When choosing credit cards, customers usually pay attention to the bonus and rewards of the cards. Sign up bonuses give people an opportunity to save more by spending effectively. Note that sign-up bonuses do not mean you are getting free money right back.
Most of the cards have terms which suggest you earn bonus points if you spend a certain amount of money at a given period of time.
However, avoid using your credit card on things you do not need just to earn your bonuses on time. Not only it will increase your repayment amount, but most likely hurt your credit score. The critical thing is that you spend your limit on purpose, not overusing it.
That is why you need to budget your spending and see whether they are worth taking a new credit card or continue with the one you already have.
Now let’s see what you need to consider before applying for the credit cards offering sign-up bonuses.
Requirements to get approved for credit cards offering Sign-Up Bonuses
The credit cards with favorable sign-up rewards provided by banks and other institutions are not that easy to get.
Note that most of those credit cards have rather high annual fees and require you to have a good credit history and score. Earning bonuses and rewards do not necessarily mean you are getting free money.
You simply get back extra money by spending more. To take advantage of credit cards offering rewards, you need to consider the following criteria:
Many credit cards have the requirement for the applicant to have at least a credit score of 690. Companies think of customers with a high credit score as people who are good at managing their accounts; they don’t overuse the credit and don’t make extra expenses just to receive bonuses.
So if you are qualified and have a score of 690, most probably you will get the credit card with favorable terms and conditions.
Make sure you apply for a credit card offering sign up bonuses at a time when you are most likely to incur a significant number of expenses. Most of the cards give you an opportunity to earn rewards after you spend a certain amount of money throughout a given period.
However, if you think the expenses are a one-off event and are less likely to be made by you further, you should rather reconsider the credit card option.
As already mentioned, different cards have different terms for earning bonuses. Make sure you are aware of the terms. Know how much money you should spend and what is the deadline for earning your cashack.
In many cases, credit card companies offer you a maximum of three months to spend a certain amount to get a cashback or other types of bonuses. Make sure you don’t miss that.
Bonuses and rewards are certainly an excellent option to save money. However, make sure you don’t go into debt just because you want to earn free money.
Not only it will increase your financial burden but will most likely harm your credit score. If you don’t need to spend those $3,000 in the first three months, then don’t do it just to earn the cash backs.
For the majority of people, the most significant monthly payment is the rent for their house. There are many credit cards which can offer you advantageous options to consider.
If you pay your housing rent with a credit card, you will most likely get many rewards and cash back as you make significant transactions each month.
Now that we have talked about what are the requirements for the approval of the cards, let’s get into the details of each.
The Chase Sapphire Preferred card is top-rated among those who like to travel. It offers a sign-up bonus of 60,000 points, worth $750 in travel rewards if you spend $4,000 in the first three months of your card membership.
Additionally, two bonus points per each $1 spent can be received for travel and dining expenses worldwide and one point for any other purchase.
The annual fee of this card is $95, and the annual percentage rate varies from 17.99% to 24.99%. It is a perfect opportunity for those who like to travel and enjoy the bonuses offered by credit card companies.
You can receive a sign-up bonus of up to $250 if you spend $1,000 in the first three months of opening your account. You also don’t have to pay an annual percentage rate on any purchases or transfers for the first 12 months.
Additional rewards include 6% cashback at U.S. supermarkets, 3% on gas stations, 1% on other purchases.
After the first 12 months of opening your account, you will be charged a 15.24%-26.24% variable annual percentage rate on purchases and balance transfers.
Discover welcomes cardholders with cashback rewards and 0% introductory purchase rate. You can earn 5% cash back each quarter at various places such as gas stations, supermarkets, stores and websites like Amazon.com.
Apart from this list, you can earn an unlimited 1% cashback on any other purchase. For the first 14 months of your card membership, you will have a 0% annual percentage rate, after which a variable 13.99%-24.99% rate will be charged based on your credit score.
The card automatically collects your data and deposits your cashback at the end of the first year.
With the Discover it cashback card, you will be able to save more by spending on your daily expenses like supermarkets, gas stations, and even online shopping websites such as Amazon.com.
HSBC Premier World Elite Mastercard is only available to those who have U.S. HSBC Premier checking account. It has a welcome bonus of 50,000 reward points after spending $4,000 in the first three months of opening your account.
For the approval of this credit card you need to have a good or excellent credit score, the annual fee of HSBC Premier World Elite Mastercard is $395 and it has an annual percentage rate of 17.24-21.24%.
The Bank of America Premium Rewards Credit Card comes with bonus programs such as travel benefits with up to $500 in statement credits for purchases related to traveling. You can earn 50,000 bonus points after you spend $3,000 in the first 90 days of your card membership.
The annual fee of the card is $95, and the variable annual percentage rate is from 17.99% to 24.99%.
So, if you travel a lot and want to save more, Bank of America’s Premium Rewards credit card is just the right option for you.
You can earn 40,000 bonus miles if you spend $2,000 in the first three months of your account opening.
United Explorer Card has an introductory $0 annual fee for the first year, after which you will be charged $95 worth of yearly fee. The annual percentage rate of United Explorer starts from 18.49% to 25.49%.
Additional bonuses include earning 2 miles per dollar of spending at restaurants and hotel stays.
