points if you spend $4,000 in your first three months). That bonus is worth around $900 in travel, given you receive a 50% boost when booking through Chase Travel℠.

The card admittedly carries a high price tag, courtesy of its $550 annual fee. But frequent fliers could find that cost worthwhile, given the bevy of benefits, including airport lounge access and an up to a $100 credit for Global Entry or TSA PreCheck, and complimentary lounge access.

Pros

• Earn generous rewards on travel and dining purchases.
• The travel credit is one of the most flexible on the market, redeemable for a wide variety of travel purchases, including flights, hotel stays and select transportation.

Cons

• The $550 annual fee isn’t waived the first year and could price the card out of your budget.
• You’ll need excellent credit to qualify for the card.

Bottom Line

Yes, the annual fee is steep, but frequent travelers can recoup that charge by racking up rewards and cashing in their annual travel credits.

Highlights

• Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $900 toward travel when you redeem through Chase Travel℠.
• $300 Annual Travel Credit as reimbursement for travel purchases charged to your card each account anniversary year.
• Earn 5x total points on flights and 10x total points on hotels and car rentals when you purchase travel through Chase Travel℠ immediately after the first $300 is spent on travel purchases annually. Earn 3x points on other travel and dining & 1 point per $1 spent on all other purchases
• Get 50% more value when you redeem your points for travel through Chase Travel℠. For example, 60,000 points are worth $900 toward travel.
• Get complimentary access to DashPass which unlocks $0 delivery fees and lower service fees for a minimum of one year when you activate by December 31, 2027.
• 1:1 point transfer to leading airline and hotel loyalty programs
• Access to 1,300+ airport lounges worldwide after an easy, one-time enrollment in Priority Pass™ Select and up to $100 application fee credit every four years for Global Entry, NEXUS, or TSA PreCheck®
• Count on Trip Cancellation/Interruption Insurance, Auto Rental Collision Damage Waiver, Lost Luggage Insurance and more.
• Member FDIC

Rates & Fees

United℠ Explorer Card

Our rating: 3.9 More information Close Our writers, editors and industry experts score credit cards based on a variety of factors including card features, bonus offers and independent research. Credit card issuers have no say or influence on how we rate cards. The score seen here reflects the card's primary category rating. For more information, you can read about how we rate our cards.

Rewards rate

2X Earn 2 miles per $1 spent on dining, hotel stays, and United® purchases
1X 1 mile per $1 spent on all other purchases

At A Glance

Intro offer Earn 50,000 bonus miles More information Close Earn 50,000 bonus miles after you spend $3,000 on purchases in the first 3 months your account is open. Annual fee $95, waived first year Regular APR 21.99% - 28.99% variable

Recommended credit 670-850 (Good to Excellent) More information Close CreditCards.com credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.

Overall rating

Our rating: 3.9 More information Close Our writers, editors and industry experts score credit cards based on a variety of factors including card features, bonus offers and independent research. Credit card issuers have no say or influence on how we rate cards. The score seen here reflects the card's primary category rating. For more information, you can read about how we rate our cards.

Why we like this card

With the United Explorer you can earn 50,000 bonus miles after you spend $3,000 on purchases in the first three months your account is open.

This quality co-branded credit card also comes with a laundry list of United Airline perks, including a free checked bag, an up to $100 credit for Global Entry or TSA PreCheck every four years, priority boarding privileges, and two, one-time passes to the United Club each card anniversary.

Pros

• The $95 annual fee is waived the first year.
• United is notably flexible when it comes to redeeming rewards; there are no blackout dates and you can redeem for open-jaw, one-way and round-trip tickets.

Cons

• Unlike many airline cards, this card offers no annual miles bonus.
• The perks are geared toward frequent United flyers.

Bottom Line

This top-notch airline credit card offers a bevy of benefits to frequent United flyers in addition to generous base rewards on a variety of travel purchases.

Highlights

• Earn 50,000 bonus miles after you spend $3,000 on purchases in the first 3 months your account is open.
• $0 introductory annual fee for the first year, then $95.
• Earn 2 miles per $1 spent on dining, hotel stays, and United® purchases
• Up to $100 Global Entry, TSA PreCheck® or NEXUS fee credit
• 25% back as a statement credit on purchases of food, beverages and Wi-Fi on board United-operated flights and on Club premium drinks when you pay with your Explorer Card
• Free first checked bag - a savings of up to $160 per roundtrip. Terms Apply.
• Enjoy priority boarding privileges and visit the United Club℠ with 2 one-time passes each year for your anniversary
• Member FDIC

Rates & Fees

Citi Rewards+® Card

Our rating: 3.9 More information Close Our writers, editors and industry experts score credit cards based on a variety of factors including card features, bonus offers and independent research. Credit card issuers have no say or influence on how we rate cards. The score seen here reflects the card's primary category rating. For more information, you can read about how we rate our cards.

Rewards rate

5X Special offer: earn 5 ThankYou® Points per $1 spent on hotel, car rentals and attractions booked on CitiTravel.com through December 31, 2025.
2X Earn 2X ThankYou® Points at Supermarkets and Gas Stations for the first $6,000 per year and then 1X Points thereafter.
1X Earn 1X ThankYou® Points on All Other Purchases.

At A Glance

Intro offer 20,000 points More information Close Earn 20,000 bonus points after you spend $1,500 in purchases with your card within 3 months of account opening; redeemable for $200 in gift cards at thankyou.com. Annual fee $0 Regular APR 18.74% - 28.74% variable

Recommended credit 670-850 (Good to Excellent) More information Close CreditCards.com credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.

