Best Sign-Up Bonus Credit Cards

Comparing the credit cards with best sign-up bonus

A closer look at the best sign-up bonus credit cards

Capital One Venture X Rewards Credit Card

Rewards rate: Earn 2 miles per dollar on all eligible purchases, 5 miles per dollar on flights booked through Capital One Travel, and 10 miles per dollar on hotels and rental cars when booking via Capital One Travel.

Annual fee: $395

Intro APR: N/A

Regular APR: 21.99% – 28.99% Variable

Signup bonus: Enjoy 75,000 bonus miles after spending $4,000 on purchases within the first three months of account opening.

Our verdict: The Capital One Venture X Rewards Credit Card is ideal for frequent travelers who want flexibility in redeeming their rewards. The card offers a generous welcome bonus and excellent earnings on prepaid hotels and rental cars booked through the Capital One travel portal. It’s a great choice for those who value travel rewards and the option to redeem for cash back.

Pros:

• High rewards rate on travel-related purchases.
• Flexible redemption options.
• Extensive list of airline and hotel transfer partners.
• Priority Pass lounge access.
• Trip protections, including cancellation and interruption insurance.
• 10,000 bonus anniversary miles.
• $300 annual travel credit.

Cons:

• High annual fee.
• If you book a hotel or flight through Capital One Travel, you might not get some of the same status perks as you would for booking direct.

Apply now: Capital One Venture X Rewards Credit Card

Chase Sapphire Reserve

Rewards rate: Earn 5 points per dollar on flights, 10 points per dollar on hotels and car rentals when purchasing travel through Chase Ultimate Rewards®, 3 points per dollar on other travel and dining, and 1 point per dollar on all other purchases.

Annual fee: $550

Intro APR: N/A

Regular APR: 21.49% to 28.49% Variable

Signup bonus: Enjoy 60,000 bonus points after spending $4,000 on purchases in the first three months from account opening.

Our verdict: The Chase Sapphire Reserve® is a premium credit card that caters to frequent travelers. While the annual fee is high, the card offers a wide range of valuable perks, including Priority Pass Select lounge access, an annual travel credit, and TSA PreCheck or Global Entry reimbursement. The generous rewards rate on travel and dining makes it easy to accumulate points for various redemption options.

Pros:

• High rewards rate on travel and dining.
• $300 annual travel credit.
• 1:1 points transfer to travel partners.
• Wide range of redemption options.
• Priority Pass lounge access.
• Extensive travel insurance.

Cons:

• High annual fee.
• Limited upscale travel perks compared to some competitors.

Apply now: Chase Sapphire Reserve®

American Express® Gold Card

Rewards rate: Earn 4 Membership Rewards® points per dollar at restaurants, including takeout and delivery, 4 points per dollar at U.S. supermarkets (up to $25,000 per calendar year, then 1 point per dollar), 3 points per dollar on flights booked directly with airlines or through American Express travel, and 1 point per dollar on other eligible purchases.

Annual fee: $250

Intro APR: N/A

Regular APR: 21.24% to 29.24% % Variable

Signup bonus: Enjoy 75,000 Membership Rewards® points after spending $4,000 on purchases in the first six months of card membership.

Our verdict: The American Express® Gold Card is perfect for food enthusiasts who dine out frequently and spend on groceries. The card offers great value with its high rewards rate on dining and supermarket purchases. Additionally, the statement credits for dining and Uber Cash each calendar year and access to Amex Offers add to the card’s overall appeal.

Pros:

• Generous rewards rate on dining and groceries.
• Monthly statement credits for dining and Uber Cash.
• Access to Amex Offers.
• Points transfer to travel partners.

Cons:

• Limited benefits for frequent travelers.
• Annual fee may be a deterrent for some.

Apply now: American Express® Gold Card

Citi Premier® Card

Rewards rate: Earn 3 ThankYou points per dollar at restaurants, supermarkets, gas stations, air travel, and hotels, 1 point per dollar on all other eligible purchases, and a total of 10 points per dollar on hotels, car rentals, and attractions booked on the Citi Travel℠ portal through June 30, 2024.

Annual fee: $95

Intro APR: N/A

Regular APR: 21.24%-29.24% Variable

Signup bonus: Enjoy 60,000 points after spending $4,000 in purchases within the first three months of account opening.

Our verdict: The Citi Premier® Card offers a strong rewards program across various categories, making it an attractive option for frequent travelers and everyday spenders. The card’s welcome bonus can offset the annual fee for several years, and the ability to transfer ThankYou Points to travel partners provides added flexibility in redemption.

Pros:

• Generous rewards rate on multiple categories.
• Points transfer to travel partners.
• Suite of redemption options.
• Affordable annual fee.