Cashbacks offered by United Explorer card include getting 25% back of United inflight purchases. If you take flights frequently, the United Explorer card can be very useful for you in saving more.
Another card offering you sign up bonuses is Southwest Rapid Growth Plus credit card. You can earn 40,000 bonus points if you spend $1,000 in the first three months of opening your account. Note that the limit of spending to get bonuses is pretty low compared to other credit cards that we have presented.
After your first anniversary of being a cardholder, you will earn an additional 3000 bonus points. You will also earn 2 points per $1 spending on Southwest and Rapid Rewards partners of car and hotel industries and 1 point per dollar on every other purchase.
The annual fee of this credit card is $69, and you will be charged an annual percentage rate from 17.99% to 24.99%. The bonus points can be redeemed for flights, hotels, rental cars or shopping at Southwest online store.
Southwest Rapid Rewards Plus Credit card is the perfect option for those who like traveling a lot and spending their budget effectively.
This card is specially designed for those who travel a lot between Hawaii and the mainland U.S. Cardholders have an opportunity to gave a free checked bag, no foreign transaction fees, and even $100 reimbursement on traveling.
If you just opened your account, you will get a bonus of 60,000 Thank-you-for-opening-an-account-with-us miles. You can earn those points if you spend $2,000 in the first 90 days of opening your account. The annual fee of the Hawaiian Airlines World Elite Mastercard is $99, and it charges regular annual percentage yield from 17.49% to 26.49% on balance transfers as well as purchases.
So, if you frequently travel between Hawaii and the mainland U.S., Hawaiian Airlines World Elite Mastercard is the best option to save more.
For those who travel a lot and like to stay at Marriott hotels, this card provides the perfect set of bonuses and rewards. You can earn a sign-up bonus of 75,000 points if you spend $3,000 on purchases in the first three months of your account opening.
The terms, rates, and pricing of the card include an annual fee of $95, the annual percentage rate on purchases from 17.99% to 24.99%.
Additional bonuses include 6 points per dollar spent on Marriott Bonvoy hotels and 2 points per dollar spent on any other purchases.
So, if you like to travel and enjoy your stay at Marriott properties, this is a perfect opportunity for you to save.
If you are a frequent traveler and want to use your budget effectively, you will definitely love this card. With no foreign transaction fee, free checked bag, and priority boarding Gold Delta SkyMiles credit card also offers many benefits to its users.
You will earn 50,000 bonus miles after you use your card on $1,000 purchases within the first three months of your card membership. The annual fee of Gold Delta SkyMiles is $95, and the variable annual percentage rate of 17.99% to 26.99% will be charged.
This card is perfect for anyone who loves to travel and enjoy the benefits of credit cards.
Do you like to travel, go to restaurants and shop a lot? Make it four times more affordable with American Express Gold Card with the bonus and reward systems. You can earn 4X membership rewards at the U.S. supermarkets on up to $25,000 per year in purchases.
You will also enjoy your trips abroad by having no transaction fees with American Express Gold Card. Many bonus points can also be earned if you pay with the card in certain restaurants. The annual cost of this card is $250, and the annual percentage rates vary from 20.24% to 27.24%.
American Express Gold Card is the perfect option for you if you like to minimize your spending on traveling, dining, or shopping.
You can earn bonus points worth $150 if you spend $500 in the first three months of your account opening with Chase Freedom. The card offers favorable conditions for those who have good to excellent credit scores from 690 to 850.
Chase Freedom has the advantage of not having an annual fee and considerably low annual percentage rates from 16.99% to 25.74%. Note that in the introductory 15 months of your account opening 0% annual percentage rate will be charged.
After that, the terms will be changed and the prices mentioned above will be applicable. It is a very affordable and suitable option for those who have a good credit score and would like to earn privileges by spending effectively.
This card offers a great set of benefits to those who fly and travel a lot. You can earn 50,000 American Airlines AAdvantage bonus miles after you spend $2,500 in the first three months of opening your account.
This Citi card has an annual fee of $99 and a regular yearly percentage rate starting from 18.24% to 26.24%.
Other benefits of Citi/ AAdvantage Platinum Select World Elite Mastercard include earning 2 miles per dollar of purchases in gas stations, diners, and any A.A. purchases.
On all other purchases, you can earn 1 mile per dollar of spending made. This is a perfect opportunity for you if you like traveling and taking flights frequently.
With Citi AAdvantage Platinum, you can save a couple of hundred dollars more than you usually do.
Credit card bonus offers are a perfect way to save and earn hundreds of dollars worth of reward. If you travel, shop or go to restaurants a lot, many credit card companies have advantageous terms and conditions which can help you save a lot.
Note that the most significant bonus and reward offers are coming from traveling credit cards designed explicitly by airline companies and hotels. For that, you will have to have a good credit score (minimum 690) and be qualified for any other terms mentioned by the credit card company.
For most of the cases, the annual fees of the credit cards are high, and that is probably the most significant disadvantage. However, many cards have bonuses if you spend a certain amount of money in the first couple of months of your account.
Once again, make sure you DO NOT make unnecessary expenses just to get the cash backs or other bonuses, instead focus on spending much effectively and saving based on your fundamental budgeting skills.
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