Overall rating

Our rating: 3.9 More information Close Our writers, editors and industry experts score credit cards based on a variety of factors including card features, bonus offers and independent research. Credit card issuers have no say or influence on how we rate cards. The score seen here reflects the card's primary category rating. For more information, you can read about how we rate our cards.

Why we like this card

On its own, the Citi Rewards+® Card’s sign-up bonus is decent, though not quite best-in-class (earn 20,000 ThankYou points if you spend $1,500 in your first three months of account opening, redeemable for $200 in gift cards at Thankyou.com). But cardholders hoping for a permanent boost will appreciate the annual bonus for redeeming rewards: You receive 10% points back when you redeem (up to 100,000 points per year).

The card offers solid rewards for everyday purchases: You earn 2X ThankYou points at supermarkets and gas stations up to the first $6,000 spent yearly (then 1X points) and 1X points on all other purchases. Plus, as special offer, earn 5 ThankYou® Points per dollar spent on hotel, car rentals, and attractions (excluding air travel) booked on the CitiTravel.com (offer ends 12/31/25).

Pros

• The card has a unique feature: Every purchase is rounded up to the nearest 10 points, meaning a $12 movie ticket nets 20 ThankYou points.
• Points don’t expire and you don’t have to worry about travel blackout dates.

Cons

• Your 2X earnings on supermarkets and gas stations is capped at $6,000 annually.
• Point redemption values are only high on gift cards and travel purchases.

Bottom Line

You can get a lot of value out of this no-annual-fee credit card, thanks to the round-up feature and its anniversary bonus.

Highlights

• Earn 20,000 bonus points after you spend $1,500 in purchases with your card within 3 months of account opening; redeemable for $200 in gift cards at thankyou.com
• Plus, as a special offer, earn a total of 5 ThankYou® Points per $1 spent on hotel, car rentals and attractions booked on CitiTravel.com through December 31, 2025.
• 0% Intro APR on balance transfers for 15 months from date of first transfer and on purchases from date of account opening. After that, the variable APR will be 18.74% - 28.74%, based on your creditworthiness. There is an intro balance transfer fee of 3% of each transfer (minimum $5) completed within the first 4 months of account opening. After that, your fee will be 5% of each transfer (minimum $5).
• Earn 2X ThankYou® Points at Supermarkets and Gas Stations for the first $6,000 per year and then 1X Points thereafter. Plus, earn 1X ThankYou® Points on All Other Purchases.
• The Citi Rewards+® Card - the only credit card that automatically rounds up to the nearest 10 points on every purchase - with no cap.
• No Annual Fee

Rates & Fees

Southwest Rapid Rewards® Plus Credit Card

Our rating: 4.7 More information Close Our writers, editors and industry experts score credit cards based on a variety of factors including card features, bonus offers and independent research. Credit card issuers have no say or influence on how we rate cards. The score seen here reflects the card's primary category rating. For more information, you can read about how we rate our cards.

Rewards rate

2X Earn 2X points on Southwest® purchases.
2X Earn 2X points on local transit and commuting, including rideshare.
2X Earn 2X points on internet, cable, and phone services; select streaming.
2X Earn 2X points on Rapid Rewards® hotel and car rental partners.
1X Earn 1X points on all other purchases.

At A Glance

Intro offer Earn 50,000 points More information Close Earn 50,000 bonus points after spending $1,000 on purchases in the first 3 months from account opening. Annual fee $69 Regular APR 21.49% - 28.49% variable

Recommended credit 670-850 (Good to Excellent) More information Close CreditCards.com credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.

Overall rating

Our rating: 4.7 More information Close Our writers, editors and industry experts score credit cards based on a variety of factors including card features, bonus offers and independent research. Credit card issuers have no say or influence on how we rate cards. The score seen here reflects the card's primary category rating. For more information, you can read about how we rate our cards.

Why we like this card

This card for frequent Southwest flyers recently updated its sign-up bonus. Cardholders can earn 50,000 bonus points after spending $1,000 on purchases in the first three months. Like bolstering rewards offers? You’ll also receive 3,000 bonus points each account anniversary. The card does carry an annual fee, though: $69, not waived the first year.

Pros

• Your points don’t expire and you don’t have to worry about blackout dates.
• Southwest doesn’t charge any booking fees or change fees.

Cons

• There’s a $69 annual fee.
• You can only book rewards flights on Southwest; the carrier doesn’t have airline partners.

Bottom Line

Southwest fans can ramp up rewards earnings with this relatively affordable airline credit card.

Highlights

• Earn 50,000 bonus points after spending $1,000 on purchases in the first 3 months from account opening.
• 3,000 anniversary points each year.
• Earn 2X points on Southwest® purchases.
• Earn 2X points on local transit and commuting, including rideshare.
• Earn 2X points on internet, cable, and phone services; select streaming.
• 2 EarlyBird Check-In® each year.
• Earn 1 point for every $1 spent on all other purchases.
• Member FDIC

Rates & Fees

Southwest Rapid Rewards® Priority Credit Card

Our rating: 4.1 More information Close Our writers, editors and industry experts score credit cards based on a variety of factors including card features, bonus offers and independent research. Credit card issuers have no say or influence on how we rate cards. The score seen here reflects the card's primary category rating. For more information, you can read about how we rate our cards.

Rewards rate

3X Earn 3X points on Southwest® purchases.
2X Earn 2X points on local transit and commuting, including rideshare.
2X Earn 2X points on internet, cable, and phone services; select streaming.
2X Earn 2X points on Rapid Rewards® hotel and car rental partners.
1X Earn 1X points on all other purchases.