Cons:

• Other cards offer higher ongoing rewards in specific categories.
• Limited benefits for specific travel perks.

Apply now: Citi Premier® Card

Discover it® Miles

Rewards rate: Earn 1.5 miles per dollar on every purchase.

Annual fee: $0

Intro APR: 0% intro APR on purchases for 15 months from account opening and for 15 months on balance transfers.

Regular APR: 17.24% to 28.24% Variable.

Signup bonus: Unlimited match of all the miles earned at the end of the first year.

Our verdict: The Discover it® Miles card is a straightforward choice for those who prefer simplicity and no annual fees. The card’s unlimited match on miles earned in the first year is a standout feature, and the ability to convert miles to cash back adds flexibility. However, the card lacks additional perks and benefits compared to other travel-oriented cards.

Pros:

• No annual fee.
• Straightforward rewards structure.
• Unlimited match on miles earned in the first year.
• Introductory APR offer.
• Option to convert miles to cash back.

Cons:

• Limited additional perks and benefits.
• Rewards may not be as valuable as travel-specific cards.

Apply now: Discover it® Miles

How to choose the best sign-up bonus?

When selecting a sign-up bonus credit card, it’s important to consider a few key factors:

1. Bonus value: Assess the value of the sign-up bonus offered. Compare cashback percentages, point values, or the equivalent dollar value of the rewards. Keep in mind that a higher bonus value might require a higher spending requirement.

2. Spending requirement: Determine the threshold to qualify for the sign-up bonus. Make sure it aligns with your regular spending habits and budget. Be cautious of spending more than you can comfortably afford to earn the bonus.

3. Annual fee: Consider whether the credit card charges an annual fee. Determine if the benefits and rewards outweigh the cost of the fee. Many cards waive the annual fee for the first year, providing an opportunity to enjoy the sign-up bonus without incurring additional costs.

4. Ongoing rewards: Look beyond the sign-up bonus and evaluate the card’s ongoing rewards structure. Consider how the card’s rewards program aligns with your spending patterns and preferences. A card with generous ongoing rewards can provide long-term value.

5. Additional benefits: Take note of any additional benefits or perks offered by the credit card, such as airport lounge access, travel insurance, or purchase protection. These extras can enhance the overall value of the card.

How to maximize sign-up bonuses?

To make the most of sign-up bonuses, follow these strategies:

1. Timing: Plan your credit card applications strategically to maximize your bonus potential. Many credit card issuers restrict how frequently you can receive sign-up bonuses. Be aware of these rules and plan accordingly.

2. Meeting spending requirements: Ensure you can comfortably meet the spending requirements to receive the sign-up bonus. Consider using the card for regular expenses, such as groceries and utilities, to reach the required threshold. Avoid unnecessary purchases or overspending, as the interest charges may outweigh the value of the bonus.

3. Bonus categories: Take advantage of bonus categories offered by the credit card. Some cards provide higher reward rates for specific spending categories, such as travel, dining, or gas. Utilize these categories to earn additional rewards alongside the sign-up bonus.

4. Utilize companion perks: Certain credit cards offer companion tickets or hotel stays as part of their sign-up bonus. Take full advantage of these perks by planning trips or stays with family or friends.

5. Consider card combinations: Some credit card issuers allow you to combine points or rewards from multiple cards within their ecosystem. This can maximize the value of your rewards and provide more flexibility in redeeming them.

Related: Best Credit Card Combinations to Maximize Rewards

Are sign-up bonuses taxable?

One common question when considering sign-up bonuses is whether they are taxable. Sign-up bonuses are usually considered rebates or rewards and are not taxable. The Internal Revenue Service (IRS) treats these bonuses as a purchase price reduction rather than taxable income.

However, if you receive a sign-up bonus in the form of cash or if the bonus value exceeds a certain threshold, it may be subject to taxation. It’s important to consult a tax professional or refer to IRS guidelines to determine your tax obligations.

It’s worth noting that while the sign-up bonus itself may not be taxable, any interest earned on the rewards or benefits may be subject to taxation. If you redeem rewards for cash, you should report any interest earned on those rewards as taxable income.

Always stay informed about the tax implications of sign-up bonuses and consult a professional if you have any concerns or questions.

Methodology

The methodology used to calculate the best cards for credit card sign-up bonuses relied on several factors, with the most prominent of those being:

• The required credit score to apply successfully for the card.
• The additional benefits offered by the card beyond rewards.
• The rewards rate of the card.
• The history of the card issuer itself.
• Any potential costs associated with owning the credit card, like annual fees and ongoing APR.
• The welcome offer, including the total number of points, spending requirements, and time frame.

The product information provided here is based on research conducted up to a specific date and may have changed. For the latest and most accurate information, we recommend you visit the respective card’s website before proceeding.