At A Glance

Intro offer Earn 50,000 points More information Close Earn 50,000 bonus points after spending $1,000 on purchases in the first 3 months from account opening. Annual fee $149 Regular APR 21.49% - 28.49% variable

Recommended credit 670-850 (Good to Excellent) More information Close CreditCards.com credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.

Overall rating

Our rating: 4.1 More information Close Our writers, editors and industry experts score credit cards based on a variety of factors including card features, bonus offers and independent research. Credit card issuers have no say or influence on how we rate cards. The score seen here reflects the card's primary category rating. For more information, you can read about how we rate our cards.

Why we like this card

This higher-tier Southwest credit card offers the same sign-up bonus offer as the Southwest Rapid Rewards® Plus Credit Card: earn 50,000 bonus points after spending $1,000 on purchases in the first three months. But it comes out ahead on the annual boost: You’ll earn 7,500 bonus points after each card anniversary. Plus, you’ll get a $75 Southwest travel credit each year, a standout feature among Southwest cards. Be sure you fly enough to justify the $149 annual fee, though; it’s not waived the first year.

Pros

• No legwork needed when it comes to that annual $75 Southwest credit; it gets automatically applied to your statement when you use the card to make a Southwest purchase.
• Southwest is notably flexible when it comes to redeeming miles; you don’t have to worry about blackout dates, expiration dates or change fees.

Cons

• Southwest offers limited flight coverage for international travel.
• Your maximum rewards rate (3X points) is limited to Southwest purchases.

Bottom Line

If you’re looking for a premium credit card from a discount carrier, the Southwest Rapid Rewards® Priority Credit Card is just the ticket.

Highlights

• Earn 50,000 bonus points after spending $1,000 on purchases in the first 3 months from account opening.
• 7,500 anniversary points each year.
• Earn 3X points on Southwest® purchases.
• Earn 2X points on local transit and commuting, including rideshare.
• Earn 2X points on internet, cable, and phone services; select streaming.
• $75 Southwest® travel credit each year.
• No foreign transaction fees.
• Member FDIC

Rates & Fees

On this page

• Our top picks
• Credit card sign-up bonus details
• What is a credit card sign-up bonus?
• Pros and cons
• How to choose a sign-up bonus card
• How to maximize sign-up bonuses
• Our methodology
• Frequently asked questions

All information about the Wells Fargo Propel American Express® card, the Chase Freedom Flex, the World of Hyatt Credit Card and the Marriott Bonvoy Bold Credit Card has been collected independently by CreditCards.com and has not been reviewed by the issuer.

Comparing the best credit card bonus offers

After looking at all of the credit cards with sign-up bonus offers, here are our selections for the top offers on the market right now:

Editor’s picks: A closer look at our top-rated sign-up bonus credit cards

Best for welcome offer + referral bonus: Chase Sapphire Preferred® Card

• Bonus offer: 60,000 bonus points after spending $4,000 in the first three months.
• Best features: You can earn a 60,000 point welcome bonus after spending $4,000 within the first three months of card membership. That bonus equates to a little over $750 in travel purchases when redeemed through the Chase Travel℠ portal. You’ll also earn 5X points on travel purchased through Chase Travel℠, 3X points on dining, select streaming services and online groceries, 2X points on other travel purchases and a $50 annual Chase Travel Hotel Credit.
• Biggest drawbacks: The $95 annual fee may be more than some individuals are willing to pay, but frequent travelers will find that the benefits and rewards give the Chase Sapphire Preferred a strong long-term value. However, those perks are not quite on par with the sort of premium offerings you’d get with the Chase Sapphire Reserve card, such as a $300 travel credit and lounge access.
• Alternatives: For people seeking a premium travel card with a high-end suite of perks, the Chase Sapphire Reserve could be a very rewarding option – despite its $550 annual fee.
• Bottom line: With its extensive list of top-notch travel benefits, an excellent rewards rate and substantial welcome offer and referral bonus, it’s easy to see why the Chase Sapphire Preferred is at the top of its class.

Best for flat rate cash back + sign-up bonus: Bank of America® Unlimited Cash Rewards credit card

• Bonus offer: $200 online cash rewards after spending $1,000 in purchases in the first 90 days.
• Best features: In addition to the card’s generous welcome offer, cardholders earn an unlimited 1.5% cash back on eligible purchases. Cardholders can also take advantage of the 0% intro APR on purchases and balance transfers made in the first 60 days for 15 billing cycles, then 19.24% to 29.24% variable APR and there is no annual fee.
• Biggest drawbacks: If you carry a balance beyond the introductory period you could end up paying quite a bit in interest, particularly if you fall under the higher APR range. Plus, Bank of America’s rewards boost for Preferred Rewards members requires you have at least $20,000 across Bank of America and/or Merrill accounts.
• Alternatives: Unless you’re a Preferred Rewards member at the Platinum tier or above, the Wells Fargo Active Cash® Card will be a more rewarding long-term choice as it carries a 2% cash rewards rate on purchases.
• Bottom line: This card offers a competitive sign-up bonus of $200 in online cash rewards after making at least $1,000 in purchases in the first 90 days of account opening. If you’re an existing Bank of America customer with assets in eligible savings, checking or investment accounts, you could benefit from this cash back credit card, which offers 1.5% back on all purchases, plus a potential 25% to 75% rewards boost for Preferred Rewards members (actual value of the boost varies, depending on how much you have across your eligible Bank of America accounts).

Best for cash back: Chase Freedom Unlimited®

• Bonus offer: Earn an extra 1.5% on everything you buy (on up to $20,000 spent in the first year) — worth up to $300 cash back.
• Best features: The Chase Freedom Unlimited has a competitive base rewards program: 1.5% cash back on general purchases, plus 5% cash back on travel purchased through Chase Travel, 5% cash back on Lyft purchases (through March 31, 2025), 3% on dining (including takeout and eligible food delivery services) and 3% on drugstore purchases. Plus, there’s no annual fee.
• Biggest drawbacks: The Freedom Unlimited is a flat-rate cash back card, so if you tend to spend a lot in one or a few specific spending categories, you could possibly earn more with a rotating or tiered cash back credit card.
• Alternatives: Chase customers seeking bonus rewards will want to check out the Chase Freedom Flex®, as it awards cardholders 5% cash back in rotating bonus categories that they must enroll in each quarter (on up to $1,500 in purchase per quarter, then 1%).
• Bottom line: The Chase Freedom Unlimited also offers a generous sign-up bonus. There are not too many no-annual-fee cards that exceed the value of this card.

Read our full Chase Freedom Unlimited review or jump back to this card’s offer details.

Best for Marriott guests: Marriott Bonvoy Bold® Credit Card

• Bonus offer: 60,000 points plus 1 Free Night Award after you spend $2,000 on purchases in the first three months (Free Night valued at 50,000 points).
• Best features: This card rewards Marriott guests with incredibly generous rewards rates for Marriott hotel stays. You can earn up to 14X Bonvoy points (up to 10X from being a Marriott Bonvoy Member, 3X on participating hotels and 1X from Marriott along with Silver Elite status, which comes as a benefit of being a cardmember) at more than 7,000 hotels participating in Marriott Bonvoy and receive 5 Elite Night Credits annually and complimentary Silver Elite Status. (Restrictions apply.)
• Biggest drawbacks: This card’s rewards are tailored to loyal Marriott customers, so if you don’t frequent the hotel chain, a different credit card (and sign-up bonus) is likely warranted.
• Alternatives: If you want to earn points toward travel, you may be best off skipping a hotel card altogether and going with a flexible points card, such as the Chase Sapphire Preferred. In addition to a sign-up bonus of 60,000 points for spending $4,000 in the first three months, the Sapphire Preferred card offers a higher earning rate than the Bonvoy Bold card: 5 points per dollar on travel purchased through the Chase Travel portal, 3 points per dollar on dining, select streaming services and online groceries, 2 points per dollar on other travel and 1 point per dollar on everything else.
• Bottom line: We estimate the value of the total current welcome offer is worth up to $480 (not including the 1 Free Night) in Marriott stays, given Marriott points are worth about 0.8 cent each. That welcome offer is on par with other no annual fee hotel credit cards.

Read our full Marriott Bonvoy Bold Credit Card review or jump back to this card’s offer details.

Best for welcome offer + travel credits: Chase Sapphire Reserve®

• Bonus offer: Earn 60,000 points after spending $4,000 within your first three months. You’ll also get a free one-year membership to Lyft Pink (through March 31, 2025) and DoorDash’s DashPass (activate by December 31, 2027).
• Best features: As part of the card’s base rewards program, you earn 10X total points on hotels and car rentals purchased through Chase Travel℠, 5X total points on air travel through Chase Travel℠ and 3X points on all other travel purchases (after you earn the card’s annual $300 travel credit). You can also earn 3X points on dining at restaurants and receive up to a $100 Global Entry/TSA PreCheck credit every four years.
• Biggest drawbacks: The travel benefits come at a price, specifically the card’s $550 annual fee, so make sure you travel enough to justify that cost before applying.
• Alternatives: The Chase Sapphire Preferred is a strong alternative to the Chase Sapphire Reserve because it has a much more reasonable $95 annual fee but still earns lucrative rewards: 5X points on travel purchased through Chase Travel℠, 3X points on dining and 2X points on all other travel expenses.
• Bottom line: That sign-up bonus has a $900 value when booking travel through Chase Travel, where you get a 50% redemption boost.

Best for airline travel: United℠ Explorer Card

• Bonus offer: Earn 50,000 bonus miles after you spend $3,000 on purchases in the first 3 months your account is open.
• Best features: The card’s base travel rewards are competitive: You earn 2X miles when spending on hotel stays, dining and United purchases and 1X miles on other purchases. You also get a statement credit of up to $100 on Global Entry or TSA PreCheck, priority boarding privileges and two one-time passes to United Club℠ each anniversary.
• Biggest drawbacks: If you don’t frequently fly United, you might be better served by a different airline credit card, a rewards card with more nuanced rewards categories or one with no annual fee. Although this card’s $95 annual fee is waived the first year, it can eat into your long-term rewards value.
• Alternatives: If you aren’t loyal to a particular airline, the Chase Sapphire Reserve is a great option. While it charges a steep annual fee, it offers generous travel credits and perks that easily offset the cost (including Priority Pass lounge access and credits for TSA PreCheck or Global Entry).
• Bottom line: If you meet the required spend and redeem your miles for Saver Awards, that bonus amounts to about $912 in airfare, (assuming an average United mile value of 1.52 cents each).

Best for sign-up bonus + annual bonus: Citi Rewards+® Card

• Bonus offer: Earn 20,000 ThankYou points if you spend $1,500 in your first three months of account opening, redeemable for $200 in gift cards at thankyou.com.
• Best features: The card’s base rewards program lets you earn 2X ThankYou points at supermarkets and gas stations for the first $6,000 spent annually (then 1X points) and 1X points on all other purchases. Plus, the card carries a unique feature in that it automatically rounds up to the nearest 10 points on every purchase. You’ll also get 10% points back on the ThankYou points you redeem, up to 100,000 points redeemed per year. There is no annual fee.
• Biggest drawbacks: There are higher cash back sign-up bonuses out there. There are also a few cards that offer a higher return on similar bonus categories without spending limits. For instance, a flat rate cash back card that earns up to 2% back on all purchases potentially offers more rewards value than the Citi Rewards+.
• Alternatives: For cardholders who prefer a flat rate cash back card, the Citi Double Cash® Card might be a perfect fit for you. It earns 1% cash back on all purchases, then another 1% as you pay off those purchases.
• Bottom line: This card features a decent sign-up bonus and an annual bonus for redeeming rewards: Cardholders receive 10% points back on the ThankYou points they redeem (up to 100,000 points redeemed per year).

Best for hotel guests: The World of Hyatt Credit Card

• Bonus offer: Earn up to 60,000 bonus points with a tiered sign-up offer that gives you 30,000 points after you spend $3,000 in your first three months and up to 30,000 more points by earning 2X points on purchases that usually earn 1 point on up to $15,000 in your first six months.
• Best features: You earn 2X points on a variety of spending, including at restaurants and on airline tickets purchased directly from airlines. You also receive a free night at a category 1 to 4 Hyatt hotel each year after your cardmember anniversary and can earn a second free night at the same type of hotel each year you spend $15,000.
• Biggest drawbacks: The $95 annual fee isn’t waived the first year. If you don’t frequent Hyatt hotels, you may be better served by a different hotel credit card.
• Alternatives: Since the Chase Sapphire Preferred is not tied to any hotel loyalty program, you can redeem your points for stays at thousands of properties around the world, under many different brands. While you won’t enjoy the elite status benefits that come with sticking to one loyalty program, you’ll have the added flexibility of redeeming your points for all kinds of travel purchases without sacrificing their value.
• Bottom line: If you can meet that high required spend associated with the second tier of the bonus ($15,000 in your first six months), your earned points could be worth up to $1,300 in hotel nights, depending on how you spend them. (We estimate World of Hyatt points, on average, are worth around 2-cents each.)

Read our full World of Hyatt Credit Card review or jump back to this card’s offer details.

Best for Southwest flyers: Southwest Rapid Rewards® Plus Credit Card

• Bonus offer: Earn 50,000 bonus points after spending $1,000 on purchases in the first 3 months from account opening.
• Best features: As base rewards, you’ll earn 2X points on Southwest purchases, Rapid Rewards® hotel and car rental partner purchases, and 1 point per $1 spent on other purchases. Plus, you’ll receive 3,000 bonus points each year on your account anniversary.
• Biggest drawbacks: The card carries a $69 annual fee, which isn’t quite covered by the anniversary bonus. We estimate the anniversary bonus of 3,000 points is worth around $45, using the 1.5-cent per point value projected by Bankrate. If you don’t fly Southwest, this card isn’t for you.
• Alternatives: Even if Southwest Airlines is your airline of choice, the Chase Sapphire Preferred could still be a rewards card worth considering. Although it charges a higher annual fee, the Sapphire Preferred offers a few benefits that might outweigh the added costs, plus a sign-up bonus of 60,000 points after you spend $4,000 in your first three months as a new cardholder.
• Bottom line: We’ve estimated the points portion of the intro bonus to be worth around $750 in Southwest travel, given that Bankrate currently values Southwest Rapid Rewards points at around 1.5 cents apiece.

Best for anniversary bonus: Southwest Rapid Rewards® Priority Credit Card

• Bonus offer: Earn 50,000 bonus points after spending $1,000 on purchases in the first 3 months from account opening.
• Best features: For base rewards, you earn 3X points on Southwest purchases, 2X points on Rapid Rewards® hotel and car rental partner purchases and 1X points on other purchases. You also receive a $75 Southwest travel credit each year, a unique feature among Southwest cards. Plus, the Southwest Rapid Rewards Priority’s anniversary bonus is the highest of the Southwest cards: You earn 7,500 bonus points after each card anniversary.
• Biggest drawbacks: The card has a $149 annual fee, not waived the first year, so you’ll need to carefully consider whether you patronize Southwest enough to truly reap this card’s benefits.
• Alternatives: If you are a fan of United Airlines, the United Explorer Card offers a bevy of perks. Unlike the Southwest Priority card, this card offers bonus miles on restaurant purchases, making it much easier to rack up plenty of rewards. While United MileagePlus miles have a slightly lower average value than Rapid Rewards points, United Airlines has a much larger flight network and plenty of international options – making it a potentially better loyalty program for frequent international travelers.
• Bottom line: This bonus, which mirrors the one attached to the Southwest Rapid Rewards® Plus Credit Card, offers a lot of value for frequent Southwest flyers, especially when you factor in the card’s base rewards and additional benefits.

What is a credit card sign-up bonus and how do they work?

A sign-up bonus is a limited-time offer that many rewards credit cards feature (including travel credit cards and cash back credit cards). These promotions, also sometimes called “welcome offers,” give new cardholders a chance to earn extra rewards in the form of cash back, miles, points, free hotel nights or more. To get these rewards, cardholders are generally required to spend a certain amount in a specified period. Although, some offers stipulate a certain number of purchases or activate after just one swipe of the card. Typically, the higher the required spend, the more lucrative the bonus. In recent years, sign-up bonuses have become an increasingly popular way to entice new cardholders.

“A trend I’ve observed is that issuers are competing for consumers’ business based mostly on sign-up bonuses and rewards for ongoing spending,” says Ted Rossman, CreditCards.com industry analyst. “Whether you’re interested in travel or cash back, you can take advantage of offers that can put $500, $750 or even more into your wallet.”

Pros and cons of credit cards with sign-up bonuses

While sign-up bonus offers can be truly valuable, it’s important to evaluate your situation before going after one.

Pros

• Usually worth hundreds of dollars in cash back or travel purchases
• Sign-up bonuses offer quick gratification and can come as a large sum of rewards shortly after opening your account
• Limited-time offers from the issuer can yield even more rewards

Cons

• The sign-up bonus on cards for fair credit and secured cards are either lackluster or absent
• Some cards offer hefty sign-up bonuses but have high spending requirements
• Sign-up bonuses can encourage overspending as they require you to spend a certain amount within a specific timeframe to qualify

Types of sign-up bonuses

Anything a credit card issuer offers that serves to incentivize new cardholders to sign up can be considered a sign-up bonus, but the most common types of sign-up bonus come in these forms:

• Cash back: Cash back is one of the more common forms of sign-up bonuses and will usually fall between $100 and $500, depending on the credit card. Cash back sign-up bonuses frequently show up as a statement credit on the card account.
• Travel miles: When signing up for a general travel card or a co-branded airline credit card, the best cards typically offer airline miles or travel points redeemable for flights, hotels and more.
• Rewards points: Points are likely the most flexible sign-up bonus option, as they can be redeemed for travel purchases, cash back or statement credits. However, keep in mind that points may not translate to miles or cash back at a 1:1 ratio.

How to choose a sign-up bonus card

Sign-up bonuses are alluring, but not every credit card’s welcome offer may be the right one for you. Here’s how you can choose the best sign-up bonus credit card to add to your wallet.

Choose a card that aligns with your realistic spending habits

Stay away from cards with demanding spending limits and requirements if you don’t spend near the amount that’s asked. If you’re in a position to spend more than you do normally and strain your budget, you risk falling into debt.

If you’re prone to overspending, a sign-up bonus that has a weighty spending requirement might put you in the red just so you can earn a couple hundred dollars back. This puts you at risk to run up a large balance with accrued interest. In the worst case, interest can completely offset your sign-up bonus earnings. This is especially the case on cards with large sign-up bonuses and high APRs.

Double check eligibility with the card issuer

Some issuers won’t allow you to earn more than one sign-up bonus from their card offerings in a set period, so you should be wary of opening a card account for a card with a sign-up bonus you’re ineligible for.

When do choose a card with an annual fee

While no one ever wants to pay annual fees, you shouldn’t automatically nix a card with one. If you do the math, you’ll often find that annual fee cards – due to larger sign-up bonuses and higher rewards redemption rates – offer the best value, even with a fee. Plus, some annual fee cards waive the charge in their first year. Still, you need to be sure you can afford to pay a fee and that you’ll redeem the rewards in a timely manner to make the fee worth it. Ideally, you want to look at ongoing rewards and other perks, such as airport lounge access, extended warranties or cellphone insurance.

“Figure out how you spend your money and what you value most,” says CreditCards.com Industry Analyst Ted Rossman. “Card issuers have grown tired of the sign-up bonus arms race and customers who churn through bonuses,” says Rossman. “They’d rather keep you spending with incentives on dining, transportation and streaming. Sign-up bonuses are great, but don’t lose sight of the big picture. Constantly opening and closing cards can hurt your credit score, too. The best credit card rewards strategies mix introductory bonuses with long-term value.”

Let’s take a look at the value of a no annual fee card versus an annual fee competitor to determine the impact of each over two years. We’ll compare the travel and dining rewards value available from the United Explorer Card ($95 annual fee – waived the first year) and the Wells Fargo Active Cash card, a flat-rate cash back card that earns 2% cash rewards on purchases. The United Explorer Card’s miles are worth 1.1 cents per mile, according to Bankrate’s points valuation. This evaluation looks at each card’s returns based on someone who annually spends $2,000 on travel expenses, $1,800 on dining and $5,000 on other purchases, while hitting their sign-up bonus along the way.

*United Explorer Card earns 50,000 miles after you spend $3,000 on purchases in the first 3 months

**Wells Fargo Active Cash earns a $200 cash rewards bonus after you spend $500 in the first 3 months

At first glance, the two-year rewards are lopsided. This large gap is thanks to the United Explorer Card’s sign-up bonus in the first year. As such, when looking at ongoing rewards, the Active Cash card may be the better choice in the long-term. Although the first-year rewards are slightly one-sided, the Active Cash card’s consistent cash rewards at a flat rate and lack of annual fee will bring you more year-to-year value in the future. It may be hard to deny the upfront rewards available with annual fee cards, but consumers hunting for a card for the foreseeable future might want to look towards the best no annual fee options.

Who should get a sign-up bonus card

• People with good to excellent credit: Sign-up bonuses are one of the premium perks that come with a credit card if you have a higher credit score. Make sure your credit fits the requirements of the card you sign up for as your credit score might take a small hit in the process.
• Solid budgeters: If you regularly spend within your means and have a history of paying your balance in full each month, a lucrative sign-up bonus can be quite rewarding.
• People who need a tie-breaker: If you’re hunting for the right card that fits your needs and it ticks all your other boxes, a sign-up bonus can be exactly that, a bonus.

Who should skip a sign-up bonus card

• People still building credit: Responsible credit card use is a key strategy for building your credit score and you will likely have a higher APR on a new credit card. In this case, it’s important to focus on securing a card with a lower APR and a smaller or no annual fee.
• Overspenders: If you have a remaining balance at the end of the month you will face interest payments. Instead, go for a card with a lower interest rate instead of focusing on the sign-up bonus, which often comes with a high spend requirement.
• The sign-up bonus is your only incentive: When evaluating whether a new credit card is right for your situation, take a holistic approach and ask yourself whether it provides long-term value besides the initial bonus.

How to maximize sign-up bonuses

Signing up for the right bonus at the right time can help you take your sign-up bonus the extra mile. Here are some tips to squeeze more value out of your sign-up bonus:

• Look for special offers: Sometimes issuers offer sign-up bonuses to targeted groups of cardholders that are larger than the offers advertised on their sites. Visit the issuer’s site often, check your mail or call the issuer directly to find out if you qualify for a special offer.
• Keep an eye on the bonus after you sign up: Some issuers will award you the larger bonus amount if the offer increases after you sign up for the card. If the bonus goes up before the promotional period expires, call your issuer to see if you can qualify for the larger bonus.
• Sign your spouse up for the same card: Many issuers will allow couples (married or otherwise) to sign up for the same card separately. Yes, even if your spouse is already an authorized user on your account, you can earn twice the number of bonus points.
• Time your applications carefully: You’ll need to keep issuers’ policies – such as Chase’s 5/24 rule and American Express’s once-in-a-lifetime limit on welcome bonuses – in mind when deciding which cards to apply for. For instance, if you know that an issuer puts a limit on the number of new accounts you can have in a certain time frame, you might want to apply for those cards first.
• Watch out for hidden convenience fees: Avoid using your card to pay for products or services that charge a fee to use credit cards. For example, some utility companies and providers, such as contractors or plumbers, may charge you a convenience fee of 2-4% to pay by card. See if you can meet the minimum spending requirement without paying fees.
• Know what counts toward the minimum spend: If you read the sign-up bonus terms and conditions, you’ll likely find that the annual fee, your balance transfers, and the purchase of travelers checks or other “cash-like” items, don’t count toward your minimum spending total.
• Be careful about returning items: If you return an item that you purchased with your card, be sure to subtract the amount from your total spending. Otherwise, you could accidentally fall short of the spending threshold and miss out on your card’s bonus.
• Don’t get sucked into debt: What good is a few hundred dollars’ worth of bonus points if you also end up thousands of dollars in debt? Before you spring for a sign-up bonus, make sure you can afford the spending threshold. Aim to pay your monthly balances off in full, lest you lose lucrative points, miles or cash back to interest.

What to know about sign-up bonus offers

Issuer restrictions

Sign-up bonus restrictions are often the most confusing parts of a welcome offer. It’s important to dig into the fine print and identify any limits set in place by the issuer. For example, credit card churning is when consumers frequently open new credit cards to gain a sign-up bonus and do not intend to use the card long-term. To prevent this, many of the major credit card issuers set limits on how often people can sign up for cards and earn sign-up bonuses. Chase does so with their 5/24 rule, which states that cardholders can’t get a new Chase credit card if there are five or more credit card inquiries on their credit report in the past 24 months, and one can only earn a sign-up bonus once every 24 to 48 months.

Some purchases don’t count towards sign-up bonuses

While most everyday purchases can bring you closer to meeting the spending requirement for a sign-up bonus, credit card issuers do have exceptions for certain transactions that don’t qualify. These types of transactions are typically considered ineligible:

• Cash advances
• Balance transfers
• Refunded purchases
• Lottery tickets
• Wire transfers
• Fees, including annual fees

It’s important to consider that in many cases, these purchases don’t allow you to earn rewards either. To get a better understanding of what counts as an eligible purchase in relation to a sign-up bonus as well as other key information about the card, be sure to check the terms and conditions provided by the issuer.

Huge sign-up bonuses aren’t always worth it

A big sign-up bonus, like those that are upwards of 100,000 points, are always tempting. However, a sign-up bonus of this volume should be analyzed a little more closely because a bonus isn’t always worth as much as it seems. You’ll want to determine the value of those points before you get too excited about it. Convert points to cash value is a great way to standardize how you’re comparing cards. This way you won’t get trapped with a 100,000-point offer that is worth as much as some 50,000-point offers.

How we picked the best credit card bonus offers

We evaluated credit cards with welcome offers to identify the top bonuses currently on the market. The major factors we considered include:

• Value of bonus: We looked at the amount of rewards associated with specific welcome offers, how much that amount might be worth within that card’s rewards program and whether the amount stood out among competitors.
• Required spend: Welcome bonuses aren’t usually automatic; In most cases, you’ll need to spend a certain amount of money on the card to get your extra points, miles or cash back. We considered whether the required spend was reasonable for the card’s target audience and whether it was comparable to or better than other cards in its category.
• Base rewards: We considered the amount of points, miles or cash back you could earn beyond a credit card’s welcome offer and whether the base rewards return rate was equally lucrative. In other words, we considered a card’s long-term value.
• Fees: You’ll want to minimize costs, so we evaluated any sign-up bonus against common card fees, including the annual fee, penalty fees and foreign transaction fees. Note: An annual fee isn’t always a deal-breaker. We have more details below on how to calculate whether to opt for an annual fee credit card with a good sign-up bonus.
• Annual percentage rates: You generally want to avoid carrying a balance on a rewards credit card, given they tend to carry higher APRs than, say, a low-interest credit card. However, we still considered where a card’s APR range fell relative to the current credit card industry standard.

Not sure what welcome offers you might qualify for? Our CardMatch tool can show you what credit cards you may qualify for without hurting your credit score.

Additional information on sign-up bonus cards

For more information on sign-up bonus offers, continue reading content from our credit card experts:

• Sign-up bonus rules you should know before applying
• How to use rent payments to score welcome bonuses
• High credit card sign-up bonuses starting to return

Frequently Asked Questions

Is it better to get a cash or points sign-up bonus? + –

Discovering where you fall on the cash back vs. points debate can be the deciding factor in your card. A cash sign-up bonus is ideal for the consumer who wants simplicity, while a points or miles sign-up bonus is typically for a travel card. You’ll also need to decide what you want to do with your bonus, and whether you prefer value or flexibility.

Some bonuses are more valuable than others, and some are more flexible and easier to redeem than others. It depends on the type of card and the type of rewards:

• Points or miles: Some cards, primarily travel cards, reward with points or miles. Usually airline cards use miles, and hotel cards use points. A mile may be worth less or more than 1 cent, depending on the card and the program. Points and miles can be earned for brand loyalty, restaurants, general travel and other types of spending. Cards like the United Explorer Card encourage repeat customers with bonus miles, while the Wells Fargo Propel can give you a lot of redemption flexibility with options beyond airfare.
• Cash back: Cash back is typically more straightforward. Gift cards and merchandise redemption can actually be quite lucrative with these cards. With cash back, you can use your statement credit toward gifts you’ve bought at department stores, gas to visit family or camping at a national park.

Which types of credit cards offer sign-up bonuses? + –

Most rewards credit cards come with a sign-up bonus offer of some sort. Cash back cards typically offer bonuses in the form of statement credits, while travel credit cards will usually offer points or miles you can redeem for flights or hotels.

Premium cards with hefty annual fees typically have the best sign-up bonus offers. Business credit cards are also known for having better-than-average sign-up welcome offers.

You’ll have a harder time finding a sign-up bonus offer among credit cards for bad credit and retail credit cards. Some low-interest cards also lack sign-up bonuses, as do some balance transfer cards.

Are sign-up bonuses taxable? + –

In most cases, sign-up bonuses are not considered taxable income. Most offers require you to meet a spending threshold within a certain amount of time after opening the account, making the bonus more like a rebate or discount than a prize.

Cash prizes, bonuses and other types of “free” money that don’t require any spending on your part are taxable. So, though uncommon, sign-up bonuses that you get just by opening an account are taxable.

How can I spend my bonus on my credit card? + –

Different credit cards come with a variety of redemption options, so deciding how to spend your bonus could lead to several results:

• Statement credit: Perhaps the least sexy, but one of the most convenient and common options. This type of redemption is easy to manage since the earned credit is usually added right into your rewards pool or automatically goes toward your card balance.
• Online shopping checkout: Essentially reserved for cash back and points cards, some issuers allow cardholders to use their rewards while paying for online purchases at certain retailers. This can be useful if you’ve found a specific item you’re interested in. For example, Discover allows you to use your cash back rewards at Amazon.com’s checkout.
• Merchandise or gift card: Some cards reward generously for purchases made through their shopping portal, while others may not reward so well for merchandise or gift cards. That’s why it’s best to check before making a redemption. Travel card issuers may offer gift card rewards, but it’s often inadvisable because you’re losing value redeeming rewards and miles for gift cards. Some cash back cards offer decent deals, however: with Discover you can purchase gift cards ranging from $5 to $200 (in increments of $5)and the Citi Rewards+ Card rounds up points toward gift card redemptions.
• Travel – airline and hotel booking: Redeeming for travel rewards can typically yield the highest value depending on your issuer’s redemption system. Airline card rewards are best used for brand-loyal flights, although there are many general-purpose travel cards that allow you to redeem points for most travel-related events. That means if you have a trip to Europe planned for next year, you can redeem for airfare, hotel, limo service and more. Similarly, it’s pretty much a guarantee that the best way to use your hotel card’s rewards is with hotel stays. Hotels usually offer tiers, where the higher-end hotels or resorts will use up your points more quickly, but that’s OK if you treasure the exclusive experience.

How can I meet my required spend to get a sign-up bonus? + –

The process starts before even applying for a card, making sure you can afford the required spend to earn the bonus. Once you’ve found the right fit, there are a few ways to set yourself up for success.

The most surefire way to hit the threshold is to budget purchases ahead of time. Regular monthly expenses can often get you to your desired spend, which makes it easily attainable as long as you remember to swipe your card rather than reach for cash.

Spending on any large purchases or gifts can be another way to take a chunk out of your issuer’s requirements – just don’t go overboard and put yourself in a scraping-it-together situation. If you carry alternative card options, you may have to strategically spend extra with the new card to ensure you’ll eclipse the required amount.

Do you need good credit for a sign-up bonus credit card? + –

Most credit card sign-up bonuses are designed for consumers with good or excellent credit. Cards that have more relaxed credit requirements may offer the occasional sign-up bonus, but in many cases these bonuses are less generous.

About the Author

Ryan Noonan Ryan Noonan is a former writer for Bankrate and CreditCards.com and is a graduate of the School of Journalism at Ohio State University.

About the Editor

Tracy Stewart is a personal finance writer specializing in credit card loyalty programs, travel benefits, and consumer protections. He previously covered travel rewards credit cards, budget travel, and aviation news at SmarterTravel Media. His money-saving tips have appeared in the Washington Post, the Wall Street Journal, Consumer Reports, MarketWatch, Vice, People, the Zoe Report and elsewhere.

About the Reviewer

Erica Sandberg is a prominent personal finance authority and author of "Expecting Money: The Essential Financial Plan for New and Growing Families." Her articles and insights are featured in such publications as The Wall Street Journal, Pregnancy, Babytalk, Redbook, Bank Investment Consultant, Prosper.com, MSN Money and Dow Jones MarketWatch. An active television and radio commentator, Sandberg is the credit and money management expert for San Francisco’s KRON-TV, a frequent guest on Forbes Video Network, Fox Business News, Bloomberg TV and all Bay Area networks. Prior to launching her own reporting and consulting business, she was affiliated with Consumer Credit Counseling Services of San Francisco where she counseled individuals, conducted educational workshops and led the media relations department. Sandberg is a member of the Society of American Business Editors and Writers and on the advisory committee for Project Money.